Summit, GE, Excelerate in $1 bln LNG-to-power pact

Summit Power International joined forces with General Electric and Excelerate Energy to develop a $1 billion gas-to-power generation and offshore LNG import terminal in Menghaghat, Bangladesh. 

The Meghnaghat II natural gas based combined cycle power plant would increase Sumit total installed generating capacity of over 3,000MW.

Under the memorandum of understanding signed by Summit with GE, through GE Capital’s Energy Financial Services, GE would potentially provide $50 million of equity to Summit, to be used for the development of power projects in Bangladesh.

In addition, GE Gas Power Systems will have rights to supply equipment for the power projects based on gas turbine technology and developed in the next 36 months by Summit.

In order to provide feedgas for the projects, Summit LNG Terminal Company signed a 15-year FSRU charter deal with Excelerate Energy.

IFC, a member of the World Bank Group, has been engaged as the lead arranger for financing to develop the Meghnaghat II power plant.