The SFL Group, owned by Norwegian shipping magnate John Fredriksen, has extended its charter agreements for six container ships with Hapag-Lloyd by a further seven years. The agreement increases the shipowner’s firm charter backlog by around $750 million.
The vessels in question are six container ships, each with a capacity of 15,400 TEU. Following the extensions, the ships are now chartered at fixed rates until 2035 and 2036. According to SFL, the agreed terms reflect the current strength of the container ship market.
The six vessels are the 15,400-TEU container ships “Vancouver Express”, “Oakland Express”, “Houston Express”, “Atlanta Express”, “Baltimore Express” and “Savannah Express”. The vessels are already in service for Hapag-Lloyd and, following the extension now agreed, will remain chartered to the Hamburg-based liner shipping company until 2035 and 2036 respectively.
The new time charter contracts increase SFL’s firm charter backlog by around $750 million to a total of approximately $4.6 billion. The company has thus already secured more than $1 billion in additional charter volume this year.
“We are delighted to further strengthen our long-term relationship with Hapag-Lloyd,” said Ole B. Hjertaker, CEO of SFL Management. The extensions underline the value of the company’s own operational platform and its long-term cooperation with major charterers.
SFL has a diversified portfolio comprising tankers, bulk carriers, container ships, car carriers and offshore drilling rigs. The company has been listed on the New York Stock Exchange since 2004.
