Greece’s Performance Shipping has entered into a time charter contract with Aramco’s trading arm, Aramco Trading, for one of its aframax tankers.
The deal will see the 2011-built, 104,588 dwt tanker Briolette work for Aramco for two years. The charterer has the option to shorten or extend the deal by 30 days.
The deal began on June 2 in direct continuation of the previous charter. The vessel will work on a gross charter rate of $41,000 per day and is expected to generate around $28.7m in gross revenue for the minimum duration of the charter.
This new two-year contract has a higher daily gross charter rate than the previous one by $8,500 and is the third such contract that the Nasdaq-listed tanker owner has secured with Aramco.
The company now has a contract backlog of $228.1m, including the three five-year deals for its aframax LR2 newbuildings.
Two of the seven vessels in the fleet trade in the spot market through participation in pools, while the remaining five are on time charters, with one expiring by the end of August, and two in the last quarter of 2024.
“If current market conditions are sustained, we anticipate employing our vessels with charters expiring in 2024 at higher rates,” said Andreas Michalopoulos, Performance Shipping CEO.