Saturday, June 3, 2023
HomeContainersSeaspan: Charter extensions for 10 containerships

Subscribe

To our FREE newsletter
Get all the latest maritime news delivered straight to your inbox.

Seaspan: Charter extensions for 10 containerships

Seaspan announced that it has forward fixed contracts for 10 containerships with a major liner customer.

The vessels, representing approximately 100,000 TEU in aggregate, were previously scheduled to have four charters expire in 2022, four charters expire in 2023, and two charters expire in 2024. All 10 vessels have now been fixed through new five-year charter agreements, beginning at the end of their current charter periods. These forward fixed charters will generate approximately $670 million of additional gross contracted cash flow.1

Seaspan noted that it has secured forward fixing contracts for 58 vessels since the start of 2021, representing approximately 50% of its time chartered fleet. Forward fixing is entering into new charter agreements with customers well in advance of the expiry of the current charter agreements. These new fixtures commence upon expiry of the existing charter agreements.

Bing Chen, Chairman, President and CEO of Seaspan, commented, “We are pleased to facilitate our customer’s requirements by forward fixing another ten 10,000 TEU vessels, bringing the total forward fixed vessels to 58 in 2021. We continue to leverage our differentiated business model to provide creative customer solutions by forward fixing operating vessels and building new vessels. Seaspan now has no fleet roll-offs in 2021, and a limited number in 2022, 2023, and 2024, which insulates us from future market volatility while continuing to grow long-term quality cash flow through all market cycles.”

“I am proud of our collaborative customer partnerships that consistently create win-win solutions. Our customers continue to benefit from our excellent operational execution, quality fleet, unmatched scale, and flexibility. In addition, Seaspan continues to strengthen its differentiated business model by committing material future capacity in the current market. This mutually beneficial approach, built upon our long-term commitment and creative partnerships, facilitates our strategic customers’ success, contributes to market stabilization, and solidifies our market leadership position.”

1. The charters have a fixed rate for the first three years and the remaining term is based on a market rate within a certain floor and ceiling. The calculation is based on the minimum term of the charter and the floor rate for the period subject to market rates.

Related Posts

Video

Finance & Economy
Shipping News
Ports

BW LPG appoints new CFO

BW LPG announced that it has appointed Ms Samantha Xu as Chief Financial Officer (CFO), effective 1 September 2023. Ms Xu has over 20 years...

Frontline Posts Highest First Quarter Results Since 2008

Frontline plc reported unaudited results for the three months ended March 31, 2023: Highlights Highest first quarter profit since 2008 of $199.6 million, or $0.90 per...

Diana Shipping posts slightly lower Q1 profit; takes out $123m in loans

Diana Shipping reported net income of $22.7 million and net income attributed to common stockholders of $21.3 million for the first quarter of 2023....

CMA CGM Profit Eases as Container Transport Demand Wanes

CMA CGM expects its profit to ease further for the rest of the year after a first-quarter decline, as an uncertain economy and influx...

Seanergy ‘well positioned to benefit from positive trend in Capesize market’

Seanergy Maritime Holdings Corp., announced its financial results for the first quarter ended March 31, 2023, and declared a quarterly dividend of $0.025 per...

Taiwan Shipping Firms Set to Hand Out Bumper Bonuses Again

Taiwanese shipping companies are handing out bumper mid-year bonuses despite a slump in global...

Baltic index hits over 3-month low amid lower coal imports

The Baltic exchange’s main sea freight index extended losses for the 15th session straight...

Baltic index falls for the month as vessel demand wanes

The Baltic exchange’s main sea freight index recorded its first monthly decline in four...

North Korea missile tests endanger shipping, UN maritime agency told

North Korean missile tests are endangering the safety of commercial shipping in busy sea...

Singapore Clamps Down on Tankers as Dark Fleet Grows

Singapore’s detentions of oil and chemicals tankers have surged since early last year, highlighting...

DP World Completes Terminal Expansion Project Vancouver Port

DP World has completed the AED954 million ($259.78 million) Centerm expansion project, increasing container throughput at the Port of Vancouver by 60 percent. The terminal...

DP World completes AED 954 million Vancouver port expansion

DP World and the Vancouver Fraser Port Authority have celebrated two historic events – the completion of the Centerm Expansion Project at DP World...

Alexandroupolis port gets 24 million euros of EU funding

Greece has secured 24 million euros ($26 million) in European Union funding to upgrade its northern Aegean Sea port of Alexandroupolis, privatisation agency HRADF...

Port Hedland Iron Ore Exports Down 5% in April

Pilbara Ports Authority (PPA) has delivered a total monthly throughput of 57.7 million tonnes (Mt) for April 2023. This throughput was a two per cent...

APM Terminals Reveals $1 Billion Investment in Brazil

APM Terminals’ CEO Keith Svendsen has pledged an investment of about US$1 billion in the company's Brazilian operations up to 2026. The amount includes around...