Nordic American Tankers Ltd (NYSE: NAT) – Another solid contract concluded
Nordic American Tankers (NAT) has secured a new contract for one of its suezmax vessels, complementing an earlier contract from July 19, 2021. The new contract lasts a minimum of six months at a rate of approximately $17,000 per day, significantly above current spot market rates. Operating costs are estimated at $8,000 per day per ship. With a fleet of 25 suezmax vessels and two newbuilds scheduled for delivery in 2022, NAT is positioned for growth. This contract signals confidence in NAT's fleet quality and enhances market sentiment for future rate stability.
- Secured a new contract at $17,000 per day, above market rates.
- Contract duration of at least six months indicates revenue stability.
- Positive market sentiment as the contract reflects confidence in NAT's fleet quality.
- Expansion plans with two new vessels to be delivered in 2022.
- None.
Thursday, August 26, 2021
Dear Shareholders and Investors and other contacts,
In our press release of July 19, 2021, we informed you about the contract for one of the NAT suezmax vessel. The duration of the contract would be minimum 6 months or slightly longer.
Last night, August 25, 2021, we concluded another contract almost identical with the one of July 19, 2021.
The contract rate is around
The operating costs for our ships are about USD 8,000 per day per ship.
The rate levels concluded in the last two contracts are significantly higher than market reports for the spot market suggest.
We also take this last transaction as a vote of confidence for the quality of the NAT fleet. It is a promising signal for the market going forward.
Rates for our suezmax ships may change very quickly.
NAT has 25 suezmax vessels, including two newbuildings, to be delivered in 2022. NAT is on an expansionary path going forward.
Sincerely,
Herbjorn Hansson
Founder, Chairman & CEO
Nordic American Tankers Ltd. www.nat.bm
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,” “intend,” “estimate,” “forecast,” “project,” “plan,” “potential,” “will,” “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, our management’s examination of historical operating trends, data contained in our records and other data available from third parties. Although we believe that these assumptions were reasonable when made, because these assumptions are inherently subject to significant uncertainties and contingencies which are difficult or impossible to predict and are beyond our control, we cannot assure you that we will achieve or accomplish these expectations, beliefs or projections. We undertake no obligation to update any forward-looking statement, whether as a result of new information, future events or otherwise.
Important factors that, in our view, could cause actual results to differ materially from those discussed in the forward-looking statements include the strength of world economies and currencies, general market conditions, including fluctuations in charter rates and vessel values, changes in demand in the tanker market, as a result of changes in OPEC’s petroleum production levels and worldwide oil consumption and storage, changes in our operating expenses, including bunker prices, drydocking and insurance costs, the market for our 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, vessels breakdowns and instances of off-hires and other important factors described from time to time in the reports filed by the Company with the Securities and Exchange Commission, including the prospectus and related prospectus supplement, our Annual Report on Form 20-F, and our reports on Form 6-K.
NAT is a New York listed company based in Bermuda.
Contacts:
Gary J. Wolfe
Seward & Kissel LLP
New York, USA
Tel: +1 212 574 1223
Bjørn Giæver, CFO
Nordic American Tankers Ltd
Tel: +1 888 755 8391 or +47 91 35 00 91
Herbjørn Hansson, Founder, Chairman & CEO
Nordic American Tankers Ltd
Tel: +1 866 805 9504 or +47 90 14 62 91
FAQ
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