TEN confirms long-term suezmax timecharter

Tsakos Energy Navigation (TEN) has today confirmed it has fixed one of its suezmax tankers on a “long-term” timecharter to “to a major oil concern”.

Last week, brokers reported TEN’s suezmax  Silia T had been fixed to Russia’s Litasco Group for 18 months at $34,000 daily. The charter period will commence in December after the vessel has completed its current voyage, TEN said today.

In early November, broker reports suggested Koch Logistics had been set to take the tanker for the same duration and at the same rate, but the deal failed.

TEN says it expects the new timecharter to generate around $18.5m in total gross revenues, which is in line with the daily rate cited by brokers.

“This accretive charter highlights oil majors’ appetite for long-term fixtures and reaffirms our belief that the health of the crude oil market remains strong,” George Saroglou, COO of TEN, said in a release.

“With $1.5bn in minimum secured revenues, TEN will continue to adjust its employment strategy so to enhance cash flow visibility, irrespective of market conditions, while continuing to take advantage of firm spot rates.”

Some 15 TEN vessels have been fixed on timecharter since the year began, which the NYSE-listed company estimates will generate total gross revenues of around $280m.

Holly Birkett

Holly is Splash's Online Editor and correspondent for the UK and Mediterranean. She has been a maritime journalist since 2010, and has written for and edited several trade publications. She is currently studying for membership of the Institute of Chartered Shipbrokers. In 2013, Holly won the Seahorse Club's Social Media Journalist of the Year award. She is currently based in London.
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