Stock price nosediving today by 16% for New Fortress Energy, which manages power generation in #PuertoRico, after the firm warned it may seek bankruptcy protection if other restructuring options fall through. The disclosure was made in NFE's latest 10-Q. www.marketscreener.com/news/new-for...

S&P today downgraded New Fortress Energy, which manages key power generation in #PuertoRico, to selective default after the company missed a Nov. 17 interest payment and entered a forbearance deal on its 2029 secured notes. www.spglobal.com/ratings/en/r...

1/2 Sen. Wyden of the US Senate Finance Committee today published new findings indicating that Pantera Capital's Dan Morehead, a crypto billionaire based in #PuertoRico, may have improperly avoided more than $100M in federal taxes through a purported residency scam.

2/2 The Energy Dept had announced its intent to reallocate the funds back in May.

May press release: www.energy.gov/articles/ene...

Today's press release:
www.energy.gov/articles/ene...

1/2 On Day 1 of the federal gov't shutdown, the Energy Dept confirms the reallocation of $365 million to address #PuertoRico’s grid crisis. Originally awarded for rooftop solar & battery installations, the funds will be distributed through PREPA, though exact use remains unclear.

DC Circuit Appeals Court today rejected a challenge by environmental groups to a natural gas pipeline built by New Fortress Energy in #PuertoRico. The pipeline was constructed without explicit approval from FERC, whose full review is still pending. media.cadc.uscourts.gov/opinions/doc...

1/2 Un pacto insólito. La mayoría republicana en la Cámara federal ha aprobado una resolución presupuestaria que pretende dar trillones en recortes contributivos a la gente más rica, a cambio de aplicar recortes masivos en Medicaid, SNAP y financiación de préstamos estudiantiles.

2/2 Moody's & OBoard predict that #PuertoRico's economy will be stagnant over the next 10yrs & sustained largely by fed funds, making the Trump Admin's cuts particularly troubling for PR.

1 www.elnuevodia.com/negocios/eco...

2 www.elnuevodia.com/english/busi...

3 drive.google.com/file/d/1XBIt...

1/2 #PuertoRico's economic growth is slowing & by some measures it's already contracting. Planning Board has lowered prior GDP growth estimates for FY25 & FY26 to 1.1% & 0.5%, respectively. Moody's & Oversight Board have less optimistic outlook, forecasting contractions for FY25.

1/ While new information surfaces that New Fortress is looking to further expand its LNG operation in #PuertoRico in the southern municipality of Ponce, Moody's is downgrading the company's legacy notes & senior loans deeper into junk rating territory.

On Tuesday, New Fortress posted a presentation tied to a potential refinancing. #PuertoRico operation among highlights, incl. recently signed 20yr gas contract. Importantly, forecasts assume NFE further increases gas volumes thru sales agreement w/ PREPA ir.newfortressenergy.com/static-files...

Worth noting, El Nuevo Día's editorial last week supporting #PuertoRico's transition to more natural gas has one colossal error: it states natural gas is considered renewable energy in the US. This is simply not true, regardless of natural gas' merits & demerits. www.elnuevodia.com/english/edit...

Emboldened by yet another win against #PuertoRico's OBoard, PREPA bondholders say they intend to "vigorously litigate" absent a global settlement. On Dec 31, the 1st Circuit Appeals Court rejected a 3rd OBoard appeal on PREPA bondholder liens. www.businesswire.com/news/home/20... #muniland

Most of #PuertoRico will wave 2024 goodbye in darkness. Another massive blackout, another exasperating reason to call for systemic change. That this has become the norm is in itself a horrid aberration. PR has endured enough. PR deserves so much damn better.

1/3 Worth reiterating that New Fortress Energy, whose subsidiary Genera PR is in charge of electrical generation in #PuertoRico, is inching ever so closer to bankruptcy, particularly if NFE fails to refinance well over $2BN in debt coming due in the next five years. #muniland