Flex LNG Ltd. has extended the firm charter commitments for its vessels Flex Resolute and Flex Courageous, adding a second 730‑day option that covers the period from Q1 2027 to Q1 2029. The vessels will then enter a three‑year firm charter from Q1 2029 to Q1 2032, with optional extensions of up to seven years beginning in 2032.
Flex Constellation entered a 15‑year time charter in March 2026 with a large Asian utility and LNG trader, locking the vessel into firm service until at least 2041. The new contract follows a prior announcement that the charter would commence in Q1 or Q2 2026.
The combined effect of these extensions brings Flex LNG’s firm contract backlog to 53 years, and the optional extensions could raise the backlog to 74 years if all options are exercised. The long‑term commitments reduce the company’s exposure to spot‑rate volatility and provide a predictable revenue stream that supports future capital planning.
Marius Foss, CEO of Flex LNG Management AS, said, "We are pleased that the charterer of Flex Resolute and Flex Courageous acknowledge our high‑quality service of safe and reliable operation whereby the charterer has again exercised extension options for both ships. Consequently, the ships are now on firm contract to minimum 2032." He added, "Equally, we are pleased to confirm that Flex Constellation has been delivered to the charterer and commenced the 15‑year time charter contract. We look forward to providing safe and reliable transportation of LNG for the Asian based charterer until minimum 2041."
The charter extensions secure Flex LNG’s revenue visibility and strengthen its competitive moat. By locking in long‑term contracts with a supermajor and a large Asian utility, the company reduces its reliance on the spot market, improves fleet utilization, and positions itself to capture future supply‑demand imbalances in the LNG shipping sector. The modern fleet, equipped with fuel‑efficient two‑stroke propulsion, further enhances operational efficiency and aligns with industry trends toward lower emissions.
Flex LNG’s Q4 2025 operating results showed vessel operating revenues of $87.5 million and a net income of $21.6 million, underscoring the company’s ability to generate consistent cash flow from its fleet. The new charter agreements build on this performance, offering a stable foundation for the 2026‑2032 period amid geopolitical volatility in the Gulf region and ongoing market uncertainty.
For investors, the expanded backlog and long‑term contracts provide a durable revenue base that can weather market downturns and support strategic growth initiatives. The firm commitments also signal management’s confidence in the company’s operational excellence and its ability to secure high‑yield contracts with reputable counterparties.
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