NFE to sell Miami small-scale liquefaction plant

US LNG firm New Fortress Energy said it had agreed to sell its liquefaction and storage facility in Miami, Florida to a US middle-market infrastructure fund.

NFE did not reveal the name of the fund or the price tag of the deal in a statement issued on Monday.

According to the statement, NFE expects to complete the transaction in the third quarter of 2024, subject to customary terms and conditions.

The Miami facility has one liquefaction train capable of producing 8,300 MMBtu of LNG per day.

Also, the facility has three LNG storage tanks with a total capacity of about 1,000 cubic meters as well as two separate LNG transfer areas capable of serving both truck and rail, NFE said.

The facility is authorized to export up to 60,000 tonnes per annum of LNG to free trade agreement and also non-FTA countries for a 20-year term that began on February 5, 2016, it said.

According to NFE’s website, the facility supplies LNG to transportation, commercial, and industrial users in South Florida and the Caribbean.

“The Miami facility is the inaugural asset of NFE and we are proud to have built this best-in-class infrastructure,” said Wes Edens, chairman and CEO of NFE.

“Today’s sale highlights our commitment and execution of our asset sale program, allowing us to reduce debt and recycle proceeds into high return downstream projects,” he said.

Pennybaker to buy Miami facility

Pennybacker Capital Management said in a statement issued on July 9 that it has agreed to buy a small-scale LNG business based in Miami, Florida, from NFE.

The company also did not reveal the financial details of the deal.

“We look forward to working with the Miami LNG team to continue serving its existing customers, as well as growing the platform to provide cost effective and sustainable LNG solutions to new US and Caribbean customers,” Pennybacker said.

(Article updated on July 9 to say that Pennybaker will buy the facility.)

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