Golar LNG has acquired Seatrium's and Black and Veatch's minority ownership interests in the FLNG Hilli.
The acquisitions comprise all third-party interests in the asset, including a total of 5.45 per cent common units, 10.9 per cent Series A shares, and 10.9 per cent Series B shares. The transaction is equivalent to approximately eight per cent of the full FLNG capacity.
The total consideration for the acquisitions is US$90.2 million, of which US$59.9 million is in equity and US$30.3 million is a pro-rata share in the existing FLNG Hilli debt facility. The full economic interest of the increased ownership in FLNG Hilli will be effective from January 1, 2025.
The FLNG Hilli is currently contracted to Perenco in Cameroon, until contract expiry in July 2026. The asset is then intended to relocate to Argentina to start a 20-year contract for Southern Energy, a consortium of natural gas producers in Argentina.
The Southern Energy contract remains subject to defined conditions precedent, including an export license, environmental assessment and Final Investment Decision by Southern Energy.
Since her contract start-up in 2018 the FLNG Hilli has delivered 124 LNG cargoes and offloaded more than 8.5 million tonnes of LNG.
Golar CEO Karl-Fredrik Staubo commented that the increased ownership will give immediate cash flow accretion and will add approximately US$500 million of Adjusted EBITDA backlog.