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Gaslog Ltd. Announces The Charter Of Hull 2801 To Total For Seven Years

Time：2016-07-12 Browse：83 Author：RISINGSUN
GasLog Ltd., an international owner, operator and manager of liquefied natural gas (“LNG”) carriers, today announces that it has signed a time charter party with Total Gas & Power Chartering Limited (“Total”) to charter “Hull 2801” for a period of seven years. Hull 2801 was GasLog’s only newbuild vessel without a multi-year contract. The vessel is currently under construction at Hyundai Heavy Industries in South Korea and is due to be delivered in 2018.

Total will charter the vessel from GasLog for a period of seven years, commencing in mid-2018 at a date to be finalized ahead of the commencement of the charter. A further option period of three years has been granted at the charterer’s option.

Following the successful charter of this vessel, all of GasLog’s six remaining newbuild vessels have firm, long-term charters of between 7 and 10 years.

The daily charter rate is in line with GasLog’s average long-term charter rate and the gross contracted revenue from the contract is approximately $190 million over the seven-year firm period.

GasLog Partners LP (“GasLog Partners”, NYSE: GLOP) has the right to acquire Hull 2801 pursuant to the omnibus agreement between GasLog and GasLog Partners. Securing a seven-year charter on this vessel extends GasLog Partners’ dropdown pipeline of future vessels from twelve to thirteen.

Paul Wogan, Chief Executive Officer of GasLog Ltd., commented, “I am delighted to place our open newbuild on charter with Total for seven years. Total is both a leading and growing player in the global LNG industry and this meets our objective of broadening GasLog’s long-term customer base.

The charter rate is consistent with long-term industry averages, demonstrating the resilience of long term charter rates against the volatility of the short term market. The contracted EBITDA from this vessel means that GasLog has over $180 million of annualized in-built EBITDA from its eight newbuilds, two of which have already been delivered this year.”