Tsakos Energy Navigation Limited (TEN) announced an extension of the time-charter contract for the Suezmax Silia T with Navion, a Norwegian shipping concern. The one-year extension begins in September of 2003 upon the expiration of the initial time charter agreement
, which was signed in July 2002. The renewal is at the maximum rate negotiated for the one-year extension option granted to the charterers under the original agreement. Navion has continuously employed the Silia T since its delivery.
"TEN is focused on expanding our strong relationships with companies such as Navion by providing ships that meet our clients' individual requirements and providing superior customer service and support directly to major oil producers," stated Nikolas P. Tsakos, President and CEO of TEN. "And, as we announced earlier this month, we have ordered two additional suezmax newbuildings for our young and modern fleet to meet the changing demands of oil producers worldwide." Tsakos continued, "The rates that we have secured for this vessel are indicative of the strong period employment market that we have observed over the last several months. The renewal of this contract shows that TEN's vessels continually meet the needs of our clients while allowing us to maintain a balanced fleet employment profile of spot voyages and medium to long-term charters."
Overall TEN has 17 vessels operating with medium or long-term employment contracts or contracts accounting for 70% of estimated operating days for the remainder of 2003 and 50% for 2004, which should provide a sustainable flow of revenue and profits and positively impact earnings and enhance shareholder value.