Bermuda: Golar LNG Revenues Climb

Golar LNG Limited reported consolidated net income of $44.7 million and consolidated operating income of $70.2 million for the three months ended September 30, 2012. Revenues in the third quarter were $121.1 million as compared to $107.0 million for the second quarter of 2012.

The increase is primarily as a result of a full quarter’s earnings contribution from NR Satu and Golar Viking whose new charters commenced during the second quarter and this is reflected in an improved average Time Charter Equivalent (TCE) rate for the third quarter at $98,473 per day compared to $97,118 for the second quarter.

As expected, operating costs in the third quarter at $19.4 million are higher than the second quarter at $17.8 million. This is mainly due to the NR Satu being operational throughout the quarter.

Following repayment of the long-term debt due to related parties in July and a small drop in LIBOR, net interest expense for the third quarter fell to $7.8 million from $8.5 million in the second quarter.

Other financial items decreased from a loss of $4.4 million in the second quarter to a third quarter loss of $3.2 million. This is mainly due to reduced negative mark-to-market valuation movements in respect of currency and interest rate swaps.

Tax expense is higher this quarter at $1.7 million compared to $0.4 million in the second quarter. This is due to tax provisions made in respect of the NR Satu, for which the Company is fully reimbursed by the charterer

[mappress]
LNG World News Staff, November 29, 2012