Latham & Watkins Advises Golar LNG in 20-Year FLNG Deployment Agreement in Argentina

Golar LNG Ltd. (Golar) has entered into definitive agreements with Pan American Energy (PAE) for a 20-year deployment of a Floating Liquefied Natural Gas (FLNG) vessel in Argentina. The FLNG project will monetize Argentine gas, tapping into the vast resources from the Vaca Muerta shale formation in the Neuquina Basin, the world's second-largest shale gas resources. The project is expected to start LNG exports within 2027, establishing Argentina as an LNG exporter.

This strategic venture is built on a robust commercial foundation, featuring: (i) a Gas Sales Agreement from PAE for the supply of gas; and (ii) an FLNG charter agreement with Golar which includes a base tariff and commodity exposure to LNG sales prices. As part of the agreements, Golar will hold a 10% stake in Southern Energy S.A., a dedicated joint venture with PAE, responsible for the purchase of domestic natural gas, operations, and sale and marketing of LNG volumes from Argentina.

Latham & Watkins LLP represents Golar LNG in the transaction with a multi-jurisdictional team led by partner Chris Peponis, with support from partner Guido Liniado, and associates Salvador Jose, Taylor López, Chidi Onyeche, and Andres Chester.*

*Only Admitted to Practice in Argentina.