Annual Report 2024
LNG transportation through safety and environmental excellence.
Annual Report 2024
2
About Awilco LNG
Organisation
Vessel Overview
Shareholder Information
Board of Director’s Report
Statement of Responsibility
Consolidated Financial Statements and Notes
Consolidated Income Statement
Consolidated Statement of Comprehensive Income
Consolidated Statement of Financial Position
Consolidated Cash Flow Statement
Consolidated Statement of Changes in Equity
Notes to the Consolidated Financial Statements
Parent Company Financial Statements and Notes
Parent Company Income Statement
Parent Company Statement of Financial Position
Parent Company Cash Flow Statement
Parent Company Statement of Changes in Equity
Parent Company Notes to the Financial Statements
Auditor’s Report
Corporate governance
Social Responsibility
Alternative performance measures
03
04
06
07
09
18
20
20
21
22
23
24
50
51
52
52
53
63
69
74
81
Table of Contents
Annual Report 2024
3
Awilco LNG ASA (the Company) was
incorporated in February 2011 by Awilco AS,
a company in the Awilhelmsen Group, for the
purpose of acquiring three second-hand LNG
vessels.
The three LNG vessels were acquired for an
aggregate price of USD 67 million in 2011,
financed through private placements and
shareholder loans that were subsequently
converted to equity. The three vessels were sold
in 2015 and 2016 for combined net proceeds of
USD 50 million.
In May 2011 Awilco LNG signed shipbuilding
contracts for constructing two LNG carriers,
which were part financed through a private
placement of NOK 534.8 million.
In September 2011 the Company’s shares were
listed on the Oslo Stock Exchange under the
ticker ALNG.
In September and November 2013, the Group
took delivery of its two vessels, WilForce and
WilPride. At delivery both vessels were financed
through sale/leaseback arrangements, financing
about 75 % of the delivered cost.
In the following years both vessels have been
refinanced, first in 2017 together with an equity
issue of USD 26.8 million and later in 2020.
In December 2023 the Company signed a
Term Sheet for refinancing of both vessels
at significantly improved terms, with longer
tenor, lower margin, and longer profile. This
refinancing was completed in June 2024 and
reduced the Company’s finance cost and cash
break even substantially. The new financing last
for a minimum of 10 years while the company
have purchase options starting in June 2026 and
a purchase obligation at the end of the lease
period.
About Awilco LNG
The Awilco LNG Group (the Group or Awilco LNG) is a fully integrated
owner and operator of LNG vessels. The Group currently owns two
156,000 cbm 2013-built LNG TFDE membrane vessels
Annual Report 2024
4
Jon Skule Storheill
Chief Executive Officer
Prior to his appointment
as CEO of Awilco LNG ASA
Mr. Storheill was Managing
Director of Awilco AS, Director
of S&P/Projects with Frontline
Management and Director/
Partner of shipbroking
company P.F. Bassøe AS. Mr.
Storheill has also been the
Chairman of the Board of
Wilhelmsen Marine Services
AS in addition to serving with
various board positions in
the industry. Mr. Storheill
has more than 30 years of
shipping experience and is a
Norwegian citizen.
Per Heiberg
Chief Financial Officer
Prior to joining Awilco LNG
ASA as CFO, Mr. Heiberg
served as CFO of Golden
Ocean Group Limited, a US-
listed dry bulk ship owner,
since April 2016. Mr. Heiberg
was with Golden Ocean since
2005. Prior to joining Golden
Ocean, he worked in the
Nordic Power market and
held various positions within
Statkraft SF and Electrabel
Nordic. Mr. Heiberg is a
Norwegian citizen
Jan Espen Andersen
Head of Operation
Mr. Andersen was previously
Head of Operations at Höegh
LNG. He is a certified Master
Mariner and has held various
shore side marine related
positions since 1997 following
7 years at sea. Mr. Andersen
has more than 30 years of
shipping experience and is a
Norwegian citizen.
Organisation
Awilco LNG had six employees at the end of 2024. The Group handles
commercial and technical operations of the vessels from its office in
Oslo.
The Group purchases certain administrative services from Awilhelmsen
Management AS, a company in the Awilhelmsen Group, and technical
sub-management services from Integrated Wind Solutions (IWS) which
have the same main shareholder as the Group, Awilco AS.
Annual Report 2024
5
Board of Directors
Synne Syrrist
Chairperson and Non-Executive Director
Mrs. Syrrist has work experience as an
independent consultant for Norwegian
companies and as financial analyst in Elcon
Securities ASA and First Securities ASA. She has
also an extensive non-executive experience
from both listed and private companies and is
currently among others a member of the boards
of Integrated Wind Solutions ASA, ABL Group
ASA and Naxs AB. Mrs. Syrrist holds an MSc
from NTNU and is a Certified Financial Analyst
(AFA) from NHH. Mrs. Syrrist is a Norwegian
citizen. Mrs. Syrrist is the Chairperson of the
Remuneration Committee and a member of the
Audit Committee.
Ole Christian Hvidsten
Non-Executive Director
Mr. Hvidsten is Vice President Corporate
Finance in the Awilhelmsen group. He has
extensive experience from senior positions in
investment banking/investment companies
and is chairman of the board of Awilco AS.
Before joining the Awilhelmsen group in 2011,
he worked 11 years in the Corporate Finance
department of ABG Sundal Collier. Mr. Hvidsten
holds an MSc in Business Administration
from NHH / Fuqua School of Business (Duke
University). Mr. Hvidsten is a Norwegian citizen
and the Chairperson of the Audit Committee.
Jens-Julius R. Nygaard
Non-Executive Director
Mr. Nygaard is the CEO of Awilco AS and a
member of the Board of Integrated Wind
Solutions ASA. He has around 20 years of
experience from shipping and investment
companies through various positions in the
Awilco group of companies. Mr. Nygaard has
a BA Honours in Finance from Strathclyde
University and an MSc in Shipping, Trade &
Finance from BAYES Business School. Mr.
Nygaard is a Norwegian citizen. Mr. Nygaard is a
member of the Remuneration Committee.
Jon-Aksel Torgersen
Non-Executive Director
Mr. Torgersen is the former CEO of Astrup
Fearnley AS, the parent company of a number
of investment and broker companies. Mr.
Torgersen has extensive board experience
from a number of companies in the property,
shipping, finance and offshore sectors. He
currently serves as a Member of the Board
of Atlantic Container Line AB, Transportation
Recovery Fund and Finnlines Plc. Mr. Torgersen
holds an MBA (Finance) from Hochschule St.
Gallen. Mr. Torgersen is a Norwegian citizen.
Annette Malm Justad
Non-Executive Director
Mrs. Malm Justad previously held positions as
CEO in Eitzen Maritime Services, Vice President
and Head of Purchasing at Yara International
ASA, Vice President and Fleet Manager at Norgas
Carriers AS and has held various technical and
commercial positions for Norsk Hydro ASA.
She serves as Chairman of the Boards of AMSC
ASA, Store Norske Spitsbergen Kulkompani AS,
Småkraft AS and Feddie Ocean Distillery AS. She
also serves as a board member of Torm Plc. and
Powercell AB. Mrs. Malm Justad holds a master’s
in technology management from NTNU/NHH/
MIT and a master’s in chemical engineering from
NTNU. Mrs. Malm Justad is a Norwegian citizen.
Annual Report 2024
6
YEAR BUILT 2013
YARD DSME
CAPACITY 156,007 M3
DWT 87,750 MT
DRAFT 12.521 M
MANAGER ALNG TM
FLAG Malta
PROPULSION TFDE
YEAR BUILT 2013
YARD DSME
CAPACITY 156,089 M3
DWT 87,677 MT
DRAFT 12.521 M
MANAGER ALNG TM
FLAG Malta
PROPULSION TFDE
WilForce
Wilpride
Vessel Overview
Awilco LNG owns two 156,000 cbm 2013-built LNG TFDE
vessels WilForce and WilPride.
Annual Report 2024
7
Shareholder Information
Awilco LNG share price development (Ticker:ALNG)
NOK
10
9
8
7
6
5
Volume (RHS)
Share price (RHS)
Volume
3,000,000
2,500,000
2,000,000
1,500,000
1,000,000
500,000
-
02/01/24
02/02/24
02/03/24
02/04/24
02/05/24
02/06/24
02/07/24
02/08/24
02/09/24
02/10/24
02/11/24
02/12/24
Annual Report 2024
8
38.56
26.16
4.57
2.40
1.77
1.65
1.54
1.20
1.10
0.97
0.68
0.65
0.54
0.41
0.40
0.34
0.30
0.30
0.27
0.23
0.23
Ownership
in percent
Ownership
in percent
Number of shares
Number of shares
Shareholder/
Shareholder/
UBS AG
37 319 572
The Bank of New York Mellon
716 642
Jon Olav Prøsch
900 000
Goldman Sachs International
6 056 781
Six Sis AG
549 735
Avanza Bank AB
3 187 083
Per Olav Sanne
527 000
Clearstream Banking S.A.
2 349 945
Morgan Stanley & Co Int. Plc.
449 008
Union Bancaire Privee
2 189 466
Swedbank AB
396 320
Patronia AS
1 464 474
Cecilie Paus
300 000
BNP Paribas
1 287 000
Lion Invest AS
300 000
Nordnet AB
1 586 584
Interactive Brokers LLC
356 320
The Bank of New York Mellon SA/NV
2 039 047
Citibank
395 479
Awilco AS
51 114 080
The Bank of New York Mellon
856 493
20 Largest Shareholders
(As per 31.12.2024)
Annual Report 2024
9
Headline spot charter rates for LNG Shipping
came down to all time low levels during 2024
and into 2025. The reason for this is threefold
– too many new vessels delivered from the
shipyards, slow ramp up of new LNG production
and reduced ton-mile as most US produced LNG
heads for Europe to replace Russian pipeline
gas and rebuild stock levels thereby reducing
ton-mile. The low market and utilization have
and is likely to continue to increase lay-up
and demolition of outdated steam vessels will
improve balance and rates. For the longer term
we expect the phase out of steam ships and
ramp up of new production capacity will lead to
an improving market over the next two-three
years.
Spot LNG shipping rates have improved
somewhat from very low levels for TFDE vessels.
With a surplus of larger and more efficient
2-stroke vessels in the market, TFDEs are forced
to discount rates in order to compete. We are
currently in an unusual situation where gas
prices are high, favoring the 2-stroke vessels,
and the chartering market has been very low
with rates for 2-stroke vessels below USD
10,000 per day, the required discount would
imply negative earnings for TFDEs although
this has improved slightly over the last weeks.
High demand and gas prices in Europe lead
to most volumes from the US are transported
to Europe, instead of the normal mix between
Europe and Asia, again leading to much shorter
sailing distances and reduced demand for
transportation. Due to the surplus of available
vessels charterers are also confident on being
able to cover their open position for freight
reducing interest for Term charter contracts
and rate assessments for up to one year have
dropped to approximately USD 15,000 per day
for TFDE-vessels, but with no firm contracts
entered into for some time.
In December 2023 the Company signed a Term
Sheet for refinancing of both WilForce and
WilPride and this was completed in June 2024.
Board of Directors’
report
Annual Report 2024
10
The new sale leaseback finance facility has
substantially lowered the Company’s finance
cost and cash break even.
BUSINESS SUMMARY
The Awilco LNG Group (Awilco LNG, ALNG
or the Group) is a fully integrated pure play
LNG transportation provider, owning and
operating LNG vessels. The Group currently
owns two 2013-built TFDE LNG carriers. The
parent company Awilco LNG ASA is listed on
Euronext Expand with ticker ALNG. Awilco LNG’s
registered business address is from February
15, 2025 Haakon VIIs Gate 1, Oslo, Norway.
Commercial management is performed by
Awilco LNG ASA and technical management
of the vessels is performed by a wholly owned
subsidiary.
LNG market
Loaded volumes of LNG continue to increase
at an accelerating pace and a new record of
107 MT was loaded during fourth quarter 2024
according to Fearnleys, this is up nearly 2 MT
from fourth quarter 2023. The US was the
largest exporter during 2024 with 87 MT, with
Australia and Qatar following at 82 MT and
78 MT according to the same source. On the
import side cold weather in Europe resulted in
large storage withdrawals compared to earlier
winter seasons and imports have increased
significantly at the expense of imports to the Far
East reducing ton-mile.
According to Fearnley LNG 63 LNGCs were
delivered in 2024, with 22 deliveries in fourth
quarter alone. Some deliveries were postponed,
and it is expected that these will be delivered
in 2025. The total orderbook for 2025 is 85
vessels although it is expected that a number
of these are also likely to be postponed. 84 new
orders were placed during 2024, of which more
than 60% are ordered for the Qatar North Field
Expansion according to Fearnleys LNG. The
total orderbook stood at 321 vessels at yearend,
of which only twenty-six are charter free and
available for new contracts. Over the next two to
three years, the market is expected to recover
although new vessels may be delivered ahead
of new production capacity. To offset some of
this downward push on the market balance we
expect to see an increased number of older,
inefficient and environmentally challenged
steam vessels leave the trading fleet. During
2024 seven vessels were sold for recycling, but
with 200 steam vessels still around, many of
them older than 20 years, we expect many to
end their trading life over the next years.
Newbuilding prices are still at historical high
levels, although yard prices are under some
pressure, and we estimate around USD 250
million for a Korean-built vessel with 2027/2028
delivery.
Operations
WilPride traded the entire 2024 on a fixed
rate contract that commenced in December
2022. The contract lasts until late 2025. The
charterer has the option to extend the charter
for two more years at the same rate. WilForce
commenced an 18-month contract late January
2023 and was redelivered at the end of June
2024. Since redelivery WilForce have been
Annual Report 2024
11
trading in a challenging spot market.
WilPride traded the entire year with no off-hire
while WilForce had some days of off-hire in
fourth quarter. Total utilisation for 2024 was
94% compared to 100% for 2023 excluding
planned off-hire for dry dockings that year.
CONSOLIDATED FINANCIAL STATEMENTS
Income statement
The Group generated net freight income of USD
64.3 million in 2024, a decrease from USD 79.4
million in 2023, mainly caused by one vessel
being redelivered from a well-paying fixed-rate
contract late second quarter and trading in
a challenging spot market for the rest of the
year. The other vessel performed her contract
for the entire year with no off-hire. These
numbers equate to TCE earnings of USD 90.300
in 2024 compared to USD 118.500 in 2023. Fleet
utilisation for the year ended at 94% compared
to 100 % in 2023, excluding planned off-hire for
dry dock.
Operating expenses for the year ended at USD
11.9 million in 2024, up from USD 11.3 million
in 2023, driven by continued price increases
for most goods and services needed to run
the vessels. Other income of USD 3.7 million
relates to compensation from the Loss of Hire
insurance as WilForce was technically off-hire
during the fourth quarter due to an issue with
the Ballast Water Treatment System (BWTS).
This is compared to other income of USD 5.0
million in 2023 that relates to a final settlement
of the insurance claim related to a collision
involving Wilforce in 2019.
Administration expenses decreased from USD
4.2 million in 2023 to USD 3.6 million in 2024.
Depreciation and amortisation were USD 15.6
million in 2024 compared to USD 12.9 million in
2023. At the end of 2023 the Group's reassessed
the normal useful life of our LNG vessels and
from the 1st of January 2024, the estimated
useful life of the vessels was changed from
40 years to 35 years from delivery. The main
reason was prevailing longer-term market
trends. This, together with a capitalisation of
USD 12.4 million in expenses for the second
special survey of both vessels in 2023, is the
reason for the increase.
Net financial expenses were USD 20.9 million in
2024, up from USD 18.9 million in 2023. Of this
USD 4.4 million relates to the outgoing financing.
The refinancing will substantially reduce finance
expenses going forward compared to the
previous financing.
Profit before tax for the period was USD 17.1
million compared to USD 38.2 million in 2023.
Earnings per share
Basic and diluted earnings per share for the year
were USD 0.13, down from USD 0.29 in 2023.
Financial position
Total assets and total equity for the Group as
of December 31, 2024 was USD 335.2 million
and USD 137.3 million respectively (USD 349.9
million and USD 144.7 million at December 31,
2023) corresponding to an equity ratio of 40.9%,
slightly down from 41.4% at December 31, 2023.
Cash and cash equivalents amounted to USD
23.5 million at December 31, 2024, down from
USD 27.1 million at December 31, 2023.
The combined book value of the vessels was
USD 302.1 million at December 31, 2024
compared to USD 317.3 million at year-end
2023.
Total interest-bearing debt for the Group was
USD 190.8 million at December 31, 2024, up
from USD 189.5 million at December 31, 2023.
The increase is a result of the refinancing of
the vessels made in second quarter 2024. The
current portion of the interest-bearing debt
constituted USD 13.0 million as at December 31,
2024.
Cash flow statement
The Group generated USD 44.5 million in
cash inflow from operating activities in 2024
compared to USD 70.5 million in 2023.
Net cash used in investing activities was USD
0.4 million, down from USD 13.1 million in 2023
Annual Report 2024
12
when both vessels went through their second
special survey including dry dock at a total cost
of USD 12.4 million.
Net cash outflow from financing activities was
USD 47.7 million in 2024, constituting of USD
200.0 million in the drawdown of new debt,
repayments of 198.8 million of outgoing debt
together with ordinary repayment of new debt,
USD 24.3 million of interest and borrowing costs
paid and dividend payments of USD 24.6 million.
Net cash outflows from financing activities in
2023 was USD 56.3 million.
Subsequent to the CDBL refinancing completed
in June 2024, cash break-even for each vessel is
expected to be in the high USD 50’s per day in
2025, subject to interest rate fluctuations.
PARENT COMPANY FINANCIAL STATEMENTS
Operating income for the year amounted
to NOK 10.9 million (NOK 12.8 million) and
administration expenses NOK 28.7 million (NOK
33.8 million).
Net finance income amounted to NOK 104.3
million (NOK 0.8 million) as the company
received dividends from subsidiaries closed
during 2024.
Profit for the period was NOK 86.5 million (Loss
of NOK 20.2 million).
The Board of Directors propose that the profit
for the period of NOK 86.5 million for the Parent
Company is transferred to retained earnings.
The Board of Directors approved a revised
dividend policy in November 2022. The Board is
committed to return value to shareholders and
intend to distribute a substantial part of annual
free cash flow, paid out quarterly, always subject
to debt covenants, capital requirements, and a
robust cash buffer. A proposal for authorising
the Board to declare any further dividend
payments will be presented at the Annual
General Meeting in 2025.
GOING CONCERN ASSUMPTION
The consolidated financial statements of the
Group, and the parent company financial
statements of Awilco LNG ASA, have been
prepared on a going concern basis pursuant
to the Norwegian Accounting Act § 3-3a. In the
opinion of the Board of Directors, these financial
statements provide a fair presentation of the
Company’s business, financial results, and
outlook.
The Group’s ability to continue as a going
concern is dependent upon generating sufficient
cash flow from operation of the vessels. One
of the Group's vessels are currently trading
on a mid-term fixed rate contract while the
second vessel is currently trading in the spot
market which expose the Group's financial
performance to volatility and seasonality in
rates and utilisation. Even if the current market
rates and short term forward rates are below
the vessels cash break even, earnings from the
vessel on fixed rate combined with existing cash
position will make sure the Group is well within
all financial covenants for the next 12 months.
RISK FACTORS
Shipping market conditions have historically
been volatile and consequently the financial
results may vary significantly from year to year.
The risk factors in the LNG shipping market can
be divided into the following main components:
market risk, operational risk and financial risk.
Market risk
Market risk relates to the supply of LNG vessels
and the demand for LNG transportation. In the
past there have been periods of oversupply of
vessels due to delays in the construction of LNG
production plants, with correspondingly low
utilisation and depressed market rates, which
might occur also in the future. Over time this
expresses the interim risk to balance supply with
demand as it goes faster to build vessels than to
build LNG production facilities. Currently we see
a record high orderbook with peak deliveries
in 2025 and 2026. LNG production coming on
stream in the coming years seems to meet
the increased supply of shipping capacity and
most newbuilding are committed on long term
contracts to meet demand from this production
capacity. During the next years there is a risk of
Annual Report 2024
13
imbalance in the market as demand seems to
come on stream later than increased shipping
capacity when the newbuildings are delivered.
The demand for LNG is affected by the
importing countries’ demand for energy as
well as the relative pricing of LNG compared
to alternative energy sources. A high relative
pricing spread between LNG and other
energy sources will reduce the demand for
LNG and thereby negatively impact demand
for LNG transportation. In the longer-term
perspective lower gas prices in combination
with the growing supply side is expected to
support growth in demand for natural gas as a
flexible and clean fuel compared to other fossil
alternatives.
Gas price levels in different geographic
markets have a significant impact on demand
for LNG transportation to execute arbitrage
opportunities. So far in the winter season of
2024/2025 we experience low price differences
with limited arbitrage for LNG to go from the US
to the East leading to excess shipping capacity
as sailing distances are reduced.
Going forward the arbitrage is difficult to predict
as it is closely linked to the gas price level in
Europe, the US and Far East, which again is
highly dependent upon several factors including
weather, policies and regulations and the price
of alternative energy sources.
Operational risk
Employment risk
The Group’s ability to obtain charters will
depend upon the prevailing market conditions.
If the Group is unable to employ its vessels,
revenue will be substantially reduced.
Laws and regulations
The Group’s operations and vessels are subject
to international laws and regulations, which
have become more proliferate and stringent
in recent years. Although the Group is doing
its outmost to comply, changes in laws and
regulations may expose the Group to liability.
Technical risk
LNG vessels are highly sophisticated, and
there is a risk that equipment may fail despite
pre-emptive maintenance. The Group has in
place loss of hire insurance, but a technical
breakdown will affect earnings for a period of at
least 14 days due to the deductible period.
Piracy, war and cyber risk
A piracy attack, outbreak of war or cyber-attack
may affect the trading and earnings of the
Annual Report 2024
14
vessels.
Crew
Depending on the pace of older ships exiting the
LNG carrier fleet may increase by more than 50
% in the coming years. This exposes the Group
to the risk of not being able to attract qualified
officers and seafarers. The Group has, and will,
continue to take steps to mitigate this risk.
Bunker price
The Group is exposed to bunker price risk when
the vessels are not on charter.
Environmental regulations
From 2023 our vessels have been required to
comply with regulations on energy efficient
design (“EEXI”) and operation through Carbon
Intensity Index (“CII”). EEXI is a one-time
certification and both vessels in the fleet have
been confirmed to be in compliance.
With respect to CII, this is measured on the
vessels’ actual emissions over the previous year
and thereby rated according to a formula. Both
vessels have operated in 2024 with an emission
intensity that corresponds to a “B” rating, which
is well above the required minimum level. We
are continuously working on several efficiency
improvements however the main criteria is the
vessels’ trading pattern which owners have very
limited influence on when on time charter. We
are therefore dependent and working closely
with charterers to ensure that the operation of
the vessels is planned and executed in a way
that ensures this rating is achieved also for 2025
and the coming years.
Starting from 2024, our vessels are required
through the EU Emissions Trading System (“ETS”)
to submit emissions allowances for carbon
emissions during voyages to and from EU ports.
Monitoring and Reporting of carbon emissions
are in place through our procedures for EU MRV
reporting. When the vessels are chartered out
on time charter contracts the related costs are
for the charterer's account. The financial risk
for the Company is limited to idle and off-hire
periods.
Due to prevailing longer-term market trends, the
normal useful life of The Group’s LNG vessels
was, from the 1st of January 2024 revised from
an estimation of 40 years to an estimate of 35
years from delivery.
Financial risk
Financing risk
The WilForce and WilPride financial leases were
refinanced in June 2024 with a minimum, 10-
year sale-leaseback facility provided by China
Development Bank Financial Leasing Co. Ltd.
(CDBL). The vessels were financed with USD 100
million each with a straight-line amortization
profile corresponding to a 26-year age adjusted
profile. The vessels are chartered back on
bareboat basis to wholly owned subsidiaries
of the Company for a period of 10 years with
the lessee’s option to extend with two more
years. The Group has rolling repurchase options
and repurchase obligations at the outstanding
amount at the time of expiry.
Currency risk
The companies in the Group have USD as
functional currency. Currency risks therefore
arise in connection with transactions
denominated in other currencies than USD. The
Group is to a certain degree exposed to currency
Annual Report 2024
15
fluctuations, as it is exposed to administration
expenses denominated in NOK. The Group may
use financial derivatives to reduce short-term
currency risk. At December 31, 2024 no such
instruments were entered into.
Liquidity risk
The shipping business is capital intensive and
insufficient liquidity can severely impact the
ability to operate the vessels. The Group's
approach to managing liquidity risk is to ensure,
as far as possible, always having sufficient
liquidity to meet its obligations without incurring
unacceptable losses or risking employees’ safety
or damage to the Group's reputation.
Interest rate risk
The CDBL sale-leaseback facility completed in
June 2024 is subject to a floating interest rate,
and the Group is continuously evaluating using
financial derivatives to hedge the interest rate
exposure. At yearend 2024 no such derivatives
were entered into.
Counterparty- / credit risk
The Group is exposed to credit risk from its
operating activities through freight income trade
receivables and from its financing activities,
including deposits with banks. The Group aims
to do business with creditworthy counterparties
only. Charter hire is normally received monthly
in advance, effectively reducing the potential
exposure to credit risk. Bank deposits are
only deposited with internationally recognised
financial institutions with a solid credit rating.
HEALTH, SAFETY AND ENVIRONMENT
Based on the long-term goal of environmental
excellence, Awilco LNG works continuously
towards minimising the environmental impact
from its vessels and operations.
Awilco LNG aims to minimise the emissions
of CO2, NOx and SOx from engines, boilers,
incinerators, cargo, fuel oil tanks and systems
through evaporation. In 2024 there was a stable
development in the CO2 intensity for the vessels
measured using the Annual efficiency rate
(AER), as expected. Environmental emissions
are to a large extent dependent on charterers
operations and type of fuel burned in ships
engines. In 2025 Awilco LNG will continue
efforts to reduce the Company’s environmental
footprint.
The Group has a zero tolerance for
environmental spills, emissions of ozone
depleting substances and unauthorised disposal
of any type of garbage or waste to the marine
environment.
The Group has a lean onshore organisation and
has outsourced certain services. At year end
2024 the Group had six onshore employees.
There is currently no female representation
among management. The Group is aware of
this imbalance and is positive to improve this
ratio in the future. The Board of Directors of the
Company has two female directors, representing
40 % of the Board.
The safety and well-being of Awilco LNG’s
employees and seafarers has the highest
priority. Vessels are to be properly operated and
maintained, and safe for crew, cargo, visitors,
and the environment. The Group’s quality
of operations is supported by experienced,
educated, and well-trained staff onboard
and onshore. The Group adheres to national
and international laws and regulations and
promotes best practices identified within its own
operations and the industry in order to improve
the competence of individual crewmembers
and vessel safety performance. ALNG’s
management is actively engaged in monitoring
the Group’s performance to further encourage
and promote positive trends, and to provide
advice and take corrective action where negative
trends are detected. To ensure retention of
personnel, Awilco LNG aims to ensure a stable
and motivating work environment for both
onshore and offshore employees. The Group is
proactively seeking to identify requirements and
needs for additional training through regular
audits, master and management reviews.
Absence due to illness for onshore employees
was 0.0% in 2024 (5.4 % in 2023). No onshore
work-related injuries were reported in 2023 or
2024. For seafarers, an LTIF (accidents per one
million-man hours worked) of 0.0 was reported
during the year (0.0 in 2023).
Annual Report 2024
16
For further information please see the Social
Responsibility section in the annual report,
which complies with the requirements under
the Norwegian Accounting Act § 3-3c. The Board
of Directors of the Company has approved
the Guidelines for embedding the work in
connection with the Norwegian Transparency
Act which came into effect on July 1, 2022
and the annual report for 2024 will be made
available on the Company’s website (www.
awilcolng.no) within June 30, 2025.
CORPORATE GOVERNANCE
Awilco LNG strives to protect and enhance
shareholder equity through openness,
sustainability, integrity and equal shareholder
treatment, and sound corporate governance
is a key element in the basis of the Awilco LNG
strategy.
The corporate governance principles of the
Company are adopted by the Board of Directors.
The principles are based on the Norwegian Code
of Practice for Corporate Governance as of 14
October 2021 (the «Code of Practice»). Please
see the Corporate Governance section in the
annual report, and the Company’s web sitewww.
awilcolng.no
Awilco LNG does have a Director and Officers
insurance with a reputable insurer.
Annual Report 2024
17
STRATEGY
The main strategy for Awilco LNG is to create
shareholder value through the provision of
a quality, sustainable, reliable and customer-
oriented service to the market, in the best
manner for its shareholders, employees and
business connections. The management team
shall safely, efficiently and effectively provide
LNG transportation services to customers with
an objective to secure the most profitable
contracts coupled with the highest achievable
vessel utilisation.
Awilco LNG shall evaluate growth opportunities
in terms of vessel acquisitions and disposals
which best complement the Group’s financial
and operational aspirations.
OUTLOOK
Despite a challenging second half of 2024 the
Company delivered solid results for 2024. The
market is expected to recover during 2026
and into 2027 when most analysts expect a
shortage of LNG carriers. The large number
of newbuildings delivering ahead of new
production capacity, high gas prices as a result
of European demand outcompeting Far Eastern
buyers of US LNG led to lower utilization of
the LNGC fleet despite longer sailing distances
due to limited use of the two channels. With a
comfortable cash position, reduced cash break-
even, and one vessel trading on a fixed rate
contract the Company is prepared to meet this
challenging market while we are actively seeking
suitable employment for our vessels.
Oslo, April 8, 2025
Jon-Aksel Torgersen
Board member
Synne Syrrist
Chairperson of the
Board
Annette Malm Justad
Board member
Jon Skule Storheill
CEO
Ole Christian Hvidsten
Board member
Jens-Julius R. Nygaard
Board member
Jon-Aksel Torgersen
Synne Syrrist
Annual Report 2024
18
We confirm to the best of our knowledge
that the consolidated financial statements
for 2024 have been prepared in accordance
with IFRS Accounting Standards as adopted
by the European Union, as well as additional
information requirements in accordance with
the Norwegian Accounting Act, and that the
financial statements for the parent company for
2024 have been prepared in accordance with
the Norwegian Accounting Act and generally
accepted accounting practice in Norway, and
that the information presented in the financial
statements gives a true and fair view of the
assets, liabilities, financial position and profit/
(loss) for the period of Awilco LNG ASA and the
Awilco LNG Group as a whole.
We also confirm to the best of our knowledge
that the Board of Directors' Report includes a
true and fair review of the development and
performance of the business and the position
of Awilco LNG ASA and the Awilco LNG Group,
together with a description of the principal risks
and uncertainties that they face.
Statement Of
Responsibility
Oslo, April 8, 2025
Jon-Aksel Torgersen
Board member
Synne Syrrist
Chairperson of the
Board
Annette Malm Justad
Board member
Jon Skule Storheill
CEO
Ole Christian Hvidsten
Board member
Jens-Julius R. Nygaard
Board member
Jon-Aksel Torgersen
Synne Syrrist
Annual Report 2024
19
Consolidated
Financial
Statements
And Notes
Annual Report 2024
20
2024
(17 697 )
(19 821 )
2023
In USD thousands, except per share figures
Profit/(loss) for the period
Other comprehensive income:
Other comprehensive income items
Total comprehensive income/(loss) for the period
Note
3,4
5
6
6
7
10
16
16
9
8
8
Consolidated Income Statement
Consolidated Income Statement of Comprehensive Income
Freight income
Voyage related expenses
Net freight income
Other income
Operating expenses
Administration expenses
Earnings before interest, taxes, depr. and amort. (EBITDA)
Depreciation and amortisation
Earnings before interest and taxes (EBIT)
Finance income
Finance expenses
Net finance income/(expense)
Profit/(loss) before taxes
Income tax expense
Profit/(loss) for the period
Earnings per share in USD attributable to ordinary equity holders
of Awilco LNG ASA:
Basic, profit/(loss) for the period
Diluted, profit/(loss) for the period
Annual Report 2024
21
31.12.2024 31.12.2023
(19 160 )
(36 270 )
In USD thousands
Note
10
11
12
13
14
18
18
7
21
21
9
15
Consolidated Statement of Financial Position
ASSETS
Non-current assets
Vessels
Pension assets
Other fixed assets incl right-of-use assets
Total non-current assets
Current assets
Trade receivables
Inventory
Other short term assets
Cash and cash equivalents
Total current assets
Total assets
EQUITY AND LIABILITIES
Equity
Share capital
Share premium
Other paid-in capital
Retained earnings
Total equity
Non-current liabilities
Pension liabilities
Long-term interest bearing debt
Total non-current liabilities
Current liabilities
Short-term interest bearing debt
Trade payables
Income tax payable
Provisions and accruals
Total current liabilities
Total equity and liabilities
Annual Report 2024
22
2024 2023
(4 117 )
(4 940 )
(388 )
(388 )
(24 572 )
(198 822 )
(24 296 )
(47 690 )
(3 558 )
(526 )
(13 107 )
(13 107 )
(19 967 )
(18 772 )
(17 568 )
(56 306 )
In USD thousands
Note
16
10
10
21
14
Consolidated Cash Flow Statement
Cash Flows from Operating Activities:
Prot/(loss) before taxes
Income taxes paid
Interest and borrowing costs expensed
Items included in prot/(loss) not aecting cash ows:
Depreciation and amortisation
Changes in operating assets and liabilities:
Trade receivables, inventory and other short term assets
Trade payables, provisions and accruals
i) Net cash provided by / (used in) operating activities
Cash Flows from Investing Activities:
Investment in vessels
ii) Net cash provided by / (used in) investing activities
Cash Flows from Financing Activities:
Proceeds from borrowings
Dividends paid
Repayment of borrowings
Interest costs paid
iii) Net cash provided by / (used in) nancing activities
Net change in cash and cash equivalents (i+ii+iii)
Cash and cash equivalents at start of period
Cash and cash equivalents at end of period
Annual Report 2024
23
Consolidated Statement of Changes in Equity
(36 270 )
(19 160 )
(24 572 )
Total
equity
Retained
earnings
Other
paid-in
capital
Share
premium
Share
capital
(24 572 )
In USD thousands
Note
Equity at 1 January 2024
Profit/(loss) for the period
Other comprehensive income for the period
Total comprehensive income
Dividends
Balance as at 31 December 2024
For the period ended 31 December 2024
(74 562 )
-
(36 270 )
-
(19 967 )
Total
equity
Retained
earnings
Other
paid-in
capital
Share
premium
Share
capital
-
(19 967 )
-
-
In USD thousands
Note
Equity at 1 January 2023
Profit/(loss) for the period
Other comprehensive income for the period
Total comprehensive income
Dividends
Balance as at 31 December 2023
For the period ended 31 December 2023
Annual Report 2024
24
Notes to the
Consolidated
Financial Statements
Annual Report 2024
25
Annual Report 2024
26
Annual Report 2024
27
Annual Report 2024
28
Annual Report 2024
29
Annual Report 2024
30
Annual Report 2024
31
Annual Report 2024
32
Annual Report 2024
33
Annual Report 2024
34
Annual Report 2024
35
Annual Report 2024
36
Annual Report 2024
37
Annual Report 2024
38
Annual Report 2024
39
Annual Report 2024
40
Annual Report 2024
41
Annual Report 2024
42
Annual Report 2024
43
Annual Report 2024
44
Annual Report 2024
45
Annual Report 2024
46
Annual Report 2024
47
Annual Report 2024
48
Annual Report 2024
49
Parent Company
Financial
Statements
and Notes
Annual Report 2024
50
2024
10 853
28 712
(17 859)
-
(17 859)
139 284
-
34 957
104 328
86 469
-
86 469
86 469
(132 549)
132 549
(86 469)
12 758
33 823
(21 065)
(3)
(21 062)
16 472
-
15 633
839
(20 222)
-
(20 222)
(20 222)
(132 549)
278 352
(20 222)
2023
In NOK thousands
Note
6
3
4
4
4
5
Income Statement
Operating income
Administration expenses
Earnings before interest, taxes, depr. and amort. (EBITDA)
Depreciation and amortisation
Earnings before interest and taxes
Finance income
Divident from Group Companies
Finance expenses
Net finance income/(expense)
Profit/(loss) before taxes
Income tax expense
Profit/(loss) for the period
Allocations/transfers of profit/(loss) for the period:
Allocated to/(transferred from) retained earnings
Repaid share premium
Transferred from share premium
Total allocations and transfers
Annual Report 2024
51
31.12.2024
6 688
46
659 820
666 554
5 159
641
263 591
269 392
935 946
13 255
271 674
419 800
(337 102)
367 627
7 234
375 593
382 827
1 419
176 577
108
7389
185 492
935 946
5 052
46
679 665
684 764
734
746
208 103
209 582
894 346
13 255
404 222
419 800
(423 570)
413 707
5 537
153 472
159 010
6 118
173 905
78
141 527
321 629
894 346
31.12.2023
In NOK thousands
Note
3
6
6
7
8
8
3
6
6
6
9
Parent Company Statement of Financial Position
ASSETS
Non-current assets
Pension assets
Other fixed assets
Shares in subsidiaries
Total non-current assets
Current assets
Short term receivables subsidiaries
Other short term assets
Cash and cash equivalents
Total current assets
Total assets
EQUITY AND LIABILITIES
Equity
Share capital
Share premium
Other paid-in capital
Retained earnings
Total equity
Non-current liabilities
Pension liabilities
Loans from subsidiaries
Total non-current liabilities
Current liabilities
Short term payables subsidiaries
Inter company debt
Trade payables
Provisions and accruals
Total current liabilities
Total equity and liabilities
Annual Report 2024
52
Parent Company Cash Flow Statement
Parent Company Statement of Changes in Equity
2024
86 469
-
(76 000)
19 845
104
(6 453)
(6 659)
17 306
(30 745)
298 121
(76 000)
191 376
(265 097)
111 904
(153 193)
55 489
208 103
263 591
(20 222)
(3)
-
-
746
114 663
(63 051)
32 133
-
153 472
-
153 472
(145 803)
-
(145 803)
55 489
208 103
263 591
2023
In NOK thousands
Note
6
6
6
6
6
7
7
Cash Flows from Operating Activities:
Profit (loss) before taxes
Items included in profit/(loss) not affecting cash flows:
Depreciation and amortisation of property, plant and equipment
Dividend received from subsidiariessubsidiaries
Writedown shares in dissolved subsidiaries
Changes in operating assets and liabilities:
Other short term assets
Short term receivables/payables subsidiaries
Trade payables, provisions and accruals
i) Net cash provided by / (used in) operating activities
Cash Flows from Investing Activities:
Divestment of subsidiaries
Drawdown loans from subsidiaries
Repayment of Loan from subsidiaries
ii) Net cash provided by / (used in) investing activities
Cash Flows from Financing Activities:
Dividend paid
Dividend received from Group Companies
iii) Net cash provided by / (used in) financing activities
Net change in cash and cash equivalents (i+ii+iii)
Cash and cash equivalents at start of period
Cash and cash equivalents at end of period
(423 573)
86 469
-
-
-
(337 104)
404 222
-
(132 548)
-
-
271 674
Total
equity
Retained
earnings
Other
paid-in
capital
Share
premium
Share
capital
413 707
86 469
(132 546)
-
-
367 627
419 800
-
-
-
-
419 800
13 255
-
-
-
-
13 255
In NOK thousands
Equity at 1 January 2024
Profit/(loss) for the period
Share premium reduction
1)
Equity issue
Transaction costs equity issue
Balance as at 31 December 2024
For the period ended 31 December 2024
(403 350)
(20 222)
-
(423 573)
682 575
-
(278 352)
404 222
Total
equity
Retained
earnings
Other
paid-in
capital
Share
premium
Share
capital
712 279
(20 222)
(278 350)
413 707
419 800
-
-
419 800
13 255
-
-
13 255
In NOK thousands
Equity at 1 January 2023
Profit/(loss) for the period
Share premium reduction
1)
Balance as at 31 December 2023
1)
In February 2024 the Board of directors used the authority given bu the Annual General Meeting in 2023 to pass a resolution
for distribution share premium to the shareholders. This is recorded as dividend per yearend.
The dividend payment was processed in April 2024
For the period ended 31 December 2023
Annual Report 2024
53
NOTE 1 // CORPORATE
INFORMATION
Awilco LNG ASA (the Company) is a public limited
liability company incorporated and domiciled
in Norway. Its registered office is Haakon VIIs
Gate 1, 0161 Oslo, Norway. The Company was
incorporated 2 February 2011 and is listed on
Euronext Expand with the ticker ALNG.
Awilco LNG ASA is through its subsidiaries
engaged in the operation of and investments in
LNG transportation vessels.
NOTE 2 // SUMMARY OF
SIGNIFICANT ACCOUNTING
POLICIES
Basis for preparation
The financial statements of Awilco LNG ASA
have been prepared in accordance with the Nor-
wegian accounting act and generally accepted
accounting principles in Norway. The financial
statements are presented in Norwegian kroner
(NOK) rounded off to the nearest thousands,
except as otherwise indicated. The financial
statements are prepared in English, as approved
by the Norwegian Directorate of Taxes.
The principal accounting policies applied in the
preparation of these financial statements are set
out below.
Shares in subsidiaries
Shares in subsidiaries are measured at cost less
accumulated impairment losses. Such assets
are impaired to fair value when the decrease
in value s for reasons not considered being of
a temporary nature and must be deemed nec-
essary based on generally accepted accounting
principles. Impairment losses are reversed when
the rationale for the recognised impairment loss
no longer applies. Dividends, group contribu-
tions and other distributions from subsidiaries
are recognised in the same period as they are
recognised in the financial statement of the
subsidiary. If dividends and group contributions
exceed withheld profits after the acquisition
date, the excess amount represents repayment
of invested capital and will be deducted from the
carrying value of the subsidiary in the balance
sheet of the Company.
Foreign currency
The functional currency of the Company is USD
whereas the accounting and presentation cur-
rency is NOK. Transactions in foreign currencies
are recorded at the rate of exchange on the date
of the transaction. Monetary assets and liabilities
denominated in other currencies are translated
at the exchange rate applicable at the balance
sheet date. Realised and unrealised foreign
currency gains or losses on monetary items are
presented as finance income or finance expense.
Revenue recognition
Revenues from the sale of services are recog-
nised in the income statement once services
have been rendered.
Parent Company
Notes to the Financial
Statements
Annual Report 2024
54
Other fixed assets
Other fixed assets are capitalised and depreciat-
ed linearly over the estimated useful life. Costs
for maintenance are expensed as incurred. If
the carrying value of other fixed assets exceeds
the estimated recoverable amount, the asset is
written down to the recoverable amount. The
recoverable amount is the higher of the net real-
isable value and value in use. In assessing value
in use, the discounted estimated future cash
flows from the asset are used.
Classification of items in the balance sheet
Current assets and current liabilities include
items that fall due for payment within one year
after the balance sheet date. The short-term
part of long-term debt is classified as short-term
debt.
Loans and receivables
Loans and receivables are initially recognised
at fair value net of any transaction costs. The
assets are subsequently carried at amortised
cost using the effective interest method, if the
amortisation effect is material, and the carrying
amount is subsequently reduced by any impair-
ment losses.
Taxes
The income tax expense consists of current
income tax and changes in deferred tax.
Current income tax is the expected tax payable
or receivable on the taxable income or loss for
the year.
Deferred income tax is provided using the
liability method on temporary differences at the
reporting date between the tax bases of assets
and liabilities and their carrying amounts in the
financial statement.
Deferred tax liabilities are recognised for all
Annual Report 2024
55
taxable temporary differences. Deferred tax as-
sets are recognised for all deductible temporary
differences to the extent that it is probable that
taxable profits will be available against which
the deductible temporary difference can be
utilised. Deferred income tax is calculated on
temporary differences arising on investments in
subsidiaries, except where the timing of the re-
versal of the temporary difference is controlled
by the Company.
Current income tax and deferred tax is recog-
nised in profit or loss except to the extent that it
relates to items recognised directly in equity.
Pensions
The Company is required to provide a pension
plan towards its onshore employees and has
implemented a defined contribution plan.
The plan, which is fully funded, complies with
the requirements in the Mandatory Occupation-
al Pension act in Norway (“Lov om obligatorisk
tjenestepensjon”). Contributions on salary up
until 12G are funded in a life insurance compa-
ny, whereas contributions on salary above 12G
are transferred to a separately administered
scheme and pledged towards the participating
employees. G refers to the Norwegian National
Insurance basic amount.
Contributions to the pension plan are recog-
nised as an employee benefit expense in the
income statement when they fall due. Prepaid
contributions are recognised as an asset to the
extent that a cash refund or a reduction in the
future payments is expected. The Company has
no further payment obligations once the contri-
butions have been paid.
The liability arising from the plan > 12G is clas-
sified as a non-current liability in the statement
of financial position. Changes in the liability
are recognised as employee benefit expenses
in the income statement in the periods during
which services are rendered by employees. The
liability becomes payable to the employee upon
termination, voluntary or involuntary, of the
employment.
Cash and cash equivalents
Cash represents cash on hand and deposits with
banks that are repayable on demand. Cash in-
cludes restricted employee taxes withheld. Cash
equivalents represent short-term, highly liquid
investments which are readily convertible into
known amounts of cash with original maturities
of three months or less.
Dividends
Proposed dividend payments from the Company
are recognised as a liability in the financial state-
ments on the reporting date 31 December the
current year. This includes dividend proposed in
the period after year-end but prior to issuing the
financial statements.
Cash flow statement
The cash flow statement is presented using the
indirect method.
Annual Report 2024
56
2024
2024
2024
12 216
2 991
2 712
162
18 080
1 800
2 243
6 589
28 712
18 321
3 907
1 671
186
24 084
1 698
1 209
6 619
33 611
4
4
541
-
-
541
2023
2023
2023
4
4.6
459
-
-
459
Note 3 // Administration expenses
Salaries and other remuneration
Social security cost
Pension
Other employee related expenses
Total employee related expenses
Management fees
Consultant, legal and auditor’s fees
Other administration expenses
Total administration expenses
Employees year end
Average number of work years
Statutory audit
Other assurance services
Tax advisory
Total fees to auditor, excl. VAT
The Company has a defined contribution plan for its employees which complies with the requirements in the Mandatory Occu-
pational Pension act in Norway ("Lov om obligatorisk tjenestepensjon"). Contributions on salary up until 12G are funded in a life
insurance company, whereas contributions on salary over 12G are transferred to a separately administered scheme and pledged
towards the participating employees. G refers to the Norwegian National Insurance basic amount.
The pension plan of the Company's CEO was covered by a defined benefit plan in Awilco AS. The Company reimbursed Awilco AS
for expenses related to the pension plan. On 1 February 2014 this plan was terminated, and subsequently the CEO is covered by
the Company's defined contribution plans as described above. See note 21 in the consolidated financial statements for further
information.
Please see note 20 in the consolidated financial statements for disclosures regarding remuneration to key management.
Please see note 20 in the consolidated financial statements for disclosures regarding remuneration to Board of Directors.
Information regarding management fees to related parties is provided in note 6.
Administration expenses
Number of employees
Auditor’s fee
Pensions
Remuneration to key management
Remuneration to Board of Directors
Annual Report 2024
57
2024
2024
Note
13 002
244
14 049
111 904
85
139 284
2024
-
-
2024
3
34 759
44
150
34 957
10 268
102
5 041
726
335
16 472
2023
-
-
2023
20
13 012
2 418
183
15 633
-
-
-
31.12.2024
0
(6 688)
7 234
101 656
102 201
(102 201)
22 %
-
6
Note
6
2023
2023
-
-
-
31.12.2023
0
(5 052)
5 537
81 475
81 960
(81 960)
22 %
-
Note 4 // Finance income and expenses
Note 5 // Income taxes
Interest income
Interest income group companies
Currency gain
Dividends and group contributions from subsidiaries
Other finance income group companies
Total finance income
Net gain/(loss) and valuation adjustment of securities
Net gain/(loss) and valuation adjustment of securities
Total Net gain/(loss) and valuation adjustment of securities
Finance expenses
Interest expense
Interest expense group companies
Currency loss
Other finance expenses
Total finance expenses
Current income tax
Changes in deferred tax
Total income tax expense / (income)
Specification of basis for deferred tax
Other fixed assets
Pension assets
Pension liabilities
Tax loss carry forward
Basis for deferred tax asset / (liability)
Not recognised deferred tax assets (basis)
Basis for deferred tax asset / (liability)
Tax rate
Deferred tax asset / (liability)
The Company is subject to ordinary corporation tax in Norway at a tax rate of 22 % in 2024.
Recognition of deferred income tax assets is subject to strict requirements in respect of the ability to substantiate that sufficient
taxable profit will be available against which the unutilised tax losses can be used. Based on these requirements and an assess-
ment by the Company deferred tax assets arising from tax loss carry forward has not been recognised. Utilisation of the tax loss
carry forward is not limited in time.
Currency gains and losses mainly relate to translation effects from bank accounts and balances with subsidiaries denominated
in USD and translated into NOK at the balance sheet date. See note 6 for a specification of finance income and expense payable
from/to group companies.
Finance income
Income tax expense
Tax regime
Annual Report 2024
58
2024
2024
86 469
19 023
(14 569)
(4 455)
0
(20 211)
(4 446)
(160)
4 606
0
-
-
-
2023
2023
-
-
-
Note 5 // Income taxes cont
Note 6 // Related parties
Profit/(loss) before taxes
Tax based on ordinary tax rate (22 %)
Effects from:
Permanent differences
Not recognised deferred tax assets
Effect of change in tax rate
Total income tax expense / (income)
To provide the Company with access to important and required knowledge and services, the Company has entered into various
agreements with related parties. Information regarding these contracts and the transactions and balances with related parties,
except for transactions and balances with subsidiaries, is provided in note 20 in the consolidated financial statement. Transac-
tions with subsidiaries are disclosed below.
As at 31 December 2024 the Company has the following subsidiaries:
Current tax payable recognised in income statement
Current tax payable recognised directly in equity
Total income tax payable
Reconciliation of effective tax rate
Transactions with related parties
Subsidiaries
Income tax payable
Awilco LNG 4 AS
Awilco LNG 5 AS
Awilco LNG Technical Management AS
Awilco LNG 1 AS, Awilco LNG 2 AS and Awilco LNG 3 AS were dissolved in December 2024.
At the date of this report the subsidiaries' registered office is Haakon VIIs Gate 1. 0161 OSLO, Norway.
Awilco LNG 1 AS
Awilco LNG 2 AS
Awilco LNG 3 AS
Awilco LNG 4 AS
Awilco LNG 5 AS
Awilco LNG Technical Management AS
Total carrying amount 31 December
Norway
Norway
Norway
Owner of LNG/C WilForce
Owner of LNG/C WilPride
Technical management
6 May 2011
6 May 2011
17 September 2012
-
-
-
373 800
275 900
10 120
659 820
8 692
1 146
10 008
373 800
275 900
10 120
679 665
0 %
0 %
0 %
100 %
100 %
100 %
Company name
Company name
Country Principial activity Date incorporated
Carrying amount
31.12.2024
Carrying amount
31.12.2023
Ownership/
voting share
Annual Report 2024
59
Short-term
payables
Short-term
receivables
Long-term
loans (+)
/borrowings (-)
74
74
1 272
1 419
-
-
5 159
5 159
(337 508)
(38 086)
-
(375 593)
Note 6 // Related parties and investments in group companies cont
The Company provides financing to its subsidiaries through both long-term and short-term loans. Interest on both long-term
loans and short-term receivables/payables is agreed toSOFR + 3 % for USD denominated loans and NIBOR + 3 % for NOK denomi-
nated loans. See below for interest income from subsidiaries.
Commercial management fee
Awilco LNG ASA provides commercial management services to the vessel owning subsidiaries. The commercial management fees
are based on a fixed fee of USD 100 000 per vessel per year a fixed percentage of gross freight income of 1.25 %.
Short-term receivable TNOK 5 159 towards Awilco LNG Technical Management AS relates to group contribution.
Awilco LNG 1 AS, Awilco LNG 2 AS and Awilco LNG 3 AS were dissolved in December 2024.
Awilco LNG 4 AS
Awilco LNG 5 AS
Awilco LNG Technical Management AS
Total
Balances with subsidiaries
Transactions with subsidiaries
Subsidiary
Balances with subsidiaries as at 31 December 2024
Short-term
payables
Short-term
receivables
Long-term
loans (+)
/borrowings (-)
2
2
-
4 707
23
1 384
6 118
-
-
7
-
-
726
734
-
-
-
(153 472)
-
-
(153 472)
Awilco LNG 1 AS
Awilco LNG 2 AS
Awilco LNG 3 AS
Awilco LNG 4 AS
Awilco LNG 5 AS
Awilco LNG Technical Management AS
Total
Subsidiary
Balances with subsidiaries as at 31 December 2023
31.12.202331.12.2024Note
11 766
1 851
32 248
108 455
577
19 009
173 905
-
-
-
20 122
136 290
20 165
176 577 7
Awilco LNG 1 AS
Awilco LNG 2 AS
Awilco LNG 3 AS
Awilco LNG 4 AS
Awilco LNG 5 AS
Awilco LNG Technical Management AS
Total
Company name
Cash pool deposits subsidiaries
Annual Report 2024
60
2023
2023
2023
2024
2024
2024
5 324
5 529
10 853
7 737
5 021
12 758
-
-
-
-
269
26
271
-
0
-
21
76
6
102
521
81
1 429
27 289
4 530
936
34 787
590
94
1 615
8 193
1 531
990
13 012
Note 6 // Related parties and investments in group companies cont
Awilco LNG 4 AS
Awilco LNG 5 AS
Total
Awilco LNG 1 AS
Awilco LNG 2 AS
Awilco LNG 3 AS
Awilco LNG 4 AS
Awilco LNG 5 AS
Awilco LNG Technical Management AS
Total
Awilco LNG 1 AS
Awilco LNG 2 AS
Awilco LNG 3 AS
Awilco LNG 4 AS
Awilco LNG 5 AS
Awilco LNG Technical Management AS
Total
Project management fee Awilco LNG Technical Management AS
A subsidiary of the Company, Awilco LNG Technical Management AS, provides project management services to the Company. In
2024 the Company paid a fee of TNOK 941 for these services (TNOK 857 in 2023).
Guarantee commission from subsidiaries
The Company has issued guarantees towards the lessor of WilForce and WilPride on behalf of lessees' Awilco LNG 4 AS and
Awilco LNG 5 AS respectively, see note 11. A guarantee commission of TNOK 43 was charged each of the two subsidiaries in 2024
(TNOK 168 each in 2023) related to the outgoing lessees'. No guarantee commissions are made realted to the new lessees.
Subsidiary
Subsidiary
Subsidiary
Interest income from subsidiaries
Interest expenses subsidiaries
Annual Report 2024
61
Code FX rate FX rate
31.12.2024
31.12.2024Provisions and accruals
Carrying value Carrying value
31.12.2023
31.12.2023
31.12.2024 31.12.2023
USD
NOK
11.3534
1
10.1724
1
176 577
7 521
(133)
7 389
8 979
132 549
141 527
Cash pool deposits subsidiaries
Salary related provisions
Other accruals and provisions
Total provisions and accruals
The group has a cash pool arrangement which entails that the subsidiaries' deposits on these accounts are formally either a
receivable or a liability against Awilco LNG ASA.
As at 31 December 2024 TNOK 899 was restricted cash related to employee withholding tax (31 December 2023 TNOK 3 763),
TNOK 973 was restricted cash related to requirements from operating Awilco LNG's vessels (31 December 2023 TNOK 763).
Awilco LNG's liquidity is organised in a cash pool arrangement in which cash in the subsidiaries formally represents receivables
or payables towards the parent company Awilco LNG ASA. The Group companies are jointly and severally liable for the total
outstanding amount under the arrangement.
Information about the Company's share capital is provided in note 18 to the consolidated accounts.
General information regarding capital and financial risk management is provided in note 19 in the consolidated accounts. Awilco
LNG ASA presents its financial statement in NOK, and is thus exposed to foreign exchange translation risk on monetary items
denominated in foreign currencies.
Information on events after the reporting date is disclosed in note 24 in the consolidated accounts.
Please see note 23 in the consolidated accounts. In addition, Awilco LNG ASA has issued certain guarantees on behalf of
companies in the Awilco LNG Group:
The Company has issued a guarantee towards China Development Bank Financial Leasing Co. Ltd on behalf of the Company's
subsidiaries Awilco LNG 4 AS and Awilco LNG 5 AS, guaranteeing for the performance of the bareboat charter agreements
described in note 21 in the consolidated accounts.
84 061
2 954
87 015
28 149
6 048
34 197
173 905
Note 7 // Cash and cash equivalents
Note 8 // Share capital
Note 10 // Capital and financial risk management
Note 12 // Events after the reporting date
Note 11 // Commitments, contingencies and guarantees
Note 9 // Provisions and accruals
US dollars
Norwegian kroner
Total cash and cash equivalents
Currency
Annual Report 2024
62
Auditor’s Report
Annual Report 2024
63
Statsautoriserte revisorer
Ernst & Young AS
Stortorvet 7, 0155 Oslo
Postboks 1156 Sentrum, 0107 Oslo
Foretaksregisteret: NO 976 389 387 MVA
Tlf: +47 24 00 24 00
www.ey.no
Medlemmer av Den norske Revisorforening
A member firm of Ernst & Young Global Limited
To the General Meeting in Awilco LNG ASA
INDEPENDENT AUDITOR'S REPORT
Report on the audit of the financial statements
Opinion
We have audited the financial statements of Awilco LNG ASA (the Company) which comprise:
The financial statements of the Company, which comprise the statement of financial position as
at 31 December 2024 and the income statement, cash flow statement, statement of changes in
equity for the year then ended and notes to the financial statements, including a summary of
significant accounting policies, and
The financial statements of the Group, which comprise the consolidated statement of financial
position as at 31 December 2024, the consolidated income statement, consolidated statement of
comprehensive income, consolidated cash flow statement and consolidated statement of
changes in equity for the year then ended and notes to the financial statements, including
material accounting policy information.
In our opinion:
the financial statements comply with applicable statutory requirements,
the financial statements give a true and fair view of the financial position of the Company as at 31
December 2024 and its financial performance and cash flows for the year then ended in
accordance with the Norwegian Accounting Act and accounting standards and practices
generally accepted in Norway, and
the consolidated financial statements give a true and fair view of the financial position of the
Group as at 31 December 2024 and its financial performance and cash flows for the year then
ended in accordance with IFRS Accounting Standards as adopted by the EU.
Our opinion is consistent with our additional report to the audit committee.
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (ISAs). Our
responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of
the financial statements section of our report. We are independent of the Company and the Group in
accordance with the requirements of the relevant laws and regulations in Norway and the International
Ethics Standards Board for Accountants’ International Code of Ethics for Professional Accountants
(including International Independence Standards) (the IESBA Code), and we have fulfilled our other
ethical responsibilities in accordance with these requirements. We believe that the audit evidence we
have obtained is sufficient and appropriate to provide a basis for our opinion.
To the best of our knowledge and belief, no prohibited non-audit services referred to in the Audit
Regulation (537/2014) Article 5.1 have been provided.
We have been the auditor of the Company for 14 years from the election by the general meeting of the
shareholders on 2 February for the accounting year 2011 (with at renewed election on the 24 May 2022).
Penneo document key: 48NKN-NSFAN-DR3U7-PVNS8-YKYSV-9RJ9C
Annual Report 2024
64
2
Independent auditor's report - Awilco LNG ASA 2024
A member firm of Ernst & Young Global Limited
Key audit matters
Key audit matters are those matters that, in our professional judgment, were of most significance in our
audit of the financial statements for 2024. These matters were addressed in the context of our audit of the
financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate
opinion on these matters.
Accounting estimates related to vessels
Basis for the key audit matter
As per 31 December 2024, the Group owned two
2013 built 156,000 cbm TFDE LNG carriers. The
accounting estimates for these assets require
management’s judgement and have material
impact for the group due to the assets’
cumulative value and long-lived nature, and are
therefore assessed to be a key audit matter. The
key estimates include assessment of useful lives
and evaluation of impairment. Management has
changed the estimate of useful life for the vessels
from 40 to 35 years. Further, LNG shipping rates
declined during 2024 and as a result,
management identified impairment indicators and
tested recoverable amount. In addition to useful
life and future LNG shipping rates, the
impairment evaluation of vessels is dependent on
estimates regarding vessel utilization, operating
expenses, capital expenditures and discount
rate. The Group recognized an impairment of nil
in the 2024 consolidated financial statements.
Our audit response
We performed an evaluation of revenue and
utilization assumptions in the cash flows
estimated by management through comparison
towards the Company’s historical data and data
from independent market analyst’s sector
reports. We compared operating expenditures to
approved budgets and historical data.
Furthermore, we compared the risk premiums
used in the weighted average cost of capital with
external data and considered management’s
adjustments for company specific factors. We
evaluated management’s estimation of useful
lives and residual value, and compared these to
industry practice, also considering future
changes to environmental regulations. We
considered the accuracy of management’s prior
year assumptions and evaluated the level of
consistency applied in the valuation methodology
from previous years. We also tested the
mathematical accuracy of the valuation model
and performed sensitivity analysis of the
assumptions.
Finally, we read the disclosures regarding this
assessment, which are included in note 2 and
note 10 of the Group’s consolidated financial
statements.
Other information
The Board of Directors and the CEO (management) are responsible for the information in the Board of
Directors’ report and the other information presented with the financial statements. The other information
consists of the information included in the annual report other than the financial statements and our
auditor's report. Our opinion on the financial statements does not cover the information in the Board of
Directors’ report and the other information presented with the financial statements.
In connection with our audit of the financial statements, our responsibility is to read the information in the
Board of Directors’ report and for the other information presented with the financial statements. The
purpose is to consider if there is material inconsistency between the information in the Board of Directors’
report and the other information presented with the financial statements and the financial statements or
our knowledge obtained in the audit, or otherwise the information in the Board of Directors’ report and for
the other information presented with the financial statements otherwise appears to be materially
Penneo document key: 48NKN-NSFAN-DR3U7-PVNS8-YKYSV-9RJ9C
Annual Report 2024
65
3
Independent auditor's report - Awilco LNG ASA 2024
A member firm of Ernst & Young Global Limited
misstated. We are required to report if there is a material misstatement in the Board of Directors’ report
and the other information presented with the financial statements.
Based on our knowledge obtained in the audit, it is our opinion that the Board of Directors’ report
is consistent with the financial statements and
contains the information required by applicable statutory requirements.
Our statement on the Board of Directors’ report applies correspondingly for the statement on Corporate
Governance.
Responsibilities of management for the financial statements
Management is responsible for the preparation of the financial statements of the Company that give a
true and fair view in accordance with the Norwegian Accounting Act and accounting standards and
practices generally accepted in Norway, and for the preparation of the consolidated financial statements
of the Group that give a true and fair view in accordance with IFRS Accounting Standards as adopted by
the EU. Management is responsible for such internal control as management determines is necessary to
enable the preparation of financial statements that are free from material misstatement, whether due to
fraud or error.
In preparing the financial statements, management is responsible for assessing the Company’s and the
Group’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern
and using the going concern basis of accounting unless management either intends to liquidate the
Company or the Group, or to cease operations, or has no realistic alternative but to do so.
Auditor’s responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are
free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that
includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an
audit conducted in accordance with ISAs will always detect a material misstatement when it exists.
Misstatements can arise from fraud or error and are considered material if, individually or in the
aggregate, they could reasonably be expected to influence the economic decisions of users taken on the
basis of these financial statements.
As part of an audit in accordance with ISAs, we exercise professional judgment and maintain professional
scepticism throughout the audit. We also:
Identify and assess the risks of material misstatement of the financial statements, whether due to
fraud or error, design and perform audit procedures responsive to those risks, and obtain audit
evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not
detecting a material misstatement resulting from fraud is higher than for one resulting from error,
as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override
of internal control.
Obtain an understanding of internal control relevant to the audit in order to design audit
procedures that are appropriate in the circumstances, but not for the purpose of expressing an
opinion on the effectiveness of the Company’s and the Group’s internal control.
Evaluate the appropriateness of accounting policies used and the reasonableness of accounting
estimates and related disclosures made by management.
Conclude on the appropriateness of management’s use of the going concern basis of accounting
and, based on the audit evidence obtained, whether a material uncertainty exists related to
events or conditions that may cast significant doubt on the Company’s and the Group’s ability to
Penneo document key: 48NKN-NSFAN-DR3U7-PVNS8-YKYSV-9RJ9C
Annual Report 2024
66
4
Independent auditor's report - Awilco LNG ASA 2024
A member firm of Ernst & Young Global Limited
continue as a going concern. If we conclude that a material uncertainty exists, we are required to
draw attention in our auditor’s report to the related disclosures in the financial statements or, if
such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit
evidence obtained up to the date of our auditor’s report. However, future events or conditions
may cause the Company and the Group to cease to continue as a going concern.
Evaluate the overall presentation, structure and content of the financial statements, including the
disclosures, and whether the financial statements represent the underlying transactions and
events in a manner that achieves fair presentation.
Obtain sufficient appropriate audit evidence regarding the financial information of the entities or
business activities within the Group to express an opinion on the consolidated financial
statements. We are responsible for the direction, supervision and performance of the group audit.
We remain solely responsible for our audit opinion.
We communicate with the board of directors regarding, among other matters, the planned scope and
timing of the audit and significant audit findings, including any significant deficiencies in internal control
that we identify during our audit.
We also provide the audit committee with a statement that we have complied with relevant ethical
requirements regarding independence, and to communicate with them all relationships and other matters
that may reasonably be thought to bear on our independence, and where applicable, related safeguards.
From the matters communicated with the board of directors, we determine those matters that were of
most significance in the audit of the financial statements of the current period and are therefore the key
audit matters. We describe these matters in our auditor’s report unless law or regulation precludes public
disclosure about the matter or when, in extremely rare circumstances, we determine that a matter should
not be communicated in our report because the adverse consequences of doing so would reasonably be
expected to outweigh the public interest benefits of such communication.
Report on other legal and regulatory requirement
Report on compliance with regulation on European Single Electronic Format (ESEF)
Opinion
As part of the audit of the financial statements of Awilco Lng ASA we have performed an assurance
engagement to obtain reasonable assurance about whether the financial statements included in the
annual report, with the file name 5967007LIEEXZXJO5C34-2024-12-31-0-en.zip, have been prepared, in
all material respects, in compliance with the requirements of the Commission Delegated Regulation (EU)
2019/815 on the European Single Electronic Format (the ESEF Regulation) and regulation pursuant to
Section 5-5 of the Norwegian Securities Trading Act, which includes requirements related to the
preparation of the annual report in XHTML format and iXBRL tagging of the consolidated financial
statements.
In our opinion, the financial statements, included in the annual report, have been prepared, in all material
respects, in compliance with the ESEF Regulation.
Management’s responsibilities
Management is responsible for the preparation of the annual report in compliance with the ESEF
Regulation. This responsibility comprises an adequate process and such internal control as management
determines is necessary.
Auditor’s responsibilities
Penneo document key: 48NKN-NSFAN-DR3U7-PVNS8-YKYSV-9RJ9C
Annual Report 2024
67
5
Independent auditor's report - Awilco LNG ASA 2024
A member firm of Ernst & Young Global Limited
Our responsibility, based on audit evidence obtained, is to express an opinion on whether, in all material
respects, the financial statements included in the annual report have been prepared in accordance with
the ESEF Regulation. We conduct our work in accordance with the International Standard for Assurance
Engagements (ISAE) 3000 – “Assurance engagements other than audits or reviews of historical financial
information”. The standard requires us to plan and perform procedures to obtain reasonable assurance
about whether the financial statements included in the annual report have been prepared in accordance
with the ESEF Regulation.
As part of our work, we perform procedures to obtain an understanding of the company’s processes for
preparing the financial statements in accordance with the ESEF Regulation. We test whether the financial
statements are presented in XHTML-format. We evaluate the completeness and accuracy of the iXBRL
tagging of the consolidated financial statements and assess management’s use of judgement. Our
procedures include reconciliation of the iXBRL tagged data with the audited financial statements in
human-readable format. We believe that the evidence we have obtained is sufficient and appropriate to
provide a basis for our opinion.
Oslo, 8 April 2025
ERNST & YOUNG AS
The auditor's report is signed electronically
Johan Lid Nordby
State Authorised Public Accountant (Norway)
Penneo document key: 48NKN-NSFAN-DR3U7-PVNS8-YKYSV-9RJ9C
Annual Report 2024
68
This document is digitally signed using Penneo.com. The signed data are validated
by the computed hash value of the original document. All cryptographic evidence is
embedded within this PDF for future validation.
The document is sealed with a Qualified Electronic Seal using a certificate and
timestamp from a Qualified Trust Service Provider.
How to verify the integrity of this document
When you open the document in Adobe Reader, you should see that the
document is certified by Penneo A/S. This proves that the contents of the
document have not been modified since the time of signing. Evidence of the
individual signers' digital signatures is attached to the document.
You can verify the cryptographic evidence using the Penneo validator,
https://penneo.com/validator, or other signature validation tools.
The signatures in this document are legally binding. The document is signed using Penneo™ secure digital
signature. The identity of the signers has been recorded, and are listed below.
“By my signature I confirm all dates and content in this document.”
N
N
o
o
r
r
d
d
b
b
y
y
,
,
J
J
o
o
h
h
a
a
n
n
L
L
i
i
d
d
S
S
t
t
a
a
t
t
e
e
A
A
u
u
t
t
h
h
o
o
r
r
i
i
s
s
e
e
d
d
P
P
u
u
b
b
l
l
i
i
c
c
A
A
c
c
c
c
o
o
u
u
n
n
t
t
a
a
n
n
t
t
(
(
N
N
o
o
r
r
w
w
a
a
y
y
)
)
On behalf of: ERNST & YOUNG AS
Serial number: no_bankid:9578-5997-4-729076
IP: 147.161.xxx.xxx
2025-04-08 18:44:27 UTC
Penneo document key: 48NKN-NSFAN-DR3U7-PVNS8-YKYSV-9RJ9C
Annual Report 2024
69
CORPORATE GOVERNANCE
The main strategy for Awilco LNG ASA
(the Company or Awilco LNG) is to create
shareholder value through the provision of
a quality, reliable and customer-oriented
service to the market, in the best manner for
its shareholders, employees and business
connections. Awilco LNG strives to protect and
enhance shareholder equity through openness,
integrity and equal shareholder treatment, and
sound corporate governance is a key element in
the basis of the Awilco LNG strategy.
The corporate governance principles of the
Company are adopted by the Board of Directors
of Awilco LNG ASA (the Board). The principles
are based on the Norwegian Code of Practice for
Corporate Governance, dated 14 October 2021
(the «Code of Practice»). Below is a description
of the basis that Awilco LNG has implemented
the Code of Practice. This description follows
the same structure as the Code of Practice and
covers all sections thereof. Deviations, if any,
from the Code of Practice are discussed under
the relevant section.
1 IMPLEMENTATION AND REPORTING ON
CORPORATE GOVERNANCE
The Board of Directors shall ensure that
appropriate goals and strategies are adopted,
that the adopted strategies are implemented
in practice, and that the results achieved are
subject to measurement and follow-up. The
principles shall also contribute to ensure that
the activities of the Company are subject to
adequate controls. An appropriate distribution
of roles and adequate controls shall contribute
to the largest possible value creation over
time, for the benefit of the owners and other
stakeholders.
The Company has defined a mission statement
“Marine Transportation through Safety and
Environmental Excellence” and identified a set
of core objectives that describes the focus and
continuous improvement process based on
the mission statement. The objectives include
policies regarding; safeguarding of people, ships
and cargoes, focus on limitation of any negative
impact on the environment from our vessels
and a separate statement regarding Safety
Management & Environmental Protection Policy.
Corporate Governance
Annual Report 2024
70
This policy document, which is available on the
Company’s website www.awilcolng.no, describes
the basic principles of the corporate values.
Awilco LNG’s code of conduct – values and ethics
forms an important foundation for Awilco LNG’s
corporate governance and demands high ethical
standards, in which focus on safety and integrity
are key factors. The Company has continuous
focus on making sure that the corporate values
are practiced in the Company’s everyday life.
The Company’s code of conduct – values and
ethics can be found on the Company’s website.
2 THE BUSINESS
According to the Company’s articles of
association, its purpose is to carry out “shipping
and other business related hereto”. The
objectives clause of the Company also includes
“acquisitions, management, borrowings and
sale of capital assets in the shipping business
in addition to investments in shares, bonds and
partnership contributions of any type connected
with shipping, as well as participation, including
ownership stakes in other shipping companies
and other business naturally connected hereto.”
The principal objectives and strategies of the
Company are presented in the annual report
and are subject to annual assessments.
The Company’s social responsibility is set out in
a separate section in the annual report.
3 EQUITY AND DIVIDENDS
The Company’s equity is assessed as
appropriate based on its objectives, strategies
and risk profile. The book equity of the Awilco
LNG Group as per 31 December 2024 was USD
137.3 million, which represents an equity ratio
of 40.9 %.
The Company’s long-term objective is to pay a
regular dividend in support of the Company’s
main objective to maximise return on invested
capital. The Board of Directors approved a
revised dividend policy in November 2022.
The Board is committed to return value to
shareholders and intend to resume distribution
of a substantial part of annual free cash flow,
paid out quarterly, always subject to debt
covenants, capital requirements and a robust
cash buffer. An updated proposal for any
quarterly dividend payments will be presented
to the Annual General Meeting.
To the extent it is considered desirable, the
Company may raise new equity in the capital
markets.
The Board is currently not authorised to
purchase own shares in the market.
4 EQUAL TREATMENT OF SHAREHOLDERS AND
TRANSACTIONS WITH RELATED PARTIES
The Company has one class of shares, and each
share has one vote at the General Meeting.
Where the board resolves to carry out an
increase in share capital and waive the pre-
emption rights of existing shareholders based
on a mandate granted to the Board of Directors,
the justification should be publicly disclosed
in a stock exchange announcement issued in
connection with the increase in share capital.
Any transactions the Company carries out in its
own shares are carried out through the stock
exchange and at prevailing stock exchange
prices.
In the event of any material transactions
between the Company and shareholders,
Directors or close associates thereof, the
transactions will be conducted on arm’s length
terms and the Board of Directors shall consider
arranging for an independent assessment of the
transaction.
Until August 7, 2023 Awilco LNG had a sub-
management agreement with Awilco Technical
Services AS (ATS) for assistance in technical
management of the fleet. From August 8, 2023
Awilco LNG entered into a service agreement
with Integrated Wind Solution AS (IWS) and
from that day Awilco LNG buys the same
services from IWS instead of ATS. Furthermore,
Awilco LNG has entered into agreements
with Awilhelmsen Management AS (AWM) for
administrative services and rent of offices.
The latter started in 2023 and was terminated
by AWM in September 2024 with six months
Annual Report 2024
71
termination notice. AWM is a related company
to Awilco AS, which owns 38.6 % of the shares
in Awilco LNG. The management fees are,
in the Company’s opinion, made at market
terms. Information regarding transactions with
related parties is described in note 21 to the
consolidated financial statements.
In February 2025 Awilco LNG ASA moved to
new rented offices in Haakon VIIs Gate 1,
Oslo Norway. The offices are rented from an
unrelated third party.
5 FREELY NEGOTIABLE SHARES
The shares of Awilco LNG are listed on the
Euronext Expand stock exchange. All issued
shares carry equal shareholder rights in all
respects, and there are no restrictions on
transfer of shares. The articles of association
place no restrictions on voting rights.
6 GENERAL MEETINGS
The Annual General Meeting will normally
take place in the second quarter of each year,
and latest by 30 June. Notice of the meeting
will normally be published through the Oslo
Stock Exchange distribution channel and the
Company’s website at least 21 days in advance.
Documentation containing the information
necessary for the shareholders to make
decisions on all the items on the agenda will
simultaneously be made available on the
Company’s website and will only be sent to
shareholders that request the documentation
on paper. The Board may decide by the notice
of the meeting that shareholders who intend
to attend the General Meeting shall give notice
to the Company within five days prior to the
General Meeting.
Registration is made in writing or by e-mail.
The Board wishes to make efforts to enable
as many shareholders as possible to attend.
Shareholders who are not able to attend are
invited to meet by proxy, and efforts will be
made for the proxies to relate to each individual
item on the agenda.
The General Meeting will be chaired by the
Chairperson of the Board unless otherwise
agreed by a majority of those shares
represented at the meeting.
7 NOMINATION COMMITTEE
According to the articles of association the
Company shall have a Nomination committee
which has the responsibility of proposing
members to the Board of Directors and
members of the Nomination committee.The
Nomination committee shall also propose fee
payable to the members of the Board and the
members of the Nomination committee.
The members of the Nomination committee
shall be shareholders or representatives of
shareholders. The members of the Nomination
committee, including its Chairperson, are
elected by the General Meeting. The members
of the Nomination committee’s period of service
shall be two years unless the General Meeting
decides otherwise.
The Nomination committee is to maintain
contact with shareholder groups, members
of the Board of Directors and the Company’s
executive personnel in its works with proposing
members to the Board of Directors.
The Annual General Meeting held on May
14, 2024 elected the current Nomination
committee consisting of Eric Jacobs and Henrik
A. Christensen.
8 THE BOARD OF DIRECTORS; COMPOSITION
AND INDEPENDENCE
The Company’s Board of Directors shall
comprise three to six directors pursuant to the
decision of the General Meeting. The Directors
are elected for a period of two years unless
otherwise determined by the General Meeting.
The Board appoints the Chairperson amongst
the elected Board members.
The composition of the Board of Directors aims
to ensure that the interests of all shareholders
are represented. Currently three of the five
directors are independent from the principal
shareholder of the Company. The Board
consists of the following members: Synne Syrrist
(Chairperson), Ole Christian Hvidsten, Jens-Julius
R. Nygaard, Jon-Aksel Torgersen and Annette
Malm Justad.
Annual Report 2024
72
9 THE WORK OF THE BOARD OF DIRECTORS
The Board’s statutory duties include the
overall administration and management of the
Company. The Board adopts a meeting schedule
for the following year in the fourth quarter
each year. The directors shall normally meet in
person, but if so allowed by the Chairperson,
directors may participate in any meeting by
means of telephone.
The allocation of responsibilities and tasks
within the Board of Directors is regularly
discussed and monitored. The Board is regularly
briefed on the Company’s financial situation,
the vessels’ chartering and market situation,
liquidity situation and cash flow forecast, as well
as any changes in the competition situation. The
Board performs a yearly evaluation of its work.
The Board has established an Audit committee
consisting of Ole Christian Hvidsten (Chairman)
and Synne Syrrist and has implemented an
Audit committee charter. The Company’s CFO is
the secretary of the committee. The auditor shall
participate in discussions of relevant agenda
items in meetings of the Audit committee. The
committee shall hold separate meetings with
the auditor and the CEO at least once a year.
Furthermore, the Company has established
a Remuneration committee consisting of
Synne Syrrist and Jens-Julius R. Nygaard. The
Remuneration committee prepares guidelines
and proposals regarding remuneration of
executive personnel, which are reviewed and
resolved by the Board of Directors.
10 RISK MANAGEMENT AND INTERNAL
CONTROL
The Board ensures that the Company has
satisfactory internal control procedures to
manage its exposure to risks related to the
conduct of the Company’s business, including
social responsibility, to ensure compliance with
laws and regulations and to support the quality
of its financial reporting. The Board performs an
annual review of the Company’s key risks and
the internal controls implemented to address
these risks. The Board has identified and stated
the various risks of Awilco LNG in the Company’s
annual report. Additionally, the Board is
regularly briefed on the Company as described
under section 9 above.
The Company has established an Audit
committee that regularly evaluates and
discusses the various risk elements of Awilco
LNG, and potential for improvement. The Audit
committee reports to the Board.
Awilco LNG’s main goal is safe and efficient
ship operation with no accidents, personal
injury, environmental damage, or damage to
equipment. In order to achieve these goals
Awilco LNG has identified some core objectives
that describe our focus and our continuous
improvement process. The operation of
technical management and newbuildings
is closely monitored through dedicated
supervision and safety reporting systems.
Furthermore, the Company has established
contingency plans and executes drills and
training in order to improve emergency
preparedness.
In addition to its own controlling bodies and
external audit, the Company’s ship management
is subject to external supervision by Det Norske
Veritas (DNV) for certification in accordance with
ISO.
11 REMUNERATION OF THE BOARD OF
DIRECTORS
The remuneration of the Board shall reflect
the Board’s responsibilities, knowhow, time
commitment and the complexity of the
business activities. The directors do not receive
profit related remuneration, share options or
retirement benefits from the Company. The
remuneration is proposed by the Nomination
committee. More information about the
remuneration of the individual directors
is provided in note 21 in the consolidated
accounts.
Directors or their related companies shall
normally not undertake special tasks for the
Company in addition to the directorship.
However, the Company utilises outsourcing
of technical sub-management, accounting
and administrative services from AWM which
is a related company. All agreements and
fees with related parties are approved by the
Annual Report 2024
73
Board. Furthermore, the members of the Audit
committee and Remuneration committee
receive a fee for serving on the committees.
12 REMUNERATION OF EXECUTIVE
PERSONNEL
The Board has drawn up guidelines regarding
remuneration to leading persons. The
remuneration is based on a base salary and
a bonus program. The guidelines regarding
remuneration to leading persons have
been prepared by the board of directors in
accordance with section 6-16 a of the Norwegian
Public Limited Liability Companies Act and
was adopted by the Annual General Meeting
in 2021. Awilco LNG will present a report
on remuneration to leading persons to be
approved by the Annual general meeting in
2025.
For information about remuneration of
executive personnel see note 21 in the
consolidated accounts.
13 INFORMATION AND COMMUNICATION
The Company aims to keep shareholders,
analysts, investors and other stakeholders
continuously updated on the Company’s
operations and performance. The Company
provides information to the market through
quarterly and annual reports; investor- and
analyst presentations open to the media and by
making operational and financial information
available on the Company’s website. Information
of importance are made available to the stock
market through notifica¬tion to the Oslo Stock
Exchange in accordance with the Stock Exchange
regulations. Informa¬tion is provided in English.
All stock exchange announcements and press
releases, including the financial calendar, are
made available on the Company’s website.
14 TAKE-OVER
The Company’s Articles of Association contains
no defence mechanism against the acquisition
of shares, and no other actions have been taken
to limit the opportunity of acquiring shares in
the Company.
In the event of a takeover bid the Board will
seek to comply with the recommendations
outlined in item 14 of the Code of Practice. If
a bid has been received, the Board will seek
to issue a statement evaluating the offer
and make recommendations as to whether
the shareholders should accept the offer or
not. Normally it will be required to arrange
a valuation from an independent expert.
If the Board finds that it is unable to give a
recommendation, the Board will explain the
reason for not giving a recommendation. The
statement should show whether the decision
was unanimous, and if not, the background for
why certain Board members did not adhere to
the statement.
If a situation occurs where the Board proposes
to dispose of all or a substantial part of the
activities of the Company such a proposal will be
placed before the General Meeting.
15 AUDITOR
The auditor is appointed by the General
Meeting, which also determines the auditor’s
fee. The auditor shall annually present an
audit plan to the Audit committee. The auditor
attends the Board of Director’s review and
discussion of the annual accounts. The Board
of Directors minimum holds one annual
meeting with the auditor without the CEO or
other members of the executive group being in
attendance.
The Company’s management regularly holds
meetings with the auditor, in which accounting
principles and internal control routines are
reviewed and discussed.
The auditor shall annually confirm compliance
with the applicable independence rules and
regulations in legislation and the audit firm’s
internal independence standards. The Audit
committee has issued guidelines stipulating
the management’s possibility to undertake
consulting services by the auditor. Auditor’s
fees are disclosed in note 21 in the consolidated
accounts.
Annual Report 2024
74
INTRODUCTION
The Awilco LNG Group (Awilco LNG or the
Company) has implemented a set of objectives,
principles and procedures concerning our
social responsibility to enable the Company
to achieve and maintain its mission statement
and objectives. Awilco LNG has implemented
the highest standard of safe operation to meet
all environmental protection requirements,
ensuring safe custody of our vessels, crew,
customers’ cargoes and owner’s interests. Our
commitment to our social responsibility ensures
that Awilco LNG is a preferable LNG shipping
company.
Awilco LNG is engaged in the global marine
transportation of LNG. Marine transportation
is generally considered the most efficient
form of transporting natural gas over long
distances. Natural gas is widely accepted as
the least pollutive fossil fuel and emits up
to 60 % less CO2 than coal when used for
electricity generation. Natural gas is widespread,
flexible, abundantly available and cheap when
comparing to other fossil fuels. The increased
use of natural gas is expected to reduce the
use of more pollutive fossil fuels such as coal
and oil in the global energy mix. Awilco LNG’s
contribution to sustainable economic growth
mainly relates to the potential for increased use
of natural gas in the global energy mix.
Awilco LNG aims to provide positive impact on
the communities we operate in, our employees,
clients and suppliers through the Code of Ethics
and Conduct such as opposing corruption and
facilitation payments in any form.
In general, global marine transportation has a
significant effect on the environment. Awilco
LNG takes this impact seriously, working
continuously to reduce our environmental
footprint through improving fuel efficiency,
optimising trade routes and improving waste
Social Responsibility
Annual Report 2024
75
management.
This report constitutes Awilco LNG’s reporting
according to the requirements of the Norwegian
accounting act § 3-3c on social responsibility
reporting.
SCOPING OF MATERIAL ISSUES FOR
AWILCO LNG
A materiality assessment forms the basis for
how we prioritise our social responsibility
efforts, and thereby also impacts our internal
and external reporting on social responsibility.
The following issues have been assessed as the
most material based on both their importance
to Awilco LNG’s business and to Awilco LNG’s
stakeholders such as employees, customers,
suppliers, regulators and investors:
The Company’s strategy is to integrate
sustainability on these matters systematically
into all material business processes to ensure
Awilco LNG is assessed as a responsible
enterprise.
THE MATERIAL ISSUES
Mission statement
Awilco LNG’s mission statement is “Marine
transportation through safety and
environmental excellence”.
Health and safety
Company policies and objectives
The safety and well-being of Awilco LNG’s
employees and seafarers has the highest
priority, as set out in the mission statement
above and detailed in the Company’s Safety
Management & Environmental Protection
Policy. Our objectives are zero accidents and no
personnel injuries. The Group shall adhere to
national and international laws and regulations
and constantly promote best practices identified
within its own operations and the industry
to improve the competence of individual
crewmembers and vessel safety performance.
How we achieve our objectives
Our objectives are operationalised in the
Company’s Safety Management & Environmental
Protection Policy. The objective of this policy is
to ensure that the Company gives the highest
priority to the safety of human life and health
through the following measures:
• Provide support to ships’ operation by
implementation of a well-structured Safety
Management System (SMS) based on a
well-defined management organisation.
The SMS is an integral part of all our
activities and includes instructions and
procedures which contribute to the
highest safety standards onboard our
ships, ensuring that cargo is handled
correctly and preventing situations which
threaten safety of our personnel. The SMS
is based on national and international
requirements and standards for quality
and safety, including the ISM code
(International Management Code for the
Safe Operation of Ships and Pollution
Prevention), ISO 14001 (environmental
management system), ISO 9001 (quality
management system) and the TMSA
(Tanker Management and Self-Assessment
guidelines) issued by OCIMF (Oil
Companies International Marine Forum)
• Operate the vessels with continuously
properly trained, informed and motivated
IMPORTANCE TO BUSINESS
IMPORTANCE TO STAKEHOLDERS
Environmental
impact
Anti-
corruption
Health and
safety
Annual Report 2024
76
crews. Awilco LNG aims to ensure a stable
and motivating work environment for
both onshore and offshore employees,
ensuring high retention rates. The
Group is proactively seeking to identify
requirements and needs for additional
training through regular audits, master and
management reviews. A healthy lifestyle is
promoted by providing fresh and healthy
food and physical exercise opportunities
• Provide, equip and maintain the ships
to the necessary standard as required
by national regulation and international
convention
• Avoid safety hazards through preventive
safety measures
• Establish contingency plans and execute
drills and training to improve emergency
preparedness to meet situations which
represent dangers to life, health,
environment, ship and cargo
• Implement and maintain a safety
management culture within the Company
• Use a reporting system for accidents,
near accidents, non-conformities and
improvements, with special attention
to the learning effect through feedback
of experience and suggestions for
improvement
• Use performing measures to
continuously improve our operations
To accomplish the objectives Awilco LNG will
plan, organise, perform, document and verify
performance. Awilco LNG has a comprehensive
Risk Management Program which includes
detailed step by step risk assessment
procedures.
Performance in 2024
The Company’s senior management is
actively engaged in monitoring Awilco LNG’s
performance in order to further encourage
and promote positive trends, to provide
advice and to take corrective action where
negative trends are detected. Performance
and results are measured using certain Key
Performance Indicators (KPIs). KPI targets
are resolved by senior management on an
annual basis, and results are reported to senior
management on a quarterly basis. Procedures
and any new initiatives shall be part of the
management review and include monitoring
and measurements, adjustment of targets,
and recording of achieved improvements. The
procedures and activities shall be audited on a
routine basis. The following main KPIs are the
focus of Awilco LNG with regards to health and
safety:
KPI
Denition Result 2024 Result 2023
LTIF (Lost time injury frequency) Number of accidents per one-million man-hours worked
0 0
TRCF (Total recordable case frequency) The sum of all work related, lost time injuries, restricted
work injuries and medical treatment injuries
0 2.1
Personnel injuries Number of personnel injuries
2 1
Number of fatalities due to injuries Number of deaths among the crew resulting from a work
injury
NIL NIL
Annual Report 2024
77
Going forward
Performance in 2024 was satisfactory and
improved from the results in 2023. Only two
minor First Aid Cases onboard in t the year.
In 2025 Awilco LNG will continue efforts to
improve and strengthen the safety culture and
return to 0 injuries for the year.
The Company’s objectives are zero accidents
and no personnel injuries.
Environmental impact
Background
Awilco LNG’s potential environmental impact
can be divided in three main components:
1. Emissions from fuel consumption
2. Major environmental accidents
3. Waste management including
ballast water and spills
Although the shipping industry contributes with
3 to 4 % of the global annual CO2 emissions
to the atmosphere, marine transportation is
generally considered as the most efficient form
of transporting natural gas over long distances.
Awilco LNG’s fleet consists of vessels with tri-fuel
propulsion systems, which mainly run on boil-
off gas from the LNG cargo. When natural gas
is cooled down to its liquefied state at minus
160 degrees Celsius, a certain amount of the
LNG will naturally re-gasify into its gaseous state
(boil-off gas). The boil-off gas is produced at a
rate dependent on the outside temperature
and the level of filling of the tanks and can
either be reliquefied into LNG or used as fuel
for propulsion of the vessels. Due to the cost
and energy needed to power a reliquification
process plant very few vessels are outfitted
with such plants. The boil-off gas is thus used
for propulsion, which makes sense both
economically, as natural gas is significantly
cheaper than oil-based alternatives, and also
environmentally, as natural gas is a considerably
cleaner fuel than oil-based alternatives.
Compared to oil-based fuels, natural gas emits
10-20 % less greenhouse-gases, virtually zero
SOx and particulate matter and 90 % less NOx.
As LNG vessels carry regular bunkers for ballast
voyages the potential for major environmental
accidents mainly relate to the risk of a ship
suffering a breach and subsequently leaking
substantial amounts of bunkers oil into the
environment.
The last potential impact is waste produced by
the vessels, discharge of untreated ballast water
and potential spills of chemicals, bilge water
and sludge etc. into the environment. Discharge
of untreated ballast water may potentially
introduce non-native organisms into marine
environments worldwide.
Company policies and objectives
Based on the long-term goal of environmental
excellence, and as set out in the Company’s
Safety Management & Environmental Protection
Policy, Awilco LNG works toward minimising the
environmental impact from its vessels with the
goal of zero spills. The Company has adapted a
zero-tolerance policy towards:
• Spills to the environment
• Emissions of ozone depleting substances
• Unauthorised disposal of garbage or
waste to the marine environment
Additionally, Awilco LNG aims to minimise as
far as practically possible the emission of CO2,
NOx and SOx from combustion engines, boilers,
incinerators and emissions from cargo and fuel
oil tanks and systems through evaporation.
Awilco LNG shall adhere to national and
international environmental laws and
regulations, and constantly promote best
practices identified within its own operations
and the industry to improve our impact on the
environment.
How we achieve our objectives
Our objectives are operationalised in the
Company’s Safety Management & Environmental
Protection Policy. The objective of this policy is
to ensure that the Company gives the highest
priority to the environment through the
following measures:
Annual Report 2024
78
• Provide support to ships' operation by
implementation of a well-structured Safety
Management System (SMS) based on a
well-defined management organisation.
The SMS is an integral part of all our
activities and includes instructions and
procedures which contribute to the highest
safety standards onboard our ships,
ensuring that cargo is handled correctly
and preventing situations which threaten
the environment. The SMS is based on
national and international requirements
and standards for quality and safety,
including the ISM code and the TMSA
issued by OCIMF
• The management system of the fleet is
certified according to ISO 14001 and ISO
9001
• Operate the vessels with continuously
properly trained, informed and motivated
crews
• Provide, equip and maintain the ships
to the necessary standard as required
by national regulation and international
convention. Both WilForce and WilPride
are fitted with ballast water treatment
systems.
• Establish contingency plans and execute
drills and training to improve emergency
preparedness to meet situations which
represent dangers to life, health,
environment, ship and cargo
• Implement and maintain a safety
management culture within the Company
• Use a reporting system for accidents,
near accidents, non-conformities and
improvements, with special attention
to the learning effect through feedback
of experience and suggestions for
improvement
• Antifouling paint systems with lowest
resistance (Jotun X200)
• Hull and engine performance monitoring
systems are installed on the vessels and
used for monitoring of performance (KYMA
system)
• Optimisation of hull and propeller
cleaning intervals to reduce drag and fuel
consumption
• Replaced bottled water for crew with
buying in bulk
• Improved waste handling onboard and
increased amount of waste being sent
ashore
• Implement a policy of environmentally
friendly purchasing with approved vendors
based not only on cost and quality but also
environmental performance and focus;
procurement and purchasing activities
shall address environmental aspects such
as:
i. Reducing packaging volumes;
ii. Encouraging recycling activities; and
iii. Use of non-disposable and recyclable
equipment and materials
• Onshore focus on saving energy,
recycling and reducing use of single use
plastics
• Use performing measures to
continuously improve our operations
• Continuously consider vessel technical
improvements and retrofits to reduce fuel
consumption and lower environmental
footprint
The same risk assessment procedures and
continuous improvement tools and initiatives
as described under Health and Safety above
is utilised in Awilco LNG’s work to reduce its
environmental impact.
Performance in 2024
The Company’s senior management is
actively engaged in monitoring Awilco LNG’s
performance, in order to further encourage
and promote positive trends, to provide
advice and to take corrective action where
Annual Report 2024
79
negative trends are detected. Performance
and results are measured using certain Key
Performance Indicators (KPIs). KPI targets
are resolved by senior management on an
annual basis, and results are reported to senior
management on a quarterly basis. Procedures
and any new initiatives shall be part of the
management review and include monitoring
and measurements, adjustment of targets,
and recording of achieved improvements. The
procedures and activities shall be audited
on a routine basis. The following main KPIs
are the focus of Awilco LNG with regards to
environmental impact:
2024 emissions performance
In 2024 the CO2 intensity for the vessels stayed
KPI
Denition Result 2024 Result
2023
Number of releases of substances to the
environment
The number of releases of substances to the environment
covered by MARPOL Annex 1-6
NIL NIL
Annual eciency rate (AER) The mass of carbon emissions per ton-mile [g/nm*ton)]
(based on vessel DWT)
6.9 6.8
CO2 eciency laden voyages The total mass of emitted CO2 in grams per m3-mile
7.76 7.49
NOx eciency laden voyages The total mass of emitted NOx in grams per m3-mile
0.147 0.141
SOx eciency laden voyages The total mass of emitted SOx in grams per m3-mile 0.00019 0.00082
on the same good level as in 2023.
Going forward
Environmental emissions are to a large extent
dependent on charterers operations and type of
fuel burned in ships engines. In 2024 Awilco LNG
will continue efforts to reduce the Company’s
environmental footprint.
EEXI, CII and EU-ETS
With respect to CII, both vessels have operated
in 2024 with an emission intensity that
corresponds to a “B” rating. We are working
closely with charterers to ensure that the
operation of the vessels is planned and executed
in a way that ensures this rating is achieved also
for following years.
Starting from 2024, our vessels are required
through the EU Emissions Trading System (ETS)
to submit emissions allowances for carbon
emissions during voyages to and from EU
ports. Monitoring and Reporting of the carbon
emissions are already in place through our
procedures for EU MRV reporting.
Inclusion of ETS clauses for the current charter
parties was an area of focus for 2024. Verified
statements for relevant voyages in 2024 have
been completed, and verification of the total
number of EUAs to be submitted is underway.
Anti-corruption
Company policies and objectives
Corruption is generally estimated to cost at
least 5 % of global GDP each year. Reduced
Annual Report 2024
80
corruption would increase safety for seafarers,
reduce costs of operations and reduce
complexity and risk. Awilco LNG is a firm
opponent of corruption in any form, and is
committed to the highest ethical standard in
business conduct worldwide. Awilco LNG desires
fair and open competition in all markets, both
nationally and internationally. Awilco LNG’s
policy is to comply with all applicable laws and
governmental rules and regulations in the
country in which it is operating.
How we achieve our objectives
The Company’s anti-corruption policies are
described in our Code of Ethics and Conduct
document. The following policies to address
the objectives have been implemented in the
Company:
• No employee of the Company shall
directly or indirectly offer, promise, give
or receive bribe, illegal or inappropriate
gifts or other undue advantages or
remuneration in order to achieve business
or other personal advantage
• Under no circumstances shall the
Company or any of its employees be
part of actions that breach applicable
competition legislation. Any employee is to
confer with his or her immediate superior,
the executive management or the board
if he or she has a question with respect
to the possible anti-competitive effect of
particular transactions or becomes aware
of any possible violation of applicable
competitive legislation
Implementation of the Company’s policies takes
place through emphasis on awareness and the
use of risk assessments on a Group level.
Performance in 2024
As in previous years, management has
not become aware of any breaches of the
Company’s Code of Ethics and Conduct
throughout the year.
Going forward
Going forward Awilco LNG will continue work
to ensure that our standards of behaviour are
according to the Code of Ethics and Conduct,
and the Company expects that the positive
results from previous years are upheld.
Annual Report 2024
81
Alternative Performance
Measures
Alternative performance measures (APMs), defined as financial
performance measures not within the applicable financial reporting
framework, are used by Awilco LNG to provide supplemental
information. Financial APMs are intended to enhance comparability of
the results and cash flows from period to period, and it is Awilco LNG’s
experience that these are frequently used by analysts and investors.
These measures are adjusted IFRS measures
defined, calculated and used consistently.
Operational measures such as, but not limited
to, volumes, utilisation and prices per MMBTU
are not defined as financial APMs. Financial
APMs should not be considered as a substitute
for measures of performance in accordance
with IFRS. Disclosures of APMs are subject to
established internal control procedures.
Awilco LNG’s financial APMs:
• Net freight income1): Freight
income – Voyage related expenses
• EBIT: Net freight income –
Operating expenses – Administration
expenses – Depreciation and
amortisation – Impairments
• EBITDA: EBIT + Depreciation
and amortisation + Impairments
• Interest bearing debt: Long-
term interest-bearing debt +
Short-term interest-bearing debt
+ Pension liabilities + Other non-
current liabilities
• Book equity ratio: Total equity
divided by Total assets
• TCE (time charter equivalent):
Net freight income including loss
of hire insurance divided by the number
of calendar days less off-hire days not
covered by loss of hire insurance
The reconciliation of Net freight income, EBIT
and EBITDA with IFRS figures can be derived
directly from the Group’s consolidated Income
Statement.
1)
When vessels operate in the spot market,
freight income includes bunkers compensation
and the fuel element of ballast bonuses,
whereas voyage related expenses include
the corresponding bunkers costs and other
repositioning costs. The APM net freight income
adjusts for this grossing up, and provides
for improved comparability of the Group’s
performance between periods.
Awilco LNG ASA
Visiting address:
Haakon VII’s Gate 1
NO-0161 OSLO, Norway
Postal address:
P.O.Box 1583 Vika
NO-0118 OSLO, Norway