US Backs Argentina LNG Project with Up to $6 Billion in Financing
Argentina's natural gas project has received an offer from the US Export-Import Bank to lend up to $6 billion in financing, a significant boost for President Javier Milei's government as it seeks foreign investment. This support comes just over a year after the Trump administration provided Argentina with a $20-billion currency swap line and signed a trade agreement with the country.
The Argentina LNG project, led by state-run energy firm YPF SA, is considered the largest infrastructure project in Argentina's history and would produce 12 million tons of liquefied natural gas per year. The project involves Italian oil company Eni SpA and Abu Dhabi's Adnoc, which are racing to secure bank loans from institutions like JPMorgan Chase & Co. and Santander.
The US government's credit agency has offered a significant amount of financing, but the project still needs $24 billion in total investment to move forward. The partners plan to make a final investment decision in November, contingent on receiving letters of intent from banks and export credit agencies to complete lending arrangements.