Global Infrastructure Partners’ proposed Rio Grande LNG Terminal poses risk to investors

The Private Equity Stakeholder Project asserts that Global Infrastructure Partners (GIP) faces significant risks through its $3.5 billion investment and at least 46% ownership stake in the Rio Grande LNG Terminal. The document highlights financial risks stemming from volatile gas prices, rising costs, and a projected decline in global equity returns if funds fail to align with Paris Agreement goals. Environmentally, it claims the terminal could emit 163 million tons of carbon dioxide equivalent annually and may be more polluting than coal due to methane leakage. Socially, the project is opposed by the Carrizo Comecrudo Tribe of Texas, the city of Port Isabel, and other local councils in South Texas due to impacts on sacred land and local industries.

• Global Infrastructure Partners (GIP) holds at least a 46% ownership stake in the Rio Grande LNG Terminal following a $3.5 billion investment from its Fund V, making it the largest investor after Société Générale withdrew support.
• The Rio Grande LNG project faces financial instability due to volatile gas prices and increasing costs for borrowing, labor, and construction, alongside a general IEA forecast that demand for gas, oil, and coal will peak before 2030.
• The terminal is estimated to produce annual emissions of approximately 163 million tons of carbon dioxide equivalent, which is comparable to the emissions of 44 coal power plants.
• The project faces strong local opposition in South Texas, including a lawsuit by the city of Port Isabel against the Federal Energy Regulatory Agency (FERC) and resolutions of opposition from the Laguna Vista Town Council and the South Padre Island City Council.
• The terminal is planned for construction on land sacred to the Carrizo Comecrudo Tribe of Texas, who the document claims have not been consulted by banks, regulatory agencies, or Rio Grande LNG.

APA

Private Equity Stakeholder Project (2024). Global Infrastructure Partners’ proposed Rio Grande LNG Terminal poses risk to investors. https://pestakeholder.org/news/global-infrastructure-partners-proposed-rio-grande-liquified-natural-gas-terminal-poses-risk-to-investors/

Chicago

Private Equity Stakeholder Project. Global Infrastructure Partners’ proposed Rio Grande LNG Terminal poses risk to investors. 2024. https://pestakeholder.org/news/global-infrastructure-partners-proposed-rio-grande-liquified-natural-gas-terminal-poses-risk-to-investors/.

Wikipedia

{{cite press release |author=Private Equity Stakeholder Project |title=Global Infrastructure Partners’ proposed Rio Grande LNG Terminal poses risk to investors |date=5 January 2024 |url=https://pestakeholder.org/news/global-infrastructure-partners-proposed-rio-grande-liquified-natural-gas-terminal-poses-risk-to-investors/ |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@misc{privateequitystakeholderproject2024global, author = {{Private Equity Stakeholder Project}}, title = {{Global Infrastructure Partners’ proposed Rio Grande LNG Terminal poses risk to investors}}, publisher = {Private Equity Stakeholder Project}, year = {2024}, month = jan, url = {https://pestakeholder.org/news/global-infrastructure-partners-proposed-rio-grande-liquified-natural-gas-terminal-poses-risk-to-investors/}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }