Fri, Aug. 28, 11:46 AM
- Golar LNG (GLNG +5%) is upgraded to Buy from Hold with a $45 price target at Stifel, which notes that as the company continues progress toward finalizing multiple FLNG projects, each of which could be worth $10-$15/share, the firm estimates the sum of the parts at $45/share with material upside if more FLNG projects begin to solidify.
- Stifel reiterates its Buy rating on Golar LNG Partners (GMLP +4.3%) while lowering its target price to $29 from $33, as units trade at a compelling current yield of 13% with excellent cash flow protection and distribution visibility.
Wed, Aug. 26, 6:15 PM
Wed, Jul. 22, 9:14 AM
- Golar LNG (NASDAQ:GLNG) +1.9% premarket on news it has ordered a third floating liquefaction vessel based on its GoFLNG technology.
- The primary contract for the GoFLNG Gandria was entered into with Singapore's Keppel Shipyard, following previous deals for the GoFLNG Hilli and Gimi conversions.
- GLNG says it does not expect to raise any additional equity in connection with the $684M order.
Tue, Jul. 21, 2:58 PM
- Golar LNG (GLNG +4.8%) says it has secured up to $960M in financing for its GoFLNG unit Golar Hilli from a unit of China’s shipbuilding conglomerate China State Shipbuilding Corp.
- GLNG says the financing will fund up to 80% of the cost of the converting the Moss-type LNG carrier Hilli into a GoFLNG vessel at Singapore’s Keppel Shipyard.
- Once GLNG has spent $400M of the estimated $1.2B conversion cost, the company will be able to draw down up to $700M from the facility in the first phase of the financing; GLNG already has spent $385M on the conversion.
- Another $260M will be able to be drawn down in the second phase, which will be activated once the completed unit has been delivered from Keppel Shipyard and “certain additional performance milestones” have been satisfied.
Tue, Jul. 21, 10:32 AM
- The crash in oil prices is good for business for operators of the supertankers capable of hauling more than 2M barrels of crude around the world, such as Frontline (FRO +9.1%), Teekay Tankers (TNK +4.2%), Nordic American (NAT +2.6%), DHT Holdings (DHT +2.4%) and Euronav (EURN +1.5%), whose stocks have been moving up in recent weeks.
- The oil market rout that started in 2014 is a boon that could allow the companies to reduce debt, invest in new vessels and reward shareholders that have stuck with them through some very lean years, FT reports.
- Since the start of the year, the cost of hiring a VLCC has jumped more than 50%, with the rate for shipping oil from Saudi Arabia to Japan - the benchmark supertanker route - rising to $93.6K/day, a seven-year seasonal high.
- The supply of supertankers also has fallen sharply since 2008.
- Other related tickers: GLNG, GNRT, SFL, NAO, ASC, TOO, TK, TGP
Fri, Jul. 10, 5:40 PM
Wed, Jul. 1, 2:43 PM
- Golar LNG (GLNG -0.5%) gives back initial gains that followed its announcement late yesterday of a deal for a floating liquefied natural gas export project in Cameroon.
- GLNG says it expects the project will generate a profit of $170M-$300M for the company during its first year in operation, based on Brent crude prices of $60-$102/bbl.
- The new tolling agreement defines material commercial terms and conditions for the project and is subject to final approval by the two local partner companies as well as the Cameroon government, expected by the end of Q3.
Tue, Jun. 30, 5:36 PM
Tue, Jun. 16, 5:38 PM
Thu, May 28, 5:40 PM
Thu, May 28, 11:15 AM
- Despite crude oil’s rebound from six-year lows, the tanker market is sending a clear signal that the rally is under threat, according to a Bloomberg analysis.
- A surge in demand for supertankers drove benchmark charter rates 57% higher in the two weeks through May 20; OPEC will have almost 500M barrels of oil in transit to buyers at the start of June, the most this year, while analysts say ~20M barrels is being stored on ships in another indication the supply glut has yet to dissipate.
- Daily rates for supertankers on the industry’s benchmark route reached $83,412 on May 20, from $52,987 on May 6, according to the Baltic Exchange; while rates have since retreated to $65,784, they are still the highest for this time of year since at least 2008.
- "There still seems to be a lot of physical activity, a lot of oil on the water," says the head of research at Hartland Shipping in London; while Q2 is usually quieter as refineries switch to summer fuels for the Northern Hemisphere, “the market is still busy and rates are incredibly high.”
- Relevant tickers: FRO, TK, TNK, TOO, TGP, TNP, GLNG, STNG, NAT, DHT, EURN
Thu, May 28, 12:28 AM
Fri, May 15, 2:59 PM
- Rates for the world’s biggest oil tankers surged to the highest since January as shipments accelerated from Saudi Arabia and Iraq, Bloomberg reports.
- Ships hauling 2M-barrel cargoes of Saudi crude to Japan, a benchmark route, earned ~$81.5K/day, a 13% gain from Thursday and the highest for the time of year since at least 2009.
- Tanker rates rose on 15 out of 16 routes tracked by the Baltic Exchange, led by advances in prices from the Persian Gulf.
- Relevant tickers: FRO, TK, TNK, TOO, TGP, TNP, GLNG, NAT, DHT
Sat, May 9, 11:27 AM
- The broadly-defined shipping sector continues to be volatile over the impact of oil price fluctuations and concerns over carrier/tanker supply along with charter rates.
- The Baltic Dry Index stands at 574 vs. a 52-week trading range of 509 to 1,484.
- The Guggenheim Shipping ETF (NYSEARCA:SEA) is down 9.4% over the last 52 weeks, although it trades with smoother peaks and troughs than the underlying stocks in the fund.
- Analysts are convinced that some value picks exist in the sector, although consensus is tricky to find. A few rough screens are listed below (add your own in the comments).
- Best YTD performance: Navios Maritime (NYSE:NAP) +37%, Scorpio Bulkers (NYSE:SALT) +35%, Tsakos Energy (NYSE:TNP) +31%, Golar LNG (NASDAQ:GLNG) +28%.
- Lowest price-to book value: DryShips (NASDAQ:DRYS) 0.14, Safe Bulkers (NASDAQ:SBLK) 0.32, Scorpio Bulkers 0.33, Navios Maritime Holdings (NYSE:NM) 0.34, GasLog (NYSE:GLOG) 0.39.
- Lowest forward P/E ratio: Danaos (NYSE:DAC) 4.43, Tsakos Energy 7.15, Navios Maritime Acquisition (NYSE:NNA) 7.25, Dorian (NYSE:LPG) 7.43, Dry Ships 7.57.
- Dividend yield: Navios Maritime Partners (NYSE:NMM) 15.2%, Capital Product Partners (NASDAQ:CPLP) 10.8%, Ship Finance International (NYSE:SFL) 10.8%, Teekay Offshore Partners (NYSE:TOO) 9.7%, Dynagas LNG Partners (NYSE:DLNG) 8.8%.
- Other shipping stocks: PRGN, FRO, NAT, OSK, TNK, FREE, ESEA, TOPS, DSX, SHIP, NM.
Tue, May 5, 12:46 PM
Tue, May 5, 9:17 AM
GLNG vs. ETF Alternatives
Golar LNG Ltd is a midstream LNG company engaged in the transportation, regasification and liquefaction and trading of LNG. It is engaged in the acquisition, ownership, operation and chartering of LNG carriers.
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