Dynagas LNG Partners’ profit slides
Dynagas LNG Partners, a partnership formed by Dynagas, reported adjusted net income of $12.9 million for the first quarter, 24.6 percent down on the corresponding quarter in 2017.
Tony Lauritzen, the partnership’s CEO said the earning for the quarter were withing the expectations.
“Our earnings for the first quarter of 2017 were, as expected, below those of the first quarter of 2016 following our decision to reduce the charter hire on two vessels, the Yenisei River and the Lena River, in the short to medium-term, with effect from November 2016, in exchange for a long-term charter on the Clean Energy with a term from July 2018 through March 2026,” he said.
The Partnership’s fleet utilization was at 99 percent during the period with a daily gross hire of commissions of approximately $76,700 per day per vessel, compared to approximately $81,300 per day per vessel in the same period of 2016.
“With our fleet 86 percent contracted through 2017 and 75 percent contracted through each of 2018 and 2019, and with an estimated fleet-wide average remaining contract duration of 10.5 years, believe we have significant cash flow visibility,” Lauritzen said.
He said the company’s intent is to seek additional contract coverage, particularly in 2017 and 2018.