Diana Shipping Secures Time Charter for m/v Medusa with Cargill
Diana Shipping Secures Time Charter for m/v Medusa
Diana Shipping Inc. (NYSE: DSX), a prominent name in the global shipping sector, has entered into a time charter agreement for one of its Kamsarmax dry bulk vessels, the m/v Medusa, with Cargill International SA. This contract signifies not only a boost in Diana Shipping's fleet utilization but also promises substantial revenue stability going forward.
Details of the Time Charter Contract
Charter Rate and Duration
The gross charter rate set for this deal is US$13,000 per day. However, a 4.75% commission is assigned to third parties involved in the transaction. The charter is structured to last from March 15, 2025, through a minimum ending date of May 15, 2026, potentially extending to a maximum of July 15, 2026. This duration indicates a commitment from Cargill to utilize the Medusa efficiently over an extended period.
Revenue Projections
According to estimates, the m/v Medusa is expected to generate around US$5.46 million in gross revenue during the minimum period of the time charter. This transaction illustrates Diana Shipping's ability to engage in profitable operations, reflecting its strategic initiatives in the dry bulk shipping market.
About the m/v Medusa
The vessel Medusa—an 82,194 deadweight tonnage Kamsarmax dry bulk carrier—was built in 2010 and represents a critical asset in Diana Shipping's fleet. With ongoing operations focusing on time charters, such vessels are instrumental in transporting various commodities, including grains, coal, and iron ore.
Diana Shipping's Fleet Expansion Plans
Current Fleet Composition
The completion of this charter comes amidst Diana Shipping's strategic moves regarding its fleet. Following the anticipated sale of the m/v Alcmene, the company's fleet will comprise 37 dry bulk vessels, including various sizes such as Newcastlemax, Capesize, Post-Panamax, Kamsarmax, Panamax, and Ultramax vessels. With these vessels, the company aims to maintain a competitive edge in the shipping industry.
Future Deliveries
Looking ahead, Diana Shipping expects to take delivery of two new methanol dual-fuel Kamsarmax dry bulk vessels by 2027 and 2028. These additions reflect the company's commitment to modernizing its fleet and adapting to new environmental standards within the industry.
Company Overview
Diana Shipping Inc. delivers global transportation services specializing in the ownership and charter-in of dry bulk vessels. The company's focus is primarily on short to medium-term time charters, targeting various dry bulk cargoes that traverse significant shipping routes worldwide.
Corporate Communication
For any inquiries regarding Diana Shipping, you can reach out to:
Corporate Contact: Ioannis Zafirakis Director, Co-Chief Financial Officer, Chief Strategy Officer, Treasurer and Secretary Telephone: + 30-210-9470-100 Email: izafirakis@dianashippinginc.com Website: www.dianashippinginc.com X: @Dianaship Investor and Media Relations: Edward Nebb Comm-Counsellors, LLC Telephone: + 1-203-972-8350 Email: enebb@optonline.net
Frequently Asked Questions
What is the charter rate for the m/v Medusa?
The gross charter rate for the m/v Medusa is US$13,000 per day, minus a commission of 4.75% paid to third parties.
When is the charter expected to commence?
The charter is expected to commence on March 15, 2025.
What is Diana Shipping's fleet size?
After the planned sale of the m/v Alcmene, Diana Shipping's fleet will consist of 37 dry bulk vessels.
What are the projected revenues from the m/v Medusa?
The m/v Medusa is anticipated to generate around US$5.46 million in gross revenue for the minimum scheduled charter period.
What future expansions does Diana Shipping plan?
Diana Shipping plans to take delivery of two new methanol dual-fuel Kamsarmax vessels in the coming years, enhancing its operational capabilities.
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