BG sells stake in Chile LNG terminal

Oil and gas producer BG Group has agreed to sell its 40 per cent interest in a company called GNL Quintero (GNLQ), the owner of a liquefied natural gas terminal in Chile.

The two-tranche stock purchase agreement could net BG $352m.

The first tranche involves the sale of 20% equity in GNLQ for $176m. The second 20% tranche, also valued at $176m, requires consent from lenders and other partners. Both transactions are expected to complete by the end of 2012.

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BG Group Chief Executive Sir Frank Chapman said: "The agreement reached today is another important milestone in the successful execution of BG Group's funding diversification and portfolio rationalisation programme."

He added: "BG Group was instrumental in delivering the GNLQ facility - the first onshore regasification terminal to operate in the southern hemisphere - and we will continue to be a key supplier of LNG into this important, counter-seasonal energy market."

BG's shares were up 0.8% by 10:32.

BS