Diana Shipping Inc. Extends Time Charters for Key Vessels

Diana Shipping Inc. Extends Time Charters for Key Vessels

In a recent announcement, Diana Shipping Inc. (NYSE: DSX), a prominent name in the shipping industry, has confirmed the extension of time charter contracts for two of its valuable vessels. This strategic move showcases the company’s ongoing commitment to maintaining strong relationships in the shipping market.

Details of the Extended Contract for M/V Semirio

The time charter for the Capesize dry bulk vessel, the M/V Semirio, has been extended with Solebay Shipping Cape Company Limited. The charter rate is set at an impressive US$16,650 per day, with a commission of 5% going to third parties. This contract is expected to be effective from February 4, 2025, and will last a minimum until February 15, 2026, with possible extension up to April 15, 2026. Currently, the M/V Semirio is under a previous charter that pays US$14,150 per day, highlighting a significant increase in revenue for this extension.

Specifications of M/V Semirio

The M/V Semirio boasts a deadweight tonnage (dwt) of 174,261 and was built in 2007, proving to be a reliable asset in Diana Shipping’s growing fleet.

Renewal of the Time Charter for M/V DSI Aquila

Furthermore, Diana Shipping Inc. has also renewed the charter agreement for the M/V DSI Aquila with Western Bulk Carriers AS. The new gross charter rate stands at US$12,250 per day, which also incurs a 5% commission. This contract is set to last for a minimum of five months, with options for extension lasting up to seven months, beginning January 23, 2025. The current rate for the M/V DSI Aquila is US$12,500 per day, indicating solidified profitability for the company with this updated agreement.

Overview of M/V DSI Aquila

The M/V DSI Aquila is a 60,309 dwt Ultramax dry bulk vessel constructed in 2015, extending Diana Shipping’s operational capabilities in the important bulk cargo market.

Expected Revenue Impact from Charter Extensions

With these extensions for both the M/V Semirio and M/V DSI Aquila, Diana Shipping anticipates generating approximately US$7.52 million in gross revenue for the agreed minimum charter periods. This influx of revenue will strengthen the company’s financial position and sustain long-term growth prospects.

Diana Shipping Inc. Fleet and Future Plans

The company’s fleet currently includes an impressive 38 dry bulk vessels ranging from Newcastlemax to Ultramax types. Diana Shipping is also preparing to expand its fleet further with the anticipated delivery of two methanol dual fuel Kamsarmax dry bulk vessels scheduled for the latter half of 2027 and the early part of 2028. As of now, the total carrying capacity of the fleet, excluding the newly expected vessels, is about 4.2 million dwt, averaging an age of 11.29 years.

Commitment to Sustainable Shipping

Diana Shipping Inc. remains dedicated to sustainable and efficient shipping practices. By investing in newer vessels that utilize dual fuel capabilities, the company strives to reduce its environmental footprint, aligning with global sustainability goals.

About Diana Shipping Inc.

Diana Shipping Inc. is recognized globally as a provider of shipping transportation services through the ownership and bareboat chartering of dry bulk vessels. Catering to various cargo types, including iron ore, coal, and grain, the company operates primarily on short to medium-term time charters, reflecting its adaptability in a competitive market.

Frequently Asked Questions

What is the purpose of extending contracts for M/V Semirio and M/V DSI Aquila?

The extensions aim to secure increased revenue and enhance operational stability for Diana Shipping Inc.

How much revenue is expected from the extended contracts?

The combined gross revenue from the extensions is anticipated to be approximately US$7.52 million during the minimum charter period.

What types of vessels are included in Diana Shipping's fleet?

Diana Shipping’s fleet comprises various vessel types, including Newcastlemax, Capesize, Post-Panamax, Kamsarmax, Panamax, and Ultramax dry bulk carriers.

What are the specifications of the M/V Semirio?

The M/V Semirio is a Capesize vessel with a deadweight capacity of 174,261 tons, built in 2007.

How does Diana Shipping Inc. contribute to sustainability?

Diana Shipping is committed to sustainability by integrating dual fuel vessels into its fleet, which helps reduce emissions and promote green shipping practices.

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