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Strategies & Market Trends : YEEHAW CANDIDATES -- Ignore unavailable to you. Want to Upgrade?

To: Sergio H who wrote (2841)	8/25/2003 3:19:09 PM
From: Ditchdigger	Read Replies (1) \| Respond to of 23958

Sergio, this "is" one of those times<g>..Not enough lng shipping capacity to handle the demand. The delay in GLNG receiving one of the newbuild ships due to a fire will actually benefit the company "Repair work associated with the fire onboard newbuilding hull 2215 is progressing well with delivery expected towards the end of the third quarter of 2003. The Company has agreed with the Charterer of the vessel, BG Group Plc (BG), to defer delivery of the vessel to BG until a date in owners option between January 1, 2004 and March 31, 2004. In the interim the Company anticipates trading the ship on a short-term charter over the winter months. Follow that statement with this one.. "The market for LNG shipping has remained very tight in 2003. Several LNG producers have not been able to utilize their full production capacity due to lack of shipping capacity. In the winter season we saw short-term charter rates above $100,000 per day. The charter market was dominated by Korean demand. Rates have remained firm and we have recently seen short-term summer charter rates concluded above $90,000 per day." So they should benefit from the short term rates until the longterm contract begins. They also have another newbuild being delivered in Jan. (total of 3 within the next 6 months, all could short term lease,IMO..picking up an extra $30k/day each) Free cash should increase nicely..more later.<g> "The delivery of Golar’s three uncommitted newbuildings is now expected to take place in January 2004, February 2004 and October 2004. They may choose to take on "short term" high dollar contracts until shipping capacites are built up...Takes awhile to build one of these babies<g> Company has very strong Asian ties and contacts, and asia is ahead of the game where lng is concerned, mainly in acceptance