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Variable Interest Entities ("VIE") | 9 Months Ended
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Sep. 30, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract] |
Variable Interest Entities ("VIE") | VARIABLE INTEREST ENTITIES ("VIE") 10.1 Lessor VIEs As of September 30, 2021, we leased nine (December 31, 2020: nine) vessels from VIEs as part of sale and leaseback agreements, of which four were with ICBC Finance Leasing Co. Ltd (“ICBCL”) entities, one with a China Merchants Bank Co. Ltd. (“CMBL”) entity, one with a CCB Financial Leasing Corporation Limited (“CCBFL”) entity, one with a COSCO Shipping entity, one with a China State Shipbuilding Corporation (“CSSC”) entities and one with an AVIC International Leasing Company Limited (“AVIC”) entity. Each of the ICBCL, CMBL, CCBFL, COSCO Shipping, CSSC and AVIC entities are wholly-owned, newly formed special purpose vehicles (“Lessor SPVs”). In each of these transactions, we sold our vessel and then subsequently leased back the vessel on a bareboat charter for a term of seven to ten years. We have options to repurchase each vessel at fixed predetermined amounts during their respective charter periods and an obligation to repurchase each vessel at the end of each vessel's respective lease period. Refer to note 5 to our consolidated financial statements filed with the 2020 Form 20-F, for additional details. A summary of our payment obligations (excluding repurchase options and obligations) under the bareboat charters with the lessor VIEs as of September 30, 2021, are shown below:
(in thousands of $) | 2021 (1) | 2022 | 2023 | 2024 | 2025 | 2026+
Golar Glacier (2) | 4,310 | 17,100 | 4,451 | — | — | —
Golar Kelvin (2) | 4,968 | 19,710 | 19,710 | 18,468 | — | —
Golar Snow (2) | 4,310 | 17,100 | 3,608 | — | — | —
Golar Ice (2) | 4,968 | 19,710 | 19,710 | 19,764 | 162 | —
Golar Tundra (3)(4) | 4,305 | 7,075 | — | — | — | —
Golar Seal (5) | 3,382 | 13,717 | 13,754 | 13,717 | 13,717 | —
Golar Crystal (3) | 2,597 | 10,379 | 10,363 | 10,356 | 10,321 | 12,035
Hilli (3) | 26,445 | 103,630 | 100,019 | 96,494 | 92,796 | 195,574
Golar Bear (3) | 3,950 | 15,459 | 14,894 | 14,339 | 13,763 | 15,919
(1) For the three months ending December 31, 2021. (2) In June 2021, we entered into certain amendments to our four ICBC sale and leaseback facilities which includes (i) prepayment of $15.0 million for each sale and leaseback facility in July 2021; (ii) increase in daily debt service costs from $46,850 to $54,000 for the Golar Ice and Golar Kelvin facilities; and (iii) brought forward our obligation to repurchase the Golar Glacier and Golar Snow to April 2023 from October 2024 and January 2025, respectively. (3) The payment obligations relating to the Golar Tundra, Golar Crystal, Hilli, and Golar Bear above includes variable rental payments due under the lease based on an assumed LIBOR plus margin. (4) In August 2021, we refinanced the Golar Tundra Facility, which has a put option of $101.1 million that would become exercisable in January 2022 were we not to have sufficiently advanced plans to refinance the 2017 Convertible Bonds by that date, otherwise the Golar Tundra Facility matures in June 2022. (5) In October 2021, we entered into a supplementary agreement with existing lender from CCBFL to extend Golar Seal's put option to January 2025. The last payment obligation relating to the Golar Seal has been presented in 2025 even though the maturity of the lease obligation is in March 2026, due to the put option maturing in January 2025. The assets and liabilities of these lessor VIEs that most significantly impact our consolidated balance sheet as of September 30, 2021 and December 31, 2020, are as follows:
(in thousands of $) | Golar Glacier | Golar Kelvin | Golar Snow | Golar Ice | Golar Tundra | Golar Seal | Golar Crystal | Hilli | Golar Bear | September 30, 2021 | December 31, 2020
Assets |  |  |  |  |  |  |  |  |  | Total | Total
Restricted cash and short-term deposits | 30 |  | 100 |  | 100 |  | 47 |  | — |  | 13,767 |  | 4,686 |  | 25,904 |  | 20,471 |  | 65,105 |  | 36,875 |
Liabilities |  |  |  |  |  |  |  |  |  |  |
Debt: |  |  |  |  |  |  |  |  |  |  |
Current portion of long-term debt and short-term debt (1) | (82,728) |  | (99,450) |  | (81,883) |  | (54,860) |  | (78,196) |  | — |  | (8,358) |  | (396,866) |  | — |  | (802,341) |  | (865,982) |
Long-term interest-bearing debt - non-current portion (1) | — |  | — |  | — |  | — |  | — |  | (90,293) |  | (68,603) |  | (232,158) |  | (113,767) |  | (504,821) |  | (625,119) |
| (82,728) |  | (99,450) |  | (81,883) |  | (54,860) |  | (78,196) |  | (90,293) |  | (76,961) |  | (629,024) |  | (113,767) |  | (1,307,162) |  | (1,491,101) |
(1) Where applicable, these balances are net of deferred finance charges. The most significant impact of the lessor VIE's operations on our unaudited consolidated statements of operations, and unaudited consolidated statements of cash flows, are as follows:
(in thousands of $) | Nine months ended September 30,
| 2021 | 2020
Statement of operations |  |
Interest expense | 20,467 |  | 27,752 |
Statement of cash flows |  |
Net debt repayments | (197,308) |  | (352,046) |
Net debt receipts | 12,920 |  | 444,307 |
Financing costs paid | (700) |  | (2,731) |
10.2 Golar Hilli LLC Following the sale of common units in Hilli LLC, we have retained sole control over the most significant activities and the greatest exposure to variability in residual returns and expected losses from the Hilli. Accordingly, management has concluded that Hilli LLC is a VIE and that we are the primary beneficiary. Summarized financial information of Hilli LLC The assets and liabilities of Hilli LLC(1) that most significantly impact our consolidated balance sheet are as follows:
(in thousands of $) | September 30, 2021 | December 31, 2020
Balance sheet |  |
Current assets | 81,515 |  | 65,629 |
Non-current assets | 1,339,496 |  | 1,203,805 |
Current liabilities | (457,323) |  | (447,701) |
Non-current liabilities | (295,333) |  | (345,058) |
(1) As Hilli LLC is the primary beneficiary of the Hilli Lessor VIE (see above) the Hilli LLC balances include the Hilli Lessor VIE. The most significant impact of Hilli LLC VIE's operations on our unaudited consolidated statements of operations, and unaudited consolidated statements of cash flows, are as follows:
(in thousands of $) | Nine months ended September 30,
| 2021 | 2020
Statement of operations |  |
Liquefaction services revenue | 164,614 |  | 163,572 |
Realized and unrealized gain/(loss) on oil and gas derivative instruments | 157,119 |  | (36,861) |
Statement of cash flows |  |
Net debt repayments | (64,854) |  | (281,972) |
Net debt receipts | 2,848 |  | 223,821 |
10.3 Gimi MS Corporation Following the closing of the sale of 30% of the common units of Gimi MS Corporation (“Gimi MS”) to First FLNG Holdings in April 2019, we have determined that (i) Gimi MS is a VIE, (ii) we are the primary beneficiary and retain sole control over the most significant activities and the greatest exposure to variability in residual returns and expected losses from the Gimi. Thus, Gimi MS continues to be consolidated into our financial statements. Summarized financial information of Gimi MS The assets and liabilities of Gimi MS that most significantly impact our consolidated balance sheet are as follows:
(in thousands of $) | September 30, 2021 | December 31, 2020
Balance sheet |  |
Current assets | 4,385 |  | 15,505 |
Non-current assets | 850,589 |  | 658,247 |
Current liabilities | (24,954) |  | (33,844) |
Non-current liabilities | (388,809) |  | (277,932) |
The most significant impact of Gimi MS VIE's operations on our unaudited consolidated statements of cash flows, is as follows:
(in thousands of $) | Nine months ended September 30,
| 2021 | 2020
Statement of cash flows |  |
Additions to asset under development | 183,305 |  | 142,397 |
Capitalized financing costs | (4,432) |  | (5,313) |
Net debt receipts | 110,000 |  | 95,000 |
Proceeds from subscription of equity interest | 16,872 |  | 7,098 |

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- Definition The entire disclosure for a variable interest entity (VIE), including but not limited to, judgments and assumptions in determining whether to consolidate and in identifying the primary beneficiary, gain (loss) recognized on the initial consolidation of the VIE, terms of arrangements, amounts and classification of the VIE's assets and liabilities, and the entity's maximum exposure to loss. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 810 -URI http://asc.fasb.org/topic&trid=2197479 + Details
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