Performance Shipping Inc. Secures 5-Year Time Charter Contracts With Clearlake For Three Newbuilding Vessels At $31,000 Per Vessel Per Day
Portfolio Pulse from Benzinga Newsdesk
Performance Shipping Inc. (NASDAQ:PSHG) has secured 5-year time charter contracts with Clearlake Shipping for three newbuilding LNG-ready, scrubber-fitted, LR2 Aframax tanker vessels at $31,000 per vessel per day. The contracts, which have options to extend for a 6th and 7th year, are expected to commence between Q4 2025 and Q2 2026. The firm period's gross revenue is anticipated to be $169.8 million, covering 88% of the construction costs and increasing the company's fixed revenue backlog to approximately $211.4 million.
March 12, 2024 | 1:30 pm
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Performance Shipping Inc. has entered into lucrative 5-year charter contracts for three new vessels, with options to extend, promising significant revenue and covering a substantial portion of construction costs.
The announcement of securing long-term charter contracts at profitable rates is a strong positive signal for Performance Shipping Inc. It not only ensures a steady revenue stream for the initial years of operation but also covers a significant portion of the vessels' construction costs. This strategic move is likely to be viewed favorably by investors, potentially leading to a positive short-term impact on the stock price.
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