Diana Shipping Inc. has inked a time charter contract with Bunge SA for its Ultramax dry bulk carrier m/v DSI Altair, featuring a daily gross rate of $14,750 minus commissions, spanning from January 2026 through at least early 2027, projected to yield over $5 million in revenue amid steady demand in the dry bulk sector.
Contract Details Diana Shipping Inc., listed on the NYSE under ticker DSX, has formalized a time charter agreement with Bunge SA out of Geneva for the m/v DSI Altair. The deal stipulates a gross charter rate of $14,750 per day, subject to a 5% commission deduction for third parties. The charter duration extends until a minimum of mid-January 2027, with flexibility up to late March 2027, and is slated to begin operations shortly. This arrangement underscores the ongoing stability in Ultramax vessel chartering, where rates have held firm against broader market fluctuations in dry bulk shipping.
Vessel Specifications The m/v DSI Altair is an Ultramax-class dry bulk carrier with a deadweight tonnage of 60,309, constructed in 2016. Designed for efficiency in transporting commodities like grains, coal, and iron ore, the vessel represents a core asset in Diana Shipping’s portfolio, optimized for medium-haul routes that align with Bunge’s global agricultural logistics needs.
Financial Impact and Market Context The contract is expected to generate approximately $5.3 million in gross revenue over the minimum term, bolstering Diana Shipping’s cash flow in a sector where charter rates for Ultramax vessels currently average around $14,000 to $15,000 daily, influenced by steady grain export volumes from key regions. As of recent trading, DSX shares are hovering around $1.86, reflecting a modest uptick amid positive sentiment toward secured revenue streams in the shipping industry. This deal adds to the company’s backlog, providing visibility into earnings amid volatile freight markets driven by global trade patterns.
Fleet Overview Diana Shipping operates a diversified fleet of 36 dry bulk vessels, encompassing Newcastlemax, Capesize, Post-Panamax, Kamsarmax, Panamax, and Ultramax types, with a total carrying capacity nearing 4.1 million deadweight tons and an average fleet age of about 12 years. The company is also advancing its modernization efforts, with two methanol dual-fuel Kamsarmax newbuilds on order for delivery in late 2027 and early 2028, positioning it for compliance with evolving environmental regulations in maritime transport.
| Vessel Type | Number of Vessels | Average DWT per Vessel |
|---|---|---|
| Newcastlemax | 4 | ~200,000 |
| Capesize | 8 | ~180,000 |
| Post-Panamax | 4 | ~90,000 |
| Kamsarmax | 6 | ~82,000 |
| Panamax | 5 | ~75,000 |
| Ultramax | 9 | ~60,000 |
Strategic Implications By partnering with Bunge, a major player in agribusiness, Diana Shipping enhances its exposure to resilient commodity flows, particularly in grain and oilseed trades. This charter reflects broader trends in the dry bulk market, where operators are locking in rates to hedge against potential downturns in global economic activity, while maintaining operational flexibility through variable end dates.
Disclaimer: This news report is for informational purposes only and does not constitute financial advice, investment recommendations, or endorsements of any securities. All information is derived from public sources and should not be relied upon for trading decisions.
