Flex LNG announce time constitution extensions with Cheniere

Underneath the settlement, CMI early declares the unique 1+1-year elective intervals for all of the three vessels. Moreover, Flex LNG and CMI have agreed to an extension of the present time constitution agreements for Flex Endeavour and Flex Vigilant. The brand new interval is for as much as 1800 days (extra roughly 5 years) for each Flex Endeavour and Flex Vigilant.

The minimal agency extension interval for Flex Endeavour is 1300 days from 1Q27 to 3Q30. As well as, CMI has a 500-days extension choice to be declarable in 2Q24 for the interval 3Q30 to 1Q32. Within the occasion this 500-days possibility is asserted, CMI may also have the choice to increase Flex Endeavour for an extra one-year interval from 1Q32 to 1Q33.

The minimal agency extension interval for Flex Vigilant is 1600 days from 2Q26 to 4Q30. As well as, CMI has a 200-days extension choice to be declarable in 3Q23 for the interval 3Q30 to 2Q31. Within the occasion this 200-days possibility is asserted, CMI may also have the choice to additional lengthen Flex Vigilant for a two-year interval from 2Q31 to 2Q33.

The Flex Ranger will thus be redelivered to Flex LNG within the interval between March or April 2027 after finishing her unique 5.5-year time constitution with CMI.

Øystein Kalleklev, CEO of Flex LNG Administration AS, commented: “We’re happy to announce extension of one other three ships, this time with CMI which is a serious buyer of Flex LNG which we share an excellent working relationship with. At this time, we have now 5 ships on constitution with CMI as we this yr additionally delivered Flex Volunteer and lately Flex Aurora on time charters to them.

“What we additionally admire is that we as soon as once more are saying extension of ships with an current first-class charterer which clearly demonstrates the attractiveness of not solely our fuel-efficient LNG carriers, but additionally the excessive service degree of professionalism of all the organisation from seafarers to the folks onshore.

“With this settlement, CMI will proceed to constitution these three ships for an combination interval of as much as 25 years with a minimal interval of round 20 years in combination. As well as, there’s about 6.5 years of minimal backlog for Flex Volunteer and Flex Aurora with CMI with an extra 4 years of elective backlog for these two ships. Along with CMI we are going to thus guarantee protected and low emission transportation of LNG to a gasoline starved world.

“On the identical time, we’re additional growing earnings visibility and our minimal contractual backlog. Following this settlement our minimal contractual backlog is about 63 years or about 5 years on common per ship. As a part of the settlement, we even have a agency redelivery slot for the Flex Ranger in early 2027, which is then our first absolutely open ship. This implies we will market Flex Ranger for brand new enterprise alternatives as this ship has an earlier redelivery than the supply slots that yards right this moment can provide for a newbuilding.”

Corey Grindal, EVP, Worldwide Buying and selling, Cheniere Vitality, Inc, added: “We’re happy to increase these three charters with Flex LNG Ltd and to additional construct upon the robust relationship between our two firms. This extension will assist us to proceed to securely meet rising international demand for the cleaner, dependable power supplied by LNG. As one the biggest producers of LNG worldwide, Cheniere is ideally positioned to collaborate with companions throughout the LNG worth chain to enhance total emissions within the trade and advance the worldwide transition to a lower-carbon future. These massive Flex LNG vessels are a few of the most effective accessible available on the market and align with our efforts to proceed to decrease total fleet emissions.”

Learn the article on-line at: https://www.lngindustry.com/lng-shipping/25112022/flex-lng-announce-time-charter-extensions-with-cheniere/