FSL Trust Secures a Three-Year Charter Contract

Singapore  - FSL Trust Management Pte. Ltd. (FSLTM), as trustee-manager of First Ship Lease Trust (FSL Trust), announced that it has reached an agreement to charter its vessel, ‘FSL Singapore,’ to Petròleo Brasileiro S.A. (“Petrobras”) on a three-year time charter contract. The vessel is expected to be deployed on the time charter within the second quarter of 2012.

‘FSL Singapore’ is a 47,470 dwt product tanker which is currently deployed in the spot market. The product tanker will be chartered to Petrobras, based on a gross daily charter rate of $14,000 per day for a period of three years, subject to clearance of the physical inspection of the vessel at its next discharge port. Under the time charter, Petrobras will be liable for voyage costs (fuel and port charges) while FSL Trust will be responsible for all operational costs of the vessel.

FSL Trust has appointed Columbia Ship management (Singapore) Pte. Ltd. (“CSM”) to take over from Prisco (Singapore) Pte. Ltd., the technical management of ‘FSL Singapore,’ as well as ‘FSL Hamburg,’ a similar product tanker currently trading in the spot market. CSM is an affiliate of Schoeller Holdings, which is the largest shareholder of FSL Holdings Pte. Ltd., the Sponsor of FSL Trust1.