KNOT Offshore Partners LP (KNOT) has announced an agreement with Brazil Shipping I Limited, an affiliate of BG Group (BG) for the time charter of the vessel Windsor Knutsen.
The hire rate for the initial term is in line with the rate in the existing charter with BG. The charter has an initial term of two years. BG has options to extend the term of the charter for three additional one-year periods. The charter will commence in or around the fourth quarter of 2015.
If all three extension options are exercised, the Windsor Knutsen will operate for BG until the end of 2020. The shuttle tanker will operate in Brazil.
BG has recently notified KNOT that the Windsor Knutsen will be redelivered under its existing charter at the end of July 2014. The process of reemploying the vessel prior to the commencement of its new charter with BG is ongoing.
KNOT owns, operates and acquires shuttle tankers under long-term charters in the offshore oil production regions of the North Sea and Brazil.