Performance Shipping announced a 24‑month time charter agreement with SeaRiver Maritime, a wholly‑owned subsidiary of ExxonMobil, for its 105,408‑DWT LR2 Aframax tanker M/T P. Long Beach. The daily gross rate is $30,500, and the vessel will be delivered to SeaRiver upon redelivery from its current charterer around mid‑December 2025.
The contract adds roughly $21.35 million to Performance Shipping’s secured revenue backlog over the charter’s duration. It also raises the company’s fixed charter coverage to 52 % for 2026 and 41 % for 2027, lowering the cash‑flow breakeven rate for open days and improving operating leverage.
The deal strengthens the company’s market position by securing a predictable revenue stream for two years. It supports ongoing fleet modernization, including the sale of older vessels and the acquisition of newer, eco‑design Suezmax tankers, and aligns with the company’s strategy to reduce average fleet age and enhance operational efficiency.
In the broader market, Aframax rates have fluctuated, with averages around $46,000–$50,000 per day in early 2024 and a decline to about $34,300 per day in late 2024. The $30,500 rate reflects current market conditions and the company’s focus on long‑term, stable contracts.
Performance Shipping’s financial health remains strong, with a cash‑rich balance sheet and recent capital raised through a Nordic bond offering. The new charter adds to the company’s secured revenue base and supports its financial strategy for the coming years.
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