Diana Shipping Inc. Announces Direct Continuation of Time Charter Contract for m/v Atalandi and a New Time Charter Contract for m/v Leto

Rhea-AI Summary

Diana Shipping Inc. (NYSE: DSX) announced two significant time charter agreements for its dry bulk vessels. The m/v Atalandi's contract with Aquavita International S.A. will generate a gross charter rate of US$13,250 per day until May 5, 2024, while the m/v Leto will have a contract with Cargill International S.A. at US$14,500 per day until April 30, 2024. These agreements are expected to yield approximately US$10.68 million in gross revenue for the minimum duration. Following the sale of the m/v Aliki, Diana Shipping's fleet will consist of 42 vessels with a combined carrying capacity of 4.9 million dwt.

Positive

• Secured time charter contracts for Atalandi and Leto, ensuring steady revenue streams.
• Expected gross revenue of approximately US$10.68 million from the new charter agreements.
• Expansion of fleet to 42 vessels post-sale of m/v Aliki, indicating stability.

Negative

• None.

ATHENS, Greece, Jan. 26, 2023 (GLOBE NEWSWIRE) -- Diana Shipping Inc. (NYSE: DSX), (the “Company”), a global shipping company specializing in the ownership and bareboat charter-in of dry bulk vessels, today announced that, through a separate wholly-owned subsidiary, it has extended the time charter contract with Aquavita International S.A., for one of its Ice Class Panamax dry bulk vessels, the m/v Atalandi. The gross charter rate is US$13,250 per day, minus a 4.75% commission paid to third parties, for a period until minimum March 5, 2024 up to maximum May 5, 2024. The new charter period is expected to commence on February 15, 2023.

The “Atalandi” is a 77,529 dwt Ice Class Panamax dry bulk vessel built in 2014.

The Company also announced that, through a separate wholly-owned subsidiary, it has entered into a time charter contract with Cargill International S.A., Geneva, for one of its Panamax dry bulk vessels, the m/v Leto. The gross charter rate is US$14,500 per day, minus a 4.75% commission paid to third parties, for a period until minimum March 1, 2024 up to maximum April 30, 2024. The charter is expected to commence by the end of January of 2023.

The “Leto” is a 81,297 dwt Panamax dry bulk vessel built in 2010.

The employment extension of “Atalandi” as well as the employment of “Leto” are anticipated to generate approximately US$10.68 million of gross revenue for the minimum scheduled period of the time charters.

Upon the completion of the previously announced sale of m/v Aliki and the expected delivery of 1 Ultramax dry bulk vessel, Diana Shipping Inc.’s fleet will consist of 42 dry bulk vessels (4 Newcastlemax, 10 Capesize, 5 Post-Panamax, 6 Kamsarmax, 8 Panamax and 9 Ultramax). As of today, the combined carrying capacity of the Company’s fleet, excluding the 1 Ultramax dry bulk vessel not yet delivered and including the m/v Aliki, is approximately 4.9 million dwt with a weighted average age of 10.28 years. A table describing the current Diana Shipping Inc. fleet can be found on the Company’s website, www.dianashippinginc.com. Information contained on the Company’s website does not constitute a part of this press release.

About the Company

Diana Shipping Inc. is a global provider of shipping transportation services through its ownership and bareboat charter-in of dry bulk vessels. The Company’s vessels are employed primarily on short to medium-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.

Cautionary Statement Regarding Forward-Looking Statements

Matters discussed in this press release may constitute forward-looking statements. The Private Securities Litigation Reform Act of 1995 provides safe harbor protections for forward-looking statements in order to encourage companies to provide prospective information about their business. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements, which are other than statements of historical facts.

The Company desires to take advantage of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and is including this cautionary statement in connection with this safe harbor legislation. The words “believe,” “anticipate,” “intends,” “estimate,” “forecast,” “project,” “plan,” “potential,” “may,” “should,” “expect,” “pending” and similar expressions identify forward-looking statements.

The forward-looking statements in this press release are based upon various assumptions, many of which are based, in turn, upon further assumptions, including without limitation, Company management’s examination of historical operating trends, data contained in the Company’s records and other data available from third parties. Although the Company believes that these assumptions were reasonable when made, because these assumptions are inherently subject to significant uncertainties and contingencies that are difficult or impossible to predict and are beyond the Company’s control, the Company cannot assure you that it will achieve or accomplish these expectations, beliefs or projections.

In addition to these important factors, other important factors that, in the Company’s view, could cause actual results to differ materially from those discussed in the forward-looking statements include the severity, magnitude and duration of the COVID-19 pandemic, including impacts of the pandemic and of businesses’ and governments’ responses to the pandemic on our operations, personnel, and on the demand for seaborne transportation of bulk products; the strength of world economies and currencies, general market conditions, including fluctuations in charter rates and vessel values, changes in demand for dry bulk shipping capacity, changes in the Company’s operating expenses, including bunker prices, drydocking and insurance costs, the market for the Company’s vessels, availability of financing and refinancing, changes in governmental rules and regulations or actions taken by regulatory authorities, potential liability from pending or future litigation, general domestic and international political conditions, including risks associated with the continuing conflict between Russia and Ukraine and related sanctions, potential disruption of shipping routes due to accidents or political events, vessel breakdowns and instances of off-hires and other factors. Please see the Company’s filings with the U.S. Securities and Exchange Commission for a more complete discussion of these and other risks and uncertainties. The Company undertakes no obligation to revise or update any forward-looking statement, or to make any other forward-looking statements, whether as a result of new information, future events or otherwise.

FAQ

What are the details of the new time charter agreements for DSX?

Diana Shipping has secured time charters for m/v Atalandi at US$13,250/day until May 5, 2024, and m/v Leto at US$14,500/day until April 30, 2024.

How much revenue is expected from the new charters announced by Diana Shipping?

The new charters are anticipated to generate approximately US$10.68 million in gross revenue.

What is the current fleet size of Diana Shipping Inc.?

Diana Shipping's fleet will consist of 42 dry bulk vessels following the completion of the sale of m/v Aliki.

What is the expected revenue duration for the m/v Atalandi's charter?

The charter for m/v Atalandi is expected to run from February 15, 2023, until May 5, 2024.