Knot Offshore Partners LP Q2 2024 Earnings Call Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Liam Burke - B. Riley Securities, Inc - Analyst : Thank you, Derek. How are you today?

Question: Liam Burke - B. Riley Securities, Inc - Analyst : I'm fine. Thank you. On the Dan Sabia, is that potentially an asset that can be redeployed at a favorable long-term contract based on the end market or do you see possibly an alternative way to essentially divest the assets? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. SEPTEMBER 04, 2024 / 1:30PM, KNOP.N - Q2 2024 Knot Offshore Partners LP Earnings Call

Question: Liam Burke - B. Riley Securities, Inc - Analyst : Okay. And then it looks like the Brazilian market is starting to really step up in terms of the deployment of FPSOs, North Sea is obviously lagging there. But are you satisfied enough that there will be enough activity in the North Sea to keep your vessel utilizations up?

Question: Liam Burke - B. Riley Securities, Inc - Analyst : Okay, thank you. And then just very quickly, you have 176 million balloon next year. You've had a long history based on the quality of your assets are just refinancing (inaudible) is it right to just I presume that these things are already in process and you're working with your banks on this?

Question: Liam Burke - B. Riley Securities, Inc - Analyst : Great. Thank you Derek.

Question: Poe Fratt - Alliance Global Partners - Analyst : Yes. Hello, Derek. I'm just highlight on the two, but what the balloon payment, how much the balloon payment is when it still went to that, what is it January of 2027? And then how much amortization you're going to see annually?

Question: Poe Fratt - Alliance Global Partners - Analyst : Got it, yeah. If you look at sequentially, your OpEx was down or maybe G&A was down, OpEx was up. Can you just give me some color on how OpEx and G&A look for the rest of the year?

Question: Poe Fratt - Alliance Global Partners - Analyst : Okay. What -- help me understand the dynamic of agreeing to the one-year extensions on the tortoise and the Lena and then giving three year options or three one-year options behind those one-year extensions? Given the outlook for Brazil would seem like maybe waiting a little bit for the market to really tighten up and availability really declined that your leverage might have been higher doing that next year or the year after. Can you just help me just understand the thinking behind that and whether these options are also priced at, higher rates than what the extension for price Dan?

Question: Poe Fratt - Alliance Global Partners - Analyst : Got it. And it looks like obviously, you have to right now the Sabia, which you just talked about then. And then the [Toro], what I think the [tools] are the one that's coming up in the North Sea, right? Or has availability would -- when do you expect to lock in something on that Toro?

Question: Poe Fratt - Alliance Global Partners - Analyst : Okay, great. Thanks a lot Derek.

Question: Jim Altschul - Aviation Advisory Service, Inc - Analyst : Thank you for taking my question. Good afternoon. Two questions, if I may. First of all, with regard to the performance if I'm reading the chart correctly, but Tom, current term ends being at the end of the year, beginning of next year, and there is an option period for the first part of next year by when does the charter need to notify you whether they're going to exercise that option?

Question: Jim Altschul - Aviation Advisory Service, Inc - Analyst : So I mean -- okay if they don't exercise the option, then you have to make an alternate arrangement, right?

Question: Jim Altschul - Aviation Advisory Service, Inc - Analyst : Okay. Next thing, can you summarize your point, though, interest rate swap arrangements do you have any swaps that are rolling off and then ending in the near future?

Question: Jim Altschul - Aviation Advisory Service, Inc - Analyst : (inaudible) could you summarize how many swaps you have in place and with what their size is and whether any of them are we'll do that in the near future?

Question: Jim Altschul - Aviation Advisory Service, Inc - Analyst : Okay. Okay. All right. Well, thank you very much. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. SEPTEMBER 04, 2024 / 1:30PM, KNOP.N - Q2 2024 Knot Offshore Partners LP Earnings Call