Flex LNG targets steel cutting for newbuilds in H2 2016

Flex LNG, the company controlled by billionaire John Fredriksen, said it could commence steel cutting on its two LNG carriers in the second half of 2016. 

The company posted a loss before tax of US$0.4 million for the first quarter of 2016 on Friday.

However, in its report, Flex LNG said it is currently pursuing a number of commercial opportunities and is nearing the completion of the plan approval for the two vessels.

In April 2016, the company agreed amended terms with Metrogas Holdings, a unit of Geveran Trading, to extend the working capital loan entered into in 2014. The facility has been increased from $7.0m to $14.5m, funds can be drawn half yearly as needed, the repayment date has been moved to April 2018.

The company expects the amended loan will cover the group’s working capital costs until delivery of the vessels under construction at Samsung Heavy Industries. The two LNG carriers are expected to be delivered in 2018.

LNG World News Staff