Total announced on Friday that it closed a deal to buy Engie's upstream liquefied natural gas (LNG) assets for $1.5 billion. An additional payment of up to $500 million is expected should the conditions in the oil markets improve in the future.
"Acquiring Engie's LNG business is a real step change for Total allowing us to leverage size and flexibility in the fast growing and increasingly commoditized LNG market. This transaction makes Total the second largest global LNG player among the majors with a worldwide market share of 10%," Total's Chief Executive Officer Patrick Pouyanné stated.
The assets acquired include participating interests in liquefaction plants, especially in Cameron LNG project in the United States, long term sales and purchase agreements, an LNG tanker fleet, and access to regasification capacities in Europe.
