KG-SEAGP

Private Equity
PORTFOLIO

Industry : Energy/Infrastructure

Investment Year : 2016
Investment Type : Investment in overseas assets

Through the stable investment in Energy Midstream, the PEF has been able to distribute stable profits to investors, 

Myanmar onshore gas pipeline project is a massive project that allows delivery of natural gas produced from A-1/A3 gas fields, located in Northwest sea of Myanmar, to China. 

Korea Gas Corporation (“KOGAS”) has established a subsidiary called “KG-SEAGP” in Hong Kong by contributing shares of 4.17% and shareholder loans in kind in SEAGP (South-East Asia Gas Pipeline Company Ltd.), which specifically manages gas pipeline business in Myanmar. Stonebridge-FG Overseas Infrastructure No.1 PEF invested USD 87mn in preferred shares issued by KG-SEAGP to obtain the rights to 80% of the total cash flows that are distributed by SEAGP.

Through the stable investment in Energy Midstream, the PEF has been able to distribute stable profits to investors, and KOGAS has not only improved its financial structure by reducing debt-to-equity ratio, but also secured necessary funds to invest in other energy development projects