Core Insights - Golar LNG Limited has signed a 20-year FLNG deployment agreement in Argentina, indicating strong progress in expanding its FLNG opportunities [1] - The company reported a Q2 2024 net income of $26 million and an Adjusted EBITDA of $59 million, with a backlog of approximately $11 billion [1][14] - Golar and bp have entered into commercial reset arrangements for FLNG Gimi, which is expected to release liquidity of up to $0.5 billion [1][3] Financial Performance - Q2 2024 net income attributable to Golar was $25.9 million, a significant increase from a loss of $4.5 million in Q2 2023 [14] - Total operating revenues for Q2 2024 were $64.7 million, down 17% from $77.5 million in Q2 2023 [14] - Adjusted EBITDA for Q2 2024 was $58.7 million, a decrease of 29% compared to $82.8 million in Q2 2023 [14] Operational Highlights - FLNG Hilli Episeyo generated $69 million of Q2 Distributable Adjusted EBITDA, with Golar's share being $64 million, consistent with Q1 2024 [2] - The cumulative production of FLNG Hilli Episeyo has surpassed 8 million tons, maintaining a market-leading operational track record [1] - Golar expects to receive approximately $220 million in pre-COD compensation for FLNG Gimi across 2024 and 2025, including milestone bonuses [3] Strategic Developments - Golar and Pan American Energy have entered into definitive agreements for a 20-year FLNG deployment project in Argentina, expected to commence LNG exports by 2027 [7] - The FLNG Hilli Episeyo is expected to generate an annual Adjusted EBITDA of approximately $300 million, assuming 90% capacity utilization [8] - Golar is progressing with the development of a 3.5mtpa MKII FLNG, with long lead items already 63% complete [11] Liquidity and Debt Management - As of June 30, 2024, Golar's total cash was $604 million, with a share of contractual debt amounting to $1.198 billion [22] - The refinancing of the existing FLNG Gimi debt facility is in the credit approval process, which is expected to improve liquidity [6] - Golar's Adjusted Net Debt as of June 30, 2024, was $594 million after accounting for total cash [22]

Three energy stocks may achieve significant breakthroughs in 2024 based on their robust financial health and strategic advantages. This article highlights three energy stocks with strong fundamentals, making them prime candidates for such breakthroughs. Operating in high-demand areas like liquefied natural gas (LNG) transportation, these companies are poised to benefit from the global shift toward cleaner energy. Consistent revenue and EBITDA performance in this space underline their potential as LNG trade ...

FLEX LNG (FLNG) is scheduled to release second-quarter 2024 earnings results on Aug 14. The shipping company's earnings surpassed the Zacks Consensus Estimate in three of the last four quarters and missed on the remaining occasion, the average beat being 7.1%. The Zacks Consensus Estimate for the to-be-reported quarter's earnings is pegged at 47 cents per share. The metric has remained stable in the past 60 days. The bottom-line projection indicates a year-over-year contraction of 9.6%. Against this backdro ...

Golar LNG Ltd. ("Golar"), and bp, as Operator of the Greater Tortue-Ahmeyim LNG Project, have executed agreements to implement a commercial reset for FLNG Gimi. The commercial reset agreement simplifies contractual cash flows and settles previous disputes related to payment mechanisms for pre-commercial operations date ("Pre-COD") contractual cash flows. Golar and bp have agreed an updated schedule of daily payments until the Commercial Operations Date ("COD"). The daily payments have step-up mechanisms bas ...

Financial Data and Key Metrics Changes - Revenues for Q1 2024 were reported at $90.2 million, aligning with guidance of approximately $90 million [15][21] - Net income was $33.2 million, resulting in earnings per share of $0.62, while adjusted net income was $37.9 million, leading to adjusted earnings per share of $0.70 [16][50] - Operating expenses for the quarter were lower at $16.7 million, attributed to timing effects of expense recognition [49] Business Line Data and Key Metrics Changes - The company added significant backlog this year, with contracts extending for two ships, Flex Resolute and Flex Courageous, for a total of three years plus options [3][9] - Average charter rates are expected to be around $72,000 to $74,000, with revenues anticipated to be close to $85 million for Q2 [5][20] Market Data and Key Metrics Changes - The U.S. has become the largest LNG exporter, with 29 million tons exported in the first four months of the year [29] - European LNG imports are lagging 20% behind last year due to high storage levels, while demand in Asia, particularly from emerging markets, is increasing [56][60] - Spot LNG prices in Europe are stabilizing around $11 to $12, with spot LNG being cheaper than contracted LNG [31][58] Company Strategy and Development Direction - The company is focused on maintaining a strong financial position to support dividend payments, with a declared dividend of $0.75 per share [6][46] - The management is cautious about the market outlook, indicating a preference for securing contracts rather than speculative newbuilds [101][110] - The company aims to leverage its cash reserves for potential investments while maintaining flexibility in its financial strategy [92][109] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about future earnings growth, anticipating a rebound in revenues and earnings in Q3 and Q4 as all ships return to operation [105] - The management noted that the current high interest rate environment is expected to change, potentially leading to lower interest costs in the future [92] - The company is monitoring the LNG market closely, particularly the impact of geopolitical factors on supply and demand dynamics [62][66] Other Important Information - The company reported a 7% reduction in emissions compared to 2022, highlighting its commitment to sustainability [28] - The company has a strong cash position of $383 million and no debt maturities until 2028, providing a solid foundation for future operations [27][53] Q&A Session Summary Question: What are the decision factors for the Board regarding dividends? - The Board considers earnings, contract portfolio, and cash reserves when making decisions about dividends, indicating a sustainable dividend level based on adjusted earnings [91][106] Question: What is the impact of the closure of the Strait of Hormuz on the LNG market? - While the closure would have significant implications for LNG exports, the probability of such an event is considered low due to the economic consequences involved [62][64] Question: How does the company view the current state of the LNG market? - The company sees a shift in demand towards Asia, with emerging markets increasing their LNG imports, while Europe is pulling back due to high storage levels [56][60]

A summary of our financial highlights for the quarter are below: May 23, 2024 May 23, 2024 - Hamilton, Bermuda Flex LNG Ltd. ("we", "us", "our", "Flex LNG", or the "Company") today announced its unaudited financial results for the three months ended March 31, 2024. Highlights: Interim Financial Information Flex LNG Ltd. First Quarter 2024 (1) Time Charter Equivalent rate, Adjusted EBITDA, Adjusted net income/(loss) and Adjusted earnings/(loss) per share are non-GAAP measures. A reconciliation to the most di ...

HAMILTON, Bermuda, May 8, 2024 /PRNewswire/ -- Flex LNG, Ltd. ("Flex LNG" or the "Company") (OSE/NYSE: FLNG) is pleased to announce a new Time Charter agreement with a large Asian LNG importer, for the vessel, Flex Constellation. The Time Charter commenced on May 7 with a minimum period of 312 days i.e. until end of first quarter of 2025. The charterer has the option to extend the charter by an additional one-year period until end of first quarter 2026. Flex Constellation is a large 173,400 cbm LNG carrier ...

SHanscheNote: I previously covered FLEX LNG (NYSE:FLNG) in February. I extensively discussed the LNG market and LNG carrier propulsion systems (steamers vs. MEGA/MEGI and X-DF). I reviewed FLNG fleet specifications (age and propulsion), discussed the company’s financials, and estimated its value. FLNG has a top-notch fleet of ships fitted with last-generation engines, while keeping liquidity to service its debts and operations. FLNG distributes dividends with an attractive yield above 10%. My conclusion ...

HAMILTON, Bermuda, April 12, 2024 /PRNewswire/ -- Flex LNG, Ltd. ("Flex LNG" or the "Company") (OSE/NYSE: FLNG) is pleased to announce that the charterer of Flex Endeavour has exercised an option to extend the firm period of the Time Charter by 500 days, from the third quarter 2030 to the first quarter of 2032. As announced on November 23, 2022, in connection with the extension of three ships, the charterer has one further option to extend the Time Charter period by one additional year to 2033. Øystein Kall ...

There are multiple reasons dividend stocks are the first choice for many investors. First, these stocks provide regular cash flows that serve as a passive income source. Further, dividend stocks, in general, are low-beta and provide stability to the portfolio. It’s a bonus for investors if there are undervalued dividend stocks to buy. Once the valuation gap is filled, total returns can be robust.This column discusses three undervalued dividend stocks that have been sideways to lower in the last 12 months. C ...