Golar closes acquisition of New Fortress Energy stake in FLNG Hilli

Rhea-AI Summary

Golar LNG Limited has finalized its acquisition of New Fortress Energy Inc.'s 50% interest in FLNG Hilli, effective January 1, 2023. In exchange, Golar has transferred 4.1 million NFE shares, paid NFE $100 million in cash, and assumed $323 million of FLNG Hilli debt. This strategic move is part of Golar's broader operational plans. The announcement includes forward-looking statements that highlight potential risks and uncertainties affecting future performance. Golar emphasizes that actual outcomes may differ from expectations, advising caution in relying on these projections.

Positive

• Strategic acquisition of 50% interest in FLNG Hilli enhances Golar's operational footprint.
• Transfer of shares and cash strengthens Golar's asset base for future growth.

Negative

• Assumption of $323 million in debt may strain Golar's financial position.

Further to the announcement on February 6, 2023, Golar LNG Limited (“Golar”) is pleased to confirm today that the agreement to acquire New Fortress Energy Inc.’s (“NFE”) interest in FLNG Hilli, effective January 1, 2023, has closed. 

In return for NFE’s 50% Common Unit holding in Golar Hilli LLC, Golar has transferred its remaining 4.1 million NFE shares to NFE, paid NFE $100 million in cash, and assumed approximately $323 million of FLNG Hilli debt.

FORWARD LOOKING STATEMENTS

This press release contains forward-looking statements (as defined in Section 21E of the Securities Exchange Act of 1934, as amended) which reflects management’s current expectations, estimates and projections about its operations. All statements, other than statements of historical facts, that address activities and events that will, should, could or may occur in the future are forward-looking statements. Words such as “may,” “could,” “should,” “would,” “expect,” “plan,” “anticipate,” “intend,” “forecast,” “believe,” “estimate,” “predict,” “propose,” “potential,” “continue,” or the negative of these terms and similar expressions are intended to identify such forward-looking statements.

These statements are not guarantees of future performance and are subject to certain risks, uncertainties and other factors, some of which are beyond our control and are difficult to predict. Therefore, actual outcomes and results may differ materially from what is expressed or forecasted in such forward-looking statements. You should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. Golar LNG Limited undertakes no obligation to update publicly any forward-looking statements whether as a result of new information, future events or otherwise, unless required by applicable law.

Hamilton, Bermuda
March 15, 2023
Enquiries:
Golar Management Limited: + 44 207 063 7900
Karl Fredrik Staubo - CEO
Eduardo Maranhão - CFO
Stuart Buchanan - Head of Investor Relations

This information is subject to the disclosure requirements pursuant to Section 5-12 the Norwegian Securities Trading Act

FAQ

What is the significance of Golar's acquisition of FLNG Hilli from New Fortress Energy?

The acquisition strengthens Golar's operational capabilities in the LNG sector.

How much did Golar pay for the acquisition of FLNG Hilli?

Golar paid $100 million in cash and transferred 4.1 million shares to New Fortress Energy.

What are the financial implications of Golar assuming $323 million in debt?

Assuming this debt could create financial strain for Golar LNG, impacting shareholder value.

When did Golar LNG complete the acquisition deal?

The acquisition was finalized on March 15, 2023, with an effective date of January 1, 2023.