Quintana Maritime Limited announced that it secured seven Kamsarmaxes and two Panamaxes, which were recently acquired or are set to be acquired from Metrobulk, under its master time charter with Bunge S.A.
for 2007 at an average daily rate of approximately $23,000 per day.
The newly fixed Kamsarmaxes are Iron Bradyn (ex Bulk 4), Iron Kalypso (ex Bulk 6), Ore Hansa (ex Bulk 7), Santa Barbara (ex Bulk 8), Iron Elisabeth (ex Bulk 9), Coal Hunter (ex Bulk 14), and Coal Gypsy (ex Bulk 12), and the newly fixed Panamaxes are Grain Express (ex Bulk 1) and Iron Knight (ex Bulk 2). All nine of these vessels, as well as the five vessels previously fixed, are expected to be delivered by year-end 2006, other than Iron Lindrew (ex Bulk 15), which is expected to be delivered in January 2007. To date, Quintana Maritime has fixed a total of 14 vessels with Bunge S.A. for 2007, including the five Kamsarmaxes which were fixed at an average rate of $20,000 per day. An additional Panamax, Grain Harvester (ex Bulk 3), is already on time charter with Bunge through September 2009 at $20,000 per day and is expected to be delivered to Quintana prior to year end.
Of the vessels to be acquired from Metrobulk, two Kamsarmaxes remain unfixed: Iron Brooke (ex Bulk 16) and Iron Manolis (ex Bulk 17). These vessels are expected to be delivered ex yard between March and May 2007.
As a result of these fixtures, Quintana has secured almost 84% of its expected net operating days for 2007 on charters with fixed rates. The Company believes that these secured net operating days will correspond to approximately $168 million in expected net revenues in 2007. Quintana believes it currently enjoys the highest time charter coverage amongst its public peers.
These vessels were fixed under the master charter agreement with Bunge S.A., which calls for annual renewals in early November every year, between floor and ceiling rates, and lasts through the end of 2010.