Lithuania: Hoegh LNG Enters Charter Agreement with Klaipedos Nafta for FSRU

Höegh LNG has today entered into a ten year time charter for a floating LNG storage and regasification unit to be used as an LNG import terminal in Lithuania.

The agreement is subject to the approval of the shareholders of AB Klaipedos Nafta. The Lithuanian state owns 70.63% of Klaipedos Nafta’s shares.

Reference is made to Höegh LNG’s announcement on 23 January 2012, that the company had the winning tender offer for this project.

Höegh LNG intends to use the second of the three new regasification vessels being built at Hyundai Heavy Industries Ltd. in South Korea for this agreement, which will commence in the second half of 2014. The time charter is expected to give an EBITDA contribution of about USD 50 million per year.

Höegh LNG’s President and Chief Executive Officer, Sveinung Støhle, said in a comment: “We are delighted to have established a long-term relationship with Klaipedos Nafta and we look forward to operating the floating LNG regasification terminal in the Port of Klaipeda.”

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World Maritime News Staff, March 2, 2012; Image: Hoegh LNG