Norway’s Höegh LNG has made some dramatic moves due to the uncertain business environment caused by the coronavirus.
The board has decided to suspend dividends in full until further notice as well as suspending bonus schemes for executive management and onshore personnel.
The company has also implemented a cost saving plan targeting savings of $9m to $11m, with a special focus on overhead and vessel operating costs including the elimination of bonuses, deferring costs, scheduled maintenance and projects.
Additionally, chairman of the board Morten Høegh and director Leif Høegh have waived their board remuneration for 2019, payable in 2020, and Morten Høegh has also waived his board remuneration payable by Höegh LNG Partners.
Sveinung Støhle, CEO & president of Höegh LNG, commented: “As reported on 24 March 2020, Höegh LNG’s operations and business development activities are running close to normal. However, the Covid-19 virus crisis is unprecedented in scale and uncertainty, and therefore the board and management are taking steps to preserve both the liquidity and solidity of Höegh LNG through these challenging times.”