A group of European and American companies are negotiating a large loan for what would be Yemen's first liquefied natural gas (LNG) project.
Led by the French oil giant Total, the group is looking to raise an estimated US$3bn in debt to build a liquefaction plant at the port of Balhaf on the southern coast of Yemen.
The plant would be able to produce 6.7mn tonnes per year of LNG. Although the group is said to be seeking a commercial syndicated loan of between US$800mn to US$1bn, the remaining funds are to come from Total, which will provide around $1 billion, as well as from export credit agencies, including the Export-Import Bank of Korea (KEXIM), France's Coface, Japan's Nippon Export and Investment Insurance (Nexi) and Japan Bank for International Co-operation.
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