• |
Tremendous commercial headway in the Brazil market - Signed eight new sales agreements for 5.8mm Committed(1) gallons per day ('GPD') contributing to illustrative Total Segment Operating Margin goal(2) of $1.1Bn
|
o |
Norsk Hydro - Signed memorandum of understanding ('MOU') and negotiating for up to 1.0mm GPD Run Rate(3) long-term gas supply agreement for Alunorte refinery, co-located with our Barcarena Terminal
|
o |
Executed a Gas Sales Agreement with Industrial Customer in NE Brazil - up to 1.4mm GPD Run Rate(3) to be supplied from our Suape terminal
|
o |
Three small-scale LNG sales agreements signed totaling over 200k GPD at Barcarena and Santa Catarina
|
• |
Secured LNG supply for approximately 100% of our expected needs for our terminals and assets across the Caribbean, Mexico and Central America through 2027 at a price indexed to Henry Hub
|
• |
Significant volume growth - over 5.8 million Committed(1) GPD with over 12 million of In Discussion(4) GPD
|
• |
Signed five new direct sales customer agreements with an estimated 50k new GPD of Committed(1) Volumes
|
• |
Began commercial operations at the Port of Pichilingue in Baja California Sur, Mexico, expect to be fully Operational(5) in 60 days
|
• |
Nicaragua project is nearing completion and is expected to be Operational(5) in Q3 2021
|
• |
Our development projects in Barcarena, Suape and Santa Catarina are advancing on schedule and expected to be Operational(5) in Q1 2022
|
o |
Barcerena and Santa Catarina - Signed EPC contracts, obtained all permits and commenced construction
|
o |
Suape - LNTP to power plant EPC contractor issued
|
• |
NFE continues to make great progress on our Fast LNG asset which will help provide us with stable supply at rates well below the open market
|
o |
Actively engaging with gas suppliers around the globe to source long-term, fixed price feedstock
|
o |
Three world class jack up rigs purchased and transported to the Kiewit shipyard
|
o |
Maintaining the development timeline to commence operations in Q4 2022
|
• |
NFE closed on a $75mm letter of credit facility that allows us to both release restricted cash and more effectively use cash on hand
|
• |
We received approximately $100mm of proceeds on our first asset sale transaction
|
• |
We launched a ship financing facility at pricing of LIBOR + 300bps; we have $300mm of funding committed and expect to close in Q3 2021
|
• |
Our Board of Directors approved a dividend of $0.10 per share, with a record date of September 7, 2021 and a payment date of September 17, 2021
|
For the Three Months Ended,
| ||||||||
(in millions, except Average Volumes)
|
March 31,
2021
|
June 30,
2021
| ||||||
Revenues
|
$
|
145.7
|
$
|
223.8
| ||||
Net Loss
|
$
|
(39.5
|
)
|
$
|
(1.7
|
)
| ||
Terminals and Infrastructure Segment Operating Margin(6) |
$
|
32.8
|
$
|
55.4
| ||||
Ships Segment Operating Margin(6) |
-
|
$
|
75.6
| |||||
Total Segment Operating Margin(6) |
$
|
32.8
|
$
|
130.0
| ||||
Average Volumes (k GPD)
|
1,440
|
1,496
|
• |
Record quarterly revenue of $223.8 million, increasing $78.1 million since the first quarter
|
• |
Terminals and Infrastructure Segment Operating Margin (6) increased from the contribution of our effective share of revenue and costs of the Sergipe Power Plant
|
• |
Ships Segment Operating Margin(6) includes additional contribution from FSRUs and LNG carriers that are leased to customers under long-term or spot arrangements as well as our effective share of the revenue and costs of the Hilli subsequent to completion of the Hygo and GMLP acquisitions
|
• |
Average daily volumes sold in Q2 2021 were approximately 1,496k GPD
|
For the Three Months Ended
| ||||||||
March 31,
2021
|
June 30,
2021
| |||||||
Revenues
| ||||||||
Operating revenue
|
$
|
91,196
|
$
|
102,836
| ||||
Vessel charter revenue
|
-
|
64,561
| ||||||
Other revenue
|
54,488
|
56,442
| ||||||
Total revenues
|
145,684
|
223,839
| ||||||
Operating expenses
| ||||||||
Cost of sales
|
96,671
|
101,430
| ||||||
Vessel operating expenses
|
-
|
15,400
| ||||||
Operations and maintenance
|
16,252
|
18,565
| ||||||
Selling, general and administrative
|
45,181
|
44,536
| ||||||
Transaction and integration costs
|
-
|
29,152
| ||||||
Depreciation and amortization
|
9,890
|
26,997
| ||||||
Total operating expenses
|
167,994
|
236,080
| ||||||
Operating loss
|
(22,310
|
)
|
(12,241
|
)
| ||||
Interest expense
|
18,680
|
31,482
| ||||||
Other (income)
|
(604
|
)
|
(7,457
|
)
| ||||
Net loss before income from equity method investments and income taxes
|
(40,386
|
)
|
(36,266
|
)
| ||||
Income from equity method investments
|
-
|
38,941
| ||||||
Tax (benefit) provision
|
(877
|
)
|
4,409
| |||||
Net loss
|
(39,509
|
)
|
(1,734
|
)
| ||||
Net loss (income) attributable to non-controlling interest
|
1,606
|
(4,310
|
)
| |||||
Net loss attributable to stockholders
|
$
|
(37,903
|
)
|
$
|
(6,044
|
)
| ||
Net loss per share - basic and diluted
|
$
|
(0.21
|
)
|
$
|
(0.03
|
)
| ||
Weighted average number of shares outstanding - basic and diluted
|
176,500,576
|
202,331,304
|
Three Months Ended June 30, 2021
| ||||||||||||||||||||
(in thousands of $)
|
Terminals and
Infrastructure
⁽¹⁾
|
Ships ⁽²⁾
|
Total Segment
|
Eliminations ⁽³⁾
|
Consolidated
Reporting
| |||||||||||||||
Operating Margin
|
54,453
|
75,587
|
130,040
|
(41,596
|
)
|
88,444
| ||||||||||||||
Less:
| ||||||||||||||||||||
Selling, general and administrative
|
44,536
| |||||||||||||||||||
Transaction and integration costs
|
29,152
| |||||||||||||||||||
Depreciation and amortization
|
26,997
| |||||||||||||||||||
Interest expense
|
31,482
| |||||||||||||||||||
Other (income), net
|
(7,457
|
)
| ||||||||||||||||||
Tax provision
|
4,409
| |||||||||||||||||||
(Income) from equity method investments
|
(38,941
|
)
| ||||||||||||||||||
Net loss
|
(1,734
|
)
|
Three Months Ended March 31, 2021
| ||||||||||||||||||||
(in thousands of $)
|
Terminals and
Infrastructure
|
Ships
|
Total Segment
|
Eliminations
|
Consolidated
Reporting
| |||||||||||||||
Operating Margin
|
32,761
|
-
|
32,761
|
-
|
32,761
| |||||||||||||||
Less:
| ||||||||||||||||||||
Selling, general and administrative
|
45,181
| |||||||||||||||||||
Transaction and integration costs
|
-
| |||||||||||||||||||
Depreciation and amortization
|
9,890
| |||||||||||||||||||
Interest expense
|
18,680
| |||||||||||||||||||
Other (income), net
|
(604
|
)
| ||||||||||||||||||
Tax provision
|
(877
|
)
| ||||||||||||||||||
(Income) from equity method investments
|
-
| |||||||||||||||||||
Net loss
|
(39,509
|
)
|
June 30,
2021
|
December 31,
2020
| |||||||
Assets
| ||||||||
Current assets
| ||||||||
Cash and cash equivalents
|
$
|
143,138
|
$
|
601,522
| ||||
Restricted cash
|
57,353
|
12,814
| ||||||
Receivables, net of allowances of $90 and $98, respectively
|
121,962
|
76,544
| ||||||
Inventory
|
61,491
|
22,860
| ||||||
Prepaid expenses and other current assets, net
|
92,010
|
48,270
| ||||||
Total current assets
|
475,954
|
762,010
| ||||||
Restricted cash
|
29,827
|
15,000
| ||||||
Construction in progress
|
692,745
|
234,037
| ||||||
Property, plant and equipment, net
|
2,038,738
|
614,206
| ||||||
Equity method investments
|
1,312,072
|
-
| ||||||
Right-of-use assets
|
139,136
|
141,347
| ||||||
Intangible assets, net
|
225,668
|
46,102
| ||||||
Finance leases, net
|
606,108
|
7,044
| ||||||
Goodwill
|
748,602
|
-
| ||||||
Deferred tax assets, net
|
6,221
|
2,315
| ||||||
Other non-current assets, net
|
117,004
|
86,030
| ||||||
Total assets
|
$
|
6,392,075
|
$
|
1,908,091
| ||||
Liabilities
| ||||||||
Current liabilities
| ||||||||
Current portion of long-term debt
|
$
|
204,551
|
$
|
-
| ||||
Accounts payable
|
97,455
|
21,331
| ||||||
Accrued liabilities
|
192,723
|
90,352
| ||||||
Current lease liabilities
|
30,077
|
35,481
| ||||||
Due to affiliates
|
6,060
|
8,980
| ||||||
Other current liabilities
|
104,598
|
35,006
| ||||||
Total current liabilities
|
635,464
|
191,150
| ||||||
Long-term debt
|
3,326,303
|
1,239,561
| ||||||
Non-current lease liabilities
|
89,673
|
84,323
| ||||||
Deferred tax liabilities, net
|
293,073
|
2,330
| ||||||
Other long-term liabilities
|
45,643
|
15,641
| ||||||
Total liabilities
|
4,390,156
|
1,533,005
| ||||||
Commitments and contingencies
| ||||||||
Stockholders' equity
| ||||||||
Class A common stock, $0.01 par value, 750.0 million shares authorized, 206.7 million issued and outstanding as of June 30, 2021; 174.6 million issued and outstanding as of December 31, 2020
|
2,060
|
1,746
| ||||||
Additional paid-in capital
|
1,932,318
|
594,534
| ||||||
Accumulated deficit
|
(273,450
|
)
|
(229,503
|
)
| ||||
Accumulated other comprehensive income
|
101,422
|
182
| ||||||
Total stockholders' equity attributable to NFE
|
1,762,350
|
366,959
| ||||||
Non-controlling interest
|
239,569
|
8,127
| ||||||
Total stockholders' equity
|
2,001,919
|
375,086
| ||||||
Total liabilities and stockholders' equity
|
$
|
6,392,075
|
$
|
1,908,091
|
Three months ended June 30,
|
Six months ended June 30,
| |||||||||||||||
2021
|
2020
|
2021
|
2020
| |||||||||||||
Revenues
| ||||||||||||||||
Operating revenue
|
$
|
102,836
|
$
|
76,177
|
$
|
194,032
|
$
|
139,679
| ||||||||
Vessel charter revenue
|
64,561
|
-
|
64,561
|
-
| ||||||||||||
Other revenue
|
56,442
|
18,389
|
110,930
|
29,417
| ||||||||||||
Total revenues
|
223,839
|
94,566
|
369,523
|
169,096
| ||||||||||||
Operating expenses
| ||||||||||||||||
Cost of sales
|
101,430
|
69,899
|
198,101
|
138,115
| ||||||||||||
Vessel operating expenses
|
15,400
|
-
|
15,400
|
-
| ||||||||||||
Operations and maintenance
|
18,565
|
9,500
|
34,816
|
17,983
| ||||||||||||
Selling, general and administrative
|
44,536
|
31,846
|
78,152
|
60,216
| ||||||||||||
Transaction and integration costs
|
29,152
|
-
|
40,716
|
-
| ||||||||||||
Contract termination charges and loss on mitigation sales
|
-
|
123,906
|
-
|
124,114
| ||||||||||||
Depreciation and amortization
|
26,997
|
7,620
|
36,886
|
12,874
| ||||||||||||
Total operating expenses
|
236,080
|
242,771
|
404,071
|
353,302
| ||||||||||||
Operating loss
|
(12,241
|
)
|
(148,205
|
)
|
(34,548
|
)
|
(184,206
|
)
| ||||||||
Interest expense
|
31,482
|
17,198
|
50,162
|
31,088
| ||||||||||||
Other (income) expense, net
|
(7,457
|
)
|
999
|
(8,058
|
)
|
1,610
| ||||||||||
Loss on extinguishment of debt, net
|
-
|
-
|
-
|
9,557
| ||||||||||||
Net loss before income equity method investments and income taxes
|
(36,266
|
)
|
(166,402
|
)
|
(76,652
|
)
|
(226,461
|
)
| ||||||||
Income from equity method investments
|
38,941
|
-
|
38,941
|
-
| ||||||||||||
Tax provision
|
4,409
|
117
|
3,532
|
113
| ||||||||||||
Net loss
|
(1,734
|
)
|
(166,519
|
)
|
(41,243
|
)
|
(226,574
|
)
| ||||||||
Net (income) loss attributable to non-controlling interest
|
(4,310
|
)
|
29,094
|
(2,704
|
)
|
80,851
| ||||||||||
Net loss attributable to stockholders
|
$
|
(6,044
|
)
|
$
|
(137,425
|
)
|
$
|
(43,947
|
)
|
$
|
(145,723
|
)
| ||||
Net loss per share - basic and diluted
|
$
|
(0.03
|
)
|
$
|
(2.40
|
)
|
$
|
(0.23
|
)
|
$
|
(3.49
|
)
| ||||
Weighted average number of shares outstanding - basic and diluted
|
202,331,304
|
57,341,215
|
189,885,473
|
41,771,849
|
Six Months Ended June 30,
| ||||||||
2021
|
2020
| |||||||
Cash flows from operating activities
| ||||||||
Net loss
|
$
|
(41,243
|
)
|
$
|
(226,574
|
)
| ||
Adjustments for:
| ||||||||
Amortization of deferred financing costs and debt guarantees, net
|
(6,290
|
)
|
6,965
| |||||
Depreciation and amortization
|
37,462
|
13,324
| ||||||
(Earnings) losses of equity method investees
|
(38,941
|
)
|
-
| |||||
Dividends received from equity method investees
|
7,386
|
-
| ||||||
Sales-type lease payments received in excess of interest income
|
2,388
|
-
| ||||||
Change in market value of derivatives
|
(7,073
|
)
|
(294
|
)
| ||||
Contract termination charges and loss on mitigation sales
|
-
|
124,114
| ||||||
Loss on extinguishment and financing expenses
|
-
|
9,557
| ||||||
Deferred taxes
|
2,447
|
15
| ||||||
Change in value of Investment of equity securities
|
(88
|
)
|
2,217
| |||||
Share-based compensation
|
3,383
|
4,430
| ||||||
Other
|
275
|
1,201
| ||||||
Changes in operating assets and liabilities, net of acquisitions:
| ||||||||
(Increase) in receivables
|
(38,018
|
)
|
(9,214
|
)
| ||||
(Increase) in inventories
|
(35,458
|
)
|
(4,794
|
)
| ||||
Decrease (Increase) in other assets
|
3,679
|
(9,446
|
)
| |||||
Decrease in right-of-use assets
|
2,072
|
17,781
| ||||||
Increase in accounts payable/accrued liabilities
|
24,732
|
13,655
| ||||||
(Decrease) in amounts due to affiliates
|
(2,919
|
)
|
(3,666
|
)
| ||||
Increase (Decrease) in lease liabilities
|
133
|
(19,873
|
)
| |||||
(Decrease) Increase in other liabilities
|
(25,279
|
)
|
279
| |||||
Net cash used in operating activities
|
(111,352
|
)
|
(80,323
|
)
| ||||
Cash flows from investing activities
| ||||||||
Capital expenditures
|
(235,324
|
)
|
(95,422
|
)
| ||||
Cash paid for business combinations, net of cash acquired
|
(1,586,042
|
)
|
-
| |||||
Entities acquired in asset acquisitions, net of cash acquired
|
(8,817
|
)
|
-
| |||||
Other investing activities
|
(750
|
)
|
78
| |||||
Net cash used in investing activities
|
(1,830,933
|
)
|
(95,344
|
)
| ||||
Cash flows from financing activities
| ||||||||
Proceeds from borrowings of debt
|
1,652,500
|
832,144
| ||||||
Payment of deferred financing costs
|
(20,989
|
)
|
(13,600
|
)
| ||||
Repayment of debt
|
(15,864
|
)
|
(506,402
|
)
| ||||
Payments related to tax withholdings for share-based compensation
|
(29,717
|
)
|
(6,117
|
)
| ||||
Payment of dividends
|
(41,346
|
)
|
-
| |||||
Net cash provided by financing activities
|
1,544,584
|
306,025
| ||||||
Impact of changes in foreign exchange rates on cash and cash equivalents
|
(1,317
|
)
|
-
| |||||
Net (decrease) increase in cash, cash equivalents and restricted cash
|
(399,018
|
)
|
130,358
| |||||
Cash, cash equivalents and restricted cash - beginning of period
|
629,336
|
93,035
| ||||||
Cash, cash equivalents and restricted cash - end of period
|
$
|
230,318
|
$
|
223,393
| ||||
Supplemental disclosure of non-cash investing and financing activities:
| ||||||||
Changes in accounts payable and accrued liabilities associated with construction in progress and property, plant and equipment additions
|
$
|
85,513
|
$
|
(3,084
|
)
| |||
Liabilities associated with consideration paid for entities acquired in asset acquisitions
|
9,959
|
-
| ||||||
Consideration paid in shares for business combinations
|
1,400,784
|
-
|
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Disclaimer
New Fortress Energy LLC published this content on 05 August 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 05 August 2021 10:45:10 UTC.