Greek dry bulk operator FreeSeas has announced that the bareboat charter agreement in connection with handysize bulker Fiorello has been terminated.

Subsequent to the termination, the 1995-built was sold with the sale proceeds being applied towards obligations to the bareboat owners of the vessel and trade creditors.

In May, FreeSeas sold the vessel along with a sister vessel to an undisclosed party for US$5.5m and chartered them back on a long term bareboat agreement.

As a result of the transaction, FreeSeas said that its outstanding obligations to the owners have been reduced by US$750,000.