Golar LNG Partners posts $15 million Q1 loss

Nasdaq-listed Golar LNG Partners, a limited partnership formed by Golar LNG, reported a net loss of $15 million for the first quarter of 2019.

This compares to a net loss of $19 million in the fourth quarter of 2018 and a $14.8 million profit in the corresponding quarter in 2018.

Total operating revenues including the Partnership’s effective share of operating revenues from FLNG Hilli Episeyo decreased from $106.0 million in the fourth quarter of 2018 to $95.9 million in the first quarter of 2019.

Of the $10.1 million decrease, $9.3 million is related to a reduction in revenue recognized in respect of the FSRU Golar Igloo as a result of its scheduled winter downtime, the Partnership said in its report.

Utilization of the LNG carrier Golar Mazo also fell from 100 percent in the fourth quarter to 56 percent in the quarter under review. Together with lower charter rates, this contributed to a $1.9 million reduction in revenues from this vessel.  Two fewer days in the quarter also negatively impacted revenue.

Mitigating these reductions was $2.0 million of commissioning hire billed from January 11 in respect of the FSRU Golar Freeze and an additional $1.4 million of revenue in respect of Methane Princess which was on hire throughout the quarter, having spent 20 days of the fourth quarter in scheduled drydock.

The Partnership added that despite more volatile near-term earnings in respect of carriers Golar Maria and Golar Mazo, a full quarter’s contribution to EBITDA from both FSRU Golar Igloo and FSRU Golar Freeze is expected to result in solid improvements to the second quarter.