Norway’s Ocean Yield AS reported on November 19 in its third quarter results the delivery of the first newcastlemax newbuilding with long-term charter to CMB.TECH NV.
Post quarter end, the company took delivery of the newcastlemax newbuilding Mineral Eire, which commenced a 15-year bareboat charter to CMB.TECH NV (CMB.TECH) upon delivery.
Further, the scope of the newcastlemax vessels with long-term charter to CMB. TECH has been finally set to eight vessels.
Meanwhile, the company reported that during the third quarter it had agreed to purchase an indirect economic interest of 34% in France LNG Shipping SAS (FLS).
FLS owns a portfolio of LNG carriers on long-term charters and is 50/50 owned by NYK and Geogas LNG, Ocean Yield said.
Six vessels are currently on the water, with an average age of three years, with further two being delivered in 2024 and 2025, respectively.
Four additional newbuildings are expected to be novated to FLS at or around closing of the transaction, Ocean Yield added, and will be delivered in 2027.
All vessels are employed on long-term charters to tier-one investment grade-rated European energy companies. Average contract duration is 10 years, or 14 years including extension options.
“The transaction adds approximately USD 840 million to Ocean Yield’s EBITDA backlog,” the company Ocean Yield noted in its third quarter report.
All regulatory approvals have now been received and closing of the transaction is expected during December 2024, subject to certain customary conditions.
