Acquisition of four Suezmax tankers in combination with long term charters

Hamilton, Bermuda - August 17, 2022

SFL Corporation Ltd. (NYSE: SFL) (“SFL” or the “Company”) announced today that it has agreed to acquire four modern Suezmax tankers in combination with long term time charters to a subsidiary of Koch Industries, a world-leading industrial conglomerate.

The vessels are built in 2015 and 2020, respectively, and all four have modern eco-design features including exhaust gas cleaning systems. The aggregate purchase price of the vessels is $222.5 million and the Company expects to take delivery between August and October.

The charter period of the vessels will be six years, adding approximately $250 million to SFL’s fixed-rate backlog. The charterer will have a possibility to terminate the charters after three years against a termination fee and also an option to develop a sale of one or more of the vessels from year four of the charter period, including a profit share arrangement with SFL.

Ole B. Hjertaker, CEO of SFL Management AS, said in a comment: “We are pleased to further expand our presence in the tanker market at what we believe is an attractive point in the cycle with historic low orderbook in the segment. The transaction demonstrates our standing in the market as a high quality provider of transportation services for industry leading customers, and we continue building our fleet and charter backlog with accretive acquisitions.”

About SFL
SFL has a unique track record in the maritime industry and has paid dividends every quarter since its initial listing on the New York Stock Exchange in 2004. The Company’s fleet of vessels is comprised of container vessels, car carriers, tanker vessels, bulkers and offshore drilling rigs. SFL’s long term distribution capacity is supported by a portfolio of long term charters and significant growth in the asset base over time. More information can be found on the Company's website: www.sflcorp.com

SFL Corporation Ltd. press release