Höegh Grace. Photo credit: Höegh LNG (image for illustration purposes only)

Höegh LNG, an owner and operator of floating LNG import terminals (FSRUs) and LNG carriers, has sealed a deal to refinance two FSRUs both employed on long-term contracts in Germany, for a total amount of USD 685 million.

The company with a statement is informing that in order to refinance Höegh Esperanza and Hoegh Gannet, two ships with long-term contracts in Germany, Höegh LNG has signed a new loan facility agreement with a group of banks. The new loan facility arrangement has a tenor of 10 years, and a total sum of USD 685 million.

The loan amount will be applied to repay the existing loan facilities and general corporate use. The facility is split in two tranches, one per vessel.

Höegh LNG anticipates finishing the refinancing of Höegh Esperanza in February, provided the customary closing criteria are met.

The refinancing of Hoegh Gannet is expected to be completed March/April, depending on having successfully completed its commissioning for regas operations in Germany, as the company says today.

“We are very pleased with securing an attractive, long-term financing for these two FSRUs with a strong group of international banks” said Håvard Furu, the Chief Financial Officer of Höegh LNG.