Höegh LNG has received commitment letters for a $230m debt financing for one of its FSRU newbuildings.
The facility comprises a 12-year export credit agency term loan of up to $150m backed by Garantiinstituttet for Eksportkreditt (GIEK) and Eksportkreditt of Norway, and a 5-year non-amortising commercial bank loan of up to $80m funded by ABN AMRO Bank, Danske Bank, Nordea and Swedbank.
The facility will be used to fund 65% of the delivered cost of the FSRU with no employment requirement, increasing to 75% upon securing long-term employment.
“With this transaction, Höegh LNG is executing on its financial strategy of diversifying funding sources, while obtaining a flexible and competitive debt financing structure that supports the Company’s growth strategy. The favourable financing terms reflects Höegh LNG’s strong balance sheet and track-record in securing and operating long-term FSRU contracts. We are very pleased with the excellent support we get from the leading ECAs and banks participating in this transaction,” said Sveinung J.S. Støhle, President & CEO of Höegh LNG.
Last week, Höegh LNG signed a MOU with Qatari shipowner Nakilat to explore collaboration in FSRUs.
