Golar LNG Limited: Fortuna FLNG Offtake Awarded to Gunvor
August 21 2017 - 8:01AM
The Ministry of Mines and Hydrocarbons ("MMH"),
Ophir Equatorial Guinea (Block R) Ltd, OneLNG SA and La Compania
Nacional De Petroleos De Guinea Ecuatorial ("GEPetrol") have
nominated Gunvor Group Ltd ("Gunvor") as its preferred LNG Buyer
for offtake from the Fortuna FLNG project. All parties have agreed
the principal commercial terms subject to finalising a Sale and
Purchase Agreement ("SPA") for the offtake ahead of the Final
Investment Decision ("FID") on the Fortuna FLNG project.
Gunvor is committed to take the full
contract capacity of the Gandria FLNG vessel of 2.2
MMTPA which will be purchased on a Brent-linked, Free on Board
("FOB") basis for a 10 year term. The contract structure allows
flexibility for up to 1.1mmtpa of the Fortuna capacity to be
marketed on an alternate basis. Consequently the agreement gives
the Fortuna partners alongside the State of Equatorial Guinea,
the potential to sell volumes to higher priced gas markets in
Africa and beyond, whilst retaining a share in the profits of such
onward marketing.
With the identification of a preferred LNG Buyer
now achieved, the last significant milestone prior to the FID of
the Fortuna FLNG project is the completion of the project funding,
with FID remaining on track for 2017.
His Excellency, Gabriel Mbaga Obiang Lima,
Minister of Mines and Hydrocarbons for the Republic of Equatorial
Guinea, commented: "The selection of Gunvor sets a landmark moment
in the development of the Fortuna Project. The partnership with
Gunvor also paves the way for the government's objective to deliver
important projects that monetize our gas, promotes local content
and brings world-class petroleum technology to Equatorial Guinea.
The Fortuna Project will target becoming the first choice supplier
of LNG for the LNG to Africa initiative, furthering Equatorial
Guinea's leadership position in Africa as an LNG exporter."
Nick Cooper, Chief Executive of Ophir,
commented: "We thank those parties that participated in the
competitive tender process for the offtake and welcome Gunvor to
the Fortuna FLNG Project. Gunvor's involvement is a further
addition to a strong partnership along the Fortuna value chain. Our
focus is now on completing the financing package and debt
facility". With Golar's sister vessel, the Hilli Episeyo, nearing
completion and with Petronas FLNG having recently delivered
commercial cargoes, FLNG is now entering the mainstream".
Jeff Goodrich, CEO OneLNG SA commented: "OneLNG,
along with the State of Equatorial Guinea and Ophir, would like to
take the opportunity to welcome Gunvor to the Fortuna family. We
look forward to working together to set the new performance
benchmark in FLNG".
FORWARD LOOKING STATEMENTS
This press release contains certain
forward-looking statements concerning future events and Golar's
operations, performance and financial condition. Forward-looking
statements include, without limitation, any statement that may
predict, forecast, indicate or imply future results, performance or
achievements, and may contain the words "believe", "anticipate",
"expect", "estimate", "project", "will be", "will continue", "will
likely result", "plan", "intend" or words or phrases of similar
meanings. These statements involve known and unknown risks and are
based upon a number of assumptions and estimates that are
inherently subject to significant uncertainties and contingencies,
many of which are beyond Golar's control. Actual results may differ
materially from those expressed or implied by such forward-looking
statements. Important factors that could cause actual results
to differ materially include, but are not limited to: the
timeliness of the Hilli Episeyo conversion, commissioning and
delivery; Golar's future revenues, expenses, financial condition
and results of operations; Golar's ability to draw down on existing
debt facilities and the amounts drawn thereon, to refinance debt,
to incur additional debt and the terms thereof; covenants and
financial ratios imposed by Golar's debt facilities; Golar's
ability to make additional borrowings and to access debt and equity
markets; customer acceptance and termination dates and extensions
of charters; and other factors listed from time to time in the
reports and other documents Golar files with the United States
Securities and Exchange Commission.
New factors emerge from time to time, and it is
not possible for Golar to predict all of these factors. Further,
Golar cannot assess the impact of each such factor on its business
or the extent to which any factor, or combination of factors, may
cause actual results to be materially different from those
contained in any forward-looking statement. Golar does not intend
to release publicly any updates or revisions to any forward-looking
statements contained herein to reflect any change in Golar's
expectations with respect thereto or any change in events,
conditions or circumstances on which any such statement is
based.
Hamilton, Bermuda
August 21, 2017
Enquiries:
Golar Management Limited: + 44 207 063 7900
Brian Tienzo
Stuart Buchanan
Golar LNG (NASDAQ:GLNG)
Historical Stock Chart
From Aug 2024 to Sep 2024
Golar LNG (NASDAQ:GLNG)
Historical Stock Chart
From Sep 2023 to Sep 2024