New Fortress Energy Inc (NFE) has signed an agreement to acquire a 1.6 GW Capacity Reserve Contract from Ceiba Energy, a Denham Capital portfolio company. The deal involves NFE issuing Convertible Preferred Stock and assuming liabilities from Ceiba Energy's subsidiary. The PPA will be transferred to NFE's LNG terminals in Brazil, with the transaction expected to close in March 2024 and cash flows beginning by July 2026. The PPA is projected to add over $280 million annually over its 15-year lifespan, positioning NFE as a leading LNG-to-power company in Brazil. The deal is subject to regulatory approval. Last month, NFE reported lower adjusted EBITDA and missed EPS consensus in Q3. NFE shares closed down 1.10% at $38.60.