Hoegh Autoliners, an owner and operator of about 40 car carriers, said on Friday it has extended contracts with a long-standing client for an average duration of three years.
The Oslo-listed company did not reveal the counterparty’s identity, nor the amount it stands to earn from the contracts.
It can be assumed, however, that the deal exceeds the $100m mark, under Hoegh Autoliners’ practice to disclose transactions with a volume exceeding that amount.
Chief executive Andreas Enger said: “The renewal of these contracts, with substantial cargo volumes in several of our core trade lines, represents another milestone in our efforts to build a solid contract backlog.”
“We have successfully served this customer for many years and are delighted that they again have chosen Hoegh Autoliners as their preferred carrier for another contract period.”
According to a company statement, “strategic discussions” with the client are underway to reduce the carbon footprint from the transport work that has already begun.
Hoegh Autoliners has a newbuilding programme for 12 vessels but said last month that it was looking to charter-in ships as well.
The company has already taken delivery of the first of its newbuildings, with the 9,100-ceu Hoegh Aurora and Hoegh Borealis (both built 2024) joining the fleet in August.
At the same time, Hoegh Autoliners agreed to sell a trio of older ships for $180m total: The 6,000-ceu Hoegh Chiba and Hoegh Kobe (both built 2006), plus the 6,500-ceu Hoegh New York (built 2005).
