New Fortress Energy and Apollo have completed a previously announced joint venture, establishing a platform that now owns and operates 11 LNG infrastructure vessels. The JV has been named Energos Infrastructure. It is owned approximately 80% by Apollo-managed funds and 20% by NFE, and will be headquartered in Stamford, Connecticut. Energos will benefit from NFE’s LNG downstream operations and development activities, and Apollo’s investment and maritime experience.
The Energos executive team will be led by CEO Arthur Regan, a veteran maritime-industry executive and Apollo operating partner. Kevin Kilcullen has been named CFO.
The JV’s 11-vessel portfolio comprises six floating storage and regasification units, two LNG carriers and three floating storage units. As part of the transaction, NFE has agreed to charter 10 of the vessels from the JV for a period of up to 20 years; those charters have either commenced immediately or will commence upon expiration of the vessels’ existing third-party charter agreements.
In addition to serving NFE’s projects globally, Energos will serve a diversified customer base of utilities and energy companies worldwide under third-party charters. It will seek growth opportunities in support of both NFE and third parties to support the energy transition and bolster energy security globally.
The total implied enterprise valuation of Energos is approximately $2bn based on the JV transaction.
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