New Fortress Energy LLC

New Fortress Energy said Friday it completed its restructuring and recapitalization transaction, cutting its debt to $700M from $5.7B, and trading in its shares was halted. The transaction extinguished roughly $5.7B of third-party debt, with creditors receiving all the equity of BrazilCo, preferred equity of New NFE with $2.45B of liquidation preference, 65% of the common equity of New NFE, and $571.3M of New NFE term loans. As part of the completion, the company's Brazilian business and operations were separated into two distinct standalone enterprises, BrazilCo and New NFE, and New NFE also raised $136.5M in new financing. CEO Wes Edens said the UK RP restructuring leaves New NFE a much simpler, more streamlined company owning a portfolio of critical LNG and power assets, including a substantial and growing LNG portfolio, terminal operations and logistics in Mexico and Puerto Rico, and a 735 MW power and turbine portfolio. Edens said those assets and operations produce significant cash flow today and offer the opportunity for significant growth when fully deployed in the coming months.

Norsk Hydro's majority-owned alumina refinery Alunorte has reached a deal with gas supplier CELBA, part of New Fortress Energy, for temporary terminal access to continue receiving natural gas for alumina production. Alunorte has begun increasing alumina production following the agreement. Lost output during the period of reduced production is estimated at 100,000 to 120,000 tons. The company said the potential third-quarter 2026 financial impact for Bauxite & Alumina from reduced production and purchasing gas above contract price may be 75 to 100 million dollars. Earlier, there was a disruption to the supply of natural gas from CELBA.

New Fortress Energy announced that the UK restructuring plan for two of its subsidiaries was approved at a hearing in the High Court of Justice of England and Wales, advancing efforts to reorganize debt obligations. The company has been coping with a liquidity crunch, mounting debt, and missed interest payments after failing to secure long-term LNG supply for power plants in Latin America due to its lack of an investment-grade credit rating. A hearing before the US Bankruptcy Court of the Southern District of New York to confirm recognition of the UK restructuring plan is scheduled for June 26.