Dorian LPG Ltd. Announces Delivery of Dual-Fuel VLGC Captain Markos under Japanese Financing Arrangement
Dorian LPG Ltd. (NYSE: LPG) announced the delivery of its Dual-Fuel LPG Carrier, Captain Markos, on March 31, 2023. The vessel was received under a 13-year bareboat charter from Kawasaki Heavy Industries and will operate in the Helios LPG Pool alongside Phoenix Tankers. This marks the third of four dual-fuel VLGCs expected to be delivered in 2023, enhancing the company's commitment to safer and more efficient transportation.
The transaction involved a $25 million upfront payment and a $56 million financing arrangement, with specific repayment terms and options for early buyout starting March 31, 2028.
- Delivery of the Dual-Fuel LPG Carrier Captain Markos underlines Dorian LPG's expansion strategy.
- The vessel will enhance the company's operational efficiency with improved economics and a better carbon footprint.
- The financing structure of $56 million with favorable terms supports financial stability.
- None.
STAMFORD, Conn., March 31, 2023 /PRNewswire/ -- Dorian LPG Ltd. (NYSE: LPG) (the "Company" or "Dorian LPG"), one of the world's largest owners and operators of modern and ECO very large gas carriers ("VLGCs"), is pleased to announce that it took delivery today under a 13-year bareboat charter of its Dual-Fuel LPG Carrier, Captain Markos, which was delivered from Kawasaki Heavy Industries to its Japanese owner on the same date. She will trade in the Helios LPG Pool which we operate jointly with Phoenix Tankers Pte. Ltd., a wholly-owned subsidiary of Mitsui OSK Lines Ltd.
John Hadjipateras, Chairman, President and Chief Executive Officer of Dorian LPG Ltd. said, "We are very pleased to welcome Captain Markos, which will be our first technically managed dual-fuel LPG VLGC. She is the third of four Dual-Fuel VLGCs that are scheduled for delivery to the Company during calendar 2023, each with improved economics and carbon footprints, consistent with our mission to provide safe, reliable, clean, and trouble-free transportation. We thank our Japanese partners for their role in this transaction, and we wish our seafarers fair winds and smooth seas."
Similar to our previous Japanese financings, this transaction is treated as a financing transaction and Captain Markos will be recorded as an asset on our balance sheet. Prior to the delivery of the vessel, we paid
Forward-Looking & Other Cautionary Statements
This press release contains "forward-looking statements." Statements that are predictive in nature, that depend upon or refer to future events or conditions, or that include words such as "expects," "anticipates," "intends," "plans," "believes," "estimates," "projects," "forecasts," "may," "will," "should" and similar expressions are forward-looking statements. These statements are not historical facts but instead represent only the Company's current expectations and observations regarding future results, many of which, by their nature are inherently uncertain and outside of the Company's control. Where the Company expresses an expectation or belief as to future events or results, such expectation or belief is expressed in good faith and believed to have a reasonable basis. However, the Company's forward-looking statements are subject to risks, uncertainties, and other factors, which could cause actual results to differ materially from future results expressed, projected, or implied by those forward-looking statements. The Company's actual results may differ, possibly materially, from those anticipated in these forward-looking statements as a result of certain factors, including changes in the Company's financial resources and operational capabilities and as a result of certain other factors listed from time to time in the Company's filings with the U.S. Securities and Exchange Commission. For more information about risks and uncertainties associated with Dorian LPG's business, please refer to the "Management's Discussion and Analysis of Financial Condition and Results of Operations" and "Risk Factors" sections of Dorian LPG's SEC filings, including, but not limited to, its annual report on Form 10-K and quarterly reports on Form 10-Q. The Company does not assume any obligation to update the information contained in this press release.
About Dorian LPG Ltd.
Dorian LPG is a liquefied petroleum gas shipping company and a leading owner and operator of modern VLGCs. Dorian LPG's fleet currently consists of twenty-five modern VLGCs, including three dual-fuel LPG vessels. Dorian LPG has offices in Stamford, Connecticut, USA; Copenhagen, Denmark; and Athens, Greece.
Visit our website at www.dorianlpg.com
For further information:
Dorian LPG Ltd.
Ted Young - Chief Financial Officer
(203) 674-9900
IR@dorianlpg.com
Source: Dorian LPG Ltd.
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SOURCE Dorian LPG Ltd.
FAQ
What is the significance of the delivery of <i>Captain Markos</i> for Dorian LPG?
What financing arrangement did Dorian LPG enter for the <i>Captain Markos</i> vessel?
How many dual-fuel VLGCs is Dorian LPG expecting to receive in 2023?
What financial terms are associated with the financing of <i>Captain Markos</i>?
When can Dorian LPG undertake an early buyout of <i>Captain Markos</i>?
