Seaspan forward fixes charters for ten boxships

Hong Kong-based containership owner Seaspan Corporation has forward fixed contracts, extending current lease terms for 10 containerships with an undisclosed major liner.

The vessels, representing approximately 100,000 TEU in total, were previously scheduled to have four charters expire in 2022, four charters to expire in 2023 and two charters to expire in 2024.

Now, the ships have been forward fixed through new five-year agreements, beginning at the end of their current charter periods.

The company expects that the charters will generate around $670 million of additional revenue.

Since the beginning of the year, Seaspan has secured forward fixing for 58 vessels, which represent about 50% of its time chartered fleet. About a month ago, the company extended the charter period with COSCO for 17 containerships.

“Seaspan now has no fleet roll-offs in 2021, and a limited number in 2022, 2023, and 2024, which insulates us from future market volatility while continuing to grow long-term cash flow through all market cycles,” Seaspan’s CEO Bing Chen commented.