FRO – Termination of charter-in contract of Front Hakata

Frontline Ltd. today announced that Frontline Shipping Limited (“FSL”) has agreed with SFL Corporation Ltd. (“SFL”) to terminate the long term charter for the 2002-built very large crude carrier (“VLCC”) Front Hakata upon the sale and delivery of the vessel by SFL to an unrelated third party. Frontline will receive a compensation payment of approximately $3.2 million from SFL for the termination of the current charter. The charter with SFL is expected to terminate in the first quarter of 2020.

Following this termination, Frontline will have two VLCCs on charter from SFL.

Image: Ed van der Land/ MarineTraffic.com

Source: Frontline