GasLog Partners pens new charter deal with Trafigura

LNG shipper GasLog Partners said it has signed a new time charter agreement with a unit of commodity trader Trafigura.

The NYSE-listed limited partnership controlled by Greece’s GasLog said in its quarterly results report it has extended the charter for the 155,000-cbm GasLog Santiago with Trafigura Maritime Logistics.

Under the deal, Trafgura’s unit would use the 2013-built TFDE vessel for additional twelve months after the current charter ends in December 2021.

GasLog Partners did not reveal any additional details regarding the new deal.

In July, the firm also revealed a new charter deal with French energy giant TotalEnergies. GasLog Partners rechartered the 2013-built 155,000-cbm GasLog Seattle to the Paris-based firm.

The partnership’s fleet consists of 15 LNG carriers with an average carrying capacity of about 158,000 cbm. This includes the 155,000-cbm GasLog Shanghai which it recently sold and leased back from CDBL.

Daniel Bradshaw to step down

GasLog Partners said in the third-quarter report that Daniel Bradshaw would step down from the partnership’s board of directors with effect from October 31, 2021 for personal reasons.

Bradshaw worked as an independent director since the closing of the company’s IPO in 2014.

The company’s board has appointed Kristin Holth as an independent director with effect from November 1, 2021, GasLog Partners said.

From 2017 to 2020, Holth served as executive VP and global head of ocean industries in DNB Bank, Norway’s largest financial services group.

Revenues, profit up

GasLog Partners reported a rise in both revenues and profit in the third quarter of this year.

Revenues rose 11 percent year-on-year to $80.5 million, while profit surged 123 percent to $26.5 million.

The LNG shipper attributed the rise in revenues to the “improved performance of our spot fleet, in line with the ongoing improvement of the LNG shipping market in 2021, as well as fewer off-hire days due to scheduled dry-dockings in the third quarter.”

Chief Executive Paolo Enoizi said the firm had repaid $36.1 million of debt during the quarter, bringing the total amount of debt retired in the first nine months of 2021 to $90.9 million.

GasLog Partners has also repurchased about $12.4 million of preference units in the open market below par, reducing the fleet’s all-in cash break-even.

“In addition, we have 100 percent of available revenue days fixed in the fourth quarter of 2021 and 76 percent in 2022. This fixed charter coverage along with the cash flows generated thus far in 2021 more than covers all the partnership’s operating, overhead, current debt service and other fixed obligations through at least 2022,” Enoizi said.

He said that GasLog Partners’ capital allocation priorities for 2022 will remain focused on reducing the company’s leverage and improving the cash break-even of its fleet.

“This may include accelerated debt repayment or further opportunistic repurchases of our preference units in the open market, subject to market conditions. Lower debt levels and cash break-even rates will position the partnership for continued success in the spot and short-term market for LNG shipping,” Enoizi added.

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