Diana Shipping announces a reduction of the contract price to the shipbuilding contracts of two newbuildings
Diana Shipping Inc., a global shipping company specializing in the ownership of dry bulk vessels, through two separate wholly-owned subsidiaries, has signed two addenda with China Shipbuilding Trading Company, Limited and Jiangnan Shipyard (Group) Co., Ltd., among other things, to reduce the contract price and to change the delivery date of the two Newcastlemax dry bulk carriers, Hull No. H2548 (to be named “San Francisco”) and Hull No. H2549 (to be named “Newport News”). As previously announced, the contract price was US$48.7 million per vessel and now the Seller has agreed to reduce this price by US$1.0 million for each of the abovementioned vessels. The delivery date of the two vessels is now expected to be on January 4, 2017.
Additionally, Diana Shipping has entered into a time charter contract with SwissMarine Services S.A., Geneva, for the “Newport News”, which is currently under construction, for a period of minimum twenty-two (22) months to maximum twenty-six (26) months.
The daily gross charter rate will be 24% above the BCI_2014 average of the five pre-determined time charter routes as published by the Baltic Exchange minus a 5% commission paid to third parties. The initial charter payment will be made on delivery of the vessel to the charterers based on the average of the five pre-determined time charter routes for the 15 days preceding the vessel's delivery date. At the end of the time charter period, there will be a final settlement to reflect the average daily rate of the five pre-determined time charter routes for the actual duration of the charter. The charter is expected to commence on January 9, 2017.
As previously announced, the m/v Newport News is a newbuilding Newcastlemax dry bulk vessel of approximately 208,500 dwt.
About Diana Shipping
Diana Shipping Inc. is a global provider of shipping transportation services through its ownership of dry bulk vessels. Diana Shipping’s vessels are employed primarily on medium to long-term time charters and transport a range of dry bulk cargoes, including such commodities as iron ore, coal, grain and other materials along worldwide shipping routes.
