Seapeak, Shell extend LNG carrier charter deal

Seapeak, previously known as Teekay LNG Partners, has extended a charter deal for one of its vessels with a unit LNG giant Shell.

In October 2023, the charterer of the LNG carrier Murex exercised the first of four three-year extension options at a fixed rate, according to Seapeak’s quarterly results report.

Seapeak said the three-year charter starts in November 2024, but it did not mention the name of the charterer.

Shell International Trading and Shipping Company announced back in November 2017 that the 173,000-cbm LNG carrier, Murex, joined Shell’s technically managed fleet.

Built by DSME, now Hanwha Ocean, Murex is 100 percent owned by Seapeak.

This is one of five new LNG carriers that Shell welcomed from Seapeak during 2017 and 2018 and these vessels are powered by M-type, electronically controlled, gas injection (ME-GI) engines.

Besides Murex, the other vessels include Macoma, Myrina, Megara, and Magdala.

Earlier this year, Shell also exercised the first of four three-year extension options at a fixed rate for the 2018-built 173,000-cbm LNG carrier, Myrina.

49 LNG carriers

Teekay LNG Partners rebranded as Seapeak last year following the completion of its $6.2 billion merger deal with private equity firm Stonepeak Infrastructure Partners.

As at September 30, 2023, the company’s LNG fleet included 49 LNG carriers, including five LNG carriers under construction.

It also operates midsize LPG carriers and multigas carriers and has a 30 percent interest in an LNG regasification terminal in Bahrain.

Seapeak sold the 1993-built LNG carrier, Seapeak Polar, in June for net proceeds of $14.7 million.

Brokers previously reported that the firm sold the 87,305-cbm LNG carrier for demolition.

Besides this vessel, the shipping firm also sold the 1993-built Seapeak Arctic LNG carrier in February for net proceeds of $14.9 million.

This vessels was sold for demolition as well.

Seapeak reported voyage revenues of $175.9 million for the three months ended September 30, compared to $146.5 million during the same period last year.

The company’s net income reached $117.2 million during the quarter, compared to $123.8 million last year.

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