Norwegian shipper Golar LNG has rented its Golar Grand tanker to a major energy firm for three years starting in March, 2012, it said on Wednesday, in the latest sign that operators are reaping the benefits of surging global demand, Reuters reports. The company's share price rallied more than 5 percent in Oslo trading after it said the charter would add $39 million to earnings before interest, tax, depreciation and amortization over three years.
Rental rates on the Golar Grand are assumed at around the $125,000/day mark, according to Arctic Securities.
Shipping sources put the rate at between $110,000/day and $120,000/day.
Day-rates on liquefied natural gas (LNG) vessels have more than tripled since mid-2010 after a spike in demand from Asia exacerbated already tight availability of ships.
Golar chairman John Fredriksen in a statement said he expects these underlying market trends to drive earnings through 2014.
"The strong underlying market trend and our large new building programme is likely to give rise to a significant increase in Golar's earnings in the period 2011-2014," he said.
The charterer of the Golar Grand has options to extend the hire by a further three years.
Rental rates on the Golar Grand are assumed at around the $125,000/day mark, according to Arctic Securities.
Shipping sources put the rate at between $110,000/day and $120,000/day.
Day-rates on liquefied natural gas (LNG) vessels have more than tripled since mid-2010 after a spike in demand from Asia exacerbated already tight availability of ships.
Golar chairman John Fredriksen in a statement said he expects these underlying market trends to drive earnings through 2014.
"The strong underlying market trend and our large new building programme is likely to give rise to a significant increase in Golar's earnings in the period 2011-2014," he said.
The charterer of the Golar Grand has options to extend the hire by a further three years.