Golar LNG shares plunge after CEO resigns

Shares in Bermuda-headquartered LNG vessel owner Golar LNG were down almost 8% on April 12, reaching $9.76/share at the end of trading, after the company announced that its CEO Iain Ross had resigned.

The departure of Ross, who has led Golar LNG since September 2017, comes as the company works towards closing the sale of its 50% and 32% interests in subsidiaries Hydro Energy Transition and Golar LNG Partners to US LNG developer New Fortress Energy (NFE) for a combined $5bn. 

Golar LNG "is currently in the final stages of closing" the transaction, the company said. It did not give a reason for Ross' resignation. The board is looking for a successor.

NFE will buy 100% of Hygo from Golar LNG and its other owner US investment firm Stonepeak Infrastructure Partners. Formerly known as Golar Power, Hygo was set up in 2016 to develop LNG-based transportation and power infrastructure. The business controls a floating storage and regasification unit (FSRU) in Sergipe, Brazil, and a 50% interest in a 1,500-MW power plant that receives its gas. It has two other planned FSRUs due to support 1,200 MW of power generation in Brazil. Hygo's fleet also includes two LNG carriers (LNGCs).

Hygo appointed Paul Hanrahan as its CEO in October last year after the resignation of former head Eduardo Antonello, who stands accused of bribery by Brazilian prosecutors.

Through its 100% takeover of Golar LNG Partners, NFE will also gain a fleet of six FSRUs and four LNGCs, as well as a 50% interest in the Hilli Episeyo floating liquefaction vessel.