Hoegh LNG Signs USD 250 Million Credit Facility for Financing of Lithuania FSRU

Höegh LNG said it entered into a firm agreement with four banks for a USD 250 million corporate facility for the financing of the FSRU to be delivered for the Klaipedos Nafta FSRU project in Lithuania.

The four banks are DNB Bank ASA, Nordea Bank Norge ASA, Skandinaviska Enskilda Banken AB (publ) and Swedbank AB.

The Facility is 75% guaranteed by the Korean credit agency K-sure and the Norwegian credit agency GIEK. It has a tenor of 7 years and an overall profile of 16 years.

The interest rate will be swapped from floating to fixed for the length of the underlying commercial agreement and we expect the total fixed interest rate to come in at around 5%.

Höegh LNG’s President and Chief Executive Officer, Sveinung J. S. Støhle, said in a comment: “We are very pleased to have closed the financing of the Klaipedos Nafta FSRU with four of our Scandinavian core banks and having both Korean and Norwegian export credit agencies guaranteeing the Facility. This confirms and underlines Höegh LNG’s ability to raise long-term debt financing for its FSRU projects at competitive terms. We are also very pleased with the Klaipedos Nafta FSRU project being on schedule in all aspects for a planned start-up in Q3 2014“.

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LNG World News Staff, November 29, 2012; Image: Höegh LNG