Israeli shipping company ZIM Integrated Shipping Services has exercised its option to long-term charter additional five 7,000 TEU liquefied natural gas (LNG) dual-fuel container vessels from Seaspan Corporation.
The vessels are part of the agreement between ZIM and Seaspan Corporation that entails long-term charters.
Back in July this year, Seaspan Corporation revealed an order for ten 7,000 TEU dual-fuel LNG containerships.
Under this previously announced transaction, ZIM already entered into long term charter agreements for the ten 7,000 TEU LNG vessels which are due to be delivered starting from the fourth quarter of 2023 and into 2024.
Therefore, the total vessels to be chartered under this transaction after the option exercise is fifteen. The value of this option for ZIM is amounts to $750 million, the company said.
“With this option exercise, we are securing ZIM’s core fleet needed to serve our operations… Furthermore, this transaction demonstrates our deep commitment to the environment and to reducing our carbon footprint,” Eli Glickman , ZIM President & CEO, commented.