Page 8 - GLNG Week 22 2022

GLNG AMERICAS GLNG

NFE, Ebrasil sell shares in LNG-to-power

project to Eneva

INVESTMENT US-BASED New Fortress Energy (NFE) and its NFE stated.
Brazilian joint venture partner Ebrasil Energia Wes Edens, the chairman and CEO of NFE,
have agreed to sell the Porto do Sergipe thermal noted that the sale would not affect his compa-
power plant (TPP), the keystone of an LNG-to- ny’s operation of the floating storage and regasifi-
power project, to the privately-owned Brazilian cation unit (FSRU) that takes delivery of LNG for
company Eneva. the Porto do Sergipe TPP. “We look forward to
NFE announced the joint venture’s plans in maintaining a long-term relationship with Eneva
a statement dated June 2, saying that the part- and the CELSE power plant,” he said. “Eneva is
ners had entered into a definitive share purchase one of Brazil’s leading power companies and a
agreement with Eneva. The deal provides for highly capable long-term owner and operator
Eneva to pay BRL6.1bn ($1.27bn) in cash for of this critical power asset for north-east Brazil.
100% of shares in Centrais Elétricas de Sergipe NFE will continue to operate the Golar Nanook,
Participações (CELSEPAR), the owner of the a floating storage and regasification unit that
TPP’s equity assets, and 100% of shares in Cen- remains chartered to CELSE for the next 20
trais Elétricas Barra dos Coqueiros (CEBARRA), years.”
the owner of the right to add 1,700 MW of new Meanwhile, Pedro Zinner, the CEO of Eneva,
capacity to the plant at an adjacent site, for a stressed the advantages of making gas more
total implied enterprise value of BRL10.2bn widely available in the region. “CELSE will play
($2.13bn). a critical role for Eneva’s strategy going forward,”
“Pursuant to the terms of the transaction, he said. “With multiple options embedded and
Eneva will be assuming the current debt of Cen- a significant thermal power plant pipeline to be
trais Elétricas de Sergipe (CELSE), the 100% developed, it will allow Eneva to focus on what it
owned subsidiary of CELSEPAR,” the statement does best: developing new business opportuni-
noted. NFE is on track to net about $550mn from ties in Brazil, having the access to gas as a corner-
the deal following the paydown of certain debts, stone. This can be the beginning of a very fruitful
liabilities and transaction expenses, it added. and long-lasting relationship between two com-
The parties expect to close the transaction in panies which have complementary roles in the
the second half of this year, provided that they gas value chain.”
secure approval from Brazil’s anti-trust agency The TPP is located in Barra dos Coqueiros
CADE and other relevant government bodies, and has a generating capacity of 1,593 MW.™

P8 www. NEWSBASE .com Week 22 03•June•2022