Greek tanker owner and operator Tsakos Energy Navigation (TEN) has inked charter extensions for four of its Panamax tankers with an undisclosed state oil company.
Tsakos said that the vessels will be employed on an average duration of 22 months per tanker and will collect minimum gross revenues of USD 65 million.
The new contracts are expected to come into force between April and November of 2016, upon expiration of the existing employments of the Panamaxes.
Tsakos believes that the extensions would contribute, on an annualized basis, an additional USD 20 million to the company’s bottom line.
“The extension of these contracts follow our policy to increase TEN’s long-term employment profile as time charter rates have finally started to reflect the strength of the spot market,” Nikolas Tsakos, President and CEO of TEN, said.
Tsakos added that the average contract length for the company’s fleet currently stands at 2.7 years with minimum revenues of USD 1.5 billion.