Excelerate Energy Posts Record Q3 2026 Earnings, Advances LNG Projects

Excelerate Energy (NYSE: EE) reported record quarterly earnings for the third quarter of 2026, supported by a new charter in Jordan and higher direct margins from LNG, gas and power activities. The LNG infrastructure operator also set revised full-year guidance and outlined a series of contracted projects intended to expand its operations through 2029.

Net income rose to $60.0 million from $55.0 million in the third quarter of 2025 and $50.1 million in the second quarter of 2026. Adjusted EBITDA, a non-GAAP measure, reached $133.5 million, compared with $129.3 million a year earlier and $120.1 million in the preceding quarter.

Excelerate attributed the sequential increases in net income and adjusted EBITDA primarily to the Jordan charter and stronger LNG, gas and power direct margins. Compared with the prior-year quarter, the Jordan contract was the main positive factor, partly offset by the timing of deliveries under the company’s Atlantic Basin agreement.

For 2026, Excelerate expects adjusted EBITDA of $495 million to $515 million. Its revised outlook also calls for maintenance capital expenditure of $65 million to $75 million and committed growth capital of $400 million to $410 million. The company did not reconcile the adjusted EBITDA forecast directly to net income because it said income taxes could not be estimated with the required precision without unreasonable effort.

Contracted projects extend growth pipeline

Excelerate is preparing to begin the first phase of its Bahamas LNG Hub in the first quarter of 2027. Under an 11-year agreement, AxDo Bahamas Ltd. may purchase as much as 16 trillion British thermal units of LNG annually, supported by long-term, investment-grade offtake.

Initial deliveries are expected to use the existing floating storage and regasification unit, LNG supply and logistics capabilities of Excelerate’s Jamaica platform. A dedicated floating storage unit near Grand Bahama is planned for the second half of 2028, requiring an estimated investment of approximately $85 million to $95 million, including the vessel.

Management estimates that the Bahamas project will generate about $6 million of EBITDA in 2027 and an annual average of approximately $15 million after the dedicated storage unit is deployed. The project also has capacity to support additional sales to AxDo and other regional customers, according to the presentation.

In Iraq, Excelerate is targeting a second-quarter 2027 startup for the country’s first LNG import terminal under a five-year agreement covering regasification services and LNG supply. The company expects to use an FSRU already located in the Arabian Gulf. Materials and construction personnel are arriving for jetty reinforcement and terminal infrastructure work, while an LNG supply agreement with an upstream supplier is expected in the first quarter of 2027.

A separate seven-year FSRU agreement with a subsidiary of Frontera Energy is scheduled to begin in Colombia in the first quarter of 2027. Excelerate expects to deploy a vessel from outside the Arabian Gulf in the near term. The company said neither the Iraq nor Colombia startup requires passage through the Strait of Hormuz.

Excelerate is also extending the commercial life of existing assets. An agreement with Petrobras will add a reliquefaction unit to the FSRU Sequoia and extend its contract through 2038. The upgrade, expected during the vessel’s 2028 dry dock, is designed to reduce LNG losses from boil-off, lower Scope 1 emissions and improve operating efficiency. It is expected to provide a modest increase in contracted revenue beginning in 2028.

Separately, Excelerate awarded Seatrium a contract to convert the Methane Patricia Camila into an FSRU. The project has an estimated capital cost of approximately $260 million, with the vessel expected to become available for commercial deployment in 2028.

Liquidity and shareholder returns

At September 30, 2026, Excelerate held $356.7 million in cash and cash equivalents. Debt and finance lease liabilities totaled $1.23 billion, resulting in net debt of $871 million under the company’s calculation.

The board approved a quarterly cash dividend of $0.09 per Class A common share on October 29. Excelerate said its balance sheet and liquidity provide flexibility to fund growth opportunities while returning capital to shareholders.

The company operated 12 floating regasification terminals as of September 30, including a chartered FSRU integrated with its Jamaica assets. Its portfolio represented approximately 26% of global floating regasification capacity and included more than 2 million tonnes per annum of long-term LNG supply under contract.

Execution of the growth pipeline remains subject to construction delays, unplanned costs, inflation, labor or materials shortages and regulatory approvals. Excelerate also identified integration risks related to its Jamaica acquisition, LNG supply and pricing volatility, financing constraints, customer performance, geopolitical instability and the operational complexity of its infrastructure assets as material uncertainties.