PAGE | |||||
Financial Statements (Unaudited) | |||||
Exhibit Number | Description | |||||||
101.INS | XBRL Instance Document - the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document | |||||||
101.SCH | XBRL Taxonomy Extension Schema | |||||||
101.CAL | XBRL Taxonomy Extension Calculation Linkbase | |||||||
101.DEF | XBRL Taxonomy Extension Definition Linkbase | |||||||
101.LAB | XBRL Taxonomy Extension Label Linkbase | |||||||
101.PRE | XBRL Taxonomy Extension Presentation Linkbase |
GOLAR LNG PARTNERS LP | |||||||||||
Date: | November 30, 2020 | By: | /s/ Karl Fredrik Staubo | ||||||||
Name: | Karl Fredrik Staubo | ||||||||||
Title: | Chief Executive Officer |
Three Months Ended September 30, 2020 | Three Months Ended September 30, 2019 | |||||||||||||||||||||||||||||||
(in thousands of $) | FSRU | LNG Carrier | FLNG | Elimination(1) | Consolidated Reporting | FSRU | LNG Carrier | FLNG | Elimination(1) | Consolidated Reporting | ||||||||||||||||||||||
Total operating revenues | $ | 58,276 | $ | 12,837 | $ | 26,018 | $ | (26,018) | $ | 71,113 | $ | 63,490 | $ | 12,328 | $ | 26,018 | $ | (26,018) | $ | 75,818 | ||||||||||||
Vessel operating expenses | (9,627) | (4,388) | (6,048) | 6,048 | (14,015) | (9,542) | (5,198) | (5,686) | 5,686 | (14,740) | ||||||||||||||||||||||
Voyage and commission expenses | (1,450) | (121) | — | — | (1,571) | (1,002) | (683) | — | — | (1,685) | ||||||||||||||||||||||
Administrative expenses(2) | (2,093) | (1,334) | (121) | 121 | (3,427) | (1,870) | (1,240) | (223) | 223 | (3,110) | ||||||||||||||||||||||
Amount invoiced under sales-type lease | 4,600 | — | — | (4,600) | — | 4,600 | — | — | (4,600) | — | ||||||||||||||||||||||
Adjusted EBITDA | $ | 49,706 | $ | 6,994 | $ | 19,849 | $ | (24,449) | $ | 52,100 | $ | 55,676 | $ | 5,207 | $ | 20,109 | $ | (24,709) | $ | 56,283 |
Three Months Ended September 30, | |||||||||||||||||||||||
2020 | 2019 | $ Change | % Change | ||||||||||||||||||||
Statement of Operations Data: | ( in thousands of $ except Average Daily TCE(3)) | ||||||||||||||||||||||
Total operating revenues | $ | 58,276 | $ | 63,490 | $ | (5,214) | (8) | % | |||||||||||||||
Vessel operating expenses | (9,627) | (9,542) | (85) | 1 | % | ||||||||||||||||||
Voyage and commission expenses | (1,450) | (1,002) | (448) | 45 | % | ||||||||||||||||||
Administrative expenses | (2,093) | (1,870) | (223) | 12 | % | ||||||||||||||||||
Amount invoiced under sales-type lease | 4,600 | 4,600 | — | — | % | ||||||||||||||||||
FSRU Adjusted EBITDA | $ | 49,706 | $ | 55,676 | $ | (5,970) | (11) | % | |||||||||||||||
Other Financial Data: | |||||||||||||||||||||||
Average daily TCE(3) (to the closest $100) | $ | 133,500 | $ | 145,800 | $ | (12,300) | (8) | % | |||||||||||||||
Three Months Ended September 30, | |||||||||||||||||||||||
2020 | 2019 | $ Change | % Change | ||||||||||||||||||||
Statement of Operations Data: | ( in thousands of $ except Average Daily TCE(3)) | ||||||||||||||||||||||
Total operating revenues | $ | 12,837 | $ | 12,328 | $ | 509 | 4 | % | |||||||||||||||
Vessel operating expenses | (4,388) | (5,198) | 810 | (16) | % | ||||||||||||||||||
Voyage and commission expenses | (121) | (683) | 562 | (82) | % | ||||||||||||||||||
Administrative expenses | (1,334) | (1,240) | (94) | 8 | % | ||||||||||||||||||
LNG carrier Adjusted EBITDA | $ | 6,994 | $ | 5,207 | $ | 1,787 | 34 | % | |||||||||||||||
Other Financial Data: | |||||||||||||||||||||||
Average daily TCE(3) (to the closest $100) | $ | 46,100 | $ | 31,600 | $ | 14,500 | 46 | % | |||||||||||||||
Three Months Ended September 30, | |||||||||||||||||||||||
2020 | 2019 | $ Change | % Change | ||||||||||||||||||||
Statement of Operations Data: | (in thousands of $) | ||||||||||||||||||||||
Total operating revenues | $ | 26,018 | $ | 26,018 | $ | — | — | % | |||||||||||||||
Vessel operating expenses | (6,048) | (5,686) | (362) | 6 | % | ||||||||||||||||||
Administrative expenses | (121) | (223) | 102 | (46) | % | ||||||||||||||||||
FLNG Adjusted EBITDA | $ | 19,849 | $ | 20,109 | $ | (260) | (1) | % | |||||||||||||||
Three Months Ended September 30, | |||||||||||||||||||||||
2020 | 2019 | $ Change | % Change | ||||||||||||||||||||
(in thousands of $) | |||||||||||||||||||||||
Other non-operating income | $ | 167 | $ | — | $ | 167 | 100 | % | |||||||||||||||
Depreciation and amortization | (19,983) | (20,380) | 397 | (2) | % | ||||||||||||||||||
Administrative expenses | (3,427) | (3,110) | (317) | 10 | % | ||||||||||||||||||
Interest income | 4,203 | 4,990 | (787) | (16) | % | ||||||||||||||||||
Interest expense | (17,805) | (19,764) | 1,959 | (10) | % | ||||||||||||||||||
Losses on derivative instruments, net | (1,051) | (9,937) | 8,886 | (89) | % | ||||||||||||||||||
Other financial items, net | (29) | 541 | (570) | (105) | % | ||||||||||||||||||
Income taxes | (4,437) | (4,817) | 380 | (8) | % | ||||||||||||||||||
Net loss/(income) attributable to non-controlling interests | 918 | (173) | 1,091 | (631) | % |
Three Months Ended September 30, | |||||||||||||||||||||||
(in thousands of $) | 2020 | 2019 | $ Change | % Change | |||||||||||||||||||
Mark-to-market gains/(losses) for interest rate swaps | $ | 4,768 | $ | (10,860) | $ | 15,628 | (144) | % | |||||||||||||||
Net realized interest (expense)/income on undesignated interest rate swaps | (5,819) | 923 | (6,742) | (730) | % | ||||||||||||||||||
Total | $ | (1,051) | $ | (9,937) | $ | 8,886 | (89) | % |
Three Months Ended September 30, | |||||||||||||||||||||||
(in thousands of $) | 2020 | 2019 | $ Change | % Change | |||||||||||||||||||
Amortization of Partnership Guarantee | $ | 436 | $ | 510 | $ | (74) | (15) | % | |||||||||||||||
Foreign exchange (losses)/gains on finance lease obligation and related restricted cash | (256) | 249 | (505) | (203) | % | ||||||||||||||||||
Foreign exchange losses on operations | (53) | (15) | (38) | 253 | % | ||||||||||||||||||
Financing arrangement fees and other costs | (156) | (203) | 47 | (23) | % | ||||||||||||||||||
Total | $ | (29) | $ | 541 | $ | (570) | (105) | % |
Nine Months Ended September 30, 2020 | Nine Months Ended September 30, 2019 | |||||||||||||||||||||||||||||||
(dollars in thousands) | FSRU | LNG Carrier | FLNG | Elimination(1) | Consolidated Reporting | FSRU | LNG Carrier | FLNG | Elimination(1) | Consolidated Reporting | ||||||||||||||||||||||
Total operating revenues | $ | 170,750 | $ | 42,292 | $ | 78,054 | $ | (78,054) | $ | 213,042 | $ | 181,719 | $ | 41,370 | $ | 78,054 | $ | (78,054) | $ | 223,089 | ||||||||||||
Vessel operating expenses | (29,647) | (13,571) | (17,662) | 17,662 | (43,218) | (31,405) | (15,058) | (17,802) | 17,802 | (46,463) | ||||||||||||||||||||||
Voyage and commission expenses | (3,698) | (2,416) | — | — | (6,114) | (3,236) | (1,928) | (230) | 230 | (5,164) | ||||||||||||||||||||||
Administrative expenses(2) | (6,926) | (4,131) | (373) | 373 | (11,057) | (6,194) | (4,033) | (730) | 730 | (10,227) | ||||||||||||||||||||||
Amount invoiced under sales-type lease | 13,700 | — | — | (13,700) | — | 6,900 | — | — | (6,900) | — | ||||||||||||||||||||||
Adjusted EBITDA | $ | 144,179 | $ | 22,174 | $ | 60,019 | $ | (73,719) | $ | 152,653 | $ | 147,784 | $ | 20,351 | $ | 59,292 | $ | (66,192) | $ | 161,235 |
Nine Months Ended September 30, | |||||||||||||||||||||||
2020 | 2019 | $ Change | % Change | ||||||||||||||||||||
Statement of Operations Data: | (dollars in thousands except Average Daily TCE(3)) | ||||||||||||||||||||||
Total operating revenues | $ | 170,750 | $ | 181,719 | $ | (10,969) | (6) | % | |||||||||||||||
Vessel operating expenses | (29,647) | (31,405) | 1,758 | (6) | % | ||||||||||||||||||
Voyage and commission expenses | (3,698) | (3,236) | (462) | 14 | % | ||||||||||||||||||
Administrative expenses | (6,926) | (6,194) | (732) | 12 | % | ||||||||||||||||||
Amount invoiced under sales-type lease | 13,700 | 6,900 | 6,800 | 99 | % | ||||||||||||||||||
FSRU Adjusted EBITDA | $ | 144,179 | $ | 147,784 | $ | (3,605) | (2) | % | |||||||||||||||
Other Financial Data: | |||||||||||||||||||||||
Average daily TCE(3) (to the closest $100) | $ | 136,600 | $ | 140,400 | $ | (3,800) | (3) | % | |||||||||||||||
Nine Months Ended September 30, | |||||||||||||||||||||||
2020 | 2019 | $ Change | % Change | ||||||||||||||||||||
Statement of Operations Data: | (dollars in thousands except Average Daily TCE(3)) | ||||||||||||||||||||||
Total operating revenues | $ | 42,292 | $ | 41,370 | $ | 922 | 2 | % | |||||||||||||||
Vessel operating expenses | (13,571) | (15,058) | 1,487 | (10) | % | ||||||||||||||||||
Voyage and commission expenses | (2,416) | (1,928) | (488) | 25 | % | ||||||||||||||||||
Administrative expenses | (4,131) | (4,033) | (98) | 2 | % | ||||||||||||||||||
LNG carrier Adjusted EBITDA | $ | 22,174 | $ | 20,351 | $ | 1,823 | 9 | % | |||||||||||||||
Other Financial Data: | |||||||||||||||||||||||
Average daily TCE(3) (to the closest $100) | $ | 41,700 | $ | 36,300 | $ | 5,400 | 15 | % | |||||||||||||||
Nine Months Ended September 30, | |||||||||||||||||||||||
2020 | 2019 | $ Change | % Change | ||||||||||||||||||||
Statement of Operations Data: | (dollars in thousands) | ||||||||||||||||||||||
Total operating revenues | $ | 78,054 | $ | 78,054 | $ | — | — | % | |||||||||||||||
Vessel operating expenses | (17,662) | (17,802) | 140 | (1) | % | ||||||||||||||||||
Voyage and commission expenses | — | (230) | 230 | (100) | % | ||||||||||||||||||
Administrative expenses | (373) | (730) | 357 | (49) | % | ||||||||||||||||||
FLNG Adjusted EBITDA | $ | 60,019 | $ | 59,292 | $ | 727 | 1 | % |
Nine Months Ended September 30, | |||||||||||||||||||||||
2020 | 2019 | $ Change | % Change | ||||||||||||||||||||
(dollars in thousands) | |||||||||||||||||||||||
Other non-operating income | $ | 495 | $ | 4,195 | $ | (3,700) | (88) | % | |||||||||||||||
Depreciation and amortization | (59,992) | (63,188) | 3,196 | (5) | % | ||||||||||||||||||
Administrative expenses | (11,057) | (10,227) | (830) | 8 | % | ||||||||||||||||||
Interest income | 13,308 | 8,474 | 4,834 | 57 | % | ||||||||||||||||||
Interest expense | (52,415) | (61,236) | 8,821 | (14) | % | ||||||||||||||||||
Losses on derivative instruments, net | (52,358) | (48,406) | (3,952) | 8 | % | ||||||||||||||||||
Other financial items, net | 998 | 757 | 241 | 32 | % | ||||||||||||||||||
Taxes | (13,185) | (15,032) | 1,847 | (12) | % | ||||||||||||||||||
Net loss/(income) attributable to non-controlling interests | 976 | (2,162) | 3,138 | (145) | % |
Nine Months Ended September 30, | |||||||||||||||||||||||
(in thousands of $) | 2020 | 2019 | $ Change | % Change | |||||||||||||||||||
Mark-to-market losses for interest rate swaps | $ | (41,918) | $ | (53,836) | $ | 11,918 | (22) | % | |||||||||||||||
Net realized interest (expense) / income on un-designated interest rate swaps | (10,441) | 5,430 | (15,871) | (292) | % | ||||||||||||||||||
Total | $ | (52,359) | $ | (48,406) | $ | (3,953) | 8 | % |
Nine Months Ended September 30, | |||||||||||||||||||||||
(in thousands of $) | 2020 | 2019 | $ Change | % Change | |||||||||||||||||||
Amortization of Partnership Guarantee | $ | 1,357 | $ | 1,579 | $ | (222) | (14) | % | |||||||||||||||
Foreign exchange gains / (losses) on finance lease obligation and related restricted cash | 263 | (351) | 614 | (175) | % | ||||||||||||||||||
Foreign exchange losses on operations | (280) | (23) | (257) | 1,117 | % | ||||||||||||||||||
Financing arrangement fees and other costs | (342) | (448) | 106 | (24) | % | ||||||||||||||||||
Total | $ | 998 | $ | 757 | $ | 241 | 32 | % |
Nine Months Ended September 30, | |||||||||||||||||||||||
(in thousands of $) | 2020 | 2019 | $ Change | % Change | |||||||||||||||||||
Net cash provided by operating activities | $ | 109,716 | $ | 112,204 | $ | (2,488) | (2) | % | |||||||||||||||
Net cash provided by/(used in) investing activities | 4,003 | (9,841) | 13,844 | (141) | % | ||||||||||||||||||
Net cash used in financing activities | (117,327) | (136,160) | 18,833 | (14) | % | ||||||||||||||||||
Effect of exchange rate changes on cash, cash equivalents and restricted cash | (2,877) | (4,637) | 1,760 | (38) | % | ||||||||||||||||||
Net decrease in cash, cash equivalents and restricted cash | (6,485) | (38,434) | 31,949 | (83) | % | ||||||||||||||||||
Cash, cash equivalents and restricted cash at beginning of period | 229,922 | 269,092 | (39,170) | (15) | % | ||||||||||||||||||
Cash, cash equivalents and restricted cash at end of period | $ | 223,437 | $ | 230,658 | $ | (7,221) | (3) | % |
(in thousands of $) | September 30, 2020 | December 31, 2019 | |||||||||
$800 million credit facility | $ | 529,000 | $ | 568,000 | |||||||
2017 Norwegian Bonds (1) | 246,561 | 250,000 | |||||||||
2015 Norwegian Bonds (1) | 146,456 | 150,000 | |||||||||
NR Satu facility | 63,050 | 74,113 | |||||||||
Eskimo SPV debt | 167,449 | 180,831 | |||||||||
Total debt | $ | 1,152,516 | $ | 1,222,944 | |||||||
Less: deferred financing costs | (6,527) | (6,011) | |||||||||
Net debt | $ | 1,145,989 | $ | 1,216,933 |
(in thousands of $) | September 30, 2020 | December 31, 2019 | |||||||||
Finance lease liability | $ | 118,206 | $ | 122,779 | |||||||
Less: Restricted cash deposit | (112,403) | (114,676) | |||||||||
Net finance lease obligation | $ | 5,803 | $ | 8,103 |
(in millions of $) | Total Obligation | Due in the remainder of 2020 | Due in 2021-2022 | Due in 2023-2024 | Due Thereafter | ||||||||||||||||||||||||
Long-term debt(1) | $ | 1,165.3 | $ | 29.5 | $ | 995.4 | $ | 25.7 | $ | 114.7 | |||||||||||||||||||
Interest commitments on long-term debt - floating and other interest rate swaps (2) | 153.2 | 14.7 | 98.6 | 30.2 | 9.7 | ||||||||||||||||||||||||
Finance lease obligations, net (2)(3) | 118.2 | 0.5 | 5.2 | 7.2 | 105.3 | ||||||||||||||||||||||||
Total | $ | 1,436.7 | $ | 44.7 | $ | 1,099.2 | $ | 63.1 | $ | 229.7 |
FSRU Segment | LNG Carrier Segment | ||||||||||||||||||||||
Three Months Ended September 30, | Three Months Ended September 30, | ||||||||||||||||||||||
(in thousands of $, except number of days and average daily TCE) | 2020 | 2019 | 2020 | 2019 | |||||||||||||||||||
Total operating revenues | $ | 58,276 | $ | 63,490 | $ | 12,837 | $ | 12,328 | |||||||||||||||
Amount invoiced under sales-type lease (1) | 4,600 | 4,600 | — | — | |||||||||||||||||||
Voyage and commission expenses | (1,450) | (1,002) | (121) | (683) | |||||||||||||||||||
61,426 | 67,088 | 12,716 | 11,645 | ||||||||||||||||||||
Calendar days less scheduled off-hire days | 460 | 460 | 276 | 368 | |||||||||||||||||||
Average daily TCE (to the closest $100) | $ | 133,500 | $ | 145,800 | $ | 46,100 | $ | 31,600 | |||||||||||||||
FSRU Segment | LNG Carrier Segment | ||||||||||||||||||||||
Nine Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||
(in thousands of $, except number of days and average daily TCE) | 2020 | 2019 | 2020 | 2019 | |||||||||||||||||||
Total operating revenues | $ | 170,750 | $ | 181,719 | $ | 42,292 | $ | 41,370 | |||||||||||||||
Amount invoiced under sales-type lease (1) | 13,700 | 6,900 | — | — | |||||||||||||||||||
Voyage and commission expenses | (3,698) | (3,236) | (2,416) | (1,928) | |||||||||||||||||||
180,752 | 185,383 | 39,876 | 39,442 | ||||||||||||||||||||
Calendar days less scheduled off-hire days | 1,323 | 1,320 | 957 | 1,086 | |||||||||||||||||||
Average daily TCE (to the closest $100) | $ | 136,600 | $ | 140,400 | $ | 41,700 | $ | 36,300 |
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||
(in thousands of $, except per unit amounts) | Notes | 2020 | 2019 | 2020 | 2019 | ||||||||||||
Time charter revenues | 5 | ||||||||||||||||
Total operating revenues | |||||||||||||||||
Vessel operating expenses | 5 | ( | ( | ( | ( | ||||||||||||
Voyage and commission expenses | 5 | ( | ( | ( | ( | ||||||||||||
Administrative expenses | 5 | ( | ( | ( | ( | ||||||||||||
Depreciation and amortization | ( | ( | ( | ( | |||||||||||||
Total operating expenses | ( | ( | ( | ( | |||||||||||||
Operating income | |||||||||||||||||
Other non-operating income | |||||||||||||||||
Financial (expense)/income | |||||||||||||||||
Interest income | 12 | ||||||||||||||||
Interest expense | ( | ( | ( | ( | |||||||||||||
Losses on derivative instruments, net | 6 | ( | ( | ( | ( | ||||||||||||
Other financial items, net | 6 | ( | |||||||||||||||
Net financial expenses | ( | ( | ( | ( | |||||||||||||
Income before tax, equity in net earnings of affiliate and non-controlling interests | |||||||||||||||||
Income taxes | 7 | ( | ( | ( | ( | ||||||||||||
Equity in net earnings of affiliate | 9 | ||||||||||||||||
Net income/(loss) | ( | ( | |||||||||||||||
Other comprehensive income | |||||||||||||||||
Net comprehensive income/(loss) | ( | ( | |||||||||||||||
Attributable to: | |||||||||||||||||
Non-controlling interests | ( | ( | |||||||||||||||
Golar LNG Partners LP Owners | ( | ( | |||||||||||||||
General partner's interest in net income/(loss) | ( | ( | |||||||||||||||
Preferred unitholders’ interest in net income | |||||||||||||||||
Common unitholders’ interest in net income/(loss) | ( | ( | |||||||||||||||
Earnings/(loss) per unit | |||||||||||||||||
Common unit (basic and diluted) | 16 | $ | $ | $ | ( | $ | ( | ||||||||||
Cash distributions paid per common unit in the period | $ | $ | $ | $ | |||||||||||||
Cash distributions declared per common unit in the period | $ | $ | $ | $ |
September 30, | December 31, | ||||||||||
(in thousands of $) | Note | 2020 | 2019 | ||||||||
Unaudited | Audited | ||||||||||
ASSETS | |||||||||||
Current Assets | |||||||||||
Cash and cash equivalents | |||||||||||
Restricted cash and short-term deposits | |||||||||||
Current portion of investment in leased vessel, net | 12 | ||||||||||
Amounts due from related parties | 14 | ||||||||||
Inventories | |||||||||||
Other current assets | 10 | ||||||||||
Total Current Assets | |||||||||||
Non-current Assets | |||||||||||
Restricted cash | |||||||||||
Investment in affiliate | 9 | ||||||||||
Vessels and equipment, net | |||||||||||
Vessel under finance lease, net | |||||||||||
Investment in leased vessel, net | 12 | ||||||||||
Intangible assets, net | |||||||||||
Other non-current assets | |||||||||||
Total Assets | |||||||||||
LIABILITIES AND EQUITY | |||||||||||
Current Liabilities | |||||||||||
Current portion of long-term debt | 11 | ||||||||||
Current portion of obligation under finance lease | |||||||||||
Amounts due to related parties | 14 | ||||||||||
Other current liabilities | |||||||||||
Total Current Liabilities | |||||||||||
Non-current Liabilities | |||||||||||
Long-term debt | 11 | ||||||||||
Obligation under finance lease | |||||||||||
Other non-current liabilities | |||||||||||
Total Liabilities | |||||||||||
Equity | |||||||||||
Partners' capital: | |||||||||||
Common unitholders | |||||||||||
Preferred unitholders | |||||||||||
General partner interest | |||||||||||
Total Partners' capital | |||||||||||
Non-controlling interests | |||||||||||
Total Equity | |||||||||||
Total Liabilities and Equity |
Nine Months Ended September 30, | |||||||||||
(in thousands of $) | Notes | 2020 | 2019 | ||||||||
OPERATING ACTIVITIES | |||||||||||
Net loss | ( | ( | |||||||||
Adjustments to reconcile net loss to net cash provided by operating activities: | |||||||||||
Depreciation and amortization | |||||||||||
Equity in net earnings of affiliate | ( | ( | |||||||||
Deferred tax expense | 7 | ||||||||||
Amortization of deferred charges and Partnership Guarantee | |||||||||||
Drydocking expenditure | ( | ( | |||||||||
Foreign exchange (gain)/losses | ( | ||||||||||
Unit options expense | |||||||||||
Dividends received from affiliate | |||||||||||
Interest element included in obligation under finance lease, net | |||||||||||
Gain on recognition of net investment in leased vessel | 12 | ( | |||||||||
Sales-type lease payments received in excess of interest income | 12 | ||||||||||
Movement in credit allowance on financial assets | ( | ||||||||||
Change in mark-to-market value of derivatives | |||||||||||
Change in assets and liabilities: | |||||||||||
Trade accounts receivable | |||||||||||
Inventories | ( | ||||||||||
Other current assets and other non-current assets | ( | ||||||||||
Amounts due to related parties | |||||||||||
Trade accounts payable | ( | ||||||||||
Accrued expenses | |||||||||||
Other current and non-current liabilities | ( | ||||||||||
Net cash provided by operating activities | |||||||||||
INVESTING ACTIVITIES | |||||||||||
Additions to vessels and equipment | ( | ( | |||||||||
Dividends received from affiliate | |||||||||||
Acquisition of investment in affiliate from Golar | ( | ||||||||||
Net cash provided by/(used in) investing activities | ( | ||||||||||
FINANCING ACTIVITIES | |||||||||||
Repayment of debt (including related parties) | ( | ( | |||||||||
Proceeds from debt (including related parties) | |||||||||||
Repayments of obligation under finance lease | ( | ( | |||||||||
Advances from related party for Methane Princess lease security deposit | |||||||||||
Cash distributions paid | ( | ( | |||||||||
Financing costs paid | ( | ||||||||||
Common units buy-back and cancelled | ( | ||||||||||
Net cash used in financing activities | ( | ( |
Effect of exchange rate changes on cash, cash equivalents and restricted cash | ( | ( | |||||||||
Net decrease in cash, cash equivalents and restricted cash (1) | ( | ( | |||||||||
Cash, cash equivalents and restricted cash at beginning of period (1) (2) | |||||||||||
Cash, cash equivalents and restricted cash at end of period (1) (2) |
September 30, | December 31, | September 30, | December 31, | |||||||||||
(in thousands of $) | 2020 | 2019 | 2019 | 2018 | ||||||||||
Cash and cash equivalents | ||||||||||||||
Restricted cash and short-term deposits | ||||||||||||||
Restricted cash - non-current | ||||||||||||||
Three Months Ended September 30, 2019 | ||||||||||||||||||||
(in thousands of $) | Partners’ capital | Total Before Non-Controlling Interest | Non-Controlling Interest | Total Equity | ||||||||||||||||
Preferred units | Common Units | General Partner Units and IDRs (1) | ||||||||||||||||||
Consolidated balance at June 30, 2019 | ||||||||||||||||||||
Net income | ||||||||||||||||||||
Cash distributions | ( | ( | ( | ( | — | ( | ||||||||||||||
Unit options expense | — | — | — | |||||||||||||||||
Common units acquired and cancelled | — | ( | — | ( | — | ( | ||||||||||||||
Consolidated balance at September 30, 2019 |
Nine Months Ended September 30, 2019 | ||||||||||||||||||||
(in thousands of $) | Partners’ capital | Total Before Non-Controlling Interest | Non-Controlling Interest | Total Equity | ||||||||||||||||
Preferred units | Common Units | General Partner Units and IDRs (1) | ||||||||||||||||||
Consolidated balance at December 31, 2018 | ||||||||||||||||||||
Net income/(loss) | ( | ( | ( | ( | ||||||||||||||||
Cash distributions | ( | ( | ( | ( | — | ( | ||||||||||||||
Unit options expense | — | — | — | |||||||||||||||||
Common units acquired and cancelled | — | ( | — | ( | — | ( | ||||||||||||||
Consolidated balance at September 30, 2019 |
Three Months Ended September 30, 2020 | ||||||||||||||||||||
(in thousands of $) | Partners’ capital | Total Before Non-Controlling Interest | Non-Controlling Interest | Total Equity | ||||||||||||||||
Preferred Units | Common Units | General Partner Units and IDRs (1) | ||||||||||||||||||
Consolidated balance at June 30, 2020 | ||||||||||||||||||||
Net income/(loss) | ( | |||||||||||||||||||
Cash distributions | ( | ( | ( | ( | — | ( | ||||||||||||||
Units options expense | — | — | — | |||||||||||||||||
Consolidated balance at September 30, 2020 |
Nine Months Ended September 30, 2020 | ||||||||||||||||||||
(in thousands of $) | Partners’ capital | Total Before Non-Controlling Interest | Non-Controlling Interest | Total Equity | ||||||||||||||||
Preferred Units | Common Units | General Partner Units and IDRs (1) | ||||||||||||||||||
Consolidated balance at December 31, 2019 | ||||||||||||||||||||
Opening adjustment (2) | — | ( | ( | ( | — | ( | ||||||||||||||
Balance at January 1, 2020 | ||||||||||||||||||||
Net income/(loss) | ( | ( | ( | ( | ( | |||||||||||||||
Cash distributions | ( | ( | ( | ( | — | ( | ||||||||||||||
Units options expense | — | — | — | |||||||||||||||||
Consolidated balance at September 30, 2020 |
Standard | Description | Date of Adoption | Effect on our Consolidated Financial Statements or Other Significant Matters | ||||||||
ASU 2019-12 Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes. | The amendment removes certain exceptions previously available and provides some additional calculation rules to help simplify the accounting for income taxes. | January 1, 2021 | No impacts are expected as a result of the adoption of this ASU. | ||||||||
ASU 2020-04 Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting. | The amendments provide temporary optional expedients and exceptions for applying U.S. GAAP to contracts, hedging relationships, and other transactions affected by reference rate reform if certain criteria are met. The applicable expedients for us are in relation to modifications of contracts within the scope of Topic 310, Receivables, Topic 470, Debt, and Topic 842, Leases. This optional guidance may be applied prospectively from any date beginning March 12, 2020 and cannot be applied to modifications that occur after December 31, 2022. | Under evaluation | Under evaluation | ||||||||
ASU 2020-06 Debt with equity and other options (Topic 470) and contracts in Entity’s Own Equity (Topic 815). | The amendments simplify the issuer’s accounting for convertible instruments and its application of the equity classification guidance. The new guidance eliminates some of the existing models for assessing convertible instruments, which results in more instruments being recognized as a single unit of account on the balance sheet and expands disclosure requirements. The new guidance simplifies the assessment of contracts in an entity’s own equity and existing EPS guidance in ASC 260. | Under evaluation | No impacts are expected as a result of the adoption of this ASU. |
Vessel | Effective from | Sales value (in $ millions) | Subsequent repurchase option (in $ millions) | Subsequent repurchase option date | Repurchase obligation at end of lease term (in $ millions) | End of lease term | ||||||||||||||
Golar Eskimo | November 2015 | November 2020 | November 2025 |
(in thousands of $) | 2020(1) | 2021 | 2022 | 2023 | 2024 | After 2024 | ||||||||||||||
Golar Eskimo* |
(in thousands of $) | September 30, 2020 | December 31, 2019 | ||||||
Liabilities | ||||||||
Short-term debt | ||||||||
Long-term debt |
Three Months Ended September 30, 2020 | |||||||||||||||||||||||
(in thousands of $) | FSRU(1) | LNG Carrier | FLNG(2) | Unallocated(3) | Total Segment Reporting | Elimination(4) | Consolidated Reporting | ||||||||||||||||
Statement of operations: | |||||||||||||||||||||||
Total operating revenues | ( | ||||||||||||||||||||||
Vessel operating expenses | ( | ( | ( | ( | ( | ||||||||||||||||||
Voyage and commission expenses | ( | ( | ( | ( | |||||||||||||||||||
Administrative expenses(5) | ( | ( | ( | ( | ( | ||||||||||||||||||
Amount invoiced under sales-type lease | ( | ||||||||||||||||||||||
Adjusted EBITDA | ( | ||||||||||||||||||||||
Balance sheet (at end of period): | |||||||||||||||||||||||
Total assets (6) | |||||||||||||||||||||||
Nine Months Ended September 30, 2020 | |||||||||||||||||||||||
(in thousands of $) | FSRU(1) | LNG Carrier | FLNG(2) | Unallocated(3) | Total Segment Reporting | Elimination(4) | Consolidated Reporting | ||||||||||||||||
Statement of operations: | |||||||||||||||||||||||
Total operating revenues | ( | ||||||||||||||||||||||
Vessel operating expenses | ( | ( | ( | ( | ( | ||||||||||||||||||
Voyage and commission expenses | ( | ( | ( | ( | |||||||||||||||||||
Administrative expenses(5) | ( | ( | ( | ( | ( | ||||||||||||||||||
Amount invoiced under sales-type lease | ( | ||||||||||||||||||||||
Adjusted EBITDA | ( |
Three Months Ended September 30, 2019 | |||||||||||||||||||||||
(in thousands of $) | FSRU(1) | LNG Carrier | FLNG(2) | Unallocated(3) | Total Segment Reporting | Elimination(4) | Consolidated Reporting | ||||||||||||||||
Statement of operations: | |||||||||||||||||||||||
Total operating revenues | ( | ||||||||||||||||||||||
Vessel operating expenses | ( | ( | ( | ( | ( | ||||||||||||||||||
Voyage and commission expenses | ( | ( | ( | ( | |||||||||||||||||||
Administrative expenses(5) | ( | ( | ( | ( | ( | ||||||||||||||||||
Amount invoiced under sales-type lease | ( | ||||||||||||||||||||||
Adjusted EBITDA | ( | ||||||||||||||||||||||
Balance sheet (at end of period): | |||||||||||||||||||||||
Total assets (6) | |||||||||||||||||||||||
Nine Months Ended September 30, 2019 | |||||||||||||||||||||||
(in thousands of $) | FSRU(1) | LNG Carrier | FLNG(2) | Unallocated(3) | Total Segment Reporting | Elimination(4) | Consolidated Reporting | ||||||||||||||||
Statement of operations: | |||||||||||||||||||||||
Total operating revenues | ( | ||||||||||||||||||||||
Vessel operating expenses | ( | ( | ( | ( | ( | ||||||||||||||||||
Voyage and commission expenses | ( | ( | ( | ( | ( | ||||||||||||||||||
Administrative expenses(5) | ( | ( | ( | ( | ( | ||||||||||||||||||
Amount invoiced under sales-type lease | ( | ||||||||||||||||||||||
Adjusted EBITDA | ( |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||
(in thousands of $) | 2020 | 2019 | 2020 | 2019 | ||||||||||
Mark-to-market gains/(losses) for interest rate swaps | ( | ( | ( | |||||||||||
Net interest (expense)/income on un-designated interest rate swaps | ( | ( | ||||||||||||
Losses on derivative instruments, net | ( | ( | ( | ( | ||||||||||
Amortization of Partnership Guarantee (see note 14) | ||||||||||||||
Foreign exchange (losses)/gains on finance lease obligation and related restricted cash | ( | ( | ||||||||||||
Foreign exchange losses on operations | ( | ( | ( | ( | ||||||||||
Financing arrangement fees and other costs | ( | ( | ( | ( | ||||||||||
Other financial items, net | ( | |||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||||||||||||
(in thousands of $) | 2020 | 2019 | 2020 | 2019 | ||||||||||||||||||||||
Operating lease income | ||||||||||||||||||||||||||
Variable lease income | ||||||||||||||||||||||||||
Total operating lease income |
(in thousands of $) | ||||||||
Equity in net assets of affiliate at January 1, 2020 | ||||||||
Dividend (note 14) | ( | |||||||
Equity in net earnings of affiliate | ||||||||
Equity in net assets of affiliate at September 30, 2020 |
(in thousands of $) | Balance at September 30, 2020 | Balance at December 31, 2019 | ||||||||||||
Balance sheet | ||||||||||||||
Current assets | ||||||||||||||
Non-current assets | ||||||||||||||
Current liabilities | ( | ( | ||||||||||||
Non-current liabilities | ( | ( | ||||||||||||
(in thousands of $) | Balance at September 30, 2020 | Balance at December 31, 2019 | ||||||||||||
Trade receivables | ||||||||||||||
Other receivables | ||||||||||||||
Prepaid expenses | ||||||||||||||
September 30, 2020 | December 31, 2019 | ||||||||||||||||
(in thousands of $) | Fair value Hierarchy | Carrying Value | Fair Value | Carrying Value | Fair Value | ||||||||||||
Non-Derivatives: | |||||||||||||||||
Cash and cash equivalents | Level 1 | ||||||||||||||||
Restricted cash and short-term deposits | Level 1 | ||||||||||||||||
2015 and 2017 Norwegian Bonds (1) | Level 1 | ( | ( | ( | ( | ||||||||||||
Short and long-term debt — floating (2) | Level 2 | ( | ( | ( | ( | ||||||||||||
Obligation under finance lease (2) | Level 2 | ( | ( | ( | ( | ||||||||||||
Derivatives: | |||||||||||||||||
Interest rate swaps asset (3) (4) | Level 2 | ||||||||||||||||
Interest rate swaps liability (3) (4) | Level 2 | ( | ( | ( | ( | ||||||||||||
September 30, 2020 | December 31, 2019 | ||||||||||||||||||||||||||||||||||
(in thousands of $) | Gross amounts presented in the consolidated balance sheet | Gross amounts not offset in the consolidated balance sheet subject to netting agreements | Net amount | Gross amounts presented in the consolidated balance sheet | Gross amounts not offset in the consolidated balance sheet subject to netting agreements | Net amount | |||||||||||||||||||||||||||||
Total asset derivatives | ( | ||||||||||||||||||||||||||||||||||
Total liability derivatives | ( | ( | ( | ( |
Instrument (in thousands of $) | Notional amount | Maturity Dates | Fixed Interest Rates | ||||||||||||||||||||
Interest rate swaps: | |||||||||||||||||||||||
Receiving floating, pay fixed | 2021 | to | 2026 | % | to |
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||
(in thousands of $) | 2020 | 2019 | 2020 | 2019 | |||||||||||||
Transactions with Golar and affiliates: | |||||||||||||||||
Management and administrative services fees (a) | ( | ( | ( | ( | |||||||||||||
Ship management fees (b) | ( | ( | ( | ( | |||||||||||||
Interest expense on short-term loans (c) | ( | ||||||||||||||||
Distributions with Golar, net (d) | ( | ( | ( | ||||||||||||||
(in thousands of $) | September 30, 2020 | December 31, 2019 | |||||||||
Balances due (to)/from Golar and affiliates (c) | ( | ||||||||||
Methane Princess lease security deposit (e) | ( | ||||||||||
Total | ( |
(in thousands of $) | September 30, 2020 | December 31, 2019 | |||||||||
Carrying value of vessels and equipment secured against long-term loans and finance leases | |||||||||||
Carrying value of investment in leased vessel, net secured against long-term loans and finance leases | |||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||
(in thousands of $, except per unit data) | 2020 | 2019 | 2020 | 2019 | ||||||||||
Common unitholders' interest in net income/(loss) | ( | ( | ||||||||||||
Less: distributions paid (1) | ( | ( | ( | ( | ||||||||||
Under/(over) distributed earnings | ( | ( | ( | |||||||||||
Basic and diluted: | ||||||||||||||
Weighted average common units outstanding (in thousands) | ||||||||||||||
Earnings/(losses) per unit (basic and diluted): | ||||||||||||||
Basic and diluted - common unitholders | $ | $ | $ | ( | $ | ( | ||||||||
Cash distributions declared and paid in the period per common unit(2): | $ | $ | $ | $ | ||||||||||
Subsequent event: Cash distributions declared and paid per common unit relating to the period(3): | $ | $ | $ | $ |
Cover Page |
9 Months Ended |
---|---|
Sep. 30, 2020 | |
Cover [Abstract] | |
Entity Registrant Name | Golar LNG Partners LP |
Entity Central Index Key | 0001415916 |
Current Fiscal Year End Date | --12-31 |
Document Fiscal Year Focus | 2020 |
Document Fiscal Period Focus | Q3 |
Document Type | 6-K |
Amendment Flag | false |
Document Period End Date | Sep. 30, 2020 |
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS SUPPLEMENTARY CASH FLOW (Parenthetical) - USD ($) $ in Thousands |
Sep. 30, 2020 |
Dec. 31, 2019 |
Sep. 30, 2019 |
Dec. 31, 2018 |
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Statement of Cash Flows [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | $ 42,263 | $ 47,661 | $ 51,961 | $ 96,648 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Restricted cash and short-term deposits | 57,143 | 46,333 | 48,743 | 31,330 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Restricted cash - non-current | 124,031 | 135,928 | 129,954 | 141,114 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Cash, cash equivalents, restricted cash and restricted cash equivalents | [1],[2] | $ 223,437 | $ 229,922 | $ 230,658 | $ 269,092 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN PARTNERS' CAPITAL - USD ($) $ in Thousands |
Total |
Cumulative Effect, Period of Adoption, Adjustment |
[2] | Cumulative Effect, Period of Adoption, Adjusted Balance |
Total Before Non-Controlling Interest |
Total Before Non-Controlling Interest
Cumulative Effect, Period of Adoption, Adjustment
|
[2] |
Total Before Non-Controlling Interest
Cumulative Effect, Period of Adoption, Adjusted Balance
|
Non-Controlling Interest |
Non-Controlling Interest
Cumulative Effect, Period of Adoption, Adjusted Balance
|
Preferred Units |
Preferred Units
Cumulative Effect, Period of Adoption, Adjusted Balance
|
Common Units |
Common Units
Cumulative Effect, Period of Adoption, Adjustment
|
[2] |
Common Units
Cumulative Effect, Period of Adoption, Adjusted Balance
|
General Partner Units and IDRs |
[1] |
General Partner Units and IDRs
Cumulative Effect, Period of Adoption, Adjustment
|
[1],[2] |
General Partner Units and IDRs
Cumulative Effect, Period of Adoption, Adjusted Balance
|
[1] |
Incentive Distribution Rights
General Partner Units and IDRs
|
||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Beginning Balance at Dec. 31, 2018 | $ 759,517 | $ 679,615 | $ 79,902 | $ 132,991 | $ 495,576 | $ 51,048 | |||||||||||||||||||||
Increase (Decrease) in Partners' Capital [Roll Forward] | |||||||||||||||||||||||||||
Net income/(loss) | (10,428) | (12,590) | 2,162 | 9,057 | (21,213) | (434) | |||||||||||||||||||||
Cash distributions | (95,021) | (95,021) | (9,057) | (84,223) | (1,741) | ||||||||||||||||||||||
Units options expense | 177 | 177 | 177 | ||||||||||||||||||||||||
Common units acquired and cancelled | (1,565) | (1,565) | (1,565) | ||||||||||||||||||||||||
Ending Balance at Sep. 30, 2019 | 652,680 | 570,616 | 82,064 | 132,991 | 388,752 | 48,873 | |||||||||||||||||||||
Beginning Balance at Dec. 31, 2018 | 759,517 | 679,615 | 79,902 | 132,991 | 495,576 | 51,048 | |||||||||||||||||||||
Ending Balance at Dec. 31, 2019 | $ 652,694 | $ (511) | $ 652,183 | 569,463 | $ (511) | $ 568,952 | 83,231 | $ 83,231 | 132,991 | $ 132,991 | 387,631 | $ (501) | $ 387,130 | 48,841 | $ (10) | $ 48,831 | $ 32,500 | ||||||||||
Increase (Decrease) in Partners' Capital [Roll Forward] | |||||||||||||||||||||||||||
Accounting Standards Update [Extensible List] | us-gaap:AccountingStandardsUpdate201613Member | ||||||||||||||||||||||||||
Beginning Balance at Jun. 30, 2019 | $ 677,763 | 595,872 | 81,891 | 132,991 | 413,525 | 49,356 | |||||||||||||||||||||
Increase (Decrease) in Partners' Capital [Roll Forward] | |||||||||||||||||||||||||||
Net income/(loss) | 8,097 | 7,924 | 173 | 3,019 | 4,808 | 97 | |||||||||||||||||||||
Cash distributions | (31,674) | (31,674) | (3,019) | (28,075) | (580) | ||||||||||||||||||||||
Units options expense | 59 | 59 | 59 | ||||||||||||||||||||||||
Common units acquired and cancelled | (1,565) | (1,565) | (1,565) | ||||||||||||||||||||||||
Ending Balance at Sep. 30, 2019 | 652,680 | 570,616 | 82,064 | 132,991 | 388,752 | 48,873 | |||||||||||||||||||||
Beginning Balance at Dec. 31, 2019 | 652,694 | $ (511) | $ 652,183 | 569,463 | $ (511) | $ 568,952 | 83,231 | $ 83,231 | 132,991 | $ 132,991 | 387,631 | $ (501) | $ 387,130 | 48,841 | $ (10) | $ 48,831 | 32,500 | ||||||||||
Increase (Decrease) in Partners' Capital [Roll Forward] | |||||||||||||||||||||||||||
Net income/(loss) | (2,496) | (1,520) | (976) | 9,090 | (10,398) | (212) | |||||||||||||||||||||
Cash distributions | (40,540) | (40,540) | (9,090) | (30,812) | (638) | ||||||||||||||||||||||
Units options expense | 33 | 33 | 33 | ||||||||||||||||||||||||
Ending Balance at Sep. 30, 2020 | 609,180 | 526,925 | 82,255 | 132,991 | 345,953 | 47,981 | 32,500 | ||||||||||||||||||||
Beginning Balance at Jun. 30, 2020 | 597,173 | 514,000 | 83,173 | 132,991 | 333,286 | 47,723 | |||||||||||||||||||||
Increase (Decrease) in Partners' Capital [Roll Forward] | |||||||||||||||||||||||||||
Net income/(loss) | 16,442 | 17,360 | (918) | 3,019 | 14,054 | 287 | |||||||||||||||||||||
Cash distributions | (4,448) | (4,448) | (3,019) | (1,400) | (29) | ||||||||||||||||||||||
Units options expense | 13 | 13 | 13 | ||||||||||||||||||||||||
Ending Balance at Sep. 30, 2020 | $ 609,180 | $ 526,925 | $ 82,255 | $ 132,991 | $ 345,953 | $ 47,981 | $ 32,500 | ||||||||||||||||||||
|
GENERAL |
9 Months Ended |
---|---|
Sep. 30, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
GENERAL | GENERAL Golar LNG Partners LP (the “Partnership,” “we,” “our,” or “us”) is a publicly traded Marshall Islands limited partnership initially formed as a subsidiary of Golar LNG Limited (“Golar”) in September 2007, to own and operate LNG carriers and FSRUs under long-term charters. On July 12, 2018, we acquired an interest in the Hilli Episeyo (the “Hilli”), a floating liquefied natural gas (“FLNG”) vessel through the acquisition of 50% of the common units (the “Hilli Common Units”) in Golar Hilli LLC (“Hilli LLC”) (the “Hilli Acquisition”). As of September 30, 2020, we have a fleet of six FSRUs, four LNG carriers, and an interest in the Hilli. As of September 30, 2020, Golar held 30.8% (December 31, 2019: 30.6%) of our common units and a 2% (December 31, 2019: 2%) general partner interest in us. References to Golar in these unaudited condensed consolidated financial statements refer, depending on the context, to Golar LNG Limited and to one or any more of its direct or indirect subsidiaries.
|
ACCOUNTING POLICIES |
9 Months Ended |
---|---|
Sep. 30, 2020 | |
Accounting Policies [Abstract] | |
ACCOUNTING POLICIES | ACCOUNTING POLICIES Basis of accounting The accompanying unaudited condensed consolidated financial statements are prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”). The footnotes are condensed as permitted by the requirements for interim financial statements and, accordingly, do not include all of the information and disclosures required under U.S. GAAP for complete financial statements. Therefore, these unaudited condensed consolidated financial statements should be read in conjunction with our audited consolidated financial statements for the year ended December 31, 2019, which are included in our Annual Report on Form 20-F. Significant accounting policies The accounting policies adopted in the preparation of the unaudited condensed consolidated financial statements are consistent with those followed in the preparation of our audited consolidated financial statements for the year ended December 31, 2019, except for those added and updated below as a result of adopting the requirements of ASU 2016-13 Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments and subsequent amendments (Topic 326). The impact of these changes in accounting policies on our unaudited condensed consolidated financial statements are disclosed in notes 3, 10 and 12. Allowance for credit losses Financial assets recorded at amortized cost and off-balance sheet credit exposures not accounted for as insurance (including financial guarantees) reflect an allowance for current expected credit losses ("credit losses") over the lifetime of the instrument. The allowance for credit losses reflects a deduction to the net amount expected to be collected on the financial asset. Amounts are written off against the allowance when management believes the uncollectability of a balance is confirmed or certain. Expected recoveries will not exceed the aggregate of amounts previously written-off or current credit loss allowance by financial asset category. We estimate expected credit losses based on relevant information about past events, including historical experience, current conditions, and reasonable and supportable forecasts that affect the collectability of the reported amount. We have elected to calculate expected credit losses on the combined balance of both the amortized cost and accrued interest from the unpaid principal balance. Specific calculation of our credit allowances are included in the respective accounting policies included herein; all other financial assets are assessed on an individual basis calculated using the method we consider most appropriate for each asset. Trade accounts receivables Trade receivables are presented net of allowances for expected credit losses. At each balance sheet date, all potentially uncollectible accounts are assessed individually for the purposes of determining the appropriate allowance for expected credit loss. The expected credit loss allowance is calculated using a loss rate applied against an aging matrix, with assets pooled based on the vessel type that generated the underlying revenue (LNGC and FSRU), which reflects similar credit risk characteristics. Our trade receivables have short maturities so we have considered that forecasted changes to economic conditions will have an insignificant effect on the estimate of the allowance, except in extraordinary circumstances. Related parties Parties are related if one party has the ability, directly or indirectly, to control the other party or exercise significant influence over the other party in making financial and operating decisions. Parties are also related if they are subject to common control or significant influence. Amounts are presented net of allowances for credit losses, which are calculated using a loss rate applied against an aging matrix. Time charter sales-type leases On inception of a sales-type lease for which we are lessor, we de-recognize the related asset and record "Investment in leased vessel, net” on our consolidated balance sheet. The investment in leased vessel, net represents the fixed payments due from the lessee, discounted at the rate implicit in the lease. We allocate sales-type lease income to the consolidated statements of operations in the "Interest income” line item to reflect a constant periodic rate of return on our sales-type lease investment. For sales-type leases, non-lease revenue and operating and service agreements in connection with the time charters are recorded over the term of the charter as the service is provided. The transaction price is based on the standalone selling price for the service. Amounts are presented net of allowances for credit losses, which are assessed at the individual lease level, reflecting the risk profile for each vessel unique to each project. The allowance is calculated by multiplying the balance exposed on default by the probability of default and loss given default over the term of the lease. The exposure at default is net of the vessel collateral that is returned on default. With forecasts for counterparty probability of default and loss given default not readily available or supportable for the life of the instrument, annualized rates have been applied based on a 5-year period forecast. A probability weighting has been applied to each period of default over the remaining instrument life. Cash and cash equivalents We consider all demand and time deposits and highly liquid investments with original maturities of three months or less to be equivalent to cash. Amounts are presented net of allowances for credit losses, which are assessed based on consideration of whether the balances have short-term maturities and whether the counterparty has an investment grade credit rating, limiting any credit exposure. Restricted cash and short-term deposits Restricted cash and short-term deposits consist of bank deposits, which may only be used to settle certain pre-arranged loan or lease payments, other claims which requires us to restrict cash, performance bonds related to charters, cash collateral required for certain swaps, and cash held by the variable interest entity (“VIE”). We consider all short-term deposits as held to maturity. These deposits are carried at amortized cost. We place our short-term deposits primarily in fixed term deposits with high credit quality financial institutions. Amounts are presented net of allowances for credit losses, which are assessed based on consideration of whether the balances have short-term maturities and whether the counterparty has an investment grade credit rating, limiting any credit exposure. Guarantees Guarantees issued by us, excluding those that are guaranteeing our own performance, are recognized at fair value at the time that the guarantees are issued, and reported in “Other current liabilities” and "Other non-current liabilities". A liability is recognized for an amount corresponding to the fair value of the obligation undertaken in issuing the guarantee in connection with an investment in affiliate. If it becomes probable that we will have to perform under a guarantee, we will recognize an additional liability if (and when) the amount of the loss can be reasonably estimated. The recognition of fair value is not required for certain guarantees such as the parent's guarantee of a subsidiary's debt to a third party. For those guarantees excluded from the above guidance requiring recognition of the liability for its fair value, financial statement disclosures of such items are made. Financial guarantees are assessed for credit losses and any allowance is presented as a liability for off-balance sheet credit exposures where the balance exceeds the collateral provided over the remaining instrument life. The allowance is assessed at the individual guarantee level, calculated by multiplying the balance exposed on default by the probability of default and loss given default over the term of the guarantee. Use of estimates The preparation of financial statements in accordance with U.S. GAAP requires that management make estimates and assumptions affecting the reported amounts of assets and liabilities and disclosure of material contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. In assessing the recoverability of our vessels’ carrying amounts, we make assumptions regarding estimated future cash flows, estimates in respect of residual values, charter rates, ship operating expenses and drydocking requirements. During the period ended September 30, 2020, following the coronavirus ("COVID-19") outbreak and its impact on our operations, we considered whether indicators of impairment existed that could indicate that the carrying amounts of the vessels may not be recoverable or whether changes in circumstances had occurred to warrant a change in the assumptions utilized in the December 31, 2019 impairment tests of our vessels. We concluded no impairment should be recognized on our vessels as of September 30, 2020 however, we will continue to monitor developments in the markets in which we operate for indications that the carrying value of our vessels may not be recoverable.
|
RECENTLY ISSUED ACCOUNTING STANDARDS |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Sep. 30, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accounting Policies [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
RECENTLY ISSUED ACCOUNTING STANDARDS | RECENTLY ISSUED ACCOUNTING STANDARDS Adoption of new accounting standards In June 2016, the Financial Accounting Standards Board (the “FASB”) issued ASU 2016-13 Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments and subsequent amendments, including ASU 2018-19, ASU 2019-04 and ASU 2019-11: Codification Improvements to Topic 326 ‘‘Financial Instruments-Credit Losses”. Topic 326 replaces the incurred loss impairment methodology with a requirement to recognize lifetime expected credit losses (measured over the contractual life of the instrument) immediately, based on information about past events, current conditions and forecasts of future economic conditions. This will reflect the net amount expected to be collected from the financial asset and is referred to as the current expected credit losses or "CECL", methodology, with measurement applicable to financial assets measured at amortized cost as well as off-balance sheet credit exposures not accounted for as insurance (including financial guarantees). Topic 326 also makes changes to the accounting for available-for-sale debt securities and purchased credit deteriorated financial assets, however, no such financial assets existed on date of adoption or in the reporting periods covered by these condensed consolidated financial statements. Using the modified retrospective method, reporting periods beginning from January 1, 2020 are presented under while comparative periods continue to be reported in accordance with previously applicable GAAP and have not been restated. The cumulative effect of adoption on January 1, 2020 resulted in recognition of an allowance for credit losses on our balance sheet of $0.5 million (of which $0.3 million reflects a reduction to line-item ‘Other current assets’ and $0.2 million represents a reduction to line-items ‘Current portion of investment in leased vessel, net’ and ‘Investment in leased vessel, net’), with an offset to total equity of $0.5 million. In August 2018, the FASB issued ASU 2018-13 Fair Value Measurement (Topic 820): Disclosure Framework-Changes to the Disclosure Requirements for Fair Value Measurement. The amendments in this ASU remove some disclosure requirements relating to transfers between Level 1 and Level 2 of the fair value hierarchy and introduce new disclosure requirements for Level 3 measurements. We adopted the disclosure improvements prospectively on January 1, 2020, but this amendment has not had a material impact on our disclosure requirements as we have no Level 3 measurements. In October 2018, the FASB issued ASU 2018-17 Consolidation (Topic 810) - Targeted Improvements to Related Party Guidance for Variable Interest Entities, effective January 1, 2020. The amendments in this ASU specify that for the purposes of determining whether a decision-making fee is a variable interest, a company is now required to consider indirect interests held through related parties under common control on a proportionate basis as opposed to as a direct investment. We are required to adopt the codification improvements retrospectively using a cumulative-effect method to retained earnings of the earliest period presented herein, but the amendment had no impact on historic consolidation assessments or retained earnings. In March 2020, the FASB issued ASU 2020-03 Financial Instruments (Topic 825) - Codification Improvements. The amendments in this ASU propose seven clarifications to improve the understandability of existing guidance, including that fees between debtor and creditor and third-party costs directly related to exchanges or modifications of debt instruments include line-of-credit or revolving debt arrangements. We adopted the codification improvements that were effective on issuance from January 1, 2020 under the specified transition approach connected with each of the codification improvements. This amendment has not had a material impact on our consolidated financial statements or related disclosures, including retained earnings, as of January 1, 2020. Accounting pronouncements that have been issued but not adopted The following table provides a brief description of recent accounting standards that have been issued but not yet adopted:
|
VARIABLE INTEREST ENTITIES ("VIEs") |
9 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Sep. 30, 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
VARIABLE INTEREST ENTITIES (VIEs) | VARIABLE INTEREST ENTITIES (“VIEs”) Eskimo SPV As of September 30, 2020, we leased one vessel from a VIE under a finance lease with a wholly-owned subsidiary, Sea 23 Leasing Co. Limited (“Eskimo SPV”) of China Merchants Bank Leasing (“CMBL”). Eskimo SPV is a special purpose vehicle (SPV). In November 2015, we sold the Golar Eskimo to Eskimo SPV and subsequently leased back the vessel under a bareboat charter for a term of 10 years. From the third-year anniversary of the commencement of the bareboat charter, we have an annual option to repurchase the vessel at fixed pre-determined amounts, which we did not exercise. The next repurchase option is in November 2020, which we are not exercising, and we have an obligation to repurchase the vessel at the end of the ten year lease period. While we do not hold any equity investment in Eskimo SPV, we have determined that we have a variable interest in Eskimo SPV and that Eskimo SPV is a VIE. Based on our evaluation of the bareboat agreement we have concluded that we are the primary beneficiary of Eskimo SPV and, accordingly, have consolidated Eskimo SPV into our financial results. We did not record any gain or loss from the sale of the Golar Eskimo to Eskimo SPV. We continue to report the vessel in our consolidated financial statements at the same carrying value, as if the sale had not occurred, and our contractual debt with the Eskimo SPV eliminates on consolidation. The equity attributable to CMBL in Eskimo SPV is included in non-controlling interests in our consolidated results. As of September 30, 2020, the Golar Eskimo is reported under “Vessels and equipment, net” in our unaudited condensed consolidated balance sheet. The following table gives a summary of the sale and leaseback arrangement, including repurchase options and obligation as of September 30, 2020:
A summary of our payment obligations under the bareboat charter with Eskimo SPV as of September 30, 2020 is shown below:
(1) For the three months ending December 31, 2020. *This payment obligation table above includes variable rental payments due under the lease based on an assumed LIBOR plus margin, but excludes the repurchase obligation at the end of the lease term. The most significant impact of Eskimo SPV’s liabilities on our condensed consolidated balance sheet is as follows:
The most significant impact of consolidation of Eskimo SPV’s operations on our condensed consolidated statement of operations is interest expense of $2.0 million and $4.5 million for the three and nine months ended September 30, 2020, respectively, and $1.8 million and $6.0 million for the three and nine months ended September 30, 2019, respectively. The most significant impact of consolidation of Eskimo SPV’s cash flows on our condensed consolidated statement of cash flows is net cash of $5.3 million and $16.9 million used in financing activities for the three and nine months ended September 30, 2020, respectively, and $4.6 million and $13.8 million for the three and nine months ended September 30, 2019, respectively. Hilli LLC On July 12, 2018, we acquired an interest in the Hilli through the acquisition of 50% of the Hilli Common Units. Concurrently with the closing of the Hilli Acquisition, we have determined that (i) Hilli LLC is a VIE, (ii) Golar is the primary beneficiary and retains sole control over the most significant activities and the greatest exposure to variability in residual returns and expected losses from the Hilli and (iii) we are not the primary beneficiary. Thus, Hilli LLC was not consolidated into our financial statements. Refer to note 9 for summarized financial information of Hilli LLC. As of September 30, 2020, our maximum exposure as a result of our ownership in the Hilli LLC is the carrying value of our investment in affiliate of $191.0 million (see note 9) and the outstanding portion of the Hilli Facility which we have guaranteed (see note 14). PT Golar Indonesia We consolidated PT Golar Indonesia (“PTGI”), which owns the NR Satu, in our consolidated financial statements effective September 28, 2011. PTGI became a VIE and we became its primary beneficiary upon our agreement to acquire all of Golar’s interests in certain subsidiaries that own and operate the NR Satu on July 19, 2012. We consolidate PTGI as we hold all of the voting stock and control all of the economic interests in PTGI.
|
SEGMENT INFORMATION |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Sep. 30, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Segment Reporting [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
SEGMENT INFORMATION | SEGMENT INFORMATION A segment is a distinguishable component of the business that is engaged in business activities from which we earn revenues and incur expenses whose operating results are regularly reviewed by the chief operating decision maker, and which are subject to risks and rewards that are different from those of other segments. As of September 30, 2020, we operate in the following three reportable segments: •FSRUs are vessels that are permanently located offshore to regasify LNG. Six of our vessels are FSRUs; •LNG carriers are vessels that transport LNG and are compatible with many LNG loading and receiving terminals globally. Four of our vessels are LNG carriers; and •FLNG are vessels that are moored above an offshore natural gas field on a long-term basis. A FLNG receives, liquefies and stores LNG at sea and transfers it to LNG carriers that berth while offshore. On May 15, 2019, we executed a modification to the charter for the Golar Freeze (the "Golar Freeze Charter") which triggered a change in accounting for the Golar Freeze Charter from an operating lease to a sales-type lease. Following this change, management changed the metric by which it measures the profitability of our segments to Adjusted EBITDA to reflect the change in accounting treatment of this contract and enable the comparability with the rest of the business.
(1) Includes revenue relating to operating and service contracts, that is a non-lease component of sales-type leases recognized on a straight-line basis over the contract term. (2) Relates to the effective share of revenues, expenses and Adjusted EBITDA attributable to our 50% ownership of the Hilli Common Units which we acquired in July 2018 (see note 9). The earnings attributable to our investment in Hilli LLC are reported in the equity in net earnings of affiliate in our unaudited condensed consolidated statement of operations. (3) Relates to assets not allocated to a segment, but included to reconcile to the total assets in our condensed consolidated balance sheets. (4) Eliminations reverse the effective earnings attributable to our 50% ownership of the Hilli Common Units and the amounts invoiced under the sales-type lease. There are no transactions between reportable segments. (5) Indirect administrative expenses are allocated to the FSRU and LNG carrier segments based on the number of vessels while administrative expenses for FLNG relates to our effective share of expenses attributable to our 50% ownership of the Hilli Common Units. (6) Total assets by segment refers to our principal assets being that of our vessels, including the net investment in leased vessel.
|
LOSSES ON DERIVATIVE INSTRUMENTS AND OTHER FINANCIAL ITEMS, NET |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Sep. 30, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other Income and Expenses [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
LOSSES ON DERIVATIVE INSTRUMENTS AND OTHER FINANCIAL ITEMS, NET | LOSSES ON DERIVATIVE INSTRUMENTS AND OTHER FINANCIAL ITEMS, NET
|
TAXATION |
9 Months Ended |
---|---|
Sep. 30, 2020 | |
Income Tax Disclosure [Abstract] | |
TAXATION | TAXATION As of September 30, 2020, we recognized a net deferred tax liability of $12.2 million (December 31, 2019: $10.6 million) due to the accounting net book value of the Golar Eskimo, operated under time charter in the Hashemite Kingdom of Jordan (“Jordan”), being greater than the tax written down value, arising from excess of tax depreciation over accounting depreciation. Tax charge The tax charge for the three and nine months ended September 30, 2020 included current tax charges in respect of our operations in the United Kingdom, Brazil, Kuwait, Indonesia and Jordan. The total tax charge includes a net deferred tax charge in relation to the tax depreciation in excess of accounting depreciation for Jordan of $0.5 million and $1.6 million for the three and nine months ended September 30, 2020, respectively and $0.5 million and $1.5 million for the three and nine months ended September 30, 2019, respectively. In addition, Jordan introduced a new solidarity tax applicable from 2019 of 1% which we believe applies to our Jordan branch. We have recognized $nil deferred tax charge in relation to the solidarity tax for each of the three and nine months ended September 30, 2020 and $1.4 million for each of the three and nine months ended September 30, 2019, respectively. Uncertain tax positions As of September 30, 2020, we recognized a provision of $6.2 million (December 31, 2019: $4.6 million) for certain tax risks in various jurisdictions.
|
OPERATING LEASES |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Sep. 30, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Leases [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
OPERATING LEASES | OPERATING LEASES The components of operating lease income were as follows:
|
INVESTMENTS IN AFFILIATE |
9 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Sep. 30, 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Equity Method Investments and Joint Ventures [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
INVESTMENTS IN AFFILIATE | INVESTMENT IN AFFILIATE The components of our equity method investment in Hilli LLC are as follows:
Summarized financial information of Hilli LLC* The following table summarizes the financial information of Hilli LLC shown on a 100% basis as of September 30, 2020 and December 31, 2019:
*The summarized financial information of Hilli LLC excludes the Hilli LLC lessor VIE's financial information.
|
OTHER CURRENT ASSETS |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Sep. 30, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
OTHER CURRENT ASSETS | OTHER CURRENT ASSETS
As at September 30, 2020, ‘Other receivables’ includes $15.1 million (December 31, 2019: $8.2 million) of amounts expected to be recovered through indemnity clauses relating to past performance of a bareboat charter and operating and services agreement ("OSA") with a charterer. The indemnity relates to the taxation method of the bareboat charter and OSA under Jamaican tax rules. The receivable includes withholding and payroll taxes, which we have recognized as operating expenses. As at September 30, 2020, we have recognized $0.1 million of expected credit loss allowance against the indemnity asset. As at September 30, 2020, we have recognized the associated liability of $15.1 million (December 31, 2019: $8.2 million) for payment of taxes and associated charges within ‘Other current liabilities’ in our condensed consolidated balance sheet. There was $nil accrued interest included within the other current assets balance as at September 30, 2020.
|
DEBT |
9 Months Ended |
---|---|
Sep. 30, 2020 | |
Debt Disclosure [Abstract] | |
DEBT | DEBT As of September 30, 2020 and December 31, 2019, we had total long-term debt outstanding of $1,146.0 million and $1,216.9 million, respectively, net of deferred debt financing costs of $6.5 million and $6.0 million, respectively. As of September 30, 2020, we were in compliance with all covenants under our existing debt and lease agreements. $800 million credit facility In April 2016, we entered into an $800.0 million senior secured credit facility (the “$800 million credit facility”) with a syndicate of banks to refinance existing financing arrangements secured by seven of our existing vessels. The vessels included in this facility are the Golar Freeze, the Golar Grand, the Golar Igloo, the Golar Maria, the Golar Spirit, the Golar Winter and the Methane Princess. The $800.0 million credit facility has a five-year term and is due to mature in April 2021. The $800.0 million credit facility is repayable in quarterly installments with a total final balloon payment of $378.0 million together with amounts outstanding under the fully drawn revolving facility. The $800 million credit facility bears interest at a rate of LIBOR plus a margin of 2.5%. As of September 30, 2020 and December 31, 2019, the balance outstanding under the $800 million credit facility amounted to $529.0 million and $568.0 million, respectively. The facility requires a security deposit to be held for the period of the loan, unless certain conditions are met. These balances are referred to in these condensed consolidated financial statements as restricted cash. As of September 30, 2020 and December 31, 2019, the value of the restricted cash deposit secured against the loan was $18.2 million and $23.6 million, respectively. 2015 Norwegian Bonds and 2017 Norwegian Bonds On May 5, 2020, bondholders approved amendments (the “Norwegian Bond Amendments”) to our Norwegian bonds issued in 2015 (the “2015 Norwegian Bonds”) and our Norwegian bonds issued in 2017 (the “2017 Norwegian Bonds”, and together with the 2015 Norwegian Bonds, the “Norwegian Bonds”). Under the Norwegian Bond Amendments, we may incur no additional financial indebtedness without applying the proceeds received therefrom to redeem the Norwegian Bonds on a pro rata basis, other than certain permitted financial indebtedness incurred: (i) to repay existing financial indebtedness, (ii) by way of secured debt from financial institutions incurred in the ordinary course of business in connection with acquisitions of assets or (iii) an amount up to $25.0 million in aggregate, provided that the proceeds in the case of each of (i) to (iii) above are not applied for redemption of any or all of the 2017 Norwegian Bonds prior to the redemption of the 2015 Norwegian Bonds in full. In addition, the Norwegian Bond Amendments contain a provision prohibiting us from paying distributions to our common unitholders in an amount greater than (i) $0.0808 per common unit per annum or (ii) the aggregate amount of cash equity raised. Additionally, under the Norwegian Bond Amendments, we will not be permitted to repurchase any of our common or preferred units. In November 2020, we obtained credit approval from the lead banks in connection with the refinancing of the $800 million credit facility. In addition, management is currently exploring various options to obtain the necessary funds to refinance the 2015 Norwegian Bonds. We have a track record of successfully refinancing our debt and, given the strong fundamentals of the underlying assets (contracted cash flows and existing leverage ratios), we believe that it is probable that we will obtain the necessary funding to meet our payment obligations under the maturing $800 million credit facility by April 2021 and 2015 Norwegian Bonds by November 2021.
|
INVESTMENT IN LEASED VESSEL, NET |
9 Months Ended |
---|---|
Sep. 30, 2020 | |
Leases [Abstract] | |
INVESTMENT IN LEASED VESSEL, NET | INVESTMENT IN LEASED VESSEL, NETOn May 15, 2019, we executed a modification to the Golar Freeze Charter which triggered a change in lease classification to a sales-type lease. This classification change resulted in the de-recognition of the vessel asset carrying value, the recognition of net investment in leased vessel (consisting of present value of the future lease receivables and unguaranteed residual value), and a gain on disposal of $4.2 million which was presented in "Other non-operating income" of our condensed consolidated statement of operations. Post modification to sales-type lease, all charter hire revenue from the Golar Freeze sales-type lease has been recognized as interest income, of which $4.0 million and $12.0 million has been recognized for the three and nine months ended September 30, 2020, respectively, and $4.1 million and $5.4 million has been recognized for the three and nine months ended September 30, 2019, respectively, gross of expected credit loss allowance. As of September 30, 2020 and December 31, 2019, we had a balance of $2.5 million and $2.3 million, respectively, presented under "Current portion of investment in leased vessel, net", and $109.9 million and $111.8 million, respectively, presented under "Investment in leased vessel, net" in our condensed consolidated balance sheet. As of September 30, 2020, we recognized $0.1 million of expected credit loss allowance against the balance of the "Investment in leased vessel, net". As at September 30, 2020, there is $nil accrued interest included within the balance. The Golar Freeze Charter includes an option for the charterer, upon twelve months' written notice, to terminate the charter with effect not before the third anniversary of the hire commencement date of March 31, 2019 in order to substitute the FSRU for an alternative vessel but only if certain throughput targets have not been achieved. In this event, we have a matching right.
|
FINANCIAL INSTRUMENTS |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Sep. 30, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
FINANCIAL INSTRUMENTS | FINANCIAL INSTRUMENTS Interest rate risk management In certain situations, we may enter into financial instruments to reduce the risk associated with fluctuations in interest rates. We have entered into swaps that convert floating rate interest obligations to fixed rates, which, from an economic perspective, hedge our interest rate exposure. We do not hold or issue instruments for speculative or trading purposes. The counterparties to such contracts are major banking and financial institutions. Credit risk exists to the extent that the counterparties are unable to perform under the contracts; however, we do not anticipate non-performance by any of our counterparties. We manage our debt and finance lease portfolio with interest rate swap agreements in U.S. dollars to achieve an overall desired position of fixed and floating interest rates. Fair values We recognize our fair value estimates using a fair value hierarchy based on the inputs used to measure fair value. The fair value hierarchy has three levels based on reliability of inputs used to determine fair value as follows: Level 1: Quoted market prices in active markets for identical assets and liabilities. Level 2: Observable market based inputs or unobservable inputs that are corroborated by market data. Level 3: Unobservable inputs that are not corroborated by market data. The carrying value and estimated fair value of our financial instruments as of September 30, 2020 and December 31, 2019 are as follows:
(1) This pertains to the 2015 and 2017 Norwegian bonds with a carrying value of $393.0 million as of September 30, 2020 (December 31, 2019: $400.0 million), that includes the premium payable at maturity accreted using the effective interest rate method over the instrument term of $3.0 million. This is included under long-term debt on our condensed consolidated balance sheet. The fair value of the bonds as of September 30, 2020 was $331.2 million (December 31, 2019: $394.7 million), which is 84.28% of their face value (December 31, 2019: 98.68%). (2) Our short-term and long-term debt and finance lease obligations are recorded at amortized cost in our condensed consolidated balance sheet. The long-term debt, in the table above, is presented gross of deferred financing cost of $6.5 million as of September 30, 2020 (December 31, 2019: $6.0 million). (3) Derivative liabilities are captured within other current liabilities and derivative assets are generally captured within other current assets and non-current assets on our condensed consolidated balance sheet. (4) The fair value of certain derivative instruments is the estimated amount that we would receive or pay to terminate the agreements at the reporting date, taking into account current interest rates, foreign exchange rates, closing quoted market prices and our creditworthiness and that of our counterparties. The credit exposure of interest rate swap agreements is represented by the fair value of contracts with a positive fair value at the end of each period, reduced by the effects of master netting agreements. It is our policy to enter into master netting agreements with the counterparties to derivative financial instrument contracts, which give us the legal right to discharge all or a portion of amounts owed to that counterparty by offsetting them against amounts that the counterparty owes to us. We have elected not to offset the fair values of derivative assets and liabilities executed with the same counterparty that are generally subject to enforceable master netting arrangements. However, if we were to offset and record the asset and liability balances of derivatives on a net basis, the amounts presented in our condensed consolidated balance sheets as of September 30, 2020 and December 31, 2019 would be adjusted as detailed in the following table:
Under one of our interest rate swaps we were required to provide initial cash collateral of $2.5 million and to subsequently post additional cash collateral that corresponds to any further unrealized loss. As at September 30, 2020, cash collateral amounting to $29.4 million (December 31, 2019: $14.8 million) has been provided. As of September 30, 2020, we had entered into the following interest rate swap transactions involving the payment of fixed rates in exchange for LIBOR as summarized below:
|
RELATED PARTY TRANSACTIONS |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Sep. 30, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Related Party Transactions [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
RELATED PARTY TRANSACTIONS | RELATED PARTY TRANSACTIONS Net expense from related parties:
(Payables)/receivables with related parties: As of September 30, 2020 and December 31, 2019, balances with related parties consisted of the following:
(a) Management and administrative services fees - We are party to a management and administrative services agreement with Golar Management Limited (“Golar Management”), a wholly-owned subsidiary of Golar, pursuant to which Golar Management provides to us certain management and administrative services. The services provided by Golar Management are charged at cost plus a management fee equal to 5% of Golar Management’s costs and expenses incurred in connection with providing these services. Where external service provider costs are incurred by Golar Management on our behalf, these expenses are recharged to us at cost. We may terminate the agreement by providing 120 days’ written notice. (b) Ship management fees - Golar and certain of its subsidiaries charged ship management fees to us for the provision of technical and commercial management of the vessels. Each of our vessels is subject to management agreements pursuant to which certain commercial and technical management services are provided by certain subsidiaries of Golar, including Golar Management. We may terminate these agreements by providing 30 days’ written notice. (c) Interest expense on short-term loan, balances due (to)/from Golar and its affiliates - Receivables and payables with Golar and its affiliates primarily comprise of unpaid fees and expenses for management and administrative services and vessel management services performed by Golar and its affiliates, dividends due in respect of the Hilli Common Units, and other related party arrangements, including short term loan balances. In addition, certain receivables and payables arise when we pay an invoice on behalf of a related party and vice versa. Receivables and payables are generally settled quarterly in arrears. Balances due from and to Golar and its subsidiaries are unsecured, interest-free and intended to be settled in the ordinary course of business. In May 2020, we entered into a $25.0 million revolving credit facility with Golar, of which we drew down $15.0 million and which was repaid in full in June 2020. The facility was unsecured and bore interest at a rate of LIBOR plus a margin of 5.0%. In February 2020, we borrowed $25.0 million with interest at a rate of LIBOR plus a margin of 5.0% from Golar, of which $20.0 million and $5.0 million, including interest, was repaid in March 2020 and April 2020, respectively. During the three and nine months ended September 30, 2020, we paid nil and $0.3 million of interest, respectively. (d) Distributions with Golar, net - During each of the three and nine months ended September 30, 2020 and 2019, we paid total distributions to Golar of $0.5 million and $10.1 million, and $9.2 million and $27.5 million, respectively, in respect of the Common Units and General Partner units owned by it. During the three and nine months ended September 30, 2020 and 2019, Hilli LLC declared quarterly distributions totaling $nil and $10.3 million, and $6.0 million and $12.9 million, respectively, in respect of the Hilli Common Units owned by us. These amounts include reimbursements for Operating Expenses, as set forth below. Pursuant to the Hilli Purchase Agreement, we agreed to reimburse Golar, Keppel and B&V for (a) 50% of the amount, if any, by which Operating Expenses (as defined below) are less than $32.4 million per year and (b) 50% of the amount, if any, by which withholding taxes on Operating Expense payments are less than $4.2 million per year, for a period of eight years commencing on the closing date of the Hilli Acquisition, up to a maximum amount of $20 million in the aggregate. Golar, Keppel and B&V have agreed, for a period of eight years commencing on the closing date of the Hilli Acquisition, to reimburse us for (a) 50% of the amount, if any, by which Operating Expenses are greater than $39.5 million per year and (b) 50% of the amount, if any, by which withholding taxes on Operating Expense payments are greater than $5.2 million per year, up to a maximum amount of $20 million in the aggregate. “Operating Expenses” means, all expenditures made by Hilli LLC and its subsidiaries, including vessel operating expenses, taxes, maintenance expenses and employee compensation and benefits, and capital expenditures, but exclude withholding taxes thereon. Included within the Hilli LLC declared distributions were reimbursements due from Golar, Keppel and B&V for operating expenses of nil and $0.3 million for the three and nine months ended September 30, 2020, and $0.8 million for both the three and nine months ended September 30, 2019. (e) Methane Princess lease security deposit - This represents net advances to or from Golar since our initial public offering in April 2011, which correspond with the net release of funds from the security deposits held relating to the Methane Princess lease. This is in connection with the Methane Princess tax lease indemnity provided by Golar under the Omnibus Agreement that we entered into with Golar at the time of our initial public offering. Accordingly, these amounts will be settled as part of the eventual termination of the Methane Princess lease. Other transactions Agency agreement with PT Pesona Sentra Utama (or PT Pesona) - PT Pesona, an Indonesian company, owns 51% of the issued share capital in our subsidiary, PTGI, the owner and operator of NR Satu, and provides agency and local representation services for us with respect to NR Satu. During the three and nine months ended September 30, 2020, PT Pesona received an agency fee of $0.1 million and $0.4 million, respectively. During the three and nine months ended September 30, 2019, PT Pesona received an agency fee of $0.1 million and $0.4 million, respectively. Hilli guarantees (in connection with the Hilli Acquisition) (i) Debt Hilli Corporation ("Hilli Corp"), the disponent owner of the Hilli and a wholly owned subsidiary of Hilli LLC, is a party to a Memorandum of Agreement, dated September 9, 2015, with Fortune Lianjiang Shipping S.A., a subsidiary of China State Shipbuilding Corporation (“Fortune”), pursuant to which Hilli Corp has sold to and leased back from Fortune the Hilli under a 10-year bareboat charter agreement (the “Hilli Facility”). The Hilli Facility provided for post-construction financing for the Hilli in the amount of $960 million. Under the Hilli Facility, Hilli Corp will pay to Fortune forty consecutive equal quarterly repayments of 1.375% of the construction cost, plus interest based on LIBOR plus a margin of 3.95%. In connection with the closing of the Hilli Acquisition, we agreed to provide a several guarantee (the “Partnership Guarantee”) of 50% of the outstanding principal, interest, expenses and other amounts payable by Hilli Corp under the Hilli Facility pursuant to a Deed of Amendment, Restatement and Accession relating to a guarantee between Golar, Fortune and us dated July 12, 2018. We entered into a $480.0 million interest rate swap in relation to our proportionate share of the obligation under the Hilli Facility. (ii) Letter of credit On November 28, 2018, we entered into an agreement to guarantee (the “LOC Guarantee”) the letter of credit issued by a financial institution in the event of Hilli Corp’s underperformance or non-performance under the liquefaction tolling agreement for the Hilli. Under the LOC Guarantee, we are severally liable for any outstanding amounts that are payable, based on the percentage ownership that Golar holds in us, multiplied by our percentage ownership in Hilli Common Units. Pursuant to the Partnership Guarantee and the LOC Guarantee, we are required to comply with the following covenants: •free liquid assets of at least $30 million throughout the term of the Hilli Facility; •maximum net debt to EBITDA ratio for the previous 12 months of 6.5:1; and •consolidated tangible net worth of $123.95 million. As of September 30, 2020, the amount we have guaranteed under the Partnership Guarantee and the LOC Guarantee is $405.8 million, and the fair value of debt guarantee, presented under "Other current liabilities" and "Other non-current liabilities" of our condensed consolidated balance sheet, amounting to $1.6 million and $5.4 million, respectively. As of September 30, 2020, we are in compliance with the covenants for both Hilli guarantees.
|
OTHER COMMITMENTS AND CONTINGENCIES |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Sep. 30, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commitments and Contingencies Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
OTHER COMMITMENTS AND CONTINGENCIES | OTHER COMMITMENTS AND CONTINGENCIES Assets pledged
Other contractual commitments and contingencies Insurance We insure the legal liability risks for our shipping activities with Gard and Skuld, which are mutual protection and indemnity associations. As a member of a mutual association, we are subject to a call for additional premiums based on the clubs' claims record, in addition to the claims records of all other members of the association. A contingent liability exists to the extent that the claims records of the members of the association in the aggregate show significant deterioration, which results in additional premiums on the members. Tax lease benefits As of September 30, 2020, we have one UK tax lease (relating to the Methane Princess). A termination of this lease would realize the accrued currency gain or loss recorded against the lease liability, net of the restricted cash. As of September 30, 2020, there was a net accrued gain of approximately $1.5 million. Under the terms of the leasing arrangement, the benefits are derived primarily from the tax depreciation assumed to be available to the lessor as a result of their investment in the vessel. As is typical in these leasing arrangements, as the lessee, we are obligated to maintain the lessor’s after-tax margin. Accordingly, in the event of any adverse tax changes or a successful challenge by the Her Majesty's Revenue and Customs (the “HMRC”), the UK tax authorities, with regard to the initial tax basis of the transactions, or in the event of an early termination of the Methane Princess lease or in relation to the other vessels previously financed by UK tax leases, we may be required to make additional payments principally to the UK vessel lessor. We would be required to return all, or a portion of, or in certain circumstances significantly more than the upfront cash benefits that Golar received in respect of the lease financing transaction. Furthermore, the lessor of the Methane Princess has a second priority security interest in the Methane Princess, the Golar Spirit and the Golar Grand. Our obligation to the lessor under the Methane Princess Lease is secured by a letter of credit (“LC”) provided by other banks. HMRC has been challenging the use of similar tax lease structures and has been engaged in litigation of a test case for some years. In August 2015, following an appeal to the Court of Appeal by the HMRC which set aside previous judgments in favor of the tax payer, the First Tier Tribunal (“UK court”) ruled in favor of HMRC. The judgments of the First Tier Tribunal do not create binding precedent for other UK court decisions and therefore the ruling in favor of HMRC is not binding in the context of our structures. Further, we consider there are differences in the fact pattern and structure between this case and our leasing arrangements and therefore is not necessarily indicative of any outcome should HMRC challenge us, and we believe that our fact pattern is sufficiently different to succeed if we are challenged by HMRC. HMRC have written to our lessor to indicate that they believe the Methane Princess lease may be similar to the case noted above. We have reviewed the details of the case and the basis of the judgment with our legal and tax advisers to ascertain what impact, if any, the judgment may have on us and the possible range of exposure has been estimated at approximately $nil to $32 million (£24.0 million). In December 2019, in conjunction with the lessor, Golar obtained supplementary legal advice confirming Golar's position. Golar's discussions with HMRC on this matter have concluded without agreement and, in January 2020, Golar received a closure notice to the inquiry, which states the basis of HMRC’s position. Consequently, a notice of appeal against the closure notice was submitted to HMRC. We remain confident of our position, however given the complexity of these discussions it is impossible to quantify the reasonably possible loss, and we continue to estimate the possible range of exposures as set out above. However, under the indemnity provisions of the Omnibus Agreement, Golar has agreed to indemnify us against any liabilities incurred as a consequence of a successful challenge by the UK Revenue Authorities with regard to the initial tax basis of the Methane Princess lease and in relation to other vessels previously financed by UK tax leases. Legal proceedings and claims We may, from time to time, be involved in legal proceedings and claims that arise in the ordinary course of business. A provision will be recognized in the financial statements only where we believe that a liability will be probable and for which the amounts are reasonably estimable, based upon the facts known prior to the issuance of the condensed consolidated financial statements. In November and December 2015, the Indonesian tax authorities issued letters to our subsidiary, PTGI, to, among other things, revoke a previously granted VAT importation waiver in the approximate amount of $24.0 million for the NR Satu. In April 2016, PTGI initiated an action in the Indonesian tax court to dispute the waiver cancellation. The final hearing took place in June 2016 and we received the verdict of the Tax Court in November 2017, which rejected PTGI’s claim. In February 2018, PTGI filed a Judicial Review with the Supreme Court of Indonesia, but in December 2018, the Supreme Court of Indonesia ruled against PTGI with regards the validity of waiver cancellation. However, we do not believe it is probable that a liability exists as a result of this ruling, as no Tax Underpayment Assessment Notice has been received within the statute of limitations period. Should we receive such notice from the tax authorities, we intend to challenge the legality of the assessment. In any event, we believe PTGI will be indemnified by PTNR for any VAT liability as well as related interest and penalties under our time charter party agreement entered into with them. In December 2019, the Indonesian tax authorities issued tax assessments for land and buildings tax to our subsidiary, PTGI for the years 2015 to 2019 inclusive in relation to the NR Satu, for the amount of $3.8 million. We have paid the assessed tax in January 2020 to avoid further penalties. This is presented in "Other non-current assets" of our condensed consolidated balance sheet. However, we intend to appeal against the assessments for the land and buildings tax, pending the tax authorities' response to our initial objection letter. We believe we have reasonable grounds for success on the basis of no precedent set from past case law and the new legislation effective prospectively from January 1, 2020, that now specifically lists FSRUs as being an object liable to land and buildings tax, when it previously did not.
|
EARNINGS/ LOSSES PER UNIT AND CASH DISTRIBUTIONS |
9 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Sep. 30, 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings Per Share [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
EARNINGS/ LOSSES PER UNIT AND CASH DISTRIBUTIONS | EARNINGS/ LOSSES PER UNIT AND CASH DISTRIBUTIONS The calculations of basic and diluted earnings/losses per common unit are presented below:
______________________________________ (1) Refers to distributions made or to be made in relation to the period, irrespective of the declaration and payment dates, and is based on the weighted average number of common units outstanding in the period. (2) Refers to cash distributions declared and paid during the period. (3) Refers to cash distributions declared relating to the period and paid subsequent to the period end. As of September 30, 2020, of our total number of common units outstanding, 69.2% were held by the public and the remaining common units were held by Golar.
|
SUBSEQUENT EVENTS |
9 Months Ended |
---|---|
Sep. 30, 2020 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | SUBSEQUENT EVENTS Cash Distributions In November 2020, we paid a distribution of $0.0202 per common unit in respect of the quarter ended September 30, 2020, to unitholders of record as of November 6, 2020, amounting to $1.4 million. We also paid a cash distribution of $0.546875 per Series A Preferred Unit in respect of the period from August 15, 2020 through November 14, 2020 to unitholders of record as of November 9, 2020, amounting to $3.0 million. Financing In November 2020, we entered into a $15.0 million revolving credit facility with Golar, of which we drew down $5.0 million. The facility is unsecured, repayable in full in December 2020 and bears interest at a rate of LIBOR plus a margin of 5.0%.
|
ACCOUNTING POLICIES (Policies) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Sep. 30, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accounting Policies [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Basis of accounting | Basis of accounting The accompanying unaudited condensed consolidated financial statements are prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”). The footnotes are condensed as permitted by the requirements for interim financial statements and, accordingly, do not include all of the information and disclosures required under U.S. GAAP for complete financial statements. Therefore, these unaudited condensed consolidated financial statements should be read in conjunction with our audited consolidated financial statements for the year ended December 31, 2019, which are included in our Annual Report on Form 20-F.
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Adoption of new accounting standards and Accounting pronouncements to be adopted | Significant accounting policies The accounting policies adopted in the preparation of the unaudited condensed consolidated financial statements are consistent with those followed in the preparation of our audited consolidated financial statements for the year ended December 31, 2019, except for those added and updated below as a result of adopting the requirements of ASU 2016-13 Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments and subsequent amendments (Topic 326). The impact of these changes in accounting policies on our unaudited condensed consolidated financial statements are disclosed in notes 3, 10 and 12. Adoption of new accounting standards In June 2016, the Financial Accounting Standards Board (the “FASB”) issued ASU 2016-13 Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments and subsequent amendments, including ASU 2018-19, ASU 2019-04 and ASU 2019-11: Codification Improvements to Topic 326 ‘‘Financial Instruments-Credit Losses”. Topic 326 replaces the incurred loss impairment methodology with a requirement to recognize lifetime expected credit losses (measured over the contractual life of the instrument) immediately, based on information about past events, current conditions and forecasts of future economic conditions. This will reflect the net amount expected to be collected from the financial asset and is referred to as the current expected credit losses or "CECL", methodology, with measurement applicable to financial assets measured at amortized cost as well as off-balance sheet credit exposures not accounted for as insurance (including financial guarantees). Topic 326 also makes changes to the accounting for available-for-sale debt securities and purchased credit deteriorated financial assets, however, no such financial assets existed on date of adoption or in the reporting periods covered by these condensed consolidated financial statements. Using the modified retrospective method, reporting periods beginning from January 1, 2020 are presented under while comparative periods continue to be reported in accordance with previously applicable GAAP and have not been restated. The cumulative effect of adoption on January 1, 2020 resulted in recognition of an allowance for credit losses on our balance sheet of $0.5 million (of which $0.3 million reflects a reduction to line-item ‘Other current assets’ and $0.2 million represents a reduction to line-items ‘Current portion of investment in leased vessel, net’ and ‘Investment in leased vessel, net’), with an offset to total equity of $0.5 million. In August 2018, the FASB issued ASU 2018-13 Fair Value Measurement (Topic 820): Disclosure Framework-Changes to the Disclosure Requirements for Fair Value Measurement. The amendments in this ASU remove some disclosure requirements relating to transfers between Level 1 and Level 2 of the fair value hierarchy and introduce new disclosure requirements for Level 3 measurements. We adopted the disclosure improvements prospectively on January 1, 2020, but this amendment has not had a material impact on our disclosure requirements as we have no Level 3 measurements. In October 2018, the FASB issued ASU 2018-17 Consolidation (Topic 810) - Targeted Improvements to Related Party Guidance for Variable Interest Entities, effective January 1, 2020. The amendments in this ASU specify that for the purposes of determining whether a decision-making fee is a variable interest, a company is now required to consider indirect interests held through related parties under common control on a proportionate basis as opposed to as a direct investment. We are required to adopt the codification improvements retrospectively using a cumulative-effect method to retained earnings of the earliest period presented herein, but the amendment had no impact on historic consolidation assessments or retained earnings. In March 2020, the FASB issued ASU 2020-03 Financial Instruments (Topic 825) - Codification Improvements. The amendments in this ASU propose seven clarifications to improve the understandability of existing guidance, including that fees between debtor and creditor and third-party costs directly related to exchanges or modifications of debt instruments include line-of-credit or revolving debt arrangements. We adopted the codification improvements that were effective on issuance from January 1, 2020 under the specified transition approach connected with each of the codification improvements. This amendment has not had a material impact on our consolidated financial statements or related disclosures, including retained earnings, as of January 1, 2020. Accounting pronouncements that have been issued but not adopted The following table provides a brief description of recent accounting standards that have been issued but not yet adopted:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Allowance for credit losses | Allowance for credit losses Financial assets recorded at amortized cost and off-balance sheet credit exposures not accounted for as insurance (including financial guarantees) reflect an allowance for current expected credit losses ("credit losses") over the lifetime of the instrument. The allowance for credit losses reflects a deduction to the net amount expected to be collected on the financial asset. Amounts are written off against the allowance when management believes the uncollectability of a balance is confirmed or certain. Expected recoveries will not exceed the aggregate of amounts previously written-off or current credit loss allowance by financial asset category. We estimate expected credit losses based on relevant information about past events, including historical experience, current conditions, and reasonable and supportable forecasts that affect the collectability of the reported amount. We have elected to calculate expected credit losses on the combined balance of both the amortized cost and accrued interest from the unpaid principal balance. Specific calculation of our credit allowances are included in the respective accounting policies included herein; all other financial assets are assessed on an individual basis calculated using the method we consider most appropriate for each asset.
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Trade accounts receivables | Trade accounts receivables Trade receivables are presented net of allowances for expected credit losses. At each balance sheet date, all potentially uncollectible accounts are assessed individually for the purposes of determining the appropriate allowance for expected credit loss. The expected credit loss allowance is calculated using a loss rate applied against an aging matrix, with assets pooled based on the vessel type that generated the underlying revenue (LNGC and FSRU), which reflects similar credit risk characteristics. Our trade receivables have short maturities so we have considered that forecasted changes to economic conditions will have an insignificant effect on the estimate of the allowance, except in extraordinary circumstances.
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Time charter sales-type leases | Time charter sales-type leases On inception of a sales-type lease for which we are lessor, we de-recognize the related asset and record "Investment in leased vessel, net” on our consolidated balance sheet. The investment in leased vessel, net represents the fixed payments due from the lessee, discounted at the rate implicit in the lease. We allocate sales-type lease income to the consolidated statements of operations in the "Interest income” line item to reflect a constant periodic rate of return on our sales-type lease investment. For sales-type leases, non-lease revenue and operating and service agreements in connection with the time charters are recorded over the term of the charter as the service is provided. The transaction price is based on the standalone selling price for the service. Amounts are presented net of allowances for credit losses, which are assessed at the individual lease level, reflecting the risk profile for each vessel unique to each project. The allowance is calculated by multiplying the balance exposed on default by the probability of default and loss given default over the term of the lease. The exposure at default is net of the vessel collateral that is returned on default. With forecasts for counterparty probability of default and loss given default not readily available or supportable for the life of the instrument, annualized rates have been applied based on a 5-year period forecast. A probability weighting has been applied to each period of default over the remaining instrument life.
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | Cash and cash equivalents We consider all demand and time deposits and highly liquid investments with original maturities of three months or less to be equivalent to cash. Amounts are presented net of allowances for credit losses, which are assessed based on consideration of whether the balances have short-term maturities and whether the counterparty has an investment grade credit rating, limiting any credit exposure.
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Restricted cash and short-term deposits | Restricted cash and short-term deposits Restricted cash and short-term deposits consist of bank deposits, which may only be used to settle certain pre-arranged loan or lease payments, other claims which requires us to restrict cash, performance bonds related to charters, cash collateral required for certain swaps, and cash held by the variable interest entity (“VIE”). We consider all short-term deposits as held to maturity. These deposits are carried at amortized cost. We place our short-term deposits primarily in fixed term deposits with high credit quality financial institutions. Amounts are presented net of allowances for credit losses, which are assessed based on consideration of whether the balances have short-term maturities and whether the counterparty has an investment grade credit rating, limiting any credit exposure.
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Guarantees | Guarantees Guarantees issued by us, excluding those that are guaranteeing our own performance, are recognized at fair value at the time that the guarantees are issued, and reported in “Other current liabilities” and "Other non-current liabilities". A liability is recognized for an amount corresponding to the fair value of the obligation undertaken in issuing the guarantee in connection with an investment in affiliate. If it becomes probable that we will have to perform under a guarantee, we will recognize an additional liability if (and when) the amount of the loss can be reasonably estimated. The recognition of fair value is not required for certain guarantees such as the parent's guarantee of a subsidiary's debt to a third party. For those guarantees excluded from the above guidance requiring recognition of the liability for its fair value, financial statement disclosures of such items are made. Financial guarantees are assessed for credit losses and any allowance is presented as a liability for off-balance sheet credit exposures where the balance exceeds the collateral provided over the remaining instrument life. The allowance is assessed at the individual guarantee level, calculated by multiplying the balance exposed on default by the probability of default and loss given default over the term of the guarantee.
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Use of estimates | Use of estimates The preparation of financial statements in accordance with U.S. GAAP requires that management make estimates and assumptions affecting the reported amounts of assets and liabilities and disclosure of material contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. In assessing the recoverability of our vessels’ carrying amounts, we make assumptions regarding estimated future cash flows, estimates in respect of residual values, charter rates, ship operating expenses and drydocking requirements. During the period ended September 30, 2020, following the coronavirus ("COVID-19") outbreak and its impact on our operations, we considered whether indicators of impairment existed that could indicate that the carrying amounts of the vessels may not be recoverable or whether changes in circumstances had occurred to warrant a change in the assumptions utilized in the December 31, 2019 impairment tests of our vessels. We concluded no impairment should be recognized on our vessels as of September 30, 2020 however, we will continue to monitor developments in the markets in which we operate for indications that the carrying value of our vessels may not be recoverable.
|
RECENTLY ISSUED ACCOUNTING STANDARDS (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Sep. 30, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accounting Policies [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of New Accounting Pronouncements and Changes in Accounting Principles | The following table provides a brief description of recent accounting standards that have been issued but not yet adopted:
|
VARIABLE INTEREST ENTITIES ("VIEs") (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Sep. 30, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Sale Leaseback Transactions | The following table gives a summary of the sale and leaseback arrangement, including repurchase options and obligation as of September 30, 2020:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary of Payment Obligations Under the Bareboat Charter | A summary of our payment obligations under the bareboat charter with Eskimo SPV as of September 30, 2020 is shown below:
(1) For the three months ending December 31, 2020. *This payment obligation table above includes variable rental payments due under the lease based on an assumed LIBOR plus margin, but excludes the repurchase obligation at the end of the lease term.
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Variable Interest Entities | The most significant impact of Eskimo SPV’s liabilities on our condensed consolidated balance sheet is as follows:
The following table summarizes the financial information of Hilli LLC shown on a 100% basis as of September 30, 2020 and December 31, 2019:
*The summarized financial information of Hilli LLC excludes the Hilli LLC lessor VIE's financial information.
|
SEGMENT INFORMATION (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Sep. 30, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Segment Reporting [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Segment Reporting Information, by Segment |
(1) Includes revenue relating to operating and service contracts, that is a non-lease component of sales-type leases recognized on a straight-line basis over the contract term. (2) Relates to the effective share of revenues, expenses and Adjusted EBITDA attributable to our 50% ownership of the Hilli Common Units which we acquired in July 2018 (see note 9). The earnings attributable to our investment in Hilli LLC are reported in the equity in net earnings of affiliate in our unaudited condensed consolidated statement of operations. (3) Relates to assets not allocated to a segment, but included to reconcile to the total assets in our condensed consolidated balance sheets. (4) Eliminations reverse the effective earnings attributable to our 50% ownership of the Hilli Common Units and the amounts invoiced under the sales-type lease. There are no transactions between reportable segments. (5) Indirect administrative expenses are allocated to the FSRU and LNG carrier segments based on the number of vessels while administrative expenses for FLNG relates to our effective share of expenses attributable to our 50% ownership of the Hilli Common Units. (6) Total assets by segment refers to our principal assets being that of our vessels, including the net investment in leased vessel.
|
LOSSES ON DERIVATIVE INSTRUMENTS AND OTHER FINANCIAL ITEMS, NET (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Sep. 30, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other Income and Expenses [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Derivatives and Other Financial Items |
|
OPERATING LEASES (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Sep. 30, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Leases [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Operating Lease Income | The components of operating lease income were as follows:
|
INVESTMENTS IN AFFILIATE (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Sep. 30, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Equity Method Investments and Joint Ventures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investments in and Advances to Affiliates | The components of our equity method investment in Hilli LLC are as follows:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Variable Interest Entities | The most significant impact of Eskimo SPV’s liabilities on our condensed consolidated balance sheet is as follows:
The following table summarizes the financial information of Hilli LLC shown on a 100% basis as of September 30, 2020 and December 31, 2019:
*The summarized financial information of Hilli LLC excludes the Hilli LLC lessor VIE's financial information.
|
OTHER CURRENT ASSETS (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Sep. 30, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Other Current Assets |
|
FINANCIAL INSTRUMENTS (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Sep. 30, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Carrying Value and Estimated Fair Value of the Partnership's Financial Instruments | The carrying value and estimated fair value of our financial instruments as of September 30, 2020 and December 31, 2019 are as follows:
(1) This pertains to the 2015 and 2017 Norwegian bonds with a carrying value of $393.0 million as of September 30, 2020 (December 31, 2019: $400.0 million), that includes the premium payable at maturity accreted using the effective interest rate method over the instrument term of $3.0 million. This is included under long-term debt on our condensed consolidated balance sheet. The fair value of the bonds as of September 30, 2020 was $331.2 million (December 31, 2019: $394.7 million), which is 84.28% of their face value (December 31, 2019: 98.68%). (2) Our short-term and long-term debt and finance lease obligations are recorded at amortized cost in our condensed consolidated balance sheet. The long-term debt, in the table above, is presented gross of deferred financing cost of $6.5 million as of September 30, 2020 (December 31, 2019: $6.0 million). (3) Derivative liabilities are captured within other current liabilities and derivative assets are generally captured within other current assets and non-current assets on our condensed consolidated balance sheet. (4) The fair value of certain derivative instruments is the estimated amount that we would receive or pay to terminate the agreements at the reporting date, taking into account current interest rates, foreign exchange rates, closing quoted market prices and our creditworthiness and that of our counterparties.
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Offsetting Assets | However, if we were to offset and record the asset and liability balances of derivatives on a net basis, the amounts presented in our condensed consolidated balance sheets as of September 30, 2020 and December 31, 2019 would be adjusted as detailed in the following table:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Offsetting Liabilities | However, if we were to offset and record the asset and liability balances of derivatives on a net basis, the amounts presented in our condensed consolidated balance sheets as of September 30, 2020 and December 31, 2019 would be adjusted as detailed in the following table:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest Rate Swap Transactions | As of September 30, 2020, we had entered into the following interest rate swap transactions involving the payment of fixed rates in exchange for LIBOR as summarized below:
|
RELATED PARTY TRANSACTIONS (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Sep. 30, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Related Party Transactions [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Related Party Transactions | Net expense from related parties:
(Payables)/receivables with related parties: As of September 30, 2020 and December 31, 2019, balances with related parties consisted of the following:
|
OTHER COMMITMENTS AND CONTINGENCIES (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Sep. 30, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commitments and Contingencies Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Book Value of the Partnership's Vessels Secured Against Long Term Loans and Capital Leases | Assets pledged
|
EARNINGS/ LOSSES PER UNIT AND CASH DISTRIBUTIONS (Tables) |
9 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Sep. 30, 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings Per Share [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Calculations of Basic and Diluted Earnings per Unit | The calculations of basic and diluted earnings/losses per common unit are presented below:
______________________________________ (1) Refers to distributions made or to be made in relation to the period, irrespective of the declaration and payment dates, and is based on the weighted average number of common units outstanding in the period. (2) Refers to cash distributions declared and paid during the period. (3) Refers to cash distributions declared relating to the period and paid subsequent to the period end.
|
GENERAL (Details) |
Sep. 30, 2020
carrier
storage_unit
|
Dec. 31, 2019 |
Jul. 31, 2018 |
Jul. 12, 2018 |
---|---|---|---|---|
Golar | ||||
Business Acquisition [Line Items] | ||||
Ownership percentage | 30.80% | 30.60% | ||
Golar GP LLC | ||||
Business Acquisition [Line Items] | ||||
General partner ownership | 2.00% | 2.00% | ||
FSRU | ||||
Business Acquisition [Line Items] | ||||
Number of vessels | storage_unit | 6 | |||
LNG Carrier | ||||
Business Acquisition [Line Items] | ||||
Number of vessels | carrier | 4 | |||
Hilli LLC | ||||
Business Acquisition [Line Items] | ||||
Business acquisition, percentage of interests acquired | 50.00% | 50.00% |
RECENTLY ISSUED ACCOUNTING STANDARDS - ADDITIONAL INFORMATION (Details) - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2019 |
Sep. 30, 2020 |
Jan. 01, 2020 |
|
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Allowance for credit loss | $ 0.1 | ||
Accounting Standards Update [Extensible List] | us-gaap:AccountingStandardsUpdate201613Member | ||
Investment In Leased Vessel, Net | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Allowance for credit loss | $ 0.1 | ||
Cumulative Effect, Period of Adoption, Adjustment | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Allowance for credit loss | $ 0.5 | ||
Cumulative Effect, Period of Adoption, Adjustment | Other Current Assets | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Allowance for credit loss | 0.3 | ||
Cumulative Effect, Period of Adoption, Adjustment | Investment In Leased Vessel, Net | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Allowance for credit loss | $ 0.2 |
VARIABLE INTEREST ENTITIES ("VIEs") - NARRATIVE (Details) $ in Thousands |
1 Months Ended | 3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|---|
Nov. 30, 2015 |
Sep. 30, 2020
USD ($)
vessel
|
Sep. 30, 2019
USD ($)
|
Sep. 30, 2020
USD ($)
vessel
|
Sep. 30, 2019
USD ($)
|
|
Variable Interest Entity [Line Items] | |||||
Interest expense | $ 17,805 | $ 19,764 | $ 52,415 | $ 61,236 | |
Net cash used in financing activities | (117,327) | (136,160) | |||
Eskimo SPV Agreement | Golar Eskimo | |||||
Variable Interest Entity [Line Items] | |||||
Interest expense | 2,000 | 1,800 | 4,500 | 6,000 | |
Net cash used in financing activities | $ 5,300 | $ 4,600 | $ 16,900 | $ 13,800 | |
Eskimo SPV Agreement | Golar Eskimo | Variable Interest Entity, Primary Beneficiary | |||||
Variable Interest Entity [Line Items] | |||||
Number of vessels | vessel | 1 | 1 | |||
Lease term | 10 years |
VARIABLE INTEREST ENTITIES ("VIEs") - SCHEDULE OF SALE LEASEBACK TRANSACTIONS (Details) - Eskimo SPV Agreement - Golar Eskimo - Variable Interest Entity, Primary Beneficiary - USD ($) $ in Millions |
Nov. 30, 2025 |
Nov. 30, 2020 |
Sep. 30, 2020 |
---|---|---|---|
Variable Interest Entity [Line Items] | |||
Sales value | $ 285.0 | ||
Scenario, Forecast | |||
Variable Interest Entity [Line Items] | |||
Subsequent repurchase option | $ 202.0 | ||
Repurchase obligation at end of lease term | $ 128.3 |
VARIABLE INTEREST ENTITIES ("VIEs") - PAYMENT OBLIGATIONS (Details) - Golar Eskimo - Eskimo SPV Agreement - Variable Interest Entity, Primary Beneficiary $ in Thousands |
Sep. 30, 2020
USD ($)
|
---|---|
Variable Interest Entity [Line Items] | |
2020 | $ 5,041 |
2021 | 19,749 |
2022 | 19,284 |
2023 | 18,849 |
2024 | 18,511 |
After 2024 | $ 15,152 |
VARIABLE INTEREST ENTITIES ("VIEs") - SCHEDULE OF ASSETS AND LIABILITIES IMPACTING BALANCE SHEET (Details) - USD ($) $ in Thousands |
Sep. 30, 2020 |
Dec. 31, 2019 |
---|---|---|
Liabilities | ||
Long-term debt | $ 555,772 | $ 991,679 |
Eskimo SPV Agreement | Golar Eskimo | ||
Liabilities | ||
Short-term debt | 11,097 | 11,436 |
Long-term debt | $ 156,352 | $ 169,395 |
VARIABLE INTEREST ENTITIES ("VIEs") VARIABLE INTEREST ENTITIES ("VIEs") - HILLI LLC (Details) - USD ($) $ in Thousands |
Sep. 30, 2020 |
Dec. 31, 2019 |
Jul. 31, 2018 |
Jul. 12, 2018 |
---|---|---|---|---|
Variable Interest Entity [Line Items] | ||||
Investment in affiliate | $ 191,012 | $ 193,270 | ||
Hilli LLC | ||||
Variable Interest Entity [Line Items] | ||||
Investment in affiliate | 191,012 | $ 193,270 | ||
Hilli LLC | Variable Interest Entity, Not Primary Beneficiary | ||||
Variable Interest Entity [Line Items] | ||||
Investment in affiliate | $ 191,000 | |||
Hilli LLC | ||||
Variable Interest Entity [Line Items] | ||||
Business acquisition, percentage of interests acquired | 50.00% | 50.00% | ||
Hilli LLC | Hilli LLC | Variable Interest Entity, Not Primary Beneficiary | ||||
Variable Interest Entity [Line Items] | ||||
Business acquisition, percentage of interests acquired | 50.00% |
SEGMENT INFORMATION - NARRATIVE (Details) |
9 Months Ended |
---|---|
Sep. 30, 2020
vessel
segment
| |
Segment Reporting Information [Line Items] | |
Number of reportable segments | segment | 3 |
FSRU | |
Segment Reporting Information [Line Items] | |
Number of vessels | 6 |
LNG Carrier | |
Segment Reporting Information [Line Items] | |
Number of vessels | 4 |
SEGMENT INFORMATION - SCHEDULE BY SEGMENT (Details) - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | |||||
---|---|---|---|---|---|---|---|
Sep. 30, 2020 |
Sep. 30, 2019 |
Sep. 30, 2020 |
Sep. 30, 2019 |
Dec. 31, 2019 |
Jul. 31, 2018 |
Jul. 12, 2018 |
|
Segment Reporting Information [Line Items] | |||||||
Total operating revenues | $ 71,113 | $ 75,818 | $ 213,042 | $ 223,089 | |||
Vessel operating expenses | (14,015) | (14,740) | (43,218) | (46,463) | |||
Voyage and commission expenses | (1,571) | (1,685) | (6,114) | (5,164) | |||
Administrative expenses | (3,427) | (3,110) | (11,057) | (10,227) | |||
Amount invoiced under sales-type lease | 0 | 0 | 0 | 0 | |||
Adjusted EBITDA | 52,100 | 56,283 | 152,653 | 161,235 | |||
Total assets | 2,041,206 | 2,121,633 | 2,041,206 | 2,121,633 | $ 2,105,612 | ||
Hilli LLC | |||||||
Segment Reporting Information [Line Items] | |||||||
Business acquisition, percentage of interests acquired | 50.00% | 50.00% | |||||
Operating Segments | |||||||
Segment Reporting Information [Line Items] | |||||||
Total operating revenues | 97,131 | 101,836 | 291,096 | 301,143 | |||
Vessel operating expenses | (20,063) | (20,426) | (60,880) | (64,265) | |||
Voyage and commission expenses | (1,571) | (1,685) | (6,114) | (5,394) | |||
Administrative expenses | (3,548) | (3,333) | (11,430) | (10,957) | |||
Amount invoiced under sales-type lease | 4,600 | 4,600 | 13,700 | 6,900 | |||
Adjusted EBITDA | 76,549 | 80,992 | 226,372 | 227,427 | |||
Total assets | 2,041,206 | 2,121,633 | 2,041,206 | 2,121,633 | |||
Operating Segments | FSRU | |||||||
Segment Reporting Information [Line Items] | |||||||
Total operating revenues | 58,276 | 63,490 | 170,750 | 181,719 | |||
Vessel operating expenses | (9,627) | (9,542) | (29,647) | (31,405) | |||
Voyage and commission expenses | (1,450) | (1,002) | (3,698) | (3,236) | |||
Administrative expenses | (2,093) | (1,870) | (6,926) | (6,194) | |||
Amount invoiced under sales-type lease | 4,600 | 4,600 | 13,700 | 6,900 | |||
Adjusted EBITDA | 49,706 | 55,676 | 144,179 | 147,784 | |||
Total assets | 1,048,346 | 1,090,228 | 1,048,346 | 1,090,228 | |||
Operating Segments | LNG Carrier | |||||||
Segment Reporting Information [Line Items] | |||||||
Total operating revenues | 12,837 | 12,328 | 42,292 | 41,370 | |||
Vessel operating expenses | (4,388) | (5,198) | (13,571) | (15,058) | |||
Voyage and commission expenses | (121) | (683) | (2,416) | (1,928) | |||
Administrative expenses | (1,334) | (1,240) | (4,131) | (4,033) | |||
Amount invoiced under sales-type lease | 0 | 0 | 0 | 0 | |||
Adjusted EBITDA | 6,994 | 5,207 | 22,174 | 20,351 | |||
Total assets | 492,294 | 516,802 | 492,294 | 516,802 | |||
Operating Segments | FLNG | |||||||
Segment Reporting Information [Line Items] | |||||||
Total operating revenues | 26,018 | 26,018 | 78,054 | 78,054 | |||
Vessel operating expenses | (6,048) | (5,686) | (17,662) | (17,802) | |||
Voyage and commission expenses | 0 | 0 | 0 | (230) | |||
Administrative expenses | (121) | (223) | (373) | (730) | |||
Amount invoiced under sales-type lease | 0 | 0 | 0 | 0 | |||
Adjusted EBITDA | 19,849 | 20,109 | 60,019 | 59,292 | |||
Total assets | 191,012 | 196,045 | 191,012 | 196,045 | |||
Unallocated | |||||||
Segment Reporting Information [Line Items] | |||||||
Total operating revenues | 0 | 0 | 0 | 0 | |||
Vessel operating expenses | 0 | 0 | 0 | 0 | |||
Voyage and commission expenses | 0 | 0 | 0 | 0 | |||
Administrative expenses | 0 | 0 | 0 | 0 | |||
Amount invoiced under sales-type lease | 0 | 0 | 0 | 0 | |||
Adjusted EBITDA | 0 | 0 | 0 | 0 | |||
Total assets | 309,554 | 318,558 | 309,554 | 318,558 | |||
Eliminations | |||||||
Segment Reporting Information [Line Items] | |||||||
Total operating revenues | (26,018) | (26,018) | (78,054) | (78,054) | |||
Vessel operating expenses | 6,048 | 5,686 | 17,662 | 17,802 | |||
Voyage and commission expenses | 0 | 0 | 0 | 230 | |||
Administrative expenses | 121 | 223 | 373 | 730 | |||
Amount invoiced under sales-type lease | (4,600) | (4,600) | (13,700) | (6,900) | |||
Adjusted EBITDA | (24,449) | (24,709) | (73,719) | (66,192) | |||
Total assets | $ 0 | $ 0 | $ 0 | $ 0 |
LOSSES ON DERIVATIVE INSTRUMENTS AND OTHER FINANCIAL ITEMS, NET - SCHEDULE OF OTHER FINANCIAL ITEMS (Details) - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Sep. 30, 2020 |
Sep. 30, 2019 |
Sep. 30, 2020 |
Sep. 30, 2019 |
|
Component of Other Income (Expense), Nonoperating [Line Items] | ||||
Gain (loss) on derivative instruments | $ (1,051) | $ (9,937) | $ (52,358) | $ (48,406) |
Amortization of partnership guarantee | 436 | 510 | 1,357 | 1,579 |
Foreign exchange gains (losses) | 263 | (351) | ||
Financing arrangement fees and other costs | (156) | (203) | (342) | (448) |
Other financial items, net | (29) | 541 | 998 | 757 |
Capital lease obligation and related Restricted Cash | ||||
Component of Other Income (Expense), Nonoperating [Line Items] | ||||
Foreign exchange gains (losses) | (256) | 249 | 263 | (351) |
Interest Rate Swap | ||||
Component of Other Income (Expense), Nonoperating [Line Items] | ||||
Gain (loss) on derivative instruments | 4,768 | (10,860) | (41,918) | (53,836) |
Net Interest Income (Expense) within Derivative Financial Instruments | Interest Rate Swap | ||||
Component of Other Income (Expense), Nonoperating [Line Items] | ||||
Gain (loss) on derivative instruments | (5,819) | 923 | (10,440) | 5,430 |
Other Non-Operating Expense | ||||
Component of Other Income (Expense), Nonoperating [Line Items] | ||||
Foreign exchange gains (losses) | $ (53) | $ (15) | $ (280) | $ (23) |
TAXATION (Details) - USD ($) |
3 Months Ended | 9 Months Ended | |||
---|---|---|---|---|---|
Sep. 30, 2020 |
Sep. 30, 2019 |
Sep. 30, 2020 |
Sep. 30, 2019 |
Dec. 31, 2019 |
|
Income Tax Contingency [Line Items] | |||||
Provision for certain immaterial risks | $ 6,200,000 | $ 6,200,000 | $ 4,600,000 | ||
Jordan | Foreign Tax Authority | |||||
Income Tax Contingency [Line Items] | |||||
Net deferred tax liability | 12,200,000 | 12,200,000 | $ 10,600,000 | ||
Deferred tax charge related to depreciation | 500,000 | $ 500,000 | 1,600,000 | $ 1,500,000 | |
Deferred tax expense related to new solidarity tax | $ 0 | $ 1,400,000 | $ 0 | $ 1,400,000 |
OPERATING LEASES - OPERATING LEASE INCOME (Details) - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Sep. 30, 2020 |
Sep. 30, 2019 |
Sep. 30, 2020 |
Sep. 30, 2019 |
|
Leases [Abstract] | ||||
Operating lease income | $ 68,378 | $ 73,794 | $ 205,409 | $ 218,683 |
Variable lease income | 680 | 0 | 1,574 | 1,393 |
Total operating lease income | $ 69,058 | $ 73,794 | $ 206,983 | $ 220,076 |
INVESTMENTS IN AFFILIATE (Details) - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Sep. 30, 2020 |
Sep. 30, 2019 |
Sep. 30, 2020 |
Sep. 30, 2019 |
|
Underlying Equity in Net Assets [Roll Forward] | ||||
Equity in net assets of affiliate at January 1, 2020 | $ 193,270 | |||
Equity in net earnings of affiliate | $ 3,277 | $ 1,181 | 8,000 | $ 2,773 |
Equity in net assets of affiliate at September 30, 2020 | 191,012 | 191,012 | ||
Hilli LLC | ||||
Underlying Equity in Net Assets [Roll Forward] | ||||
Equity in net assets of affiliate at January 1, 2020 | 193,270 | |||
Dividend | (10,258) | |||
Equity in net assets of affiliate at September 30, 2020 | $ 191,012 | $ 191,012 |
INVESTMENTS IN AFFILIATE - SUMMARIZED FINANCIAL INFORMATION OF HILLI LLC (Details) - USD ($) $ in Thousands |
Sep. 30, 2020 |
Dec. 31, 2019 |
---|---|---|
Schedule of Equity Method Investments [Line Items] | ||
Current assets | $ 139,697 | $ 133,299 |
Current liabilities | (729,060) | (309,154) |
Hilli LLC | ||
Schedule of Equity Method Investments [Line Items] | ||
Current assets | 59,900 | 54,000 |
Non-current assets | 1,223,490 | 1,300,065 |
Current liabilities | (39,423) | (45,106) |
Non-current liabilities | $ (865,580) | $ (924,578) |
OTHER CURRENT ASSETS - SCHEDULE OF OTHER CURRENT ASSETS (Details) - USD ($) $ in Thousands |
Sep. 30, 2020 |
Dec. 31, 2019 |
---|---|---|
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Other receivables | $ 16,406 | $ 9,807 |
Prepaid expenses | 2,257 | 2,087 |
Other current assets | 35,176 | 29,197 |
Trade receivables | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Receivables | $ 16,513 | $ 17,303 |
OTHER CURRENT ASSETS - Narrative (Details) - USD ($) |
Sep. 30, 2020 |
Dec. 31, 2019 |
---|---|---|
Derivative [Line Items] | ||
Amount expected to be recovered | $ 15,100,000 | $ 8,200,000 |
Allowance for credit loss | 100,000 | |
Other Current Liabilities | ||
Derivative [Line Items] | ||
Accrued withholding and payroll taxes, current | 15,100,000 | $ 8,200,000 |
Other Current Assets | ||
Derivative [Line Items] | ||
Accrued interest | $ 0 |
DEBT (Details) |
1 Months Ended | |||
---|---|---|---|---|
Apr. 30, 2016
USD ($)
vessel
|
Sep. 30, 2020
USD ($)
|
May 05, 2020
USD ($)
$ / shares
|
Dec. 31, 2019
USD ($)
|
|
Short-term Debt [Line Items] | ||||
Total long-term debt outstanding | $ 1,146,000,000.0 | $ 1,216,900,000 | ||
Deferred financing costs | 6,500,000 | 6,000,000.0 | ||
Senior Secured Credit Facility | $800 Million Facility | ||||
Short-term Debt [Line Items] | ||||
Debt instrument, face amount | $ 800,000,000.0 | |||
Number of vessels as collateral | vessel | 7 | |||
Debt instrument, term | 5 years | |||
Restricted cash and cash equivalents | 18,200,000 | 23,600,000 | ||
Senior Secured Credit Facility | Line of Credit | ||||
Short-term Debt [Line Items] | ||||
Debt instrument, balloon payment to be paid | $ 378,000,000.0 | |||
Senior Secured Credit Facility | Line of Credit | $800 Million Facility | London Interbank Offered Rate (LIBOR) | ||||
Short-term Debt [Line Items] | ||||
Basis spread on variable rate | 2.50% | |||
Norwegian Bond Amendments | ||||
Short-term Debt [Line Items] | ||||
Dividends payable, amount per share, allowable under bond amendment | $ / shares | $ 0.0808 | |||
Norwegian Bond Amendments | Extended Bonds | ||||
Short-term Debt [Line Items] | ||||
Debt instrument, allowable amount under bond amendment | $ 25,000,000.0 | |||
$800 Million Facility | ||||
Short-term Debt [Line Items] | ||||
Long-term debt, gross | $ 529,000,000.0 | $ 568,000,000.0 |
INVESTMENT IN LEASED VESSEL, NET (Details) - USD ($) |
3 Months Ended | 9 Months Ended | |||
---|---|---|---|---|---|
Sep. 30, 2020 |
Sep. 30, 2019 |
Sep. 30, 2020 |
Sep. 30, 2019 |
Dec. 31, 2019 |
|
Lessor, Lease, Description [Line Items] | |||||
Current portion of investment in leased vessel, net | $ 2,490,000 | $ 2,490,000 | $ 2,308,000 | ||
Investment in leased vessel, net | 109,939,000 | 109,939,000 | $ 111,829,000 | ||
Allowance for credit loss | 100,000 | $ 100,000 | |||
Termination period | 3 years | ||||
Investment In Leased Vessel, Net | |||||
Lessor, Lease, Description [Line Items] | |||||
Allowance for credit loss | 100,000 | $ 100,000 | |||
Accrued interest | 0 | 0 | |||
Leased Vessel | |||||
Lessor, Lease, Description [Line Items] | |||||
Gain (loss) on disposition | $ 4,200,000 | ||||
Amount invoiced under sales-type finance lease | $ 4,000,000.0 | $ 4,100,000 | $ 12,000,000.0 | $ 5,400,000 |
FINANCIAL INSTRUMENTS - CARRYING VALUE AND ESTIMATED FAIR VALUE OF THE PARTNERSHIP'S FINANCIAL INSTRUMENTS (Details) - USD ($) $ in Thousands |
Sep. 30, 2020 |
Dec. 31, 2019 |
Sep. 30, 2019 |
Dec. 31, 2018 |
---|---|---|---|---|
Non-Derivatives: | ||||
Cash and cash equivalents | $ 42,263 | $ 47,661 | $ 51,961 | $ 96,648 |
Restricted cash and short-term deposits | 57,143 | 46,333 | $ 48,743 | $ 31,330 |
2015 and 2017 Norwegian Bonds | (1,146,000) | (1,216,900) | ||
Derivatives: | ||||
Derivative asset | 0 | 1,285 | ||
Derivative liability | 76,800 | 36,167 | ||
Deferred financing costs | 6,500 | 6,000 | ||
Carrying Value | Level 1 | ||||
Non-Derivatives: | ||||
Cash and cash equivalents | 42,263 | 47,661 | ||
Restricted cash and short-term deposits | 181,174 | 182,261 | ||
Carrying Value | Level 1 | Norwegian Bonds | ||||
Non-Derivatives: | ||||
2015 and 2017 Norwegian Bonds | (393,017) | (400,000) | ||
Derivatives: | ||||
Premium payable at maturity accreted | 3,000 | |||
Carrying Value | Level 2 | ||||
Non-Derivatives: | ||||
Short and long-term debt - floating | (759,499) | (822,944) | ||
Obligation under finance lease | (118,206) | (122,779) | ||
Carrying Value | Level 2 | Interest Rate Swap | ||||
Derivatives: | ||||
Derivative asset | 0 | 1,285 | ||
Derivative liability | (76,800) | (36,167) | ||
Fair Value | Level 1 | ||||
Non-Derivatives: | ||||
Cash and cash equivalents, fair value | 42,263 | 47,661 | ||
Restricted cash and short-term deposits, fair value | 181,174 | 182,261 | ||
Fair Value | Level 1 | Norwegian Bonds | ||||
Non-Derivatives: | ||||
2015 and 2017 Norwegian Bonds, fair value | $ (331,236) | $ (394,715) | ||
Derivatives: | ||||
Fair value of high yield bonds of face value | 84.28% | 98.68% | ||
Fair Value | Level 2 | ||||
Non-Derivatives: | ||||
Short and long-term debt - floating, fair value | $ (759,499) | $ (822,944) | ||
Obligation under finance lease | (118,206) | (122,779) | ||
Fair Value | Level 2 | Interest Rate Swap | ||||
Derivatives: | ||||
Derivative asset | 0 | 1,285 | ||
Derivative liability | $ (76,800) | $ (36,167) |
FINANCIAL INSTRUMENTS - SCHEDULE OF OFFSETTING DERIVATIVE ASSETS AND LIABILITIES (Details) - USD ($) $ in Thousands |
Sep. 30, 2020 |
Dec. 31, 2019 |
---|---|---|
Total asset derivatives | ||
Gross amounts presented in the consolidated balance sheet | $ 0 | $ 1,285 |
Gross amounts not offset in the consolidated balance sheet subject to netting agreements | 0 | (1,029) |
Net amount | 0 | 256 |
Total liability derivatives | ||
Gross amounts presented in the consolidated balance sheet | (76,800) | (36,167) |
Gross amounts not offset in the consolidated balance sheet subject to netting agreements | 0 | 1,029 |
Net amount | $ (76,800) | $ (35,138) |
FINANCIAL INSTRUMENTS - NARRATIVE (Details) - Interest Rate Swap - USD ($) $ in Millions |
Sep. 30, 2020 |
Dec. 31, 2019 |
---|---|---|
Derivative [Line Items] | ||
Initial cash collateral | $ 2.5 | |
Restricted cash and cash equivalents | $ 29.4 | $ 14.8 |
FINANCIAL INSTRUMENTS - INTEREST RATE SWAP TRANSACTIONS (Details) - Interest Rate Swap $ in Thousands |
Sep. 30, 2020
USD ($)
|
---|---|
Derivative [Line Items] | |
Notional amount | $ 1,252,287 |
Minimum | |
Derivative [Line Items] | |
Fixed Interest Rates | 1.12% |
Maximum | |
Derivative [Line Items] | |
Fixed Interest Rates | 2.90% |
RELATED PARTY TRANSACTIONS - SCHEDULE OF RELATED PARTY TRANSACTIONS (Details) - Golar and Affiliates - USD ($) |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Sep. 30, 2020 |
Sep. 30, 2019 |
Sep. 30, 2020 |
Sep. 30, 2019 |
|
Related Party Transaction | ||||
Management and administrative services fees | $ (2,215,000) | $ (2,448,000) | $ (6,324,000) | $ (7,195,000) |
Distributions with Golar, net | (460,000) | (3,163,000) | 178,000 | (14,572,000) |
Ship management fees | ||||
Related Party Transaction | ||||
Fees and expenses | (1,316,000) | (1,115,000) | (3,948,000) | (3,345,000) |
Interest Expense On Short-Term Credit Facility | ||||
Related Party Transaction | ||||
Fees and expenses | $ 0 | $ 0 | $ (285,000) | $ 0 |
RELATED PARTY TRANSACTIONS - SCHEDULE OF RELATED PARTY BALANCES (Details) - Golar LNG Limited - USD ($) $ in Thousands |
Sep. 30, 2020 |
Dec. 31, 2019 |
---|---|---|
Related Party Transaction | ||
Total due (to)/from related parties | $ (4,427) | $ 5,098 |
Balances due (to)/from Golar and affiliates | ||
Related Party Transaction | ||
Total due (to)/from related parties | (4,278) | 2,845 |
Methane Princess lease security deposit movements | ||
Related Party Transaction | ||
Total due (to)/from related parties | $ (149) | $ 2,253 |
RELATED PARTY TRANSACTIONS - NARRATIVE (Details) |
1 Months Ended | 3 Months Ended | 9 Months Ended | ||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Nov. 28, 2018
USD ($)
|
Sep. 09, 2015
USD ($)
quarterly_payment
|
May 31, 2020
USD ($)
|
Apr. 30, 2020
USD ($)
|
Mar. 31, 2020
USD ($)
|
Feb. 29, 2020
USD ($)
|
Sep. 30, 2020
USD ($)
|
Sep. 30, 2019
USD ($)
|
Sep. 30, 2020
USD ($)
|
Sep. 30, 2019
USD ($)
|
Dec. 31, 2018
USD ($)
|
Jul. 31, 2018 |
Jul. 12, 2018 |
|
Related Party Transaction | |||||||||||||
Repayments of debt | $ 113,445,000 | $ 63,853,000 | |||||||||||
Distributions paid | 40,506,000 | 95,021,000 | |||||||||||
Debt guarantee | $ 405,800,000 | $ 405,800,000 | |||||||||||
Golar Management | |||||||||||||
Related Party Transaction | |||||||||||||
Management fee (percentage) | 5.00% | ||||||||||||
Required notice for termination of management service agreement (in days) | 120 days | ||||||||||||
Golar Management | Ship management fees | |||||||||||||
Related Party Transaction | |||||||||||||
Required notice for termination of management service agreement (in days) | 30 days | ||||||||||||
Golar LNG Limited | |||||||||||||
Related Party Transaction | |||||||||||||
Distributions paid | 500,000 | $ 9,200,000 | $ 10,100,000 | 27,500,000 | |||||||||
Golar, Keppel, and B&V | |||||||||||||
Related Party Transaction | |||||||||||||
Reimbursement percent | 50.00% | ||||||||||||
Reimbursement threshold | $ 32,400,000 | ||||||||||||
Withholding taxes threshold | $ 4,200,000 | ||||||||||||
Maximum exposure period | 8 years | ||||||||||||
Maximum reimbursement | 20,000,000 | $ 20,000,000 | |||||||||||
Fortune Lianjiang Shipping | Golar Hilli LLC | |||||||||||||
Related Party Transaction | |||||||||||||
Covenant, free liquid assets | $ 30,000,000 | ||||||||||||
Covenant, net debt to EBITDA leverage ratio, maximum | 6.5 | ||||||||||||
Covenant, consolidated tangible net worth | $ 123,950,000 | ||||||||||||
Hilli LLC | |||||||||||||
Related Party Transaction | |||||||||||||
Business acquisition, percentage of interests acquired | 50.00% | 50.00% | |||||||||||
Affiliated Entity | PT Pesona | |||||||||||||
Related Party Transaction | |||||||||||||
Agency expense | 100,000 | 100,000 | 400,000 | 400,000 | |||||||||
Golar LNG Limited | Ship management fees | |||||||||||||
Related Party Transaction | |||||||||||||
Interest paid | (1,316,000) | (1,115,000) | (3,948,000) | (3,345,000) | |||||||||
Golar LNG Limited | Interest Expense On Short-Term Credit Facility | |||||||||||||
Related Party Transaction | |||||||||||||
Interest paid | 0 | 0 | (285,000) | 0 | |||||||||
Other Current Liabilities | |||||||||||||
Related Party Transaction | |||||||||||||
Guarantees, fair value | 1,600,000 | 1,600,000 | |||||||||||
Other Noncurrent Liabilities | |||||||||||||
Related Party Transaction | |||||||||||||
Guarantees, fair value | 5,400,000 | 5,400,000 | |||||||||||
Hilli Facility | Hilli LLC | |||||||||||||
Related Party Transaction | |||||||||||||
Debt instrument, face amount | $ 960,000,000 | ||||||||||||
Basis spread on variable rate | 3.95% | ||||||||||||
Long-term debt, term | 10 years | ||||||||||||
Number of quarterly repayments | quarterly_payment | 40 | ||||||||||||
Percentage of quarterly repayments of construction costs | 1.375% | ||||||||||||
Unsecured Revolving Credit Facility | Golar LNG Limited | Revolving Credit Facility | |||||||||||||
Related Party Transaction | |||||||||||||
Line of credit facility, maximum borrowing capacity | $ 25,000,000.0 | ||||||||||||
Proceeds from related party debt | $ 15,000,000.0 | ||||||||||||
Unsecured Revolving Credit Facility | Golar LNG Limited | Revolving Credit Facility | London Interbank Offered Rate (LIBOR) | |||||||||||||
Related Party Transaction | |||||||||||||
Basis spread on variable rate | 5.00% | ||||||||||||
Golar Borrowings February Two Thousand Twenty | Golar LNG Limited | |||||||||||||
Related Party Transaction | |||||||||||||
Debt instrument, face amount | $ 25,000,000.0 | ||||||||||||
Repayments of debt | $ 5,000,000.0 | $ 20,000,000.0 | |||||||||||
Golar Borrowings February Two Thousand Twenty | Golar LNG Limited | London Interbank Offered Rate (LIBOR) | |||||||||||||
Related Party Transaction | |||||||||||||
Basis spread on variable rate | 5.00% | ||||||||||||
Interest Rate Swap | |||||||||||||
Related Party Transaction | |||||||||||||
Notional amount | 1,252,287,000 | 1,252,287,000 | |||||||||||
Interest Rate Swap | Hilli LLC | |||||||||||||
Related Party Transaction | |||||||||||||
Notional amount | $ 480,000,000.0 | ||||||||||||
Hilli LLC | |||||||||||||
Related Party Transaction | |||||||||||||
Cash distributions declared | 0 | 6,000,000.0 | 10,300,000 | 12,900,000 | |||||||||
Hilli LLC | Golar, Keppel, and B&V | |||||||||||||
Related Party Transaction | |||||||||||||
Operating expense reimbursement | 0 | $ 800,000 | 300,000 | $ 800,000 | |||||||||
Golar, Keppel, and B&V | |||||||||||||
Related Party Transaction | |||||||||||||
Reimbursement threshold | 39,500,000 | ||||||||||||
Withholding taxes threshold | 5,200,000 | ||||||||||||
Maximum reimbursement | $ 20,000,000 | $ 20,000,000 | |||||||||||
PT Pesona | |||||||||||||
Related Party Transaction | |||||||||||||
Noncontrolling interest, ownership percentage by noncontrolling owners | 51.00% | 51.00% |
OTHER COMMITMENTS AND CONTINGENCIES (Details) £ in Millions |
9 Months Ended | ||
---|---|---|---|
Sep. 30, 2020
USD ($)
lease
|
Sep. 30, 2020
GBP (£)
|
Dec. 31, 2019
USD ($)
|
|
Loss Contingencies [Line Items] | |||
Assets pledged | $ 1,418,667,000 | $ 1,464,438,000 | |
Leases subject to tax lease | lease | 1 | ||
Accrued gain (loss) on terminated contracts | $ 1,500,000 | ||
Foreign Tax Authority | Indonesia | NR Satu Related Claim | |||
Loss Contingencies [Line Items] | |||
Estimate of possible loss | 24,000,000.0 | ||
Foreign Tax Authority | Indonesia | Land And Building Tax Assessments | |||
Loss Contingencies [Line Items] | |||
Loss contingency, estimate of possible loss | 3,800,000 | ||
Vessels And Equipment | |||
Loss Contingencies [Line Items] | |||
Assets pledged | 1,306,238,000 | 1,350,301,000 | |
Net Investment In Leased Vessel | |||
Loss Contingencies [Line Items] | |||
Assets pledged | 112,429,000 | $ 114,137,000 | |
Methane Princess | Minimum | Foreign Tax Authority | UNITED KINGDOM | |||
Loss Contingencies [Line Items] | |||
Estimate of possible loss | 0 | ||
Methane Princess | Maximum | Foreign Tax Authority | UNITED KINGDOM | |||
Loss Contingencies [Line Items] | |||
Estimate of possible loss | $ 32,000,000 | £ 24.0 |
EARNINGS/ LOSSES PER UNIT AND CASH DISTRIBUTIONS (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Sep. 30, 2020 |
Sep. 30, 2019 |
Sep. 30, 2020 |
Sep. 30, 2019 |
|
Earnings/(losses) per unit (basic and diluted): | ||||
Cash distributions declared and paid in the period per unit (in dollars per share) | $ 0.02 | $ 0.40 | $ 0.44 | $ 1.21 |
Subsequent event: Cash distributions declared and paid per unit relating to the period (in dollars per share) | $ 0.02 | $ 0.40 | $ 0.02 | $ 0.40 |
Ownership interest by third party (percentage) | 69.20% | 69.20% | ||
Common unitholders | ||||
Distribution Made to Limited Partner | ||||
Common unitholders’ interest in net income/(loss) | $ 14,054 | $ 4,808 | $ (10,398) | $ (21,213) |
Less: distributions paid | (1,400) | (39,844) | (4,200) | (120,065) |
Under/(over) distributed earnings | $ 12,654 | $ (35,036) | $ (14,598) | $ (141,278) |
Basic and diluted: | ||||
Weighted average units outstanding (in shares) | 69,302 | 69,379 | 69,302 | 69,429 |
Earnings/(losses) per unit (basic and diluted): | ||||
Basic and diluted - common unitholders (in dollars per share) | $ 0.20 | $ 0.07 | $ (0.15) | $ (0.31) |
SUBSEQUENT EVENTS (Details) - USD ($) |
1 Months Ended | 9 Months Ended | ||||
---|---|---|---|---|---|---|
Nov. 14, 2020 |
Nov. 06, 2020 |
Nov. 30, 2020 |
May 31, 2020 |
Sep. 30, 2020 |
Sep. 30, 2019 |
|
Subsequent Event | ||||||
Distributions paid | $ 40,506,000 | $ 95,021,000 | ||||
Revolving Credit Facility | Unsecured Revolving Credit Facility | Golar LNG Limited | ||||||
Subsequent Event | ||||||
Line of credit facility, maximum borrowing capacity | $ 25,000,000.0 | |||||
Proceeds from related party debt | $ 15,000,000.0 | |||||
Subsequent Event | Revolving Credit Facility | Unsecured Revolving Credit Facility | Golar LNG Limited | ||||||
Subsequent Event | ||||||
Line of credit facility, maximum borrowing capacity | $ 15,000,000.0 | |||||
Proceeds from related party debt | $ 5,000,000.0 | |||||
Basis spread on variable rate | 5.00% | |||||
Common Stock | Subsequent Event | ||||||
Subsequent Event | ||||||
Cash distribution (in dollars per share) | $ 0.0202 | |||||
Distributions paid | $ 1,400,000 | |||||
Series A Preferred Stock | Subsequent Event | ||||||
Subsequent Event | ||||||
Cash distribution (in dollars per share) | $ 0.546875 | |||||
Distributions paid | $ 3,000,000.0 |
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