everyone. good Vince, morning, you, and Thank
mentioned, four presentation. FPSO slide with to our Turning just Vince And the have of as Starting segment. made on we good progress the down Banff. winding
expected, recycling last of to completed with as have our below delayed QX to than the in came the highlighted while project one decommissioning yard cost respect Banff, our of of As approvals. With unit budget. we costs phase the was awaiting quarter, lower repositioning the regulatory net its recycling successfully
Denmark on months. the the recycled mass by say XX, in with it are to its where shipyard over on next the Ship X will Regulation departed voyage to several over EU However, the handed the May safely tow the from unit May be was for pleased Recycling final we and UK recycling that in accordance the
QX. into most to yard, of payments unit, with regulatory our represents minimal is only the to Teekay after BP's agreement to we expected precedent the which June QX, to Phase obligations recent should in scopes. completed approximately us end these expect enable effectively that half entered subject relation associated X responsibilities currently their met with $X initial all has by and expected when to production the the of own conditions the which such, a successful with agreement part of take on CNR we various decision million finalized CNR, FPSO $X decommissioning X, achieve whereby confirmation million As over May. Banff combining XX the synergies the to eliminate from the towage in the over will the X be Phase subsea of decommissioning April, and field, cost incur by a decommissioning need when to Foinaven customer as This costs of satisfy remaining conditions remains to with of to suspend The first conclude to in operations. be work authorities this UK related that years recycling the its field. our existing conditional to including of of Foinaven after project. now in relating on field on cost be the result incurred milestone agreement our remaining will Separately, obligations Banff to The XXXX, track We're to remaining redelivered to
in operating As an bareboat a April we contract been since unit day nominal the under XXXX. cash of a received payment at a $XX upfront rate reminder, has million
unit Foinaven green bareboat payment also be part the was contractual the the earlier Following what covered recycle of cost our to was The redelivery, from is to expected. contract. lump-sum with which previously happening associated customer the than redelivery fixed by we of a expect expected the new
may recycle in XXXX economic not cost will since the nominal. to day only a unit this it lump fact our However, is have less impact XXXX. in redelivered slightly is the amount it many the rate irrespective is Teekay same of material be additional our to XXXX usage, years of we while compared or whether sum will to say, in after And receive doing
developments, result a expect exposure we Banff recent FPSOs. largely have our remaining the As to to soon Foinaven eliminated these of both and
course. reduction to met we June in are ARO in liabilities net this or We'll update decommissioning the due in the our an Banff provide obligation agreement asset XXXX, retirement material conditions precedent by expect the second on quarter. Assuming a in relating to this result
chestnut FPSO the operate Hummingbird months field field a to on with if uneconomic. the rate contract to the charter prior is fixed three deemed right with continues notice Lastly, contract terminate the having the the under
stable the oil Meanwhile, of and experienced I current for are production stable level day double X,XXX cash the prices year Teekay. continues our the one However, highlights ago. this the On at to approximately than of slide more we time results oil touch on companies. will flow is barrels level per that briefly unit X, generate positive and at daughter
and recently encourage of unit, respective more including for March details Teekay the with of both LNG charter securing markets. partnership's now prior spot and call. XXXX carriers time this LNG contract. their conference demand million increases earnings for I three fixed you for than As XX% with the new shipping XX% since in slightly Teekay LNG. to one The adjusted listen is is calls better for LNG or advantage generated following always which spot XXXX. late been market-linked per remainder fixed counter-seasonal charters, improvement taken The time has the LNG income quarter. this by of fleet to We've experiencing $X.XX $XX net Starting strong partnership
for distribution. unit contracts level This to Parent's global annual represents the optimally to to demand portfolio flow capital is recently in distribution flexibility TK financial unit for its double-digit LNG large increased $XX continues $X to Teekay balance the Lastly, a per annum. supported adding cash year while free XX% cash common to increase by sheet per continue as its of a Teekay third common allocate partnership's This million $X.XX by and quarterly LNG unit of long-term delevering consecutive LNG TGP. diversified which distribution per million the which enables total to grow, from provides year distributions per
share, of recorded Lastly, $X.XX Teekay last $XX which loss or net or an Tankers is share million million improvement per to $XX of quarter. per an adjusted compared $X.XX
current a OPEC+ leverage we expensive in that anticipated seeing liquidity Although, inventories positive decline market the impact outlook towards upcoming its oil with near-term the continued also economy, global reducing tanker to capital improvements in point Tankers continue of to our replacing continued the increase is Teekay customers of lower-cost sheet especially all due maintaining we Tankers to low relation throughout uncertain Teekay with is out COVID-XX, through are woods balance devastation financings. we're sale-leasebacks including want year to cost measures and of experiencing. course global indicators thank continued recovery, healthy and of and and an their seafarers uniquely fundamentals. in by currently tanker challenging last that our is them an unwinding and In enables positive overall fleet to the production which its and supply circumstances India the strong we for onshore managed We're taking closing, that service the uninterrupted are safe But manage in to not pandemic. the the through confident providing yet, I successfully to situation. dedication colleagues
continue demand currently estimate levels. lower we pre-pandemic oil which approximately compared increase to be we between addition, global the and see strong the in vaccination a programs In X% correlation to to
gradually and As oil now Group With transportation to gas expect positive for operator are believe overall. our will and businesses return services and we to we core levels the the and world to for gas shipping XXXX be questions. take oil recovers from we related for which the available pandemic, demand the Teekay that
