Charter Deals for Eco-Design Containerships

by Ship & Bunker News Team
Tuesday May 27, 2014

Ship Finance International Ltd. [NYSE: SFL] (Ship Finance) says it has signed seven-year time-charter agreements for four 8,700 twenty-foot equivalent unit (TEU) eco-design newbuilding container ships.

Ship Finance, which identified the charterer as "a large, European-based container line," said the contracts will add an aggregate of $46 million to its estimated annual earnings before interest, taxes, deductions, and amortization (EBITDA).

In announcing plans to build the four vessels last year, Ship Finance, which is affiliated with shipping magnate John Fredricksen, said it is expanding its presence in the segment.

The company also announced that it has reached a deal to buy two 82,000 deadweight tonne (dwt) Kamsarmax dry-bulk carriers in connection with an eight-year time-charter deal for the ships with a state-owned Chinese company.

"We are pleased to announce acquisitions and long-term charters to top quality counterparties that will continue to build our long-term distribution capacity," said CEO Ole B. Hjertaker.

"The container vessels under construction are currently ahead of schedule, and the charter-rate is reflective of the very high specifications including the latest in eco-design features."

Ship & Bunker News Team
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