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Diana Shipping Inc. Announces Time Charter Contract for m/v Semirio With SwissMarine

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Diana Shipping Inc. (NYSE: DSX) announced a new time charter contract for its Capesize vessel, the m/v Semirio, with SwissMarine Pte Ltd. for a gross charter rate of US$13,500 per day. The contract, effective January 1, 2021, is set to last until October 5 to December 20, 2021. This agreement is expected to generate approximately US$3.7 million in gross revenue for the minimum period. Following the sale of three vessels, the company's fleet will consist of 37 vessels, totaling around 5 million dwt and a weighted average age of 10.22 years.

Positive
  • New time charter contract increases revenue potential by approximately $3.7 million.
  • Expansion of operational fleet to 37 vessels enhances market presence.
Negative
  • Charter duration uncertainty could lead to financial instability if market conditions change.

ATHENS, Greece, Dec. 24, 2020 (GLOBE NEWSWIRE) -- Diana Shipping Inc. (NYSE: DSX), (the “Company”), a global shipping company specializing in the ownership of dry bulk vessels, today announced that, through a separate wholly-owned subsidiary, it has entered into a time charter contract with SwissMarine Pte Ltd., Singapore, for one of its Capesize dry bulk vessels, the m/v Semirio. The gross charter rate is US$13,500 per day, minus a 5% commission paid to third parties, for a period until minimum October 5, 2021 up to maximum December 20, 2021. The charter is expected to commence on January 1, 2021. 

The “Semirio” is a 174,261 dwt Capesize dry bulk vessel built in 2007.

This employment is anticipated to generate approximately US$3.7 million of gross revenue for the minimum scheduled period of the time charter.

Upon completion of the previously announced sales of two Panamax dry bulk vessels, the m/v Coronis and the m/v Oceanis, and one Capesize dry bulk vessel, the m/v Sideris GS, Diana Shipping Inc.’s fleet will consist of 37 dry bulk vessels (4 Newcastlemax, 12 Capesize, 5 Post-Panamax, 5 Kamsarmax and 11 Panamax). As of today, the combined carrying capacity of the Company’s fleet, including the m/v Coronis, the m/v Oceanis and the m/v Sideris GS  is approximately 5.0 million dwt with a weighted average age of 10.22 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 of dry bulk vessels. The Company’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.

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, 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 is the significance of the new charter contract for Diana Shipping (DSX)?

The new charter contract is expected to generate approximately $3.7 million in gross revenue, boosting Diana Shipping's financial outlook.

When does the charter for the m/v Semirio begin and end?

The charter is set to commence on January 1, 2021, and will last until a minimum of October 5, 2021, or a maximum of December 20, 2021.

How many vessels does Diana Shipping currently operate?

Following recent sales, Diana Shipping's fleet will consist of 37 dry bulk vessels.

What is the daily gross charter rate for the m/v Semirio?

The daily gross charter rate for the m/v Semirio is $13,500, minus a 5% commission.

What is the carrying capacity of Diana Shipping's fleet?

The combined carrying capacity of Diana Shipping's fleet is approximately 5 million dwt.

Diana Shipping, Inc.

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