Höegh LNG : Höegh Esperanza commissioning for FSRU operations in Tianjin, China
Hamilton, Bermuda, 6 November 2018 - Höegh LNG Holdings Ltd. (“Höegh LNG”) announces that Höegh Esperanza has arrived at the Tianjin LNG terminal in China and has started commissioning for FSRU operations. Höegh Esperanza is currently serving a three-plus-one year FSRU/LNGC time charter with CNOOC Gas & Power Trading and Marketing Ltd. (“CNOOC”). Under the contract, Höegh Esperanza will be utilised in FSRU mode for a minimum period each year, with the balance of the year in LNG carrier mode and/or FSRU mode. The rate structure corresponds to the mode of use, with an anticipated annualised EBITDA contribution when in FSRU mode of approximately USD 33 million.
The FSRU Höegh Esperanza was delivered from Hyundai Heavy Industries in April 2018 and entered the contract with CNOOC in June 2018. This high-specification FSRU has both open and closed loop regasification capability, an import capacity of around 6 million tonnes of LNG per year and storage capacity of 170,000 cubic meters of LNG. It is equipped with a GTT Mark III membrane containment system and dual-fuel diesel-electric propulsion, providing it with full LNGC trading capabilities.
Sveinung J.S. Støhle, CEO & President of Höegh LNG, comments: We are proud to assist CNOOC in enabling China to import more attractively priced LNG. Following an aggressive coal-to-gas switch, China’s LNG imports look to increase by almost 50% in 2018, and the potential for further increases in LNG imports remains significant. Combined with the sale-and-leaseback financing for FSRU #10 secured earlier this year, this FSRU/LNGC contract for Höegh Esperanza with CNOOC reflects Höegh LNG’s commitment to the Chinese market, and our ambition to remain the preferred partner for future LNG import expansions.”
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About Höegh LNG:
Höegh LNG operates world-wide with a leading position as owner and operator of floating LNG import terminals; floating storage and regasification units (FSRUs), and is one of the most experienced operators of LNG Carriers (LNGCs). Höegh LNG's vision is to be the industry leader of floating LNG solutions. Its strategy is to develop the business through an extended service offering, with large-scale FSRUs as the main product, and focus on establishing long-term contracts with attractive risk-adjusted returns involving credible counterparts. The company is publicly listed on the Oslo stock exchange under the ticker HLNG, and owns approximately 46% of Höegh LNG Partners LP (NYSE:HMLP). Höegh LNG is a Bermuda based company with established presence in Norway, Singapore, the UK, USA, South Korea, Indonesia, Lithuania, Egypt, Colombia and Turkey. The company employs approximately 125 office staff and 525 seafarers.
Contacts:
Sveinung J. S. Støhle, President and Chief Executive Officer, Telephone +47 975 57 402
Steffen Føreid, Chief Financial Officer, Telephone +47 975 57 406
Erik Folkeson, VP IR and Strategy, Telephone +47 414 21 769
This information is subject of the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act or the Continuing Obligations of Oslo Børs.
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