Top Ships Inc. announces extension of Time Charters for four vessels

By Vessels

TOP Ships Inc. (Nasdaq:TOPS), an international ship-owning company, announced yesterday that it has extended the time charter agreements with Stena Bulk AB (ex Stena Weco AS) by 12 months for M/T Stenaweco Energy and M/T Stenaweco Elegance and by 18 months for M/T Stenaweco Evolution and M/T Stenaweco Excellence.

Top Ships Inc. announces extension of Time Charters for four vessels
Caption: Chemical/Oil Products Tanker Stenaweco Energy - Image courtesy of Aart van Bezooijen

The Company expects a total gross revenue backlog associated with these time charter extensions of $27.4 million. Following the signing of the abovementioned time charter party extensions, the Company's charter coverage is as follows:

 Year  Operating fleet  Operating fleet including vessels partly owned through joint ventures
 2018  94 %  95 %
 2019  78 %  82 %
 2020  77 %  81 %
 2021  26 %  28 %

The above charter coverage percentages are calculated as the ratio of number of days vessels are expected to be hired pursuant to the fixed period of existing time charters divided by number of days vessels are available for chartering during the respective calendar years assuming no off-hire days.

Evangelos Pistiolis, President and CEO of the Company, stated: "The total gross revenue backlog for the fixed charter period of all of the Company's operating fleet stands at about $131 million and when adding the 50% of our joint venture vessels it increases to about $147 million, with cashflow visibility reaching into 2021. Our business strategy continues to be focused on further expanding our fleet as it is important that we achieve a certain critical mass in terms of fleet size with an aim to maximize our operational efficiencies and synergies."

Source: TOP Ships