Page 12 - GLNG Week 18

GLNG
NEWS IN BRIEF
GLNG
years – closing around $0.32 per mmBtu over the June TTF contract on May 5.
This comes after LNG buyers in both Asia and Europe were reported to have cancelled the loading of up to 25 cargoes from the US in June in response to a glut of supply and depressed demand. Given the structure of US LNG offtake contracts, it is generally cheaper to cancel cargoes from US terminals. And with it becoming even cheaper to source cargoes from other regions on the spot market, cancellations of US cargoes could accelerate.
US gas for the summer has been trading over some European and Asian hubs for weeks, Reuters noted. It added, however, that most US LNG had already been sold forward years in advance to utilities, so some US cargoes would still go to Europe and Asia.
Stabilis Energy announces first-quarter 2020 results
Stabilis Energy today reported its financial results for its first quarter ended March 31, 2020.
For the first quarter ended March 31, 2020, Stabilis reported revenues of $13.8mn, an 11% increase from the quarter ended December 31, 2019 (“preceding quarter”) primarily
due to higher LNG volumes sold and higher equipment rental revenues associated with utility activity. Revenues from Stabilis’ LNG segment increased by $2.1mn (20%) in the current quarter on a 27% increase in gallons delivered. The company delivered 11.95mn LNG gallons to customers in the quarter, an all-time high. Utilisation of the George West liquefier improved to 74% in the current quarter versus 64% in the preceding quarter.
Adjusted earnings before interest, taxes, depreciation and amortisation (adjusted EBITDA) decreased to $1.5mn in the current quarter, a $0.7mn decrease from the preceding quarter primarily due to the impact of COVID-19 on our Chinese joint venture’s first quarter operations. Net loss for the current quarter increased to $1.1mn compared to a
net loss of $0.6mn in the preceding quarter. Revenues in the current quarter increased $0.9mn (7%) compared to the quarter ended
March 31, 2019 primarily due to the closing of the company’s business combination with American Electric Technologies (AETI) subsequent to the prior year quarter. LNG segment revenues decreased by $0.4mn primarily due to lower average natural gas prices and reduced activity levels with several customers. Utilisation of the George West liquefier improved to 74% in the current quarter versus 58% in the prior year quarter.
Adjusted EBITDA in the current quarter decreased by $0.8mn (34%) to $1.5mn due to additional expenses from the consolidation of AETI, partially offset by improved gross margins in the LNG business. Net loss for the current quarter increased by $0.5mn compared to the prior year quarter.
Cash on hand at the end of the current quarter was $3.2mn compared to $1.3mn at the end of the prior year quarter.
STABILIS ENERGY, May 06, 2020
Tellurian reports first- quarter 2020 results
Tellurian continues to build its integrated global natural gas business. Notable Tellurian achievements during the first quarter of 2020 and thereafter: Reduced corporate overhead to approximately $6mn per month to begin in June;
Raised $50mn in gross proceeds through issuance of $56mn zero coupon, unsecured notes in April 2020;
Amended 2019 Term Loan, reducing the principal balance by $22.1mn and extending its maturity to November 2021;
President and CEO Meg Gentle said, “Tellurian has taken actions to strengthen our balance sheet in the midst of extreme energy and financial market conditions. We have streamlined the organisation and arranged
a $50mn financing. We are lean, resolved, and focused on delivering our first project, Driftwood LNG.”
Tellurian ended its first quarter of 2020
with approximately $55.5mn in cash and cash equivalents and approximately $128.6mn
in long-term debt. Tellurian’s balance sheet consisted of approximately $364.3mn
in assets. Proforma for the financing transactions which were completed in April, Tellurian would have ended the quarter with approximately $100.7mn in cash and cash equivalents, approximately $167.5mn in long- term debt, and approximately $409.5mn in assets.
Tellurian reported a net loss of approximately $40.7mn, or $0.18 per share (basic and diluted), for the three months ended March 31, 2020.
TELLURIAN, May 04, 2020
USA’s second busiest
container hub, port of Long
Beach, joins SEA-LNG
Today SEA-LNG welcomes the Port of Long Beach, the USA’s second busiest container port, to its growing membership. The Port of Long Beach is the third North American port to join the coalition and brings SEA- LNG’s count of port members to a total of seven among the top twenty global ports; strategically placed along major trade lanes traversing Asia, Europe and the Middle East.
Speaking on the addition Peter Keller, chairman, SEA-LNG, said: “The Port of Long Beach’s leadership team is highly respected in the industry for its progressive approach to serving its stakeholders, and I am delighted that we will be working closely with them
to promote LNG as a marine fuel. LNG continues to be the best option to improve living standards while minimising impacts on the environment.
“Ports are critical links in the bunker supply chain and we are excited that the
Port of Long Beach has joined the coalition
to drive forward our vision of a competitive global LNG value chain for a cleaner maritime shipping towards 2050.”
The Port of Long Beach is the second- busiest seaport for container traffic in the United States, handling trade valued at more than $200 billion annually. The port has made dramatic reductions to its local NOx, SOx and diesel particulate emissions since 2005. Its Green Ship Incentive Programme
— established as part of the Clean Air Action Plan in collaboration with the Port of Los Angeles — offers financial incentives for ships with the newest engines or an equivalent NOx-reducing technology.
“We are known in the trans-Pacific trade for our top-notch customer service and
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Week 18 08•May•2020