Flex LNG Secures Charter Extension, Brings total to three (Video)

Hamilton-based Flex LNG shipowner has exercised an option to extend the charter of its 173,400m3 Flex Endeavour, built in 2018.

The shipowner, which has thirteen LNG carriers on the water, exercised an option to extend the firm period of the time charter by 500 days, from the third quarter 2030 to the first quarter of 2032.

As the owner reported on November 23, 2022, in connection with the extension of three ships, the charterer has one further option to extend the time charter period by one additional year to 2033.

Øystein Kalleklev, chief executive of Flex LNG Management, said: “We are glad to share another contract extension, bringing the total to three so far this year and evidencing the fact that our charterers like the service we provide.

“We have so far added about 4.4 years of additional firm backlog while we have been consuming about 3.6 years of backlog, thus putting us at a slight surplus in terms of contract backlog.

“With this extension, our total firm backlog stands at a solid 51 years, which may increase to 69 years in the event charterers are utilizing all their extension options.” 

To remind, the shipowner has built up a significant contract backlog, having 11 of its 13 vessels on long term fixed rate charter contracts and one vessel on variable hire time charter.

Earlier this year, Flex LNG won an extension for the charter of its 173,400 cbm LNG carrier Flex Courageous.

The shipowner received notice that the charterer of Flex Courageous, a supermajor, exercised its first extension option.

The Oslo and New York-listed company said Flex Courageous was fixed on a three-year time charter on November 1, 2021, together with Flex Resolute which was also recently extended by two years until 2027.

The commencement of the time charter for the 2019-built Flex Courageous was February 2022.

In accordance with the charter deal, the charterer has the option to extend the period by two consecutive two year periods.

Following this first option declaration, Flex Courageous will be firm until first quarter of 2027.

The charterer will then have a final option to extend the charter by another two years until 2029.