Mitsubishi to sell down LNG Canada stake to Blackstone funds for $1.6 billion

TOKYO, Nov 2 (Reuters) - Japanese trading house Mitsubishi Corp 8058.T said on Monday it will sell a 49.9% interest in a holding company that owns its stake in the LNG Canada project to funds managed by Blackstone Credit & Insurance, a unit of Blackstone BX.N, for about $1.6 billion.

The holding company owns a 15% stake in LNG Canada, the Shell SHEL.L-led export project in British Columbia that started production in June 2025.

• Mitsubishi said the deal would not affect its LNG offtake volumes or customer relationships.

• The holding company currently offtakes 2.1 million metric tons per year of LNG from the project, with volumes expected to double to 4.2 million tons a year after the LNG Canada expansion.

• The transaction follows the final investment decision announced by Shell and its partners in September on the LNG Canada Phase 2 expansion, a project that will double the facility's production capacity to 28 million tons a year.

• Mitsubishi said it would use Blackstone's financial resources to help advance the expansion while improving the capital efficiency of its investment.

• The deal is expected to close in November, a Mitsubishi spokesperson said.

  
  

  ($1 = 157.8200 yen)