PSHG · Performance Shipping Inc.

Performance Shipping Inc. has secured long-term employment for its two Suezmax tanker newbuildings with Repsol Trading S.A., expanding their relationship with this major global energy company. The first vessel, a 158,000 dwt scrubber-fitted unit, is chartered for seven years at US$35,000 per day starting upon its October 2028 delivery, while the second follows with a five-year charter at US$36,850 per day from May 2029. These agreements, entered well ahead of delivery, lock in attractive rates reflecting the vessels' modern, fuel-efficient specifications and the strong Suezmax market fundamentals. CEO Andreas Michalopoulos highlighted that the secured revenues will cover most of the acquisition costs, providing significant earnings visibility. Fleetwide, contracted revenue jumped from US$317 million to US$471 million based on minimum charter durations as of early April 2026, with average duration at 2.8 years. Contracted days improved across the horizon: 89.5% for 2026, 76.9% for 2027, 68.6% for 2028, 56.4% for 2029, and 46.8% for 2030, lowering breakeven exposure on open days. Nearly all modern vessels now operate under long-term fixed rates, complemented by shorter-term charters on remaining units, two up for renewal in a tight prompt market. This de-risks cash flows and supports investor confidence in operational execution.