Flex LNG has confirmed the successful completion of the US$175 million JOLCO lease financing for the LNG carrier Flex Courageous.
Flex LNG said the refinancing generated net proceeds of approximately US$42 million, extends debt maturity to 2035, and will significantly reduce the cost of debt by approximately 1.5 per cent per annum.
The refinancing of Flex Courageous follows the announcement of up to 10 years of additional backlog for the vessel.
Flex LNG said this JOLCO lease marks the first of three planned vessel refinancings under the balance sheet optimization program introduced in the company's Q1 2025 presentation after securing up to 37 years of combined contract backlog across the three vessels.
The company said it remains on track to complete the refinancing of Flex Resolute and Flex Constellation in the second half of 2025. The combined refinancing efforts are expected to release US$120 million in net proceeds, while also extending debt maturities and reducing the overall cost of debt.