Owner and operator of LNG carriers Golar LNG has secured USD 200 million in additional liquidity as part of a debt financing deal related to the Hilli Episeyo.
Namely, the company has repaid the USD 640 million drawn under the USD 700 million construction financing facility and drawn down on the post acceptance USD 960 million lease financing facility provided by CSSC Leasing.
After the closing an additional USD 320 million of liquidity has been received by Golar. The net increase in liquidity to Golar after settling remaining Hilli Episeyo capital commitments as well as amounts due to minority (10.89%) shareholders Keppel and Black and Veatch as a result of the debt draw down, is expected to be USD 200 million, according to the company.
The transactions were undertaken on the back of the commercial acceptance of Hilli Episeyo, the world’s first FLNG vessel that has been developed as a conversion project from an LNG carrier, on June 4.
The drop down of 50% of the base tolling income to Golar LNG Partners is expected to be concluded shortly. The additional added contribution of some USD 82 million in effective EBITDA and effective EBITDA backlog of USD 650 million, given the 8 year contract term, will significantly strengthening the MLP’s financial position and supporting the distribution going forward.
“We are delighted to have closed this financing and with the support and good relationship we have with CSSC leasing. With the announcement in April of the closing of the Sergipe financing we are now in a position that all our major capital commitments are fully funded, with the only exception being the FSRU Nanook which has a 25 year charter and on which financing discussions are well advanced. In addition to being fully funded the company’s liquidity is also significantly improved,” Iain Ross, Golar CEO, said.