Page 14 - GLNG Week 39 2021

GLNG NEWS IN BRIEF GLNG

ASIA does not prohibit the Partnership from paying Power Company, Incorporated (head office:
the current distributions to preferred and Fukuoka; president & CEO: Kazuhiro Ikebe),
Höegh LNG Partners common unitholders. Saibu Gas (head office: Fukuoka; president:
Yukinori Michinaga), and Nippon Yusen
As previously disclosed, the export credit
announces a deferral of tranche of the Lampung Facility matures in Kabushiki Kaisha (head office: Tokyo;
2026, but may be called if the commercial
president: Hitoshi Nagasawa) signed a
the maturity date of the tranche is not refinanced at its maturity date memorandum of understanding (MoU) for
and in accordance with the terms of the
joint discussions on the commercialisation
commercial tranche of the Lampung Facility. This clause continues to of a new business to supply liquefied natural
apply for the deferred maturity date.
gas (LNG) as a marine fuel to ships in the
PGN FSRU Lampung debt partnership more time to refinance the Setouchi and Kyushu areas of western Japan.
The deferred maturity date gives the
The International Maritime Organization
facility Lampung Facility. The partnership is (IMO) has agreed on an ambition to reduce
GHG emissions from shipping by at least
considering various options and expects
Höegh LNG Partners today announced that it that the terms of any refinancing, if the 50 percent by 2050 compared to 2008 and
has entered into an agreement with its lenders Partnership is successful in finalizing such GHG emissions from ships to zero as early as
to defer the maturity date of the commercial refinancing, are likely to be less favourable possible in this century. LNG fuel as a marine
tranche of its PGN FSRU Lampung debt than the terms of the existing Lampung fuel is expected to be a bridging solution
facility to allow for more time to conclude a Facility and the refinancing that was originally to next-generation zero-emission fuels
refinancing of this tranche. agreed and may potentially be dilutive to such as hydrogen and ammonia. Therefore,
The lenders have agreed to defer the unitholders, depending on the refinancing the parties have decided to examine the
maturity date of the commercial tranche from structure that will be adopted. commercialization of an LNG bunkering
September 29, 2021 until January 14, 2022. Notwithstanding the previously announced business in the Setouchi and Kyushu areas of
Subject to commitment letters and a term notice of arbitration served by the charterer western Japan, including marketing activities
sheet for a refinancing of the commercial on August 2, 2021, both parties have been to consumers such as Kyushu Electric Power
tranche being in place by December 29, 2021, continuing to perform their respective Company, Incorporated, for its LNG-
the maturity date will automatically be further obligations under the lease and maintenance fueled coal carriers, which are scheduled
deferred to March 29, 2022. agreement for the PGN FSRU Lampung. to be delivered in fiscal 2023, as well as the
The commercial tranche will continue to be HÖEGH LNG PARTNERS, September 29, 2021 construction and owning of LNG vessels
amortized at its current rate and there will be required for ship-to-ship supply.
a gradual step-up in the interest margin with Parties sign MoU for joint NIPPON YUSEN KABUSHIKI KAISHA, September
up to 235 basis points increase. As a condition 29, 2021
for the deferred maturity date, no shareholder discussions on ship-to-ship
loans may be repaid and no dividends may
be paid to the Partnership by the subsidiary LNG bunkering in Western EUROPE
borrowing under the Lampung Facility, PT
Hoegh LNG Lampung. As a consequence, Japan 2021 open season Adriatic
no cash flow from the PGN FSRU Lampung
will be available for the Partnership prior to Itochu Enex (head office: Tokyo; president LNG: Start of one of the
the deferred maturity date. This limitation and CEO: Kenji Okada ), Kyushu Electric
most important auctions

for operators interested in

the acquisition of long-term
LNG regasification capacity

in the Mediterranean

Adriatic LNG, the company that operates
the largest LNG regasification terminal and
the only one able to receive LNG carriers
up to 217,000 cm in Italy, located off the
Veneto coastline, started the 2021 open
season on September 24. By November 23,
interested operators can apply to take part in
auctions, scheduled from November 26 to end
December, by submitting their Declaration of
Interest and further documentation indicated
on Adriatic LNG website.
As a result of suggestions brought to

P14 www. NEWSBASE .com Week 39 01•October•2021