Overview

• On Aug. 12, an arbitration tribunal ruled that Venture Global had not breached its long-term LNG contracts in the dispute brought by Shell concerning Calcasieu Pass commissioning cargoes.
• Shell said it was disappointed with the decision and warned that confidence in long-term agreements underpins investment in the LNG sector.
• Venture Global maintained that electrical faults delayed commercial operations and postponed the start of its contractual supply obligations.
• The ruling saves Venture Global from facing up to $1.6 billion in potential penalties estimated in its recent earnings report.
• Pending arbitration claims from BP, Repsol and other European buyers, along with reported refusals by partners including TotalEnergies, underscore continued legal and reputational challenges.