SFL seals 10-year charter deal for two LNG-fuelled car carriers in Asia

John Fredriksen’s SFL Corporation has landed long-term charters with an undisclosed Asia-based transportation firm for two dual-fuel car carriers designed to use liquified natural gas (LNG).

The vessels are sister vessels of the two 7,000 ceu pure car and truck carriers under construction, chartered to Volkswagen, and scheduled for delivery in Q1-Q2 of 2024.

The company said on the Oslo Exchange that the aggregate construction cost will be approximately $155m, and the charter period will be ten years from the delivery of the vessels, adding more than $200m to SFL’s charter backlog.

Ole B. Hjertaker, CEO of SFL Management, said: “This transaction shows our commitment to continue expanding our investment focus to assets with a lower carbon footprint whilst ensuring significant visibility through ten-year firm charters to a very strong counterparty.”

Over the last few months, SFL has added multiple new vessels to its portfolio, increasing its charter backlog by more than $700m. Many of these acquisitions will deliver during the third quarter.

Adis Ajdin

Adis is an experienced news reporter with a background in finance, media and education. He has written across the spectrum of offshore energy and ocean industries for many years and is a member of International Federation of Journalists. Previously he had written for Navingo media group titles including Offshore Energy, Subsea World News and Marine Energy.
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