GasLog drops down TFDE LNG carrier for $207m

Image courtesy of GasLog

GasLog Partners said Wednesday it will buy from its parent company GasLog Ltd. the 174,000-cbm GasLog Gibraltar LNG carrier for a purchase price of $207 million.

The tri-fuel diesel electric liquefied natural gas carrier built in 2016 is on a long-term time charter with a wholly owned unit of Shell through October 2023.

The acquisition is expected to close in the second quarter of 2018, according to a joint statement.

GasLog Partners expects that the LNG carrier would add approximately $22.4 million to EBITDA in the first 12 months after closing.

The two companies also agreed on a repayment of GasLog Partners’ $45 million unsecured term loan from GasLog.

The new credit facility accrues interest at a rate of 9.125% per annum with an annual 1.0% commitment fee on the undrawn balance, with scheduled maturity in March 2022, the statement said.