Stabilis Solutions, Inc. (NASDAQ:SLNG) Q2 2023 Earnings Call Transcript

Westy Ballard: Yes, so the way to think about this, the train was a very similar train that we have in our South Texas location. We understand the asset incredibly well, understand how to deploy that. We will logically put that in our South Texas to expand that capacity, double the capacity. But also what’s great and unique about it is it allows us and affords us the optionality to move that elsewhere in a market for infrastructural needs as well. So that’s exciting for us. When you think about the cost, it was a considerable portion of our cost, probably in excess of 70% of our CapEx for the first half of the year. But that and if you think kind of along the lines of putting that, say doubling our facility, that’s probably a $40 million to $45 million kind of all in soup to nuts investment. And I think with pretty expedited returns on cash – cash on cash returns on capital.

Barry Haimes: Right. And what’s the protected timeline in terms of when that would start producing LNG?

Westy Ballard: Yes, so the way to think about that is in, it’s – there’s a little variability here because supply chain, but that’s anywhere between call it nine months, 10 months to call it 15 months. I’d like to put a finer point on it. It’s a little harder to do. But rest assured that as when we start installing that train and kind of communicate that with you all, we’ll have a much finer point on it. But that’s kind of a good range to think about, nine months to 14 months, 15 months, somewhere in that vicinity.

Barry Haimes: Great. Thanks very much. Good luck going forward.

Westy Ballard: Yes. Thank you. Thanks.

Operator: All right. And this concludes the Q&A portion of today’s call. I would now like to turn the floor over to Mr. Ballard for closing remarks.

Westy Ballard: Thanks everybody for joining us this morning, and we look forward to seeing you in the future and on the road. Take care.

Operator: Thank you. And this concludes Stabilis Solutions second quarter 2023 earnings conference call. Please disconnect your line at this time and have a wonderful day.