Himalaya Shipping announced on Monday (Oct17) it has entered into time charter agreements for four vessels with Koch Shipping Pte Ltd.
The vessels will commence a 24 month time charter with an evergreen structure upon delivery from New Times Shipyard in the second and third quarter of 2023, with certain options to roll two charters to 2024.
The vessels will earn an index linked rate, reflecting a significant premium to the Baltic 5TC index, and a profit sharing of any economic benefit derived from operating the vessel´s scrubber or running on LNG, as well as certain rights to convert the time charters to fixed rates based on the prevailing FFA curve from time to time.
“We have now chartered out 6 vessels on index linked charters with our vessels achieving market high premium to the Baltic 5TC index. The reception for the vessels in the market has been above expectations. Our simple structure, with index linked charters earning a significant premium, low G&A cost and financing with 7 year fixed bareboat rates puts us in a good position to deliver solid returns to our shareholders”, says Herman Billung contracted CEO of Himalaya Shipping.