Teekay LNG Purchases 50% Interest in Two EXMAR LNG Carriers (Belgium)

EXMAR is pleased to announce that the definitive agreements related to the transaction between EXMAR and Teekay LNG Partners communicated on 7 October and 28 October have been finalised.

Teekay purchases a 50% interest in two of EXMAR’s LNG carriers: EXCELSIOR (2005-built LNGRV) and EXCALIBUR (2002-built conventional LNG) with an economic date of 1 September 2010.

Both vessels are longterm time-chartered to Excelerate Energy. EXMAR will remain responsible for the management and operations of the vessels.

The transaction will generate a profit of approximately USD 52 million. Net cash consideration for the sale will amount to approximately USD 70 million, split in USD 35 million cash and approximately 1,050,000 TGP common units.

In addition the transaction will reduce EXMAR’s indebtedness by more than USD 104 million.

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Source: EXMAR, November 8, 2010