Cheniere Energy Partners will receive $2 billion in financing from Blackstone Group to fund the construction of a natural gas export facility in Southern Louisiana.
The facility was built to import natural gas, but a huge increase in production of natural gas from shale formations under several states has created a glut of natural gas in the U.S. Now Cheniere and others are hoping to export natural gas to markets that pay prices up to 5 times higher than in the U.S.
Cheniere has lined up customers and received approval from the Department of Energy, but it is still awaiting approval from the Federal Energy Regulatory Commission.
Some lawmakers, environmentalists and industrial customers oppose the plan. They say it will raise natural gas prices in the U.S.
