Toshiba to pay Total $815m to exit LNG plant

Bloomberg

Toshiba Corp will transfer its rights to process natural gas at the Freeport LNG project in Texas to France’s Total SA, the companies said.
Toshiba will pay Total $815 million to hand over the 20-year liquefaction rights to the French major and expects to finalise the deal by March 2020, according to a statement from the Tokyo-based company. Total will make a $15 million payment to Toshiba for the takeover of its US.
LNG business and assume its tolling charge commitment. Toshiba had obligations to pay fixed amounts regardless of whether or not it could sell the LNG, and faced billions in losses when the contract kicks off in 2020. Toshiba targets complete withdrawal from the LNG business by finalising the Freeport LNG transfer.