GasLog Partners LP announced the sale and leaseback of the GasLog Shanghai to a wholly owned subsidiary of China Development Bank Leasing (“CDBL”) for $120 million, releasing approximately $20 million of incremental net liquidity. Concurrent with the sale, the Partnership will bareboat charter-in the vessel from CDBL for a period of 5 years, ending in October 2026, with no obligation to purchase the vessel at the end of the lease.
The GasLog Shanghai is a 155,000 cubic meter LNG carrier with tri-fuel diesel electric propulsion built in 2013. The vessel is currently on charter to Clearlake Shipping Pte. Ltd., a subsidiary of Gunvor Group Ltd. until November 2022.
Paolo Enoizi, CEO of GasLog Partners LP stated, “With the completion of the sale and leaseback of the GasLog Shanghai the Partnership will not only have additional capacity to further reduce its cost base but will also maintain operational and commercial control of the vessel for the next five years. We expect this period to be robust for LNG and LNG shipping demand as the world transitions to more environmentally friendly fuel sources.”