TEN seals long-term charter extension for aframax pair

Greek tanker company Tsakos Energy Navigation (TEN) has secured a charter extension with an undisclosed oil major for two aframax vessels for a combined period of 48 months.

The New York-listed firm stated that with these two transactions, the total number of long-term contracts acquired in the previous three months has risen to ten, including fixed and profit-sharing contracts.

The ten fixtures, together with the minimum charter proceeds of the LNG carrier and shuttle tanker, which are scheduled to be delivered in the first and second quarters of 2022, are estimated to yield gross revenues of roughly $500m.

“The recent surge for long-term charters is a sign of increased demand for tanker services. TEN, following its tried and tested employment policy for secured contracts and upside potential should be a prime beneficiary of the expected market upturn,” George Saroglou, COO of TEN commented. 

“These two fixtures along with all the others concluded recently, including those for our newbuildings, provide enhanced cash flow visibility and flexibility and make TEN an attractive proposition for those looking for the tanker market to resemble the one experienced recently in containers and dry bulk,” Saroglou added.

TEN has a fleet of 71 double-hull vessels, and one LNG carrier, one suezmax shuttle tanker and four dual-fuel LNG aframax vessels on order. Last month, the company landed up to a five-year charter for VLCC pair that could potentially generate revenues exceeding $110m.

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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