Norsk Hydro Flags $90M-$110M Q4 Hit, Seeks Legal Remedies Against NFE-Owned Celba
NFE is trading near its 52-week low of $5.445 (8.4% above the low) on elevated volume (4.4× avg).
Summary
Norsk Hydro expects a $90M-$110M Q4 cost impact from gas supply challenges at its Alunorte alumina refinery in Brazil, which is supplied by Celba, a company owned by New Fortress Energy. Alunorte is sourcing gas at spot prices after Celba failed to deliver contracted volumes, and Norsk Hydro says it is seeking legal remedies to protect its contractual rights. This follows NFE's recent debt restructuring and a 14% stock drop on news its Fast LNG unit is offline. The legal action and ongoing supply dispute add another layer of risk for NFE, which is already dealing with going-concern doubts and a major ownership shift.
At the time of this announcement, NFE was trading at $5.90 on NASDAQ in the Energy & Transportation sector, with a market capitalization of approximately $33.5M. The 52-week trading range was $5.45 to $133.00. This news item was assessed with negative market sentiment and an importance score of 7 out of 10. Source: Dow Jones Newswires.