Flex Lng Ltd. · NYSE:FLNG
Flex Lng — Investor Presentation (March 2025)
20 slides from Flex Lng's investor presentation, Mar 6, 2025
Slide 1: Flex LNG Company Presentation
Flex LNG Company Presentation March 2025 1
Slide 2: Disclaimer
DISCLAIMER MATTERS DISCUSSED IN THIS PRESS RELEASE MAY CONSTITUTE FORWARD-LOOKING STATEMENTS. THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995 PROVIDES SAFE HARBOUR PROTECTIONS FOR FORWARD-LOOKING STATEMENTS IN ORDER TO ENCOURAGE COMPANIES TO PROVIDE PROSPECTIVE INFORMATION ABOUT THEIR BUSINESS.
Slide 3: Flex LNG Investment Highlights
FLEX LNG INVESTMENT HIGHLIGHTS 13x modern LNGCs (4 X-DFs and 9 MEGIs) with an average age of 5.3 years. Modern Ordered at the right time in the cycle, avg. all-in newbuild cost of $185m, vs. LNGC fleet current newbuild prices of $255m High earnings 61 years of minimum charter backlog, may grow to 95
Slide 4: High Contract Coverage and Earnings Visibility
HIGH CONTRACT COVERAGE AND EARNINGS VISIBILITY 61 years of minimum firm backlog which may grow to 95 years with charterers’ extension options 5 6 9 iry essels 1 1 1 1 1 1 n rm nc o ons C R NA R C E A NA E NA A R NA A O O 4
Slide 5: Key Operational Figures in 2024
KEY OPERATIONAL FIGURES IN 2024 33 days in dry-docking and 99.7% in technical Operating days utilization TCE per day, $’ OPEX per day, $’ Y Y Y Y Note: TCE and OPEX per day are non-GAAP measures. A reconciliation to the most directly comparable GAAP measure is included in our earnings reports 5
Slide 6: We Expect 2025 to Be a Repeat of 2024, Despite Soft Market
WE EXPECT 2025 TO BE A REPEAT OF 2024, DESPITE SOFT MARKET We will carry out five-year special surveys of Guiding for FY2025 four ships in 2025, total of ~80 days off-hire: Flex Aurora in Q2, Flex Resolute in Q2/Q3, Flex Artemis and Flex Amber in Q3. We Key metrics Expectations budget $5.5m in CAPEX
Slide 7: Fortress Balance Sheet
FORTRESS BALANCE SHEET STABLE CASH FLOWS WV, Sustainable cash flows from long term fixed rate contracts and limited near term market exposure CAPITAL AVAILABLE WITH LOW CARRY COST LIMITED CAPEX LIABILITIES AND FIRST DEBT MATURITY IN 2028 y -Y $437m in available cash. RCF capacity at $414m used for c
Slide 8: Stable & Attractive Dividend
STABLE & ATTRACTIVE DIVIDEND Quarterly dividend, $m 14th consecutive ordinary dividends of $0.75 per share, totalling $610m when including the special dividends 8
Slide 9: Newbuilding Prices Stabilized, Long-Term Rates at ~$85,000/Day
NEWBUILDING PRICES STABILIZED, LONG-TERM RATES AT ~$85,000/DAY 2-stroke newbuild prices vs. US FED funds rate 5-year and 10-year term rates for modern 2-strokes, $/day $m % 300 10% NB price (lhs) FED interest rate (rhs) 125,000 250 $255m 8% 5-year TC 10-year TC 200 5% 100,000 150 3% 85,000 100 0% Ja
Slide 10: Our Backlog Insulates Us from Near Term Fleet Growth
OUR BACKLOG INSULATES US FROM NEAR TERM FLEET GROWTH LNGC newbuild delivery, # of vessels N High newbuild prices discourage speculative ordering Source: Fearnleys, SSY, Clarksons 10
Slide 11: Executive Order to Unleash New Liquefaction Capacity
EXECUTIVE ORDER TO UNLEASH NEW LIQUEFACTION CAPACITY LNG capacity being commissioned or under construction, MTPA Global ca acity un er evelo ment ~ 15 MTPA… Large North American projects S (N E S ) Golden Pass O N A O Rio Grande CCS3 Midscale1 O …of which new US rojects total ~ MTPA Port Arthur Plaq
Slide 12: Third Wave of LNG Will Add >200 MTPA in New Capacity
THIRD WAVE OF LNG WILL ADD >200 MTPA IN NEW CAPACITY Liquefaction supply, MTPA 900 1st wave: 2nd LNG wave: 3rd LNG wave: 2006-’10 2015-’20 2026-’30 800 Qatar adds ~50 MT Australia adds ~40 MT, USA – and US add >60 MT Under construction 700 Qatar – or planned Under construction 600 or planned 500 USA
Slide 13: 0.2% LNG Growth in 2024 – Lowest in Recent History
0.2% LNG GROWTH IN 2024 – LOWEST IN RECENT HISTORY LNG export by largest origin country/region FY2024, MT LNG import by largest destination country/region FY2024, MT Q4-24 vs. FY24 vs. Q4-24 vs. FY24 vs. Q4-23: FY23: Q4-23: FY23: -2% +1% E -9% -18% +1% +1% -7% +6% +3% 0% -1% +1% +1% +4% 0% +3% +11%
Slide 14: Europe Is Outbidding Asia for LNG…
EUROPE IS OUTBIDDING ASIA FOR LNG… LNG export by largest origin country/region YTD-2025, MT LNG import by largest origin country/region YTD-2025, MT Sum LNG exports YTD-2025 amounted to 70.7 MT (-2%) 16.7 MT 14.5 MT 12.6 MT 24.5 MT 10.2 MT (+10%) (+4%) (-10%) (+16%) (+1%) Other United States Europe
Slide 15: …Which Puts Long-Term Supply Still Living on a Prayer
…WH L TS LONG-TERM SUPPLY IS (STILL) LIVING ON A PRAYER Europe total LNG imports YTD-2025, MT EU natural gas storage inventory, % of full 100 15 2018-YTD-2025 range 2024 80 2025 60 12 40 39 10Y-range 2025 20 2024 2023 0 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 9 Europe gas balance, BCM Russia
Slide 16: Short-Term Drop in Asian Demand, Growth Story Still Intact
SHORT-TERM DROP IN ASIAN DEMAND, GROWTH STORY STILL INTACT Asia total LNG imports YTD-2025, MT Chinese regasification capacity, MT 30 2018-YTD-2025 range 2024 2025 27 24 Chinese underground storage capacity, BCM 21 18 15 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Source: Kpler, Rystad Energy 16
Slide 17: Weak Outlook for Older Steam Tonnage Accelerates Scrapping
WEAK OUTLOOK FOR OLDER STEAM TONNAGE ACCELERATES SCRAPPING Spot charter rates for steam vessels, $/day LNG vessels retired, # of vessels Older steam turbine ships are redelivered from long-term TCs 160,000 into a weak market. YTD-2025, one vessel is confirmed removed YTD-2025 from the active fleet 1
Slide 18: The US Is Considering Port Fees on Chinese-Built Ships
THE US IS CONSIDERING PORT FEES ON CHINESE-BUILT SHIPS Chinese built LNGC as % of fleet on water, % SHORT-TERM EFFECTS LONGER TERM EFFECTS # of Chinese built LNGCs calling US terminals • ~100 LNGC currently on order 8 from Chinese yards; port fees hina will limit the pool of vessels 6 6 available to
Slide 19: We Are Well Positioned for the Next Tightening Cycle
WE ARE WELL POSITIONED FOR THE NEXT TIGHTENING CYCLE LNG shipping balance, # of 174,000 cbm equivalent LNGCs 900 Fleet LNG shipping demand 800 700 Market tightening expected to commence in 2027, with the market being undersupplied from H2-27 and forward 600 Assumes 78x steam vessels to gradually be
Slide 20: Thank you! Q&A
Ww Thank you! S Q&A