EDF, Total Divest from Dunkirk LNG

EDF and Total said June 29 they have agreed to sell their respective 65.01% and 9.99% stakes in the Dunkerque LNG terminal, following a sale process initiated by EDF earlier this year.

At the completion of the transactions two buyers, a consortium composed by Belgium's Fluxys Europe (which currently owns 25% of the Dunkirk LNG terminal), AXA Investment Managers and Credit Agricole Assurances on one hand, and separate South Korean consortium of Samsung Securities , IBK Securities, and Hanwha Investment & Securities, will hold respectively 35.76% and 39.24% interests at Dunkirk.

EDF said that transactions achieved with various parties put the enterprise value at EDF's 65.01% stake in Dunkirk LNG at about €2.4bn.  It said that Fluxys' continued presence would ensure "continuity."

Closing is expected for 3Q 2018, once required regulatory approvals have been granted by the relevant authorities. Total said it will retain regas capacity rights at Dunkirk of around 1.5mn mt/yr.

Marc Benayoun, EDF senior vice president, Gas and Italy, said: "This transaction illustrates EDF Group’s capacity to create value in building complex infrastructure projects. We will remain engaged as a client with the terminal to support the development of the Group’s activities in the European gas market.”

Jurae Kang, IPM Korea CEO, on behalf of the Korean consortium said: “As a strategic infrastructure asset serving both France and Belgium as its primary gas markets, Dunkerque LNG is an attractive opportunity for our consortium and is fully aligned with our investment strategy in core infrastructure assets.”