Golar, Keppel form strategic partnership

Golar LNG said that Golar GHK Lessor, a wholly owned subsidiary of the company, entered into a sale and purchase agreement under which a 10% interest in the total registered issued capital of Golar Hilli Corporation will be sold to KSI Production, an indirect wholly owned subsidiary of Keppel Corporation Limited.

Completion of the sale is subject to the receipt by Golar of the initial consideration. In connection with the sale, Golar GHK and Golar Hilli Corporation have also entered into a Shareholders Agreement with Keppel, which will take effect upon completion that governs the relationship between the parties with respect to the conduct of the business to be undertaken by Hilli. Under such agreement, Golar Hilli Corporation will issue cash calls on a pro rata basis to shareholders for future funding requirements for the construction, deployment, and commissioning of the world’s first floating liquefaction conversion vessel based on an anticipated budget limit of $1.3 billion including contingency.

Press Release, September 4, 2014; Image: Keppel