SFL – New long term charters for four 8,700 TEU container vessels

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SFL Corporation announced that it has agreed new 5-year time charters on four 8,700 TEU container vessels, which will add approximately $240 million to the Company’s fixed rate charter backlog.

The vessels have been on charter to A.P. Moller – Maersk (“Maersk”) since they were new and the current charters were due to expire in 2025. The vessels were built in 2014-2015 with a modern, wide-beam design and fuel-efficient electronic engines. In connection with the new charters, SFL will make certain investments in the vessels, including increasing the cargo capacity to 9,500 TEU. The Company will also add new energy efficiency features, and the total upgrade investment is estimated to be approximately $20 million in aggregate.

Ole B. Hjertaker, CEO of SFL Management AS, said in a comment: «The new charters on four existing container vessels demonstrate the benefit of a customer focused approach, where we in close cooperation with Maersk have analyzed how to optimize the vessels’ operational performance and reduce emissions. This benefits both our customer and us during the charter period, whilst we will have more attractive vessels when the new charters expire in 2030. With the acquisitions and charter extensions announced so far this year, we have added approximately $2 billion to our fixed rate charter backlog».