Golar LNG has reached agreement with Brazilian state-owned oil giant Petrobras to make certain modifications to the 'Golar Winter' floating storage and regasification unit (FSRU) and to extend the term of the contract by five years to 2024.
Petrobras has taken the decision to move 'Golar Winter' from its present site in Rio de Janeiro to Bahia and as a consequence the vessel will require certain modifications including the addition of LNG-loading arms. Golar Partners has agreed to make these modifications and Petrobras has agreed to an increase in the charter rate in return for the upgrades to be made to the vessel.
In addition to the five-year extension, Golar Partners will receive, in nominal terms, approximately US$24 million in additional revenue over the term of the contract before the effect of rate escalation as provided for in the time charter.
The vessel is due to be delivered at its new site in the third quarter 2013 at which point the new charter rate will commence. The vessel is expected to incur offhire time of approximately the same amount as would be incurred during its normal five-yearly drydocking, which will be undertaken at the same time.
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