History and business
Excelerate Energy was founded in 2003, but its shares were not listed on the New York Stock Exchange (NYSE) until April 2022. Its way of doing business can be considered revolutionary in the global approach to clean, affordable and reliable energy. Comprehensive LNG solutions remove barriers that commonly plague gas and power projects around the world. The company provides energy independence and brings real energy solutions to the countries that need it most with the world's largest portfolio of floating LNG terminals, a track record of safely planning, constructing and operating complex projects. Excelerate Energy has established itself as a leading inventor and provider of floating LNG systems. As market dynamics and clients' energy demands develop, the firm has leveraged its problem-solving capabilities to create adaptable, integrated services.[2]
Contracts signed with Bulgaria and Germany
The Company entered into an agreement with Bulgaria's Overgas Inc. on 14 July 2022. The companies have agreed that EE will sell liquefied natural gas ("LNG") to them. Overgas will enter into a ten-year contract with Excelerate (or an affiliate) to purchase up to 1.0 billion cubic meters of regasified LNG per year through the Vlora terminal and the proposed Vlora-Fier pipeline, which will connect to existing infrastructure via the European Southern Gas Corridor.[3]
In Germany, on the other hand, the deal was somewhat different. They signed a term sheet with ENGIE for flexible and secure LNG regasification capacity, as Germany is still looking for an alternative to Russian supplies.[4]
Outstanding energy achievements
The company provides solutions worldwide. Some of the most important are:
· Providing a 25 percent increase in total gas supply in Bangladesh and the country's first LNG terminal.
· Providing 15 percent of Pakistan's domestic daily natural gas requirement, as well as setting up the country's first LNG import terminal.
· Saved Argentina up to US$12 billion since 2008 through the non-combustion of oil.
· They saved $1.2 billion in energy and heating costs in the US in 2019.
A strong year 2022
According to Google Finance, the company had revenue of $888.56 million in 2021, up 106 percent year-over-year. Their net profit was $41.12 million USD, a year-over-year increase of 6.10 percent. They started 2022 quite successfully, as they reported first quarter sales of $591.67 million (a year-over-year increase of 259 percent), and for the second quarter, their sales reached $622.93 million (a year-over-year increase of 223 percent).[5]
Share value development
The share price during the initial public offering was $26.85. Two months after going public, in June, the value of the company reached its all-time high of USD 30.82 per share. Shortly thereafter, in July 2022, by contrast, it plunged to an all-time low of $18.31 per share. At the time of writing this article, the price per share was $27.05 and the market capitalization stood at $2.93 billion.[6]
Excelerate Energy's share value development since listing. * (Source: Google Finance)
A vision for the future
The company creates its core values by focusing on stewardship, accountability, improvement, and leadership. It operates around the world. At all levels, every member of their global team is personally committed to fostering a culture of safety in the workplace, and operational performance is critical to them. Clear goals and vision, as well as the fact that they operate in a green investment sector that is growing every day, should be a positive sign of expected future growth.[7] [a]
*Past performance is no guarantee of future results.
[a] Forward-looking statements are based on assumptions and current expectations, which may be inaccurate, or on the current economic environment, which may change. Such statements are not guarantees of future performance. They involve risks and other uncertainties that are difficult to predict. Results may differ materially from those expressed or implied by any forward-looking statements.
[1] https://www.wsj.com/articles/while-big-stock-sales-and-ipos-stall-energy-investors-are-making-hay-11656770580?siteid=yhoof2
[2] https://excelerateenergy.com/who-we-are/
[3] https://finance.yahoo.com/news/excelerate-energy-signs-gas-sales-212400169.html
[4] https://finance.yahoo.com/news/excelerate-energy-signs-term-sheet-143700283.html
[5] https://www.google.com/finance/quote/EE:NYSE?hl=en
[6] https://www.google.com/finance/quote/EE:NYSE?hl=en&window=YTD
[7] https://www.google.com/finance/quote/EE:NYSE?hl=en&window=YTD
