Teekay LNG Partners Announces Acquisition and Charter Back for Up to Two LNG Carrier Newbuildings
(Thomson Reuters ONE) -
HAMILTON, BERMUDA--(Marketwired - August 5, 2013) - Teekay LNG Partners L.P.
(Teekay LNG or the Partnership) (NYSE:TGP) today announced that it has agreed to
acquire a 155,900 cubic meter (cbm) liquefied natural gas (LNG) carrier
newbuilding from Awilco LNG ASA (Awilco) (ALNG:NO), a Norwegian-based owner and
operator of LNG carriers. The vessel, which is currently under construction by
Daewoo Shipbuilding & Marine Engineering Co., Ltd., (DSME) of South Korea, is
expected to deliver in the third quarter of 2013, and subsequent to delivery
from DSME to Awilco, Teekay LNG will purchase the vessel and bareboat charter
the vessel back to Awilco at a fixed rate for a firm period of five years, plus
a one-year extension option. Teekay LNG will purchase the vessel for a price of
$205 million less a $50 million upfront prepayment of charter hire by Awilco
which is in addition to the daily bareboat charter rate. Awilco has fixed-price
purchase obligations at the end of both the firm charter period and option
period.
As part of the transaction, Awilco has an option to sell to and bareboat charter
back from Teekay LNG a second 155,900 cbm LNG carrier newbuilding currently
under construction by DSME, under similar terms. The second LNG carrier
newbuilding is expected to deliver in the fourth quarter of 2013.
The Partnership intends to finance the transaction with a portion of its
existing liquidity and expects to secure long-term debt financing prior to
delivery.
"We are pleased to announce this mutually beneficial acquisition-leaseback
arrangement with Awilco which will provide Teekay LNG with immediate accretive
cash flow," commented Peter Evensen, Chief Executive Officer of Teekay GP LLC.
"Together with our four LNG carrier newbuildings delivering in 2016 and the ten
LPG newbuildings in our joint venture with Exmar, delivering between 2014 and
2017, this transaction with Awilco provides a near-term compliment to the
Partnership's strong portfolio of long-term visible growth projects."
The transaction, which is expected to close during the third quarter of 2013,
has been approved by Board of Directors of both Teekay LNG and Awilco, and
remains subject to customary closing conditions, including satisfactory
documentation.
About Teekay LNG Partners L.P.
Teekay LNG Partners L.P. is the world's third largest independent owner and
operator of LNG vessels, providing LNG, liquefied petroleum gas (LPG) and crude
oil marine transportation services primarily under long-term, fixed-rate charter
contracts with major energy and utility companies through its interests in 31
LNG carriers (including one LNG regasification unit and four newbuildings), 31
LPG/Multigas carriers (including five chartered-in LPG carriers and ten
newbuildings) and 11 conventional tankers. The Partnership's interests in these
vessels ranges from 33 to 100 percent. Teekay LNG Partners L.P. is a publicly-
traded master limited partnership (MLP) formed by Teekay Corporation (NYSE:TK)
as part of its strategy to expand its operations in the LNG and LPG shipping
sectors.
Teekay LNG Partners' common units trade on the New York Stock Exchange under the
symbol "TGP".
FORWARD LOOKING STATEMENTS
This release contains forward-looking statements (as defined in Section 21E of
the Securities Exchange Act of 1934, as amended) which reflect management's
current views with respect to certain future events and performance, including
statements regarding: the timing and certainty of completion of acquisition of a
newbuilding LNG carrier from Awilco, including the completion of customary
closing conditions; the timing and certainty of Teekay LNG acquiring a second
LNG carrier newbuilding under similar terms to the first vessel; the timing and
certainty of Teekay LNG securing long-term financing for the acquired vessel, or
vessels; and the timing and effect of the transaction with Awilco, as well as
other committed LNG and LPG newbuildings, will have on the Partnership's cash
flows. The following factors are among those that could cause actual results to
differ materially from the forward-looking statements, which involve risks and
uncertainties, and that should be considered in evaluating any such statement:
shipyard construction delays; failure by the Partnership to secure long-term
financing; the potential early termination of the bareboat charter contracts
with Awilco; failure to secure long-term charters for the acquired vessels;
failure to satisfy closing conditions of the transaction; changes in production
of LNG, either generally or in particular regions that would impact the expected
future growth in the global LNG transportation and regasification markets, and
spot LNG shipping rates; changes in trading patterns or timing of the start-up
of new LNG liquefaction projects significantly impacting overall LNG shipping
requirements; changes in applicable industry laws and regulations and the timing
of implementation of new laws and regulations; and other factors discussed in
Teekay LNG Partners' filings from time to time with the SEC, including its
Report on Form 20-F for the fiscal year ended December 31, 2012. The Partnership
expressly disclaims any obligation to release publicly any updates or revisions
to any forward-looking statements contained herein to reflect any change in the
Partnership's expectations with respect thereto or any change in events,
conditions or circumstances on which any such statement is based.
Contact Information
For Teekay LNG
Kent Alekson
Investor Relations enquiries
1 (604) 609-6442
www.teekaylng.com
This announcement is distributed by Thomson Reuters on behalf of
Thomson Reuters clients. The owner of this announcement warrants that:
(i) the releases contained herein are protected by copyright and
other applicable laws; and
(ii) they are solely responsible for the content, accuracy and
originality of the information contained therein.
Source: Teekay LNG Partners L.P. via Thomson Reuters ONE
[HUG#1721098]
Unternehmensinformation / Kurzprofil:
Datum: 05.08.2013 - 09:04 Uhr
Sprache: Deutsch
News-ID 284595
Anzahl Zeichen: 6751
contact information:
Town:
Hamilton
Kategorie:
Business News
Diese Pressemitteilung wurde bisher 206 mal aufgerufen.
Die Pressemitteilung mit dem Titel:
"Teekay LNG Partners Announces Acquisition and Charter Back for Up to Two LNG Carrier Newbuildings"
steht unter der journalistisch-redaktionellen Verantwortung von
Teekay LNG Partners L.P. (Nachricht senden)
Beachten Sie bitte die weiteren Informationen zum Haftungsauschluß (gemäß TMG - TeleMedianGesetz) und dem Datenschutz (gemäß der DSGVO).
