Teekay LNG Partners has bolstered its finances and chartering coverage in two developments announced late on Friday.
The US-listed company said it had refinanced its $225m senior unsecured revolver due in November, with a new two-year facility for the same amount.
The Mark Kremin-led shipowner said the new revolving credit facility has been priced consistent with the previous facility of Libor plus 140 bps.
It also said it had also agreed short-term extensions for two of its LNG carriers — the 165,500-cbm Arwa Spirit and Methane Spirit (both built 2008).
The 52%-owned gas carriers have been extended for 12 months and eight months respectively which are due to kick-in upon completion and in direct continuation of their existing contracts in May and July 2020, respectively.
Teekay LNG Partners said its LNG fleet is now “98% fixed though 2020 and 94% fixed for 2021”.
“The Partnership expects to continue to benefit from its long-term contracted cash flow, and continue allocating capital in a manner that focuses on delevering and strengthening its balance sheet,” Kremin said.
“We are also grateful for the continued strong support we receive from our bank group, as represented by the refinancing and closing of our $225m unsecured revolving credit facility with 13 major international banks.”
