Tsakos Energy Navigation Limited yesterday announced that the seven year time-charter 2002-built double hull suezmax tanker Triathlon will be extended for an additional three years.
Tsakos Energy Navigation Limited yesterday announced that the seven year time-charter with profit sharing for the 2002-built double hull suezmax tanker Triathlon will be extended for an additional three years. The charter, which began in January 2004, will continue with the same charterer, a renowned refiner. This optional period will extend the total employment of the Triathlon from seven years to ten, until 2014. Since the initiation of this charter in 2004 through the end of 2008, the vessel has generated gross revenues in excess of $62.0 million.
"The exercise of the optional period is a clear demonstration of the acceptability of our vessels by high quality customers, particularly those with whom our company has had long standing relationships," said Mr. Nikolas P. Tsakos, President & CEO of TEN. "It also highlights the demand by such major end-users to charter quality vessels for the long term. For TEN it provides downside protection as well as the flexibility to participate in market rallies."
TEN's pro forma fleet consists of 50 vessels of 5.3 million dwt. TEN's operational fleet consists of 46 vessels all of double-hull design. TEN's newbuilding program includes four DNA-aframax crude carriers representing 420,000 dwt.
Following this charter extension, TEN's fixed employment for remaining 2009 days reaches 70% while for 2010, so far, fixed employment increases to 43%. Assuming the profit-sharing charters were only to generate the minimum for the remaining days of 2009, TEN would still expect to earn at least another $300 million in gross revenues. For 2010, based on the same assumptions, the minimum gross revenue already secured is estimated at $180 million.
TEN's balanced fleet profile is reflected in 25 crude tankers ranging from VLCCs to aframaxes and 24 product carriers ranging from aframaxes to handysize; complemented by one LNG.