Performance Shipping Inc., a global shipping company specializing in the ownership of tanker vessels, announced on March 17 that, through a separate wholly-owned subsidiary, it has entered into a sale and leaseback agreement with an unaffiliated third party for its previously announced LR1 tanker newbuilding vessel, to be named M/T P. San Francisco (the “Vessel”), currently under construction at Jiangsu New Yangzi Shipbuilding Co., Ltd. and scheduled for delivery in early 2027.
The bareboat financing amount totals US$37.8 million. As part of this agreement, the Vessel will be sold and then chartered back to the Company on a bareboat basis for a ten-year period starting from delivery from the shipyard. The bareboat charter includes 120 monthly installments equivalent to US$5,451 per day, with an implied interest rate of Term SOFR plus 2.00% per annum. Additionally, a balloon payment of approximately US$18.1 million will be due together with the last installment. The Company has continuous options to repurchase the Vessel at predetermined rates following the second anniversary of the bareboat charter.
On May 7, 2024, Performance Shipping announced on its official website that it has signed a shipbuilding contract with Yangzijiang Shipbuilding Group—China’s largest private shipyard—for one 75,000 DWT LR1 chemical/product tanker. The order is valued at $54.1 million, excluding extras and net of third-party commissions. Delivery is expected in January 2027.
The new vessel will be equipped with an electronically controlled main engine featuring a High-Pressure Selective Catalytic Reactor (HPSCR), an Exhaust Gas Cleaning System (EGCS), and a Ballast Water Treatment System (BWTS).
In early March of this year, the company announced that, through two of its wholly owned subsidiaries, it had signed shipbuilding contracts with Shanghai Waigaoqiao Shipbuilding Co., Ltd. for two 158,000 DWT Suezmax tankers.
Under the contract, the cost per vessel for this order is US$81.5 million, bringing the total value of the order to approximately US$163 million; the two new vessels are scheduled for delivery in October 2028 and May 2029, respectively.
According to its official website, Performance Shipping is a global shipping company focused on the tanker sector, currently operating its fleet through spot voyages, pool arrangements, and time charters. As of January 13, 2026, Performance owns 12 tankers—comprising 9 Aframax and 2 Suezmax vessels—all of which are currently in operation.