Greek vessel owner Euroseas announced a time charter contract for its 1,732 TEU feeder container ship Jonathan P for a minimum period of 11 to a maximum period of 13 months at the option of the charterer.
The new charter with a gross daily rate of US$20,000 will commence after the completion of the 18-year-old ship’s scheduled intermediate survey, expected around mid-to-end of October.
Aristides Pittas, Chairman and CEO of Euroseas, commented, “This fixture is a testament to the constant need for feeder ships, despite declining container freight rates. It also validates the component of our investment strategy of acquiring vessels with minimal or no residual value risk at the expiration of their initial charter, as was the case with M/V Jonathan P. The present charter is expected to contribute about US$4 million of EBITDA for the minimum contracted period and increase our remaining 2024 charter coverage to about 96%; it also increases our charter coverage for 2025 to about 52%.”