Excelerate to deploy FSRU in Argentina before German job

Excelerate Energy’s FSRU Excelsior will first provide seasonal regasification service at the Bahia Blanca terminal in Argentina before heading to Germany later this year to start a five-year contract.

In October last year, Excelerate signed a charter deal with Germany for the 2005-built 138,000-cbm FSRU.

The vessel will serve the second FSRU-based facility in Wilhelmshaven being developed by E.ON, TES, and Engie.

US floating LNG player Excelerate said in its 2022 results report on Monday that the charter hire for the FSRU started in February this year.

However, the FSRU will be temporarily deployed to provide seasonal regasification service at the Bahia Blanca GasPort terminal in Argentina before returning to the German charter in the third quarter of 2023, it said.

Excelerate won a seasonal charter contract this month for the FSRU to deliver regasfied LNG during the winter season (June-August) in Argentina.

The US firm said that the FSRU will be placed on a suspension agreement while it is temporarily deployed to Bahia Blanca.

“Immediately after the Argentina winter season, the Excelsior will resume its original charter with the German government,” it said.

According to its AIS data, the vessel was on Tuesday located offshore Cadiz, Spain.

“Exceptional” financial performance

Excelerate will have two FSRUs employed in Europe this year as the company’s 150,900-cbm FSRU Exemplar is already serving its charter with Gasgrid at the Inkoo terminal in Finland.

The company currently operates operates ten FSRUs, one of the world’s largest fleets of such vessels, and it ordered one FSRU in South Korea last year.

Excelerate also plans to exercise an option to buy the 2020-built FSRU Sequoia from Greece’s Maran Gas Maritime.

In addition, the firm recently signed its first long-term deal to buy LNG from Venture Global LNG.

Excelerate reported a net income of $80 million and a revenue of $2.47 billion for the full year 2022, compared to $41.2 million and $888.6 million, respectively, in the previous year.

For the year, adjusted Ebitda and adjusted Ebitdar increased to $294.9 million and $331.1 million, respectively.

The company expects adjusted Ebitda to range between $320 million and $340 million in 2023.

“We delivered an exceptional financial performance for the year while navigating one of the most severe global energy market disruptions in recent times,” Excelearate’s CEO Steven Kobos said.

Kobos said that the company would continue to capitalize on near-term growth catalysts, fueled by the increased demand for LNG.

“We will evaluate opportunities to scale our business over the long-term to drive greater value for shareholders and customers,” he said.

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