Himalaya Shipping has announced it has entered into a time charter agreement for one vessel with a major Japanese counterpart. The vessel will commence a two year time charter upon delivery from New Times Shipyard in March/April 2023. The parties have agreed a fixed time charter of US$30 000 per day, gross, throughout the period.
Herman Billung, contracted CEO of Himalaya Shipping, said:
“We are excited to be able to fix a ship significantly above our cash break-even, even with the 2023/2024 capesize FFA rates being at US$14 000/day. The latest charter is another proof of the superior commercial value of the Himalaya Shipping’s low emission fleet meeting all expected regulations in the foreseeable future. Himalaya Shipping have, in addition to this fixed charter, already chartered out six vessels on index-linked charters. Our simple structure, with mostly index-linked charters to achieve market high premium to the Baltic 5TC index , low G&A cost and a financing with seven year fixed bareboat rates puts us in a good position to deliver solid returns to our shareholders.”