Flex LNG - Announce 24 years of new contract backlog for three LNG carriers
June 23, 2022
Hamilton, Bermuda.
Flex LNG agrees 24 years of backlog for three LNG carriers
Flex LNG, Ltd. ("Flex LNG" or the "Company") (NYSE:FLNG) is pleased to announce new Time Charter Agreements for Flex Rainbow, Flex Enterprise and Flex Amber which are the three open positions we have been marketing.
Flex LNG and the Charterer of Flex Enterprise and Flex Amber, a supermajor, have agreed to replace the existing variable Time Charters which are due October 2023 and March 2024 with new fixed hire Time Charters. The duration of each of the new Time Charters is seven years. The commencement of the new Time Charters will be in the third quarter of 2022 with expiry thus in third quarter of 2029.
Additionally, Flex LNG and the Charterer of Flex Rainbow, a large global trading company, have agreed a new ten-year fixed rate Time Charter for Flex Rainbow which will commence in direct continuation of the existing Time Charter which expires in January 2023. The new Time Charter will thus expire in early 2033.
The new Time Charter Agreements remain subject to final documentation and customary closing conditions.
Øystein Kalleklev, CEO of Flex LNG Management AS commented:
"We are today happy to announce that we have agreed three Time Charters for Flex Rainbow, Flex Enterprise and Flex Amber. Altogether this adds about $750 million of fixed backlog, reflecting the strong period market today.
Not only are we agreeing long term employment for these three ships, but we are also pleased that we are doing so with the existing charterers which have been repeating customers. This demonstrates the attractiveness of not only of the ships, but also the high service level of professionalism of the entire organization from seafarers to the people onshore.
With these new contracts we have substantially increased our earnings backlog. After these new contracts, our firm minimum backlog is 54 years with another 28 years of possible extension options. The high degree of earnings backlog will further strengthen our ability to continue to pay attractive dividends, making Flex LNG an attractive investment and a place to work at."
For further information, please contact:
Øystein Kalleklev
Chief Executive Officer
Flex LNG Management AS
Telephone: +47 23 11 40 00
Email: [email protected]
About FLEX LNG
Flex LNG is a shipping company focused on the growing market for Liquefied Natural Gas (LNG). Our fleet consists of thirteen LNG carriers on the water and all of our vessels are state-of-the-art ships with the latest generation two- stroke propulsion (MEGI and X-DF). These modern ships offer significant improvements in fuel efficiency and thus also carbon footprint compared to the older steam and four-stroke propelled ships. Flex LNG is listed both on the New York Stock Exchange (NYSE) and Oslo Stock Exchange (OSE) under the ticker "FLNG". For more information, go to: www.flexlng.com
This information is subject to the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.
