TEN Rides the Tanker Recovery Wave

Greek tanker shipping major Tsakos Energy Navigation (TEN) has secured an 18-month long charter with profit sharing provisions for a Suezmax tanker with an unnamed oil concern.

TEN said that the deal increases the number of vessels fixed on secured revenue contracts since the beginning of the year to 24, the majority of which on rates with upside optionality.

These charters have an average duration of two years and are expected to add a minimum of USD 250 million to fleet revenues.

“The recent strength in rates across all tanker segments allows TEN to continue its tested long-term industrial employment approach of cash flow visibility and rate flexibility,” George Saroglou, COO of TEN commented.

“With the first nine months of 2018 at historically low levels, the fourth quarter surge marks the end of a difficult period and signals 2019 as the year of positive and sustainable growth both in rates and asset prices,” Saroglou concluded.

TEN’s fleet currently consists of 66 double-hull vessels, comprising a mix of crude tankers, product tankers and LNG carriers, including two Aframax tankers under construction, totalling 7.5 million dwt.

Of these, 46 vessels trade in crude, 15 in products, three are shuttle tankers and two are LNG carriers.