illust. courtesy Golar LNG

A weak market for carriers of liquefied natural gas was cited along with interest rates for a Golar LNG net loss of $15.7 million for the first quarter of 2008, down from a $54.3 million gain a year ago.

Revenues for the quarter, at $58.8 million, were a quarter of the levels from the year-ago span. Day rates for carriers were down some $500 to $53,068 over late 2007 figures.

Interest-rate and other “financial instrument” mechanisms were blamed for a some $20 million in clipped earnings.

The company in June will sell the Golar Frost to the Livorno LNG joint-venture and, with two vessels slated to become floating LNG plants, exposure to falling rates will be cut, a statement said.

Meanwhile, the Golar board has decided to start right away on the conversion of the carrier Hilli into a floating LNG plant on “speculation”. The market for floating production is still said to be good.

Tags: Golar LNG