Charter terminated early for Goldenport bulker

The 2010-built, 57,070dwt bulk carrier Sifnos was due to operate under charter until December 2016, but an agreement has been reached between the ship's owner and its undisclosed charterer for the vessel to be returned as early as August 2013.

Signed at a time when the Baltic Dry Index (BDI) stood at 1700, the initial contract covered the vessel from January 2011 to December 2013 at $17,700 per day. That charter was modified when the BDI hit 700 in 2012; the day rate was set at $14,000 and the charter period extended to December 2016.

Settlement of the contract has been agreed for $1.76m, $0.86m of which represents hire due under the contract, payable on redelivery in cash and bunkers on board the vessel. The remaining $0.9m, compensation for the early termination, will be paid over 12 months in instalments.

"The charterer has performed approximately 85% of its contractual obligations under the initial contract, paying Goldenport a significant premium to the spot market for a period of more than two and a half years," the company said in a press release.

"Management believes that this agreement represents the best option for the Company. Despite the challenging market we retain high utilisation rates across the entire of our fleet. We remain confident for the supramax sector and given its current upward trend we believe the company will be able to gain alternative profitable employment at the end of the current voyage," it added.

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