Slide 1: Dynagas LNG Partners 3rd Quarter and Nine Months 2016
Dynagas LNG Partners (“DLNG”) 3rd Quarter and Nine Months ended September 30, 2016 15 November 2016
Slide 2: Forward Looking Statements
Forward Looking Statements This presentation contains certain statements that may be deemed to be “forward-looking statements” within the meaning of applicable federal securities laws. All statements included in this presentation which are not historical or current facts (including our financial for
Slide 3: Recent Developments
Recent Developments New multi-year charter On October 31, 2016, the Partnership entered into a multi-year charter agreement with an deal with Gazprom for the affiliate of the Gazprom Group (“Gazprom”) for the employment of its 2007 built steam Clean Energy and amendments to the turbine LNG carrier C
Slide 4: Q3 and Nine Months ended September 30, 2016 Financial Results
Q3 and Nine Months ended September 30, 2016 Financial Results Dynagas LNG Partners reports results for the quarter and nine months ended September 30, 2016: For the third quarter of 2016: • Adjusted Net Income of $19.1 million(1) • Adjusted EBITDA of $35.4 million(1) • Distributable Cash Flow of $23
Slide 5: Selected Financial and Operational Data
Selected Financial and Operational Data Selected Operational and Financial Data (United 3 Months ended 9 Months ended States Dollars in thousands except for operational data) 30-09-16 30-09-15 30-09-16 30-09-15 Average Number of vessels 6 5 6 5 Available Days 552.0 460.0 1,644.0 1,365.0 Voyage reven
Slide 6: Distributable Cash Flow and Coverage Ratio
Distributable Cash Flow and Coverage Ratio Distributable Cash Flow (USD in thousands) 3 Months ended 9 Months ended 30-09-16 30-09-15 30-09-16 30-09-15 Net Income $17,278 $16,043 $51,379 $45,224 Depreciation $7,642 $6,101 $22,753 $18,104 Amortization of deferred financing fees $499 $383 $1,489 $1,15
Slide 7: Capital Structure and Liquidity
Capital Structure and Liquidity Capital Structure (USD in millions) (1) Liquidity (USD in millions) Cash (including restricted) $84 Sponsor Revolving Credit Facility $30 Unsecured Equity Bond Debt, Total Liquidity $114 $250 Market Cap., $493 Net debt / Adjusted EBITDA (q3 2016 Annualized) 4.57 x Deb
Slide 8: Debt Maturity Profile
Debt Maturity Profile Maturity Profile (USD in millions) $300 $250 $200 $150 $100 $50 $0 2016 2017 2018 2019 2020 2021 Principal Unsecured Bond and Secured Debt Repayments on Maturity First debt maturity: Non amortizing 6.25% senior unsecured notes due October 2019 2020 and 2021 debt maturities: Amo
Slide 9: Quarterly Distribution
Common Units Cash Distributions Quarterly Cash Distribution per Unit $0.45 $0.43 $0.40 $0.38 Quarterly Distribution $0.35 per Unit $0.33 $0.30 $0.28 $0.25 $0.23 $0.20 Feb-14 May-14 Aug-14 Nov-14 Feb-15 May-15 Aug-15 Nov-15 Feb-16 May-16 Jul-16 Oct-16 Cash Distribution Payment Date Total cash distrib
Slide 10: Partnership Fleet Profile
Partnership Fleet Profile Fleet 6 LNG carriers Total cbm Capacity 914,100 cbm (149,700 cbm for steam turbine fleet, 155,000 cbm for the TFDE’s) Fleet Average Age ~6.3 years(1) Average remaining charter duration ~11 years(1)(2) Counterparties Gazprom, Shell, Statoil, Yamal Total Contract Ba
Slide 11: Long-Term Charters Provide Steady, Predictable Cash Flows
Long-Term Charters Provide Steady, Predictable Cash Flows LNG Carrier Year Capacity Name Built (cbm) Charterer 2016 2017 2018 2019 2020 2021 Clean 2007 149,700 2026 Energy Ob River 2007 149,700 2028 Amur 2008 149,700 2028 River Arctic 2013 155,000 Aurora Yenisei 2013 155,000 2033/34 River Lena 2034/
Slide 12: Drop-Down Opportunities
Drop-Down Opportunities Potential fleet growth with drop down pipeline of 9 high specification LNG Carriers all on long term contracts with high quality customers (3) 172,410 172,410 172,410 172,410 172,410 162,000 162,000 2,424,150 162,000 914,100 162,000 155,000 155,000 155,000 cbm (cubic meters)
Slide 13: Industry Overview
Industry Overview 12
Slide 14: Existing LNG Carrier fleet and orderbook
Existing LNG Carrier fleet and orderbook Global LNG Carrier Fleet & orderbook Orderbook: fleet employment 600 10 500 116 106 8% 400 Number of Vessels 141 300 200 412 92% 271 100 Committed Uncommitted 0 Existing Fleet and Orderbook Breakdown Average cargo size of these vessels Size > 139.999 cbm Exis
Slide 15: Growth in LNG Trade Routes
Growth in LNG Trade Routes LNG global trade has grown Growth in LNG Trade Routes increasingly complex over the 250 last 20 years. 232 • In 1995 there were only 9 trade routes globally. By 2015, the 200 number had increased to 232. • This equates to an 18 percent Compound Annual Growth Rate (CAGR) ov
Slide 16: LNG Supply – Demand Growth through 2020
LNG Supply – Demand Growth through 2020 Anticipated ~120 Mtpa of new supplies by 2020, a New LNG Export Production 50% increase from 2015 • LNG trade has remained relatively flat, ~240 mt, Million Tons of LNG since 2011 due to constrained supply. 160 USA Australia • New LNG supply will quickly ramp
Slide 17: Global LNG Trade Up ~8% YoY (First 9M)
Global LNG Trade Up ~8% YoY (First 9M) Despite low oil and gas prices, new LNG export projects have produced an incremental ~14.5 mt over the first 9 months in 2016 Incremental LNG Supply by Region, 9m 2016 (million tons) • In February U.S. export plant Sabine Pass shipped its first cargo to Brazil.
Slide 18: Growth in floating regasification market
Growth in floating regasification market The FSRU market has grown steadily over the past years. In 2015 FSRU Projects – Existing, Planned and Proposed floating regas capacity made up ~12.7% of total regas capacity, an increase of 4.1% from 2010 • This trend is expected to continue as access to new
Slide 19: Appendix
Appendix
Slide 20: Reconciliation of Net Income to Adjusted Net Income and Adjusted Earnings per unit
Reconciliation of Net Income to Adjusted Net Income and Adjusted Earnings per common unit Three Months Ended Nine Months Ended September 30, 2016 September 30, 2016 (In thousands of U.S. Dollars except for units and per unit data) 2016 2015 2016 2015 Net Income $ 17,278 $ 16,043 $ 51,379 $ 45,224 Ch
Slide 21: Reconciliation of Net Income to Adjusted EBITDA
Reconciliation of Net Income to Adjusted EBITDA Three Months Ended Nine Months Ended September 30, 2016 September 30, 2016 (In thousands of U.S dollars) 2016 2015 2016 2015 Reconciliation to Net Income Net Income $ 17,278 $ 16,043 $ 51,379 $ 45,224 Net interest and finance costs 8,703 6,924 26,108 2