HOUSTON, Aug 12 (Reuters) - Venture Global ( VG ) has

won a legal battle against Shell over its failure to

deliver liquefied natural gas under long-term contracts starting

in 2023, the U.S. LNG major said on Tuesday.

Firms, including Shell, BP, Edison and

Galp, filed arbitration claims starting in 2023,

accusing Venture Global ( VG ) of profiting from the sale of LNG on the

spot market while not providing them with their contracted

cargoes from the Calcasieu Pass export facility in Louisiana.

The companies accused Venture Global ( VG ) of profiteering by

selling commissioning cargoes at higher spot market prices,

rather than at long term contracted prices.

"We are disappointed with the outcome but respect the

Tribunal's decision," Shell said in a statement to Reuters.

Trust in long-term contracts is the bedrock of the LNG

industry and essential for continued investment and sustainable

growth, the company statement said.

The tribunal's determination reaffirms Venture Global ( VG )

has consistently honored its agreements its customers, the

Arlington based company said on Tuesday.

Venture Global ( VG ) denied the claim, saying it delayed moving to

commercial operations because of a faulty electric system that

did not allow the plant to operate optimally.

Earlier on Tuesday, Venture Global ( VG ) said it estimates a penalty

of up to $1.6 billion if it loses the arbitration cases,

according to its second-quarter earnings report.

Some of the companies involved in the arbitration were

pushing for a higher penalty, the report said.