Golar LNG Limited - Sale of an Interest in the FLNG, Hilli Episeyo
(Thomson Reuters ONE) -
Golar LNG Limited (NASDAQ: GLNG) ("Golar") announced today that it and
affiliates of Keppel Shipyard Limited ("Keppel") and Black and Veatch ("B&V")
have entered into a purchase and sale agreement (the "PSA") for the sale (the
"Sale") of equity interests (the "Interests") in Golar Hilli LLC to Golar LNG
Partners L.P. (the "Partnership"), which will, on the closing date of the Sale,
indirectly own the Hilli Episeyo (the "Hilli"), a floating liquefied natural gas
vessel. The Acquired Interests represent the equivalent of 50% of the two
liquefaction trains, out of a total of four, that have been contracted to
Perenco Cameroon SA and Societe Nationale Des Hydrocarbures (together, the
"Customer") for an eight-year term. The sale price for the Interests, as
described below, is $658 million less net lease obligations under the financing
facility for the Hilli (the "Hilli Facility") that are expected to be between
$468 and $480 million. Concurrent with the execution of the PSA, the
Partnership paid a $70 million deposit to Golar, on which the Partnership will
receive interest at a rate of 5% per annum.
The closing of the Sale (the "Closing") is subject to the satisfaction of
certain closing conditions which include, among others, receiving the consent of
the lenders under the Hilli Facility, the closing of the previously announced
put-sale closing with respect to the Golar Tundra (the "Tundra Put Sale"), the
delivery to and acceptance by the Customer of the Hilli, the commencement of
commercial operations under the liquefaction tolling agreement (the "LTA") and
the formation of Golar Hilli LLC and the related Pre-Closing Contributions as
described further below.
Prior to the Closing, Golar, Keppel and B&V will contribute their equity
interests in Golar Hilli Corporation ("Hilli Corp"), the entity that owns the
Hilli, to the newly formed Golar Hilli LLC (the "Pre-Closing Contributions") in
return for equity interests in Golar Hilli LLC. Membership interests in Golar
Hilli LLC will be represented by three classes of units: Common Units ("Common
Units"); Series A Special Units ("Series A Units"); and Series B Special Units
("Series B Units"). Common Units will be entitled to cash flows from the first
50% of contracted capacity, initially contracted to the Customer under the LTA.
Common Units will not be exposed to the oil-linked pricing elements of the
tolling fee under the LTA but will bear the operating costs of the Hilli, with
only incremental costs ("Incremental Costs") accruing to the Series B Units and
the interest costs of the Hilli Facility. Series A Units will only be entitled
to cash flows associated with oil price linked elements of the tolling fee under
the LTA, net of incremental tax expenses and their pro rata portion of any costs
that may arise as a result of the underperformance of the Hilli
("Underperformance Costs"). Holders of Series B Units will be entitled to the
cash flows associated with any expansion of contracted capacity of the Hilli
beyond the first 50%, net of Incremental Costs arising as a result of making
available more than the first 50% of production capacity of the Hilli,
Underperformance Costs and any reduction in revenue attributable to the first
50% of LNG production capacity as a result of making more than 50% of capacity
available under the LTA. Through the Sale, the Partnership will only acquire
50% of the Common Units and none of the Series A Units or Series B Units.
Upon the Closing, which is expected to occur on or before April 30, 2018, Golar,
Keppel and B&V will sell 50% of the Common Units to the Partnership in return
for the payment of the net purchase price of between approximately $178 and $190
million. The Partnership will apply the $107 million deferred purchase price
receivable from Golar in connection with the Tundra Put Sale and the $70 million
deposit referred to above against the net purchase price and will pay the
balance with cash on hand.
The Hilli conversion is nearing completion and no major issues have been
identified. All equipment has been installed and pre-commissioning work is well
underway. Golar is focused on doing as much testing as possible in the yard and
at anchorage in order to minimise the risk of issues being encountered in
Cameroon. The extra days spent in Singapore are expected to reduce the time
required for commissioning on site. The Hilli is scheduled to leave Singapore
for Cameroon at the end of September or beginning of October. LNG bunkering has
been booked for mid-September. The mooring system has been installed in
Cameroon and is ready for hook up of Hilli. All going well, the voyage between
Singapore and Cameroon is expected to take 32 to 40 days allowing Golar to
tender its notice of readiness during the first half of November. The Customer
remains on track with its scope of works and the Hilli conversion currently
remains materially under budget.
Golar will draw down the final tranche of the Hilli Facility upon Customer
acceptance of the vessel. After settlement of all outstanding conversion costs,
Golar currently expects to receive approximately $140 million, net of the Keppel
and B&V minority interests, which is additional to the sale proceeds from the
Partnership as described above.
FORWARD LOOKING STATEMENTS
This press release contains certain forward-looking statements concerning future
events and Golar's operations, performance and financial condition. Forward-
looking statements include, without limitation, any statement that may predict,
forecast, indicate or imply future results, performance or achievements, and may
contain the words "believe", "anticipate", "expect", "estimate", "project",
"will be", "will continue", "will likely result", "plan", "intend" or words or
phrases of similar meanings. These statements involve known and unknown risks
and are based upon a number of assumptions and estimates that are inherently
subject to significant uncertainties and contingencies, many of which are beyond
Golar's control. Actual results may differ materially from those expressed or
implied by such forward-looking statements. Important factors that could cause
actual results to differ materially include, but are not limited to: Golar's
ability to consummate the Sale on a timely basis or at all, and to realise the
expected benefits from the Sale; the timeliness of the Hilli conversion,
commissioning and delivery; Golar's future revenues, expenses, financial
condition and results of operations; Golar's ability to draw down on existing
debt facilities and the amounts drawn thereon, to refinance debt, to incur
additional debt and the terms thereof; covenants and financial ratios imposed by
Golar's debt facilities; Golar's ability to make additional borrowings and to
access debt and equity markets; customer acceptance and termination dates and
extensions of charters; and other factors listed from time to time in the
reports and other documents Golar files with the United States Securities and
Exchange Commission.
New factors emerge from time to time, and it is not possible for Golar to
predict all of these factors. Further, Golar cannot assess the impact of each
such factor on its business or the extent to which any factor, or combination of
factors, may cause actual results to be materially different from those
contained in any forward-looking statement. Golar does not intend to release
publicly any updates or revisions to any forward-looking statements contained
herein to reflect any change in Golar's expectations with respect thereto or any
change in events, conditions or circumstances on which any such statement is
based.
Hamilton, Bermuda
August 16, 2017
Enquiries:
Golar Management Limited: + 44 207 063 7900
Brian Tienzo
Stuart Buchanan
This announcement is distributed by Nasdaq Corporate Solutions on behalf of Nasdaq Corporate Solutions clients.
The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.
Source: Golar LNG via GlobeNewswire
Unternehmensinformation / Kurzprofil:
Datum: 16.08.2017 - 15:03 Uhr
Sprache: Deutsch
News-ID 556784
Anzahl Zeichen: 9338
contact information:
Town:
Hamilton
Kategorie:
Business News
Diese Pressemitteilung wurde bisher 302 mal aufgerufen.
Die Pressemitteilung mit dem Titel:
"Golar LNG Limited - Sale of an Interest in the FLNG, Hilli Episeyo"
steht unter der journalistisch-redaktionellen Verantwortung von
Golar LNG (Nachricht senden)
Beachten Sie bitte die weiteren Informationen zum Haftungsauschluß (gemäß TMG - TeleMedianGesetz) und dem Datenschutz (gemäß der DSGVO).
