Ocean Yield ASA received a commitment letter from a group of banks for a $202.5 million credit facility for the financing of the three liquefied ethylene gas carriers on long term charter to the Hartmann Group, with SABIC Petrochemicals BV being the sub-charterer of the vessels for 10 years.

The credit facility will finance $67.5 million out of the contract price of $81 million per vessel, with a tenor of 10 years from delivery, and will be repaid on an annuity basis down to a balloon of $22.5 million per vessel at maturity. The margin is on competitive terms and in line with previous transactions completed by Ocean Yield.

The credit facility was arranged by ABN AMRO Bank, Credit Agricole, Societé Generale and Sumitomo Mitsui Europe Limited, all as bookrunners and mandated lead arrangers. The credit facility is subject to agreement on final documentation.

Ocean Yield’s CEO, Lars Solbakken said: “We are pleased to announce the long term financing of our gas carriers, which completes the financing of our newbuilding program. Our newbuilding program is now fully financed, both with respect to equity and debt.”