Tsakos Energy Navigation Limited today announced a two year time-charter extension with profit sharing for the 2002-built double hull suezmax tanker Pentathlon with the same charterer.
Tsakos Energy Navigation Limited ("TEN" or the "Company") (NYSE:TNP) today announced a two year
time-charter extension with profit sharing for the 2002-built double hull suezmax tanker Pentathlon with the same charterer. The new two-year period reflecting profit sharing between a minimum rate and a maximum level will commence immediately upon the expiry of the existing charter in early November of this year.
The gross proceeds from the charter assuming only the minimum rate are expected to be $15.5 million over the corresponding period. Following this charter extension, TEN's fixed employment including pool vessels for 2009 and 2010 are 64% and 51%, respectively.
"We are very pleased with the extension of this charter, the third extension in a row with the same major oil entity since 2003," said Mr. Nikolas P. Tsakos, President and CEO of TEN. "This charter is a testament to oil majors' and major end-users' appetites to continue fixing quality vessels during market cycles.
TEN strives to provide all of its charterers with a young, efficient and diversified fleet. For TEN, these minimum rate time charters with profit sharing provide downside protection as well as the flexibility to participate in market rallies and continue to support the fleet's strong cash flow generating capacity."