Mayer Brown advises Excelerate Energy in relation to fully integrated floating LNG import terminal in Iraq

Singapore – Mayer Brown advised Excelerate Energy, Inc. (Excelerate) (NYSE: EE) on the execution of a definitive agreement with a subsidiary of Iraq’s Ministry of Electricity to develop and operate a fully integrated floating LNG import terminal at the Port of Khor Al Zubair. The project marks Iraq’s first LNG import terminal and is designed to enhance the country’s energy security and fuel supply flexibility.The integrated project includes a five-year agreement for regasification services and LNG supply with extension options, and a minimum contracted offtake of 250 million standard cubic feet per day (MMscf/d). Under the agreement, Excelerate will construct the floating LNG import terminal, which is designed to accommodate a guaranteed 500 MMscf/d of regasification capacity.

Excelerate will deploy Hull 3407, its newest floating storage and regasification unit (FSRU), and will be responsible for delivering the topside equipment and berth modifications to enable FSRU operations at the jetty. The total project investment is expected to be approximately US$450 million, inclusive of the cost of the FSRU.

As part of the integrated arrangement, Excelerate will serve as the LNG supplier to the terminal. Commercial operations are expected to commence in 2026, subject to final permitting and construction timelines, and other closing conditions.

Mayer Brown’s role included advising on the drafting and structuring of the integrated documentation package for the agreement. The team advised Excelerate on key commercial and risk allocation issues, as well as on the interfaces between LNG and natural gas supply in addition to regasification services, in order to create a fully integrated agreement for the project.

Commenting on the transaction, Nick Kouvaritakis, global co-head of Mayer Brown’s Global Energy practice and global head of LNG, said: “We are delighted to have advised long-term client Excelerate on this landmark agreement with Iraq’s Ministry of Electricity. This strategically important project will deliver critical gas infrastructure and supply diversity to Iraq, and we are proud to have supported Excelerate on its delivery of this fast-track energy solution for Iraq.”

The Mayer Brown team was led by Global Energy partner Nick Kouvaritakis, with support from partners Sean Prior and Priya Shah, counsel Nick Kendrick and independent consultant Richard Nelson. Associates Chris Ong and Ling Ern Seow also assisted on the matter.