Norway’s Höegh LNG Holdings has received commitment letters for a $177m million debt financing for one of its FSRU newbuildings.
The FSRU is currently under construction at South Korean yard Hyundai Heavy Indusitries and is scheduled to be delivered in the fourth quarter of this year.
The facility comprises a 12-year tranche of $132m guaranteed by South Korean export credit agency K-SURE and a five-year non-amortising commercial bank tranche of $45m. The facility will fund 65% of the delivered cost of the FSRU based on a 16-year blended amortization profile.
“Höegh LNG continues to diversify its funding sources while obtaining competitive debt financing that is supportive of the company’s commercial strategy. We are very pleased with K -SURE’s support on this transaction and to extend our lending group with one new bank. We also appreciate very much the continued strong support from core banks,” said Sveinung Støhle, president & CEO of Höegh LNG.
Currently Höegh LNG has another FSRU under contruction at Samsung Heavy Industries, with delivery scheduled in 2019.