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Golar LNG Partners L.P.: Interim Results for the Period Ended 31 March 2015


* Golar LNG Partners LP reports net income attributable to unit holders of
$31.3 million and operating income of $58.7 million for the first quarter
of 2015.
* Generated distributable cash flow of $40.3 million for the first quarter
with a coverage ratio of 1.05.
* Strong operational performance with 100% availability of the fleet for
scheduled operations.
* Completed the purchase of theGolar Eskimo FSRU for $390 million on January

Subsequent Events

* Declared a 3% increase in distribution to $0.5775 per unit for the first
* Successful placement of a USD 150 million bond in the Norwegian bond
* Received bank commitments, subject to documentation, on a $180 million
refinancing facility in respect of theGolar Maria andGolar Freeze .

Financial Results Overview

Golar LNG Partners L.P. ("Golar Partners" or the "Partnership") reports net
income attributable to unit holders of $31.3 million and operating income of
$58.7 million for the first quarter of 2015 ("the first quarter"), as
compared to net income attributable to unit holders of $36.7 million and
operating income of $63.2 million for the fourth quarter of 2014 ("the fourth
quarter") and net income attributable to unit holders of $32.7 million and
operating income of $53.8 million for the first quarter of 2014.

The $4.9 million increase in 2015 first quarter operating income over the same
period in 2014 predominantly reflects a $12.2 million increase in revenue
received offset by associated ownership and operating costs in respect of
theGolar Igloo
FSRU which was acquired on March 28, 2014 and theGolar Eskimo
which was acquired on January 20, 2015. TheGolar Igloo
FSRU operates during a nine-month window that runs between March 1 and
November 30. First quarter 2015 revenue therefore includes an additional 27
days hire in respect of the Igloo equivalent to $4.2 million and 71 days hire
in respect of theGolar Eskimo
equivalent to $9.6 million. Offsetting both was a $1.4 million revenue
reduction in respect of theGolar Grand
which was returned at the end of its contract by BG Group in mid-February and
re-chartered to Golar LNG Limited ("Golar") at a lower rate in accordance
with existing agreements. Vessel operating expenses, voyage and commission
costs, administration expenses and depreciation and amortisation increased by
a collective $7.2 million compared to the same period in 2014 primarily
reflecting the additional 86 and 71 days ownership and operating costs of
theGolar Igloo
andGolar Eskimo

A decrease in revenue net of voyage expenses from $101.4 million in the fourth
quarter to $98.5 million in the first quarter reflects a number of factors.
The additional $9.6 million received in respect of the 71 days hire for
theGolar Eskimo
FSRU was offset by a $9.2 million reduction in revenue from theGolar Igloo
FSRU due to two of its scheduled three months downtime occurring during the
first quarter and the $1.4 million reduction in hire from the LNG
carrierGolar Grand
following the Partnerships' exercise of its put option to Golar at 75% of the
vessel's existing rate with BG Group. The remaining $1.9 million reduction in
revenue primarily reflects the shorter quarter (90 days versus 92 days) and a
further depreciation in the value of the Brazilian Real and corresponding
reduction in revenues for the FSRUsGolar Spirit
andGolar Winter

Vessel operating expenses at $15.6 million were $1.1 million higher than the
fourth quarter cost of $14.5 million mainly due to the addition of theGolar
FSRU to the fleet on January 20. Administration expenses at $1.5 million were
in line with the fourth quarter.

Net interest expense at $12.5 million for the first quarter was $1.5 million
higher than the fourth quarter predominantly due to associated interest costs
in respect of the assumption of $162.8 million debt and a $220.0 million
vendor loan from Golar, following the Eskimo acquisition. No new swaps were
entered into during the quarter and no existing swaps matured. As at March
31, 2015, the Partnership had undrawn credit facilities of $45 million.

Other financial items for the first quarter were a loss of $10.4 million
compared to an $8.1 million loss in the fourth quarter. This included
non-cash mark-to-market valuation losses on interest rate swaps of $5.9
million in the first quarter as a result of a decrease in 3-year and 5-year
interest swap rates by 19bps and 24bps respectively. This compares to a $5.0
million loss in the fourth quarter.

Tax expense at $2.2 million was $2.5 million lower than the prior quarter.
Most of the decrease is due to a $1.2 million reduction in the amount of
deferred Indonesian tax released to the income statement.

The Partnership's Distributable Cash Flow1for the first quarter was $40.3
million as compared to $48.3 million in the fourth quarter and the coverage
ratio was 1.05 as compared to 1.29 for the fourth quarter. The decline in
coverage is mainly due to the two months of no earnings for theGolar Igloo
during its scheduled winter downtime.

1Distributable cash flow is a non-GAAP financial measure used by investors to
measure the performance of master limited partnerships. Please see Appendix A
for a reconciliation to the most directly comparable GAAP financial measure.


On January 20, 2015 Golar Partners completed its acquisition of the companies
that own and operate the Golar Eskimo
FSRU for $390.0 million. The Partnership financed the purchase price with
$7.2 million of cash on hand, the proceeds of a $220.0 million loan from
Golar and the assumption of $162.8 million of outstanding bank debt in
respect of the Golar Eskimo
on the closing date of the acquisition.

Delivered from builders Samsung Heavy Industries in December 2014, the FSRU
went on to complete a series of modifications to make the vessel compatible
with the terminal being constructed in Aqaba, Jordan. In connection with the
acquisition, the Partnership also entered into an agreement with Golar
pursuant to which Golar pays the Partnership an aggregate amount of $22.0
million starting in January 2015 and ending in June 2015 for the right to use
the FSRU. Of the $22 million, $9.6 million was recognised in the first
quarter and $12.4 million will be recognised in the second quarter. In
return, the Partnership must remit to Golar any hire payments actually
received with respect to the vessel during this period and, at Golar's
request, charter the vessel to a third party prior to the earlier of the
commencement of hire payments from Jordan under theGolar Eskimo
Time Charter and June 30, 2015. Accordingly, Golar will receive all revenues
in connection with a 20-day voyage charter entered into in early May for the
collection of the vessels commissioning cargo, any hire received between May
26 and June 30 under the ten-year time charter with the Government of the
Hashemite Kingdom of Jordan and approximately $9.2 million of revenue in
respect of fees relating to the later-than-scheduled start-up of operations
in Jordan.

The transaction has been accounted for as a business combination and the
determination of the fair values of the assets and liabilities acquired from
Golar are currently provisional and will be finalized in due course.

Corporate and other matters

In January 2015 the Partnership and Golar announced the pricing of an
underwritten secondary offering of 7,170,000 common units representing
limited partner interests in the Partnership offered by Golar at a price of
$29.90 per unit. The Partnership did not receive any proceeds from the sale
of common units in the offering, and the number of common units outstanding
will remain unchanged. Golar will use the proceeds of the sale to reinvest in
its GoFLNG floating liquefaction projects.

On April 27, 2015, Golar Partners declared a distribution for the first
quarter of $0.5775 per unit. This represents a $0.015 or an approximate 3%
per unit increase from the fourth quarter 2014 distribution and brings the
quarterly distribution up to a level that was recommended by management when
the acquisition of the Eskimo was announced in December 2014.

The first quarter dividend was paid on May 14, 2015 on total units of

Operational Review

Once again, Golar Partners fleet performed well during the quarter with 100%
utilisation of all vessels during their scheduled operations. No vessels were
drydocked during the quarter, although theGolar Igloo
took the opportunity of its winter downtime window to undergo some guarantee
claim work performed by the shipyard in drydock. The Golar Freeze
FSRU commenced its drydock after the quarter end and management currently
expects to incur approximately 30-40 days of offhire during the second
quarter in respect of this FSRU. TheGolar Grand
represents the only remaining vessel in the fleet scheduled to be dry-docked
before year end.

TheGolar Eskimo
has arrived in Jordan having collected an LNG cargo and is preparing to
commence commissioning.

Financing and Liquidity

As of March 31, 2015, the Partnership had cash and cash equivalents of $55.4
million and undrawn revolving credit facilities of $45 million. Total debt
and capital lease obligations net of total cash balances was $1,301.4 million
as of March 31, 2015.

Based on the above net debt amount and annualized2first quarter 2015 adjusted
EBITDA3, Golar Partners debt to adjusted EBITDA multiple was 4.0 times. This
ratio is expected to decrease as a function of attaining a full quarter's
earnings for theGolar Igloo
andGolar Eskimo

Subsequent to quarter end, the Partnership has received bank commitments,
subject to documentation, for a $180 million facility comprised of a $150
million term loan and a $30 million revolving credit facility. The facility
will be used to repay approximately $134 million of long term debt, that
matures in 2015 and the $20 million revolving facility provided by Golar. The
signing of the loan documentation, drawdown and repayment are expected to
occur before the end of the second quarter. Secured against theGolar Maria
LNG carrier andGolar Freeze
FSRU , the facility will have a tenor of 36-months, the $150 million term
loan will be repaid in 12 quarterly instalments plus a balloon payment of
$114 million at maturity and the facility carries interest at LIBOR plus a
margin of up to 195bps.

As of March 31, 2015, Golar Partners had interest rate swaps with a notional
outstanding value of approximately $1,035.2 million (including swaps with a
notional value of $227.2 million in connection with the Partnership's bonds
but excluding $100 million of forward starting swaps) representing
approximately 76% of total debt and capital lease obl...

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