Greece: Paragon Shipping Enters into Time Charter Agreements for Two Panamax Vessels

Paragon Shipping Inc., a global shipping transportation company specializing in drybulk cargoes, announced that it has entered into fixed rate time charter agreements for two of its Panamax Vessels, M/V Kind Seas, and M/V Golden Seas with Mansel LTD, an entity fully owned and controlled by Vitol SA Geneva.

The M/V Kind Seas, a 1999 build, 72,493 dwt Panamax bulkcarrier has been fixed for a period of 13 to 15 months at a gross daily rate of $12,250. In addition, the charterers have an option to extend the charter period for an additional 11 to 13 months at a gross daily rate of $13,750 plus 50% profit sharing based on the Baltic Panamax Average Time Charter Routes.

The M/V Golden Seas, a 2006 build, 74,475 dwt Panamax bulkcarrier, has been fixed for a period of 22 to 25 months at a gross daily rate of $12,250. Furthermore, the charterers have an option to extend the charter period for an additional 11 to 13 months at a gross daily rate of $13,000 plus 50% profit sharing based on the Baltic Panamax Average Time Charter Routes.

Commenting on these developments, Michael Bodouroglou, Chairman and Chief Executive Officer of Paragon Shipping, stated, “We are pleased to announce these new chartering agreements with the Vitol Group, a respected charterer in the industry. As a result, our contracted fixed revenue days have now increased to 76% from 59% in 2012 and to 52% from 38% in 2013, which increases our cash flow visibility during these turbulent market conditions. These two new time charter contracts are anticipated to contribute approximately $12.8 million of gross revenues during the minimum scheduled periods of the charters.”

About Paragon Shipping Inc.

Paragon Shipping Inc. (the Company) is an Athens, Greece-based international shipping company specializing in the transportation of drybulk cargoes. The Company’s current fleet consists of ten drybulk vessels with a total carrying capacity of 704,772 dwt. In addition, Paragon entered into contracts for the construction of four Handysize drybulk carriers that are scheduled to be delivered in 2012 and as a result will increase the fleet size to 14 dry bulk vessels with a dwt capacity of 853,572.

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Source: Paragon Shipping, November 8, 2011;