Excelerate Energy locks 10-year charter deal with Petrobras for FSRU Sequoia

In a significant move towards bolstering Brazil’s energy sector, Excelerate Energy, Inc. has penned a ten-year charter agreement with Brazil’s energy giant, Petróleo Brasileiro S.A. (Petrobras). This deal ensures the deployment of Excelerate’s floating storage and regasification unit (FSRU), the Sequoia, predominantly at the Bahia Regasification Terminal in Salvador, Bahia, starting from January 1, 2024.

Steven Kobos, the CEO of Excelerate, remarked on the development, “Brazil is an excellent market… Deploying the Sequoia for 10 more years will position Excelerate well to support Brazil’s efforts to strengthen its energy security. We have been a reliable partner to Petrobras for more than a decade, and we are committed to maintaining that partnership and supporting the energy transition for all Brazilians.”

Excelerate’s Historical Association with Brazil’s Energy Dynamics

Since 2012, Excelerate has been at the forefront of providing critical regasification services at Petrobras’s LNG import terminals in Brazil. Alongside the Sequoia, Excelerate’s FSRU Experience is also currently engaged in offering regasification services within the nation. This consistent involvement underscores Excelerate’s strategic commitment to bolstering Brazil’s energy framework, where intermittent renewable energy plays a dominant role, accounting for about 85% of the energy matrix.

Strategic Implications of the Agreement for Excelerate

This new charter agreement not only emphasizes Excelerate Energy’s dedication to fortifying global energy security using its adaptable FSRU fleet but also underscores its drive to expand its foundational regasification operations. Such expansion is pivotal in granting the company increased transparency into its anticipated short-term and long-term revenue and cash flow streams.