Pan Ocean Co signs long-term time charter contract with Shell worth around US$55m

MAINBOARD-LISTED shipping company Pan Ocean Co entered into a time charter contract on April 9 for a liquefied natural gas (LNG) bunkering vessel with Shell NA LNG, the firm said in a bourse filing on Monday.

The estimated total sales for the transaction was US$55 million.

The newly inked contract will commence from May 2023 and includes a firm duration period, as well as two extension options during the contract period. The total duration would be eight years, depending on Shell's decision.

Prior to making the announcement, the company had requested a trading halt which was lifted shortly after.

As at 11.10am on Monday, shares of Pan Ocean Co were trading at S$5.20, down S$0.30 or 5.5 per cent.