Danaos orders five boxships from Hanjin

Danaos Corporation has signed shipbuilding contracts for five 3,400 TEU vessels with Hanjin Heavy Industries & Construction. These containerships are expected to be delivered to Danaos from November 2009 through June 2010.

The capital expenditure commitment which is in the region of $300 million will be financed by existing credit facilities and own funds according to the work in progress schedule as specified in the shipbuilding contracts. This new order increases Danaos? total contracted fleet to 28 containerships with an aggregate carrying capacity of 147,524 TEU or 106% of its current fleet.

The company has arranged for 10 year charters for all of the newbuildings but is tight-lipped about the identity of the charterers. The vessels will be powered by Korean built diesel-electric providing a design speed of 23 knots.