NFE, Petrobras seal Brazilian FSRU charter deal

US LNG firm New Fortress Energy has executed a definitive deal to charter the 138,250-cbm FSRU Energos Winter from Brazil’s state-owned energy firm Petrobras starting in December 2023.

Wes Edens-led NFE said it will immediately deploy the FSRU to Terminal Gas Sul (TGS), the company’s newest LNG import terminal in Santa Catarina, Brazil which will start commercial operations “ahead of schedule” in January 2024.

The FSRU will be sub-chartered by NFE through the remaining term of the Petrobras charter with Energos infrastructure and then direct-chartered by NFE on a long-term basis with Energos, it said.

This will enable NFE to start commercial operations at TGS in January 2024 and continue uninterrupted service on a long-term basis, NFE noted.

“We are extremely pleased to reach this agreement with Petrobras and begin operations at the TGS terminal in Santa Catarina, Brazil ahead of schedule in January 2024,” Andrew Dete, managing director of NFE, said.

“The TGS terminal is a unique, high-growth opportunity for NFE, as connection to the pipeline system in south Brazil offers a diverse and near-term set of opportunities across power and gas supply,” Dete said.

NFE said last year that it expected to complete the Santa Catarina terminal in the fourth quarter of 2022 and to start operations in 2023.

The facility worth about $500 million will have a capacity of 3 mtpa.

JV with Apollo

Delivered in 2004 as an LNG carrier, this chartered FSRU, previously known as Golar Winter, was retrofitted in 2009.

Energos Infrastructure, the owner of Energos Winter, is owned 80 percent by funds managed by Apollo and 20 percent by NFE.

Last year, NFE and compatriot asset manager Apollo completed the formation of the joint venture worth about $2 billion.

The JV owns and operates six FSRUs, two LNG carriers, and three floating storage units which were previously owned by NFE.

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