TEN, Ltd (TEN) (NYSE:TNP) on Friday (Nov12) announced long-term charters for two VLCCs to major oil concerns.
The contracts, for minimum three - maximum five years, incorporate profit sharing provisions and are expected to generate gross revenues in excess of $110 million over their maximum period, excluding additional income that may come from the profit share.
“We are pleased to announce these accretive employments which reflects the positive signs the tankers markets are beginning to exhibit. Such flexible contracts are the backbone of TEN’s tried-and-tested employment strategy that provides downside protection and significant upside potential,” Mr. George Saroglou, COO of TEN commented. “As rate fundamentals turn positive, we are exploring similar opportunities with other high caliber clients which together with our vessels in the spot market and the delivery of our new LNG carrier next quarter, should allow TEN to fully participate in the tanker recovery going forward,” Mr. Saroglou concluded.