Venture Global (VG) Wins Arbitration Against Spain's Repsol, Shares Rise 12.8%
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1h ago
0mins
Source: seekingalpha
- Arbitration Victory: Venture Global won its arbitration against Spain's Repsol, with the International Court of Arbitration ruling it acted as a 'reasonable and prudent operator,' which is expected to enhance the company's credibility in the LNG market.
- Fee Award: Although the specific amount awarded remains undisclosed, the arbitration outcome is likely to provide additional financial support for Venture Global, strengthening its bargaining power in future contract negotiations.
- Historical Arbitration Context: Venture Global faced a setback in its arbitration with BP, which is seeking over $1 billion in damages, but achieved a favorable outcome against Shell, highlighting the uncertainties and complexities of arbitration for the company.
- Market Reaction: Following the positive arbitration news, Venture Global's shares rose 12.8% in after-hours trading, reflecting investor optimism regarding the company's future prospects.
Analyst Views on VG
Wall Street analysts forecast VG stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for VG is 11.89 USD with a low forecast of 8.00 USD and a high forecast of 18.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
9 Analyst Rating
5 Buy
4 Hold
0 Sell
Moderate Buy
Current: 8.480
Low
8.00
Averages
11.89
High
18.00
Current: 8.480
Low
8.00
Averages
11.89
High
18.00
About VG
Venture Global, Inc. is a provider of the United States liquefied natural gas (LNG) sourced from North American natural gas basins. The Company's business includes assets across the LNG supply chain, including LNG production, natural gas transport, shipping and regasification. The Company sells LNG and is engaged in the operation, construction, and development of natural gas liquefaction and export facilities in North America (LNG projects). Each LNG project includes a liquefaction facility and export terminal and one or more associated pipelines that interconnect with several interstate and intrastate pipelines for delivery of natural gas into the associated liquefaction facility and export terminal. The Company has multiple segments, including the Company's five LNG projects: the Calcasieu Project, the Plaquemines Project, the CP2 Project, the CP3 Project and the Delta Project, and its direct sales and shipping (DS&S) business and pipeline activities.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
