CoolCo secures multi-year forward time charter deal for its LNG carrier

Cool Company (CoolCo), an owner, operator and manager of LNG carriers, has entered into a new time charter agreement for one of its TFDE vessels.

The multi-year charter with an undisclosed energy major starts early next year, upon redelivery from the vessel’s current charter. It will add backlog through to 2027, CoolCo said.

The company did not reveal additional details about the agreement.

“We are delighted to have secured this attractive time charter, locking in cover at a rate that reflects the continued strength of the LNG carrier market,” said Richard Tyrrell, CEO of CoolCo.

“The forward nature of this contract demonstrates the desire of LNG producers, off-takers, and portfolio players to secure modern tonnage to transport the dramatically increasing volumes of LNG coming online through the middle and latter parts of the decade. With vessel availability coinciding with seasonal peaks for chartering, CoolCo stands to benefit from the ongoing LNG carrier re-pricing cycle. Happy Norwegian Constitution Day to our investors.”

The formation of the shipping company was finalized in 2022 with Eastern Pacific Shipping and Golar LNG as shareholders.

CoolCo owns eight TFDE LNG carriers it acquired from Golar LNG as well as four LNG carriers bought from Quantum Crude Tankers Inc, an affiliate of Eastern Pacific Shipping (EPS).

Earlier this year, the company sold the 2013-built LNG carrier Golar Seal to Norway-based Höegh LNG. Höegh LNG acquired the carrier with 160,000 cbm capacity for $184.3 million.