KNOT OFFSHORE PARTNERS LP, 20-F filed on 4/17/2026
Annual and Transition Report (foreign private issuer)
v3.26.1
Document and Entity Information
 12 Months Ended
Dec. 31, 2025
shares
Document And Entity Information  
Document Type 20-F
Document Registration Statement false
Document Annual Report true
Document Period End Date Dec. 31, 2025
Document Transition Report false
Document Shell Company Report false
Entity File Number 001-35866
Entity Registrant Name KNOT Offshore Partners LP
Entity Incorporation, State or Country Code 1T
Entity Address, Address Line One 2 Queens Cross
Entity Address, City or Town Aberdeen
Entity Address, Postal Zip Code AB15 4YB
Entity Address, Country GB
Title of 12(b) Security Common units representing limited partner interests
Trading Symbol KNOP
Security Exchange Name NYSE
Entity Well-known Seasoned Issuer No
Entity Voluntary Filers No
Entity Current Reporting Status Yes
Entity Interactive Data Current Yes
Entity Filer Category Accelerated Filer
Entity Emerging Growth Company false
ICFR Auditor Attestation Flag true
Document Financial Statement Error Correction [Flag] false
Document Accounting Standard U.S. GAAP
Entity Shell Company false
Entity Central Index Key 0001564180
Current Fiscal Year End Date --12-31
Document Fiscal Year Focus 2025
Document Fiscal Period Focus FY
Amendment Flag false
Auditor Name Ernst & Young AS
Auditor Firm ID 1572
Auditor Location Oslo, Norway
Common units  
Document And Entity Information  
Entity Common Stock, Shares Outstanding 33,660,342
Series A convertible preferred Units  
Document And Entity Information  
Entity Common Stock, Shares Outstanding 3,541,666
Class B Units  
Document And Entity Information  
Entity Common Stock, Shares Outstanding 252,405
Business Contact  
Document And Entity Information  
Contact Personnel Name Derek Lowe
Entity Address, Address Line One 2 Queens Cross
Entity Address, City or Town Aberdeen
Entity Address, Postal Zip Code AB15 4YB
Entity Address, Country GB
Contact Personnel Email Address E-mail: dlo@knotoffshorepartners.com
City Area Code 44 (0) 
Local Phone Number 1224 618420
v3.26.1
Consolidated Statements of Operations - USD ($)
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Operating revenues:      
Loss of hire insurance recoveries $ 607,000 $ 5,970,000 $ 2,840,000
Other income 2,185,000 2,086,000 1,943,000
Total revenues 364,443,000 318,599,000 290,716,000
Gain from disposal of vessel 1,342,000 703,000  
Operating expenses:      
Vessel operating expenses 132,030,000 108,519,000 93,351,000
Voyage expenses and commission 1,746,000 3,600,000 5,536,000
Depreciation 119,703,000 111,817,000 110,902,000
Impairment 20,259,000 16,384,000 49,649,000
General and administrative expenses 7,398,000 6,067,000 6,142,000
Total operating expenses 281,136,000 246,387,000 265,580,000
Operating income 84,649,000 72,915,000 25,136,000
Finance income (expense):      
Interest income 3,571,000 3,636,000 3,468,000
Interest expense (62,030,000) (67,352,000) (72,070,000)
Other finance expense (755,000) (358,000) (589,000)
Realized and unrealized gain (loss) on derivative instruments (924,000) 6,798,000 5,369,000
Net loss on foreign currency transactions (89,000) (943,000) (237,000)
Total finance expense (60,227,000) (58,219,000) (64,059,000)
Income (loss) before income taxes 24,422,000 14,696,000 (38,923,000)
Income tax benefit (expense) (1,163,000) (631,000) 4,595,000
Net income (loss) [1] 23,259,000 14,065,000 (34,328,000)
Time charter and bareboat revenues      
Operating revenues:      
Revenue from contract with customers 361,185,000 306,915,000 277,084,000
Voyage revenues      
Operating revenues:      
Revenue from contract with customers $ 466,000 $ 3,628,000 $ 8,849,000
[1] Included in net income is interest paid amounting to $60.4 million, $65.7 million and $69.3 million for the years ended December 31, 2025, 2024 and 2023, respectively.
v3.26.1
Consolidated Statements of Operations (parenthetical) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Series A preferred unitholders' interest in net income (loss) $ 6,800 $ 6,800 $ 6,800
General Partner's interest in net income (loss) 302 134 (760)
Limited Partners' interest in net income (loss) $ 16,157 $ 7,131 $ (40,368)
General Partner units $ 0.48 $ 0.21 $ (1.19)
Common units      
Earnings per unit (basic) 0.48 0.21 (1.19)
Earnings per unit (diluted) $ 0.48 $ 0.21 $ (1.19)
v3.26.1
Consolidated Statements of Comprehensive Income - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Consolidated Statements of Comprehensive Income      
Net income (loss) [1] $ 23,259 $ 14,065 $ (34,328)
Other comprehensive income, net of tax 0 0 0
Comprehensive income (loss) $ 23,259 $ 14,065 $ (34,328)
[1] Included in net income is interest paid amounting to $60.4 million, $65.7 million and $69.3 million for the years ended December 31, 2025, 2024 and 2023, respectively.
v3.26.1
Consolidated Balance Sheets - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Current assets:    
Cash and cash equivalents $ 88,983 $ 66,933
Amounts due from related parties $ 705 $ 2,230
Other Receivable, after Allowance for Credit Loss, Current, Related Party [Extensible Enumeration] Related Party [Member] Related Party [Member]
Inventories $ 4,288 $ 3,304
Derivative assets 2,276 8,112
Other current assets 15,192 14,793
Total current assets 111,444 95,372
Long-term assets:    
Vessels, net of accumulated depreciation 1,557,021 1,462,192
Right-of-use assets 875 1,269
Deferred tax assets 2,662 3,326
Derivative assets 1,908 5,189
Accrued income 10,927 4,817
Total Long-term assets 1,573,393 1,476,793
Total assets 1,684,837 1,572,165
Current liabilities:    
Trade accounts payable 9,607 5,766
Accrued expenses 18,428 11,465
Current portion of long-term debt 381,126 256,659
Current lease liabilities 406 1,172
Current portion of derivative liabilities 247  
Income taxes payable 46 60
Current portion of contract liabilities 9,024 2,889
Prepaid charter 5,650 7,276
Amount due to related parties $ 2,392 $ 1,835
Other Liability, Current, Related Party, Type [Extensible Enumeration] Related Party [Member] Related Party [Member]
Total current liabilities $ 426,926 $ 287,122
Long-term liabilities:    
Long-term debt 573,974 648,075
Lease liabilities 469 97
Derivative liabilities 909  
Contract liabilities 60,102 23,776
Deferred tax liabilities 82 91
Deferred revenues 1,402 1,869
Total long-term liabilities 636,938 673,908
Total liabilities 1,063,864 961,030
Series A Convertible Preferred Units 84,308 84,308
Partners' capital:    
General partner interest 9,589 9,353
Total partners' capital 536,665 526,827
Total liabilities and equity 1,684,837 1,572,165
Common units    
Partners' capital:    
Common unitholders 523,205 513,603
Class B unit    
Partners' capital:    
Common unitholders $ 3,871 $ 3,871
v3.26.1
Consolidated Balance Sheets (Parenthetical) - shares
Dec. 31, 2025
Dec. 31, 2024
General partners' capital account, units issued 640,278 640,278
General partners' capital account, units outstanding 640,278 640,278
Common units    
Limited partners' capital account, units issued 33,660,342 34,045,081
Limited partners' capital account, units outstanding 33,660,342 34,045,081
Class B unit    
Limited partners' capital account, units issued 252,405 252,405
Limited partners' capital account, units outstanding 252,405 252,405
v3.26.1
Consolidated Statements of Changes in Partners' Capital - USD ($)
$ in Thousands
Common Unitholders
Class B Units
General Partner Units
Accumulated Other Comprehensive Income (Loss)
Total
Beginning balance at Dec. 31, 2022 $ 553,922 $ 3,871 $ 10,111 $ 0 $ 567,904
Net income (loss) (40,368)   (760) 0 (41,128)
Other comprehensive income       0 0
Cash distributions (3,541)   (66) 0 (3,607)
Ending balance at Dec. 31, 2023 510,013 3,871 9,285 0 523,169
Convertible preferred units, beginning balance at Dec. 31, 2022         84,308
Net income (loss)         6,800
Cash distributions         (6,800)
Convertible preferred units, ending balance at Dec. 31, 2023         84,308
Net income (loss) 7,131   134 0 7,265
Other comprehensive income       0 0
Cash distributions (3,541)   (66) 0 (3,607)
Ending balance at Dec. 31, 2024 513,603 3,871 9,353 0 526,827
Net income (loss)         6,800
Cash distributions         (6,800)
Convertible preferred units, ending balance at Dec. 31, 2024         84,308
Net income (loss) 16,157   302 0 16,459
Other comprehensive income       0 0
Repurchase of common units (3,020)     0 (3,020)
Cash distributions (3,535)   (66) 0 (3,601)
Ending balance at Dec. 31, 2025 $ 523,205 $ 3,871 $ 9,589 $ 0 536,665
Net income (loss)         6,800
Cash distributions         (6,800)
Convertible preferred units, ending balance at Dec. 31, 2025         $ 84,308
v3.26.1
Consolidated Statements of Cash Flows - USD ($)
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
OPERATING ACTIVITIES      
Net income (loss) [1] $ 23,259,000 $ 14,065,000 $ (34,328,000)
Adjustments to reconcile net income (loss) to cash provided by operating activities:      
Depreciation 119,703,000 111,817,000 110,902,000
Impairment 20,259,000 16,384,000 49,649,000
Amortization of contract intangibles / liabilities (6,756,000) (963,000) (651,000)
Amortization of deferred revenue (467,000) (467,000) (467,000)
Amortization of deferred debt issuance cost 2,391,000 2,221,000 2,503,000
Drydocking expenditure (14,690,000) (553,000) (19,375,000)
Income tax (benefit)/expense 1,163,000 631,000 (4,595,000)
Income taxes paid (127,000) (41,000) (665,000)
Unrealized loss on derivative instruments 10,432,000 8,720,000 9,200,000
Unrealized (gain) loss on foreign currency transactions (609,000) 776,000 67,000
Gain from disposal of vessel (1,342,000) (703,000)  
Changes in operating assets and liabilities:      
Decrease (increase) in amounts due from related parties 3,198,000 (10,445,000) 1,650,000
Decrease (increase) in inventories (1,066,000) 583,000 2,139,000
Decrease (increase) in other current assets 1,300,000 (4,371,000) 6,735,000
Decrease (increase) in accrued income (6,110,000) (4,817,000)  
Increase (decrease) in trade accounts payable 4,263,000 (4,379,000) 5,867,000
Increase (decrease) in accrued expenses 4,006,000 (4,176,000) 4,125,000
Increase (decrease) prepaid charter (1,626,000) 6,809,000 (1,504,000)
Increase (decrease) in amounts due to related parties (1,445,000) 6,054,000 389,000
Net cash provided by operating activities 155,736,000 137,145,000 131,641,000
INVESTING ACTIVITIES      
Additions to vessel and equipment (281,000) (945,000) (2,779,000)
Proceeds from asset swap (net cash) 1,040,000 607,000  
Acquisition of Daqing Knutsen (net of cash acquired) (26,049,000)    
Net cash provided by (used in) investing activities (25,290,000) (338,000) (2,779,000)
FINANCING ACTIVITIES      
Proceeds from long-term debt 117,000,000 60,000,000 250,000,000
Repayment of long-term debt (210,887,000) (182,392,000) (349,642,000)
Payment of debt issuance cost (1,322,000) (521,000) (2,461,000)
Cash distributions (10,401,000) (10,407,000) (10,407,000)
Repurchase of common units (3,020,000)    
Net cash used in financing activities (108,630,000) (133,320,000) (112,510,000)
Effect of exchange rate changes on cash 234,000 (475,000) (10,000)
Net increase in cash and cash equivalents 22,050,000 3,012,000 16,342,000
Cash and cash equivalents at the beginning of the period 66,933,000 63,921,000 47,579,000
Cash and cash equivalents at the end of the period $ 88,983,000 $ 66,933,000 $ 63,921,000
[1] Included in net income is interest paid amounting to $60.4 million, $65.7 million and $69.3 million for the years ended December 31, 2025, 2024 and 2023, respectively.
v3.26.1
Consolidated Statements of Cash Flows (Parenthetical) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Consolidated Statements of Cash Flows      
Amount of interests paid $ 60.4 $ 65.7 $ 69.3
v3.26.1
Description of Business
 12 Months Ended
Dec. 31, 2025
Description of Business  
Description of Business

1) Description of Business

KNOT Offshore Partners LP (the “Partnership”) was formed as a limited partnership under the laws of the Republic of the Marshall Islands. The Partnership was formed for the purpose of acquiring 100% ownership interests in four shuttle tankers owned by Knutsen NYK Offshore Tankers AS (“KNOT”) in connection with the Partnership’s initial public offering of its common units (the “IPO”), which was completed on April 15, 2013. Prior to the IPO, the Partnership’s predecessor operated as an integrated part of KNOT. KNOT is owned 50% by TSSI and 50% by NYK Europe. KNOT’s ownership in the Partnership (including that held by our general partner) has been reduced via the IPO and subsequent offerings to 29.0% of our common units, all of our general partner interest, all our Class B Units and 5.9% of our Series A Preferred Units, as of April 17, 2026.

As of December 31, 2025, the Partnership had a fleet of nineteen shuttle tankers, the Windsor Knutsen, the Bodil Knutsen, the Recife Knutsen, the Fortaleza Knutsen, the Carmen Knutsen, the Hilda Knutsen, the Torill Knutsen, the Ingrid Knutsen, the Raquel Knutsen, the Tordis Knutsen, the Vigdis Knutsen, the Lena Knutsen, the Brasil Knutsen, the Anna Knutsen, the Tove Knutsen, the Synnøve Knutsen, the Tuva Knutsen, the Live Knutsen and the Daqing Knutsen, each referred to as a “Vessel” and, collectively, as the “Vessels”. The Vessels operate under fixed charter contracts to charterers, with expiration dates between 2026 and 2032. Please see Note 6—Operating Leases.

The consolidated financial statements have been prepared assuming that the Partnership will continue as a going concern.

On March 3, 2025, the Partnership’s subsidiary, KNOT Shuttle Tankers AS, acquired KNOT Shuttle Tankers 27 AS, the company that owns the shuttle tanker Live Knutsen, from KNOT (the “Live Knutsen Acquisition”). Simultaneously, KNOT Shuttle Tankers AS sold KNOT Shuttle Tankers 21 AS, the company that owns the shuttle tanker Dan Sabia, to KNOT (the “Dan Sabia Sale”). The acquisition of the Live Knutsen was accounted for as an acquisition of an asset. As a result of the Live Knutsen Acquisition, the Partnership has recorded the results of operations of the Live Knutsen in its consolidated statement of operations from March 3, 2025. See Note 24—Acquisitions. As a result of the Dan Sabia Sale, the Partnership has recorded the results of operations of the Dan Sabia in its consolidated statement of operations until March 3, 2025.

On July 2, 2025, the Partnership’s subsidiary, KNOT Shuttle Tankers AS, acquired KNOT Shuttle Tankers 37 AS, the company that owns the shuttle tanker Daqing Knutsen from KNOT (the “Daqing Knutsen Acquisition”). The acquisition of the Daqing Knutsen was accounted for as an acquisition of an asset. As a result of the Daqing Knutsen Acquisition, the Partnership has recorded the results of operations of the Daqing Knutsen in its consolidated statement of operations from July 2, 2025. See Note 24—Acquisitions.

The Partnership expects that its primary future sources of funds will be available cash, cash from operations, borrowings under any new loan agreements and the proceeds of any debt or equity financings. The Partnership believes that these sources of funds (assuming the current rates earned from existing charters) will be sufficient to cover operational cash outflows, working capital requirements and ongoing obligations under the Partnership’s lease obligations and financing commitments to pay loan interest and make scheduled loan repayments and to make distributions on its outstanding units assuming the Partnership is able to timely refinance its maturing credit facilities on similar terms as its existing facilities. Accordingly, as of April 17, 2026, the Partnership believes that its current resources are sufficient to meet working capital requirements and other cash requirements for its current business for at least the next twelve months. See Note 17—Long-Term Debt.
v3.26.1
Summary of Significant Accounting Policies
 12 Months Ended
Dec. 31, 2025
Summary of Significant Accounting Policies  
Summary of Significant Accounting Policies

2) Summary of Significant Accounting Policies

(a) Basis of Preparation

The consolidated financial statements are prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”). All intercompany balances and transactions are eliminated on consolidation.

The consolidated financial statements include the financial statements of the entities listed in Note 4—Subsidiaries

(b) Business Combinations and Asset Acquisitions

Business combinations are accounted for under the purchase method of accounting. On acquisition, the identifiable assets, liabilities and contingent liabilities are measured at their fair values at the date of acquisition. Any excess of the cost of acquisition over the fair values of the identifiable net assets acquired is recognized as goodwill. The consideration transferred for an acquisition is measured at fair value of the consideration given. Acquisition related costs are expensed as incurred. The results of operations of the acquired businesses are included in the consolidated results as of the date of the applicable acquisition.

Dependent on the facts and circumstances, the assessment of a transaction may be considered the acquisition of an asset, when substantially all of the fair value of assets acquired is concentrated in a single identifiable asset, rather than a business combination. Asset acquisitions are accounted for by allocating the cost of the acquisition to the individual assets acquired and liabilities assumed on a relative fair value basis. Acquisition related costs are capitalized as a component of the assets acquired. See Note 24—Acquisitions.

(c) Reporting Currency

The consolidated financial statements are prepared in the reporting currency of U.S. Dollars. The functional currency of the vessel-owning Partnership subsidiaries is the U.S. Dollar, because the subsidiaries operate in the international shipping market, in which all revenues are U.S. Dollar-denominated and the majority of expenditures are made in U.S. Dollars. Transactions involving other currencies during the year are converted into U.S. Dollars using the exchange rates in effect at the time of the transactions. As of the balance sheet dates, monetary assets and liabilities that are denominated in currencies other than the U.S. Dollar are translated to reflect the year-end exchange rates. Resulting gains or losses are reflected separately in the accompanying consolidated statements of operations.

(d) Use of Estimates

The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the financial statements, and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates. Significant items subject to such estimates and assumptions include the useful lives and impairment of Vessels, vessel market values, drydocking, purchase price allocation and income taxes.

(e) Revenues and Operating Expenses

The Partnership’s time charter contracts include both a lease component, consisting of the lease of the vessel, and non-lease component, consisting of operation of the vessel for the customers. The lease element is accounted for as an operating lease on a straight-line basis over the term of the charter, while the non-lease service element consisting of the operation of the vessel is recognized over time as the services are delivered. The Partnership, as lessor, has not disclosed the consideration in the agreement to the separate lease and non-lease components as it was concluded that the inclusion of such information would not provide meaningful information to the users of the Financial statements. The timing and pattern of transfer to the charterer, as the lessee, are the same. Revenue from time charters is not recognized during days the Vessel is off-hire. Revenue is recognized from delivery of the Vessel to the charterer, until the end of the contract period. Under bareboat charters, the Partnership provides a specified Vessel for a fixed period of time at a specified day rate and the Partnership recognizes revenues from bareboat charters as operating leases on a straight-line basis over the term of the charter. Where the term of the contract is based on the duration of a single voyage, the Partnership evaluates whether the voyage contain leases and, if so, recognizes lease revenue as described above, and if not, recognizes revenue in accordance with ASC 606 upon the satisfaction of the performance obligations in the contract on a load-to-discharge basis.

In connection with the installation of the volatile organic compound emissions (“VOC”) control equipment on the Bodil Knutsen, the Partnership is receiving a grant to compensate for expenses incurred in relation to the retrofit of the vessel, the installation of the equipment and maintenance and operation of the unit. These grants or contributions are recorded as deferred revenue when they are received. The deferred revenue is recognized as other income over the useful life of the related asset.

In connection with the extensions of time charter contracts on the Tordis Knutsen, the Lena Knutsen, the Brasil Knutsen, the Bodil Knutsen and the Hilda Knutsen, and the change from time charter to bareboat charter on the Vigdis Knutsen there is a difference in the

time/bareboat charter recognized in revenue and the rental payment received from charter, thus there will be accrued income on the balance sheet.

Voyage expenses are paid by the customer under time charter and bareboat charters. Voyage expenses are paid by the Partnership for spot contracts and during periods of off-hire and are recognized when incurred.

Vessel operating expenses include commissions, crewing, repairs and maintenance, insurance, stores, lube oils and communication expenses. Vessel operating expenses are paid by the Partnership for time charters, spot contracts and during off-hire and are recognized when incurred.

The Partnership directly employs one onshore employee and no seagoing employees. Related parties have provided the management services for the Vessels and employ the crews that work on the Vessels. The Partnership is not liable for any pension or post-retirement benefits. See Note 19—Related Party Transactions.

Commencing January 1, 2024, the EU Emissions Trading System (EU ETS), was extended to cover carbon dioxide, or CO2, emissions from ships over 5,000 gross tons entering EU ports. The EU ETS covers (a) 50% of emissions from voyages either starting in or ending in an EU port, and (b) 100% of emissions from voyages between two EU ports or emissions generated while a ship is within an EU port.

​

Shipping companies will have to surrender EU ETS emissions allowances (EU Allowances, EUAs) for each ton of reported CO2 emissions in the scope of the EU ETS. There is a phase-in period for the regulations, as allowances will have to be submitted for 40% of 2024 emissions, 70% of 2025 emissions and 100% of emissions for 2026 and subsequent years.

​

EUAs are valued based upon a market approach utilizing prices published on an EUA market index. The value of the EUAs to be provided to the Partnership under the time charter contracts with the charterers of its vessels is included in “Time charter and bareboat revenues” in the consolidated statements of operations. The value of the EUA obligations incurred by the Partnership under the EU ETS are included in “Vessel operating expenses” or “Voyage expenses and commission” when the vessel is off-hire or operating in the spot market. The EUAs are measured at the estimated cost of purchasing the credits from the EUA market, based on the date of completing a voyage.

​

(f) Financial Income (Expense)

Other finance expenses include external bank fees and commitment fees paid on undrawn revolving credit facility.

(g) Cash and Cash Equivalents

The Partnership considers all highly liquid investments with an original maturity of three months or less when purchased to be cash equivalents.

(h) Trade Accounts Receivable

Accounts receivables are recorded at the invoiced amount and do not bear interest. Time charter and bareboat charter contracts require customers to pay in advance of the period of hire.

The allowance for expected credit losses is the Partnership’s best estimate of the expected credit losses over the remaining lives of the assets. Expected credit losses are estimated using historical credit loss experience, relevant available information, from internal and external sources, relating to current conditions and reasonable and supportable forecasts of economic conditions impacting the collectability of the assets. There was no allowance for expected credit loss or amounts written off against the allowance as of December 31, 2025, 2024 and 2023.

The Partnership does not have any off-balance-sheet credit exposure related to its customers.

(i) Inventories

Inventories, which are comprised of lubricating oils and, for vessels not operating on time charter or bareboat charter, also bunkers, are stated at the lower of cost or net realizable value. For vessels on time charters or bareboat charters, there are no bunkers, as the charterer supplies the bunkers, which principally consist of fuel oil. Cost is determined using the first-in, first-out method for all inventories.

(j) Other Current Assets

Other current assets principally consist of prepaid expenses, other receivables and EUAs receivables from the charterers (EUAs relating to emissions required to be surrendered to the EU authorities are presented within Accrued expenses).

​

(k) Vessels and Equipment

Vessels and equipment are stated at the historical acquisition or construction cost, including capitalized interest, supervision and technical and delivery cost, net of accumulated depreciation and impairment loss, if any. Expenditures for subsequent conversions and major improvements are capitalized, provided that such costs increase the earnings capacity or improve the efficiency or safety of the vessels.

Generally, the Partnership drydocks each vessel every 60 months until the vessel is 15 years old and every 30 months thereafter, as required for the renewal of certifications issued by classification societies. For vessels operating on time charters, the Partnership capitalizes the costs directly associated with the classification and regulatory requirements for inspection of the vessels and improvements incurred during drydocking. Drydock cost is depreciated on a straight-line basis over the period until the next planned drydocking takes place. The Partnership expenses costs related to routine repairs and maintenance performed during drydocking or as otherwise incurred. For vessels that are newly built or acquired, an element of the cost of the vessel is initially allocated to a drydock component and depreciated on a straight-line basis over the period until the next planned drydocking. When significant dry-docking expenditures occur prior to the expiration of this period, the Partnership expenses the remaining balance of the original drydocking cost in the month of the subsequent drydocking. For vessels operating on bareboat charters, the charter-party bears the cost of any drydocking.

As of December 31, 2025, depreciation on vessels and equipment is calculated on a straight-line basis over the asset’s estimated useful life, less an estimated residual value, as follows:

​

​

​

​

​

  ​ ​ ​

Useful Life

Hull

 

20 years

Anchor-handling, loading and unloading equipment

 

20 years

Main/auxiliary engine

 

20 years

Thruster, dynamic positioning systems, cranes and other equipment

 

20 years

Drydock costs

 

2.5 – 5 years

​

A vessel is depreciated to its estimated residual value, which is calculated based on the weight of the ship and estimated steel price. Any cost related to the disposal is deducted from the residual value.

Prior to June 30, 2021, the useful life of the Partnership’s vessels and equipment was assessed as 25 years commencing from the date the vessel and equipment were delivered from the shipyard. The useful life was reassessed by the Partnership as being 23 years as of June 30, 2021. As of December 31, 2025, the Partnership considered factors related to the ongoing use of the vessels and equipment, gradual shifts in market conditions and other long-term factors associated with the global oil and maritime transportation industries and based on this has reassessed the useful life as being 20 years.

This change in estimate will be applied prospectively from January 1, 2026 and impacts the entire fleet of shuttle tanker vessels. The change in estimate did not impact income, net income nor earnings per share basic and diluted for the year ended December 31, 2025.

(l) Right-of-use assets and lease liabilities

The Partnership assesses whether a contract contains a lease at inception of the contract. The assessment involves the exercise of judgement about whether it depends on a specified asset, whether the Partnership obtains substantially all the economic benefits from the use of that asset, and whether the Partnership has the right to direct the use of the asset. The Partnership does not separate lease components from non-lease components as lessee. The Partnership recognizes a right-of-use asset and a lease liability at the lease commencement date, except for short-term leases of twelve months or less, which are expensed on a straight-line basis over the lease term.

(m) Capitalized Interest

Interest expense incurred on the Partnership’s debt during the construction of the Vessels exceeding one year is capitalized during the construction period.

(n) Impairment of Long-Lived Assets

Vessels and equipment, vessels under construction and intangible assets subject to amortization are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. If circumstances require a long-lived asset or asset group to be tested for possible impairment, the Partnership first compares undiscounted cash flows expected to be generated by that asset or asset group to its carrying value. If the carrying value of the long-lived asset or asset group is not recoverable on an undiscounted cash flow basis, impairment is recognized to the extent that the carrying value exceeds its fair value. Fair value is determined through various valuation techniques including discounted cash flow models, quoted market values and third-party independent appraisals, as considered necessary. See Note 21—Impairment of Long - Lived Assets.

(o) Intangibles

Intangible assets represent contractual rights for charters obtained in connection with business and asset acquisitions that have favorable contractual terms relative to market as of the acquisition dates. Contract liabilities represent contractual rights obtained in connection with business acquisitions that have unfavorable contractual terms relative to market as of the acquisition dates. The favorable and unfavorable contract rights have definite lives and are amortized to revenues over the period of the related contracts. Intangible assets with a definite life are tested for impairment whenever events or circumstances indicate that their carrying amount may not be recoverable. An impairment loss is recognized if the carrying amount exceeds the estimated fair value of the asset.

The contract related intangible liabilities and their amortization periods at acquisition dates are as follows:

​

​

​

​

​

​

Amortization

Intangible category

  ​ ​ ​

 Period

Unfavorable contractual rights—Fortaleza Knutsen

 

12 years

Unfavorable contractual rights—Recife Knutsen

 

12 years

Unfavorable contractual rights—Tuva Knutsen

​

12 years

Unfavorable contractual rights—Live Knutsen

​

8 years

Unfavorable contractual rights—Daqing Knutsen

​

7 years

​

The unfavorable contractual rights for charters associated with Fortaleza Knutsen and Recife Knutsen were obtained in connection with a step acquisition in 2008 that had unfavorable contractual terms relative to market as of acquisition date. The Fortaleza Knutsen and the Recife Knutsen commenced on their 12 years’ fixed bareboat charters in March 2011 and August 2011, respectively. The unfavorable contract rights related to Fortaleza Knutsen and Recife Knutsen are amortized to bareboat revenues on a straight-line basis over the 12 years’ contract period that expired in March 2023 and August 2023, respectively.

The unfavorable contractual rights for the time charter contract associated with Tuva Knutsen were obtained in connection with an acquisition in 2024 that had unfavorable contractual terms relative to market as of acquisition date. The Tuva Knutsen commenced on its 5 year time charter contract in February 2021, with options to declare additional terms for up to a total of 10 years. The unfavorable contract rights related to the Tuva Knutsen are split between the firm contract period and the option period and both are amortized to time charter revenue on a straight-line basis over the remaining term of their estimated period and the option ending in January 2036.

The unfavorable contractual rights for the time charter contract associated with Live Knutsen were obtained in connection with an acquisition in 2025 that had unfavorable contractual terms relative to market as of acquisition date. The Live Knutsen commenced on its 5 year time charter contract in January 2022, with options to declare additional terms for up to a total of 6 years. The unfavorable contract rights related to the Live Knutsen are split between the firm contract period and the option period and both are amortized to time charter revenue on a straight-line basis over the remaining term of their estimated period and the option ending in December 2032.

The unfavorable contractual rights for the time charter contract associated with Daqing Knutsen were obtained in connection with an acquisition in 2025 that had unfavorable contractual terms relative to market as of acquisition date. The Daqing Knutsen commenced on its 5 year time charter contract in July 2022, with options to declare additional terms for up to a total of 5 years. The unfavorable contract rights related to the Daqing Knutsen are split between the firm contract period and the option period and both are amortized to time charter revenue on a straight-line basis over the remaining term of their estimated period and the option ending in July 2032.

(p) Debt Issuance Costs

Debt issuance costs, including fees, commissions and legal expenses, are deferred and presented net of debt. Debt issuance costs of term loans are amortized over the term of the relevant loan. Amortization of debt issuance costs is included in interest expense. These costs are presented as a deduction from the corresponding liability, consistent with debt discount.

(q) Derivative Instruments

The Partnership uses derivatives to reduce market risks associated with its operations. The Partnership uses interest rate swaps for the management of interest risk exposure. The interest rate swaps effectively convert a portion of the Partnership’s debt from a floating to a fixed rate over the life of the transactions without an exchange of underlying principal.

The Partnership seeks to reduce its exposure to fluctuations in foreign exchange rates through the use of foreign currency forward contracts.

All derivative instruments are initially recorded at fair value as either assets or liabilities in the accompanying consolidated balance sheets and subsequently measured to fair value. The Partnership does not apply hedge accounting to its derivative instruments. Changes in the fair value of the derivative instruments are recognized in earnings. Gains and losses from the interest rate swap contracts of the Partnership related to long-term mortgage debt and foreign exchange forward contracts are recorded in realized and unrealized gain (loss) on derivative instruments in the consolidated statements of operations. Cash flows related to interest rate swap contracts are presented as cash flows provided by operating activities. Cash flows related to foreign exchange forward contracts entered into to economically hedge operating expenses in currencies other than U.S. Dollars are presented as cash flows provided by operating activities in the consolidated statements of cash flows, while cash flows related to foreign exchange forward contracts entered into to hedge contractual obligations to pay the shipyard in currencies other than functional currency of U.S. Dollars are presented as cash flows used in investing activities in the consolidated statements of cash flows.

(r) Income Taxes

Historically, part of the Partnership’s activities were subject to ordinary taxation and taxes were paid on taxable income (including operating income and net financial income and expense), while part of the activities were subject to the Norwegian Tonnage Tax Regime (the “tonnage tax regime”). Under the tonnage tax regime, tax is based on the tonnage of the vessel, and not operating income. Net financial income and expense remain taxable as ordinary income at the regular corporate income tax rate. Income taxes arising from the part of activities subject to ordinary taxation are included in income tax expense in the consolidated statements of operations. For the portion of activities subject to the tonnage tax regime, tonnage taxes are classified as vessel operating expenses, while the current and deferred taxes arising on net financial income and expense are reflected as income tax expense in the consolidated statements of operations. See Note 18—Income Taxes.

The Partnership accounts for deferred income taxes using the liability method. Under the liability method, deferred tax assets and liabilities are recognized for the anticipated future tax effects of temporary differences between the financial statement basis and the tax basis of the Partnership’s assets and liabilities using enacted tax rates expected to apply to taxable income in the years in which

these temporary differences are expected to be recovered or settled. A valuation allowance for deferred tax assets is recorded when it is more likely than not that some or all of the benefit from the deferred tax asset will not be realized.

Recognition of uncertain tax positions is dependent upon whether it is more-likely-than-not that a tax position taken or expected to be taken in a tax return will be sustained upon examination, including resolution of any related appeals or litigation processes, based on the technical merits of the position. If a tax position meets the more-likely-than-not recognition threshold, it is measured to determine the amount of benefit to recognize in the consolidated financial statements based on U.S. GAAP guidance. The Partnership recognizes interest and penalties related to uncertain tax positions in income tax expense.

(s) Prepaid Charter

Under terms of the time charters and bareboat charters, the customer pays for the month’s charter the first day of each month. If they pay in advance, the amount is recorded as prepaid charter revenues.

(t) Commitments, Contingencies and Insurance Proceeds

Liabilities for loss contingencies arising from claims, assessments, litigation, fines and penalties and other sources are recorded when it is probable that a liability has been incurred and the amount can be reasonably estimated. Legal costs incurred in connection with loss contingencies are expensed as incurred. See Note 20—Commitments and Contingencies

Insurance claims for property damage for recoveries up to the amount of loss recognized are recorded when the claims submitted to insurance carriers are probable of recovery. Claims for property damage in excess of the loss recognized and for loss of hire are considered gain contingencies, which are generally recognized when the proceeds are received.

(u) Fair Value Measurements

The Partnership utilizes valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible. The Partnership determines fair value based on assumptions that market participants would use in pricing an asset or liability in the principal or most advantageous market. When considering market participant assumptions in fair value measurements, the following fair value hierarchy distinguishes between observable and unobservable inputs, which are categorized in one of the following levels:

●Level 1 Inputs: Unadjusted quoted prices in active markets for identical assets or liabilities accessible to the reporting entity at the measurement date
●Level 2 Inputs: Other than quoted prices included in Level 1 inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the asset or liability.
●Level 3 Inputs: Unobservable inputs for the asset or liability used to measure fair value to the extent that observable inputs are not available, thereby allowing for situations in which there is little, if any, market activity for the asset or liability at the measurement date.

(v) Recently Adopted Accounting Standards

On December 14, 2023, the Financial Accounting Standards Board (“FASB”) issued an amendment to the Accounting Standard Update (“ASU”) ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures. The guidance requires disaggregated information about a reporting entity’s effective tax rate reconciliation as well as information on income taxes paid. The standard is intended to benefit investors by providing more detailed income tax disclosures that would be useful in making capital allocation decisions. This guidance is effective for periods beginning after December 15, 2024, with early adoption permitted. The amendments in this update should be applied either prospectively or retrospectively to all periods presented in the financial statements. The adoption of ASU 2023-09 did not have a material impact on the Partnership’s consolidated financial statements and disclosures.

(w) New Accounting Standards Not Yet Adopted

On November 4, 2024, the FASB issued ASU 2024-03 Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures (DISE), which requires a public entity to disclose, on an annual and interim basis, disaggregated information about certain income statement line items in a tabular format in the notes to the financial statements. The ASU, which does not change what a public entity presents on the face of its income statement, establishes a new subtopic, ASC 220-40, that sets minimum disaggregated expense disclosure requirements. The ASU also requires separate disclosures of selling expenses and an entity’s definition of those expenses. The new guidance is effective for public entities for fiscal years beginning after December 15, 2026, and interim periods within fiscal years beginning after December 15, 2027. Early adoption is permitted. The Partnership has not yet adopted this ASU and is in the process of evaluating the impact of the adoption of this pronouncement on its consolidated financial statements and related disclosures.

On December 4, 2025, the FASB issued ASU 2025-10, Government Grants (Topic 832): Accounting for Government Grants Received by Business Entities, to establish guidance on the recognition, measurement, and presentation of government grants received by business entities. The new guidance leverages the principles in the accounting framework for government assistance in International Financial Reporting Standards (“IFRS”), specifically IAS 20, Accounting for Government Grants and Disclosure of Government Assistance; makes certain targeted improvements; and modifies certain of the existing disclosure requirements in ASC 832, Government Assistance. The new guidance is effective for public business entities in annual periods beginning after December 15, 2028 (including interim periods within) and one year later for all other entities, with early adoption permitted in any period for which financial statements have not yet been issued. The guidance can be applied on a modified prospective basis, a modified retrospective basis, or a full retrospective basis. The new guidance is not expected to materially impact the Partnership.

The Partnership has reviewed all other recently issued accounting pronouncements and has not identified any new or amended standards that would have a material impact on the Partnership’s current accounting policies.
v3.26.1
Formation Transactions and Initial Public Offering
 12 Months Ended
Dec. 31, 2025
Formation Transactions and Initial Public Offering  
Formation Transactions and Initial Public Offering

3) Formation Transactions and Initial Public Offering

During April 2013, the following transactions occurred in connection with KNOT’s transfer of the interests in KNOT Shuttle Tankers AS and the subsequent IPO:

Capital Contribution

(i)KNOT contributed to the Partnership’s subsidiary KNOT Offshore Partners UK LLC (“KNOT UK”) its 100% interest in KNOT Shuttle Tankers AS, which directly or indirectly owned (1) Knutsen Shuttle Tankers XII KS, the owner of the Recife Knutsen and the Fortaleza Knutsen, (2) Knutsen Shuttle Tankers XII AS, the general partner of Knutsen Shuttle Tankers XII KS, and (3) the Windsor Knutsen and the Bodil Knutsen and all of their related charters, inventory and long-term debt. This was accounted for as a capital contribution by KNOT to the Partnership.

Recapitalization of the Partnership

(ii)The Partnership issued to KNOT 8,567,500 subordinated units, representing a 49.0% limited partner interest in the Partnership, and 100% of the incentive distribution rights (“IDRs”), which entitled KNOT to increasing percentages of the cash the Partnership distributed in excess of $0.43125 per unit per quarter.
(iii)The Partnership issued 349,694 general partner units to the General Partner representing a 2.0% general partner interest in the Partnership.

Initial Public Offering

(iv)In connection with the IPO, the Partnership issued and sold to the public, through the underwriters, 8,567,500 common units (including 1,117,500 common units sold pursuant to the full exercise of the underwriters’ option to purchase additional units), representing a 49.0% limited partner interest in the Partnership. The price per common unit in the IPO was $21.00. The Partnership received gross proceeds of approximately $179.9 million in connection with the IPO. Expenses relating to the IPO, including, among other things, incremental costs directly attributable to the IPO, were deferred and charged against the gross proceeds of the IPO, whereas other costs were expensed as incurred. The net proceeds of the IPO (approximately $160.7 million, after deducting underwriting discounts, commissions and structuring fees and offering expenses payable by the Partnership) were used by the Partnership to make a cash distribution to KNOT of approximately $21.95 million (which equals net proceeds from the underwriters’ option exercised in full after deducting the underwriting discounts and commissions), to repay approximately $118.9 million of outstanding debt and pre-fund approximately $3.0 million of the Partnership’s one-time entrance tax into the Norwegian tonnage tax regime. The remainder of the net proceeds was made available for general partnership purposes.

Agreements

In connection with the IPO, at or prior to the closing of the IPO, the Partnership entered into several agreements, including:

●An Administrative Services Agreement with KNOT UK, pursuant to which:
●KNOT UK agreed to provide to the Partnership administrative services; and
●KNOT UK is permitted to subcontract certain of the administrative services provided under the administrative services agreement to Knutsen OAS (UK) Ltd. (“KOAS UK”) and Knutsen OAS Shipping AS (“KOAS”), both wholly owned subsidiaries of TS Shipping Invest AS (“TSSI”);
●Amended Technical Management Agreements with KNOT Management AS (“KNOT Management”), a wholly owned subsidiary of KNOT, that govern the crew, technical and commercial management of the vessels in the fleet;
●A Contribution and Sale Agreement with KNOT pursuant to which the Partnership acquired the entities that comprised its initial fleet;
●Amendments to certain of the Partnership’s existing vessel financing agreements to permit the transactions pursuant to which the Partnership acquired its initial fleet in connection with the IPO and to include a $20.0 million revolving credit facility; and
●An Omnibus Agreement with KNOT, the General Partner and the other parties thereto governing, among other things:
●To what extent the Partnership and KNOT may compete with each other;
●The Partnership’s option to purchase the Carmen Knutsen, the Hilda Knutsen, the Torill Knutsen, the Ingrid Knutsen and the Raquel Knutsen from KNOT;
●Certain rights of first offer on shuttle tankers operating under charters of five or more years;
●The provision of certain indemnities to the Partnership by KNOT; and
●KNOT’s guarantee of the payment of the hire rate under the original Bodil Knutsen and Windsor Knutsen charters for a period of five years following the closing date of the IPO.

​
v3.26.1
Subsidiaries
 12 Months Ended
Dec. 31, 2025
Subsidiaries  
Subsidiaries

4) Subsidiaries

The following table lists the Partnership’s subsidiaries and their purpose as of December 31, 2025.

​

​

​

​

Company Name

  ​ ​ ​

Jurisdiction of Formation

  ​ ​ ​

Purpose

 

KNOT Offshore Partners UK LLC

​

Marshall Islands

​

Holding Company

​

KNOT Shuttle Tankers AS

​

Norway

​

Holding Company

​

KNOT Shuttle Tankers 17 AS

​

Norway

​

Owner of the Bodil Knutsen

​

KNOT Shuttle Tankers 18 AS

​

Norway

​

Owner of the Windsor Knutsen

​

Knutsen Shuttle Tankers XII AS

​

Norway

​

Owner of the Fortaleza Knutsen and the Recife Knutsen

​

Knutsen Shuttle Tankers 13 AS

​

Norway

​

Owner of the Carmen Knutsen

​

Knutsen Shuttle Tankers 14 AS

​

Norway

​

Owner of the Hilda Knutsen

​

Knutsen Shuttle Tankers 15 AS

​

Norway

​

Owner of the Torill Knutsen

​

Knutsen NYK Shuttle Tankers 16 AS

​

Norway

​

Owner of the Ingrid Knutsen

​

Knutsen Shuttle Tankers 19 AS

​

Norway

​

Owner of the Raquel Knutsen

​

KNOT Shuttle Tankers 24 AS

​

Norway

​

Owner of the Tordis Knutsen

​

KNOT Shuttle Tankers 25 AS

​

Norway

​

Owner of the Vigdis Knutsen

​

KNOT Shuttle Tankers 26 AS

​

Norway

​

Owner of the Lena Knutsen

​

KNOT Shuttle Tankers 27 AS

​

Norway

​

Owner of the Live Knutsen

​

KNOT Shuttle Tankers 32 AS

​

Norway

​

Owner of the Brasil Knutsen

​

KNOT Shuttle Tankers 30 AS

​

Norway

​

Owner of the Anna Knutsen

​

KNOT Shuttle Tankers 34 AS

​

Norway

​

Owner of the Tove Knutsen

​

KNOT Shuttle Tankers 35 AS

​

Norway

​

Owner of the Synnøve Knutsen

​

KNOT Shuttle Tankers 31 AS

​

Norway

​

Owner of the Tuva Knutsen

​

KNOT Shuttle Tankers 37 AS

​

Norway

​

Owner of the Daqing Knutsen

​

​
v3.26.1
Significant Risks and Uncertainties Including Business and Credit Concentrations
 12 Months Ended
Dec. 31, 2025
Significant Risks and Uncertainties Including Business and Credit Concentrations  
Significant Risks and Uncertainties Including Business and Credit Concentrations

5) Significant Risks and Uncertainties Including Business and Credit Concentrations

The Partnership’s operational results are dependent on the worldwide market for shuttle tankers and the ability of the Partnership to timely enter into customer charters. Market conditions for shipping activities are typically volatile, and, as a consequence, the hire rates the Partnership may be able to achieve might vary over time. The market today is mainly dependent upon four factors: the supply of vessels, the demand for vessels and oil, the long-term oil price outlook and overall growth in the world economy. The general supply of vessels is impacted by the number of newbuilds, the removal of older vessels from the market and legislation that may limit the use of older vessels or new standards for vessels used in specific trades.

As of December 31, 2025, all of the Partnership’s Vessel crews, which are employed through KOAS, were represented by collective bargaining agreements that are renegotiated annually, or bi-annually.

The Partnership did not incur any loss relating to its trade receivables during the years ended December 31, 2025, 2024 and 2023.

The following table presents time charter and bareboat revenues and percentage of revenues for material customers that accounted for 10% and more of the Partnership’s revenues during the years ended December 31, 2025, 2024 and 2023. Aside from KNOT, all of these customers are subsidiaries of major international oil companies.

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Year Ended December 31, 

​

(U.S. Dollars in thousands)

  ​ ​ ​

2025

  ​ ​ ​

2024

  ​ ​ ​

2023

​

Brazil Shipping I Limited, a subsidiary of Royal Dutch Shell

  ​ ​ ​

$

80,986

  ​ ​ ​

22

%  

$

73,337

  ​ ​ ​

24

%  

$

33,019

  ​ ​ ​

12

%

Equinor ASA

​

​

55,186

 

15

%  

​

53,297

 

17

%  

​

36,563

 

13

%

Eni Trading and Shipping S.p.A.

​

 

46,734

 

13

%  

 

6,636

 

2

%  

 

—

 

—

%

Repsol Sinopec Brasil, S.A., a subsidiary of Repsol Sinopec Brasil, B.V., combined with Repsol Trading S.A.

​

 

38,422

 

11

%  

 

41,235

 

13

%  

 

36,946

 

13

%

Chartering and Shipping Service S.A., a subsidiary of TotalEnergies

​

 

38,433

 

11

%  

 

24,127

 

8

%  

 

41,030

 

14

%

Fronape International Company, a subsidiary of Petrobras Transporte S.A.

​

​

36,903

 

10

%  

​

42,238

 

14

%  

​

51,743

 

18

%

KNOT

​

$

2,834

​

1

%  

$

28,008

​

9

%  

$

28,682

​

10

%

​

The Partnership has financial assets that expose it to credit risk arising from possible default by a counterparty. The Partnership considers its counterparties to be creditworthy banking and financial institutions and does not expect any significant loss to result from non-performance by such counterparties. The maximum loss due to credit risk that the Partnership would incur if counterparties failed completely to perform would be the carrying value of cash and cash equivalents, and derivative assets. The Partnership, in the normal course of business, does not demand collateral from its counterparties.
v3.26.1
Operating Leases
 12 Months Ended
Dec. 31, 2025
Operating Leases  
Operating Leases

6) Operating Leases

Revenues

The Partnership’s primary source of revenues is chartering its shuttle tankers to its customers. The Partnership uses two types of contracts, time charter contracts and bareboat charter contracts. The Partnership’s time-charter contracts include both a lease component, consisting of the bareboat element of the contract, and non-lease component, consisting of operation of the vessel for the customers, which includes providing the crewing and other services related to the Vessel’s operations, the cost of which is included in the daily hire rate, except when off hire.

The following table presents the Partnership’s revenues by time charter, bareboat charters and other revenues for the years ended December 31, 2025, 2024 and 2023:

​

​

​

​

​

​

​

​

​

​

​

​

​

Year Ended December 31, 

(U.S. Dollars in thousands)

  ​ ​ ​

2025

  ​ ​ ​

2024

  ​ ​ ​

2023

Time charter revenues (service element included)

​

$

359,094

​

$

302,061

​

$

246,670

Bareboat charter revenues

​

​

2,091

​

​

4,854

​

​

30,414

Total time charter and bareboat revenues

​

​

361,185

​

​

306,915

​

​

277,084

Other revenues (voyage revenues, loss of hire insurance recoveries and other income)

​

​

3,258

​

​

11,684

​

​

13,632

Total revenues

​

$

364,443

​

$

318,599

​

$

290,716

​

See Note 2(l)—Right-of-use assets and lease liabilities.

As of December 31, 2025, the minimum contractual future revenues to be received from time charters and bareboat charters during the next five years and thereafter are as follows (including the service element of time charters, but excluding unexercised customer option periods and excluding any contracted revenues signed after December 31, 2025):

​

​

​

​

​

(U.S. Dollars in thousands)

  ​ ​ ​

​

​

2026

​

$

339,036

2027

​

​

260,287

2028

​

​

151,940

2029

​

​

93,032

2030

​

​

48,062

2031 and thereafter

​

​

37,485

Total

 

$

929,842

​

The minimum contractual future revenues should not be construed to reflect total charter hire revenues for any of the years. Minimum contractual future revenues are calculated based on certain assumptions such as operating days per year. In addition, minimum contractual future revenues presented in the table above have not been reduced by estimated off-hire time for periodic maintenance. The amounts may vary given unscheduled future events such as vessel maintenance.

The Partnership’s fleet as of December 31, 2025 consisted of:

●the Fortaleza Knutsen, a shuttle tanker built in 2011 that is currently operating under a time charter contract that expires in April 2026 with Fronape International Company, a subsidiary of Petrobras Transporte S.A. (“Transpetro”). Following a scheduled drydocking, the vessel will commence operating under a time charter with KNOT in the second quarter of 2026 for a fixed period of one year, with options for the charterer to extend the charter by two one year periods.
●the Recife Knutsen, a shuttle tanker built in 2011 that is currently operating under a time charter contract that expires in August 2026 with Transpetro;
●the Bodil Knutsen, a shuttle tanker built in 2011 that is currently operating under a time charter contract with Equinor that expires in March 2029, with options for the charterer to extend the charter by two further one-year periods;
●the Windsor Knutsen, a conventional oil tanker built in 2007 and retrofitted to a shuttle tanker in 2011 that is currently operating under a time charter contract with ExxonMobil that expires in June 2027;
●the Carmen Knutsen, a shuttle tanker built in 2013 that is currently operating under a time charter that expires in January 2026, with Repsol Sinopec Brasil, S.A. a subsidiary of Repsol Sinopec Brasil, B.V. (“Repsol”). Thereafter, the Carmen Knutsen will commence a new time charter with PetroChina in February 2026 that expires in February 2030 with an option for the charterer to extend the charter one additional year;
●the Hilda Knutsen, a shuttle tanker built in 2013 that is currently operating under a time charter with Brazil Shipping I Limited, a subsidiary of Royal Dutch Shell (“Shell”) that expires in March 2027;
●the Torill Knutsen, a shuttle tanker built in 2013 that is currently operating under a time charter with Eni Trade and Biofuels S.p.A. (“Eni”), that expires in December 2027, with options for the charterer to extend the charter by three one-year periods;
●the Ingrid Knutsen, a shuttle tanker built in 2013 currently operating under a time charter contract with Eni that expires in October 2026, with options for the charterer to extend the charter by two one-year periods;
●the Raquel Knutsen, a shuttle tanker built in 2015 that is currently operating under a time charter that expires in June 2028 with Repsol, with options for the charterer to extend the charter by one two-year period;
●the Tordis Knutsen, a shuttle tanker built in 2016 that is currently operating under a time charter with Shell that expires in July 2028, with options for the charterer to extend the charter by three one-year periods;
●the Vigdis Knutsen, a shuttle tanker built in 2017 that is currently operating under a bareboat charter with Shell that expires in November 2030, with an option for the charterer to extend the charter for two years;
●the Lena Knutsen, a shuttle tanker built in 2017 that is currently operating under a time charter with Shell that expires in September 2028, with options for the charterer to extend the charter by three one-year periods;
●the Brasil Knutsen, a shuttle tanker built in 2013 that is currently operating under a time charter with Equinor that expires in November 2027 with options for the charterer to extend the charter by two one-year periods;
●the Anna Knutsen, a shuttle tanker built in 2017 that is currently operating under a time charter with TotalEnergies that expires in May 2027. Thereafter, the Anna Knutsen will commence a new time charter with an oil major in June 2027 for a fixed period of one year plus a charterer’s option to extend the charter by three one-year periods;
●the Tove Knutsen, a shuttle tanker built in 2020 that is currently operating under a time charter that expires in November 2027 with Equinor, with multiple options to extend the charter until November 2040;
●the Synnøve Knutsen, a shuttle tanker built in 2020 that is currently operating under a time charter that expires in February 2027 with Equinor, with multiple options to extend the charter until February 2042;
●the Tuva Knutsen, a shuttle tanker built in 2021 that is currently operating under a time charter that expires in February 2029 with TotalEnergies, with multiple options to extend the charter until February 2036. As part of the Tuva Knutsen Acquisition, KNOT has effectively guaranteed the hire rate for the Tuva Knutsen until September 2031 on the same basis as if TotalEnergies had exercised its options through such date;
●the Live Knutsen, a shuttle tanker built in 2021 that is currently operating under a time charter that expires in December 2026 with Galp Sinopec, with multiple options to extend the charter until December 2032. As part of the Live Knutsen Acquisition, KNOT has effectively guaranteed the hire rate for the Live Knutsen until November 2029 on the same basis as if Galp Sinopec had exercised its options through such date; and
●the Daqing Knutsen, a shuttle tanker built in 2021 that is currently operating under a time charter that expires in July 2027 with PetroChina, with an option to extend the charter until July 2032. As part of the Daqing Knutsen Acquisition, KNOT has effectively guaranteed the hire rate for the Daqing Knutsen until July 2032 on the same basis as if PetroChina had exercised its options through such date.

Lease obligations

The Partnership does not have any material leased assets but has some leased equipment on operational leases on the various ships operating on time charter contracts. As of December 31, 2025 and 2024, the right-of-use asset and lease liability for operating leases was $0.9 million and $1.3 million and are presented as separate line items on the balance sheets, respectively. The operating lease cost and corresponding cash flow effect for 2025 was $0.5 million. As of December 31, 2025, the weighted average discount rate for the operating leases for the portfolio was 6.35%. The rate was determined using the expected incremental borrowing rate for a loan facility of similar term. As of December 31, 2025, the weighted average remaining lease terms are 2.1 years.

A maturity analysis of the Partnership’s lease liabilities from leased-in equipment as of December 31, 2025 is as follows:

​

​

​

​

​

(U.S. Dollars in thousands)

  ​ ​ ​

  ​

​

2026

​

$

449

2027

​

​

449

2028

​

​

37

2029

​

​

—

2030 and thereafter

​

​

—

Total

​

​

935

Less imputed interest

​

 

60

Carrying value of operating lease liabilities

​

$

875

​
v3.26.1
Segment Information
 12 Months Ended
Dec. 31, 2025
Segment Information  
Segment Information

7) Segment Information

The Partnership has one reportable segment: the shuttle tanker segment. The shuttle tanker segment generates revenues by charging customers for the hire of our vessels and for services related to the loading, transportation and discharge of their crude oil using the vessels in our fleet. We mainly provide all of these services under time charters and bareboat charters. As of December 31, 2025, the Partnership’s fleet consisted of eighteen vessels operating under time charters and one vessel operating under a bareboat charter. As of December 31, 2024, the Partnership’s fleet consisted of eighteen vessels, and operated solely under time charters. In both time charters and bareboat charters, the charterer, not the Partnership, controls the choice of which trading areas the Vessels will serve. Accordingly, the Partnership’s chief operating decision maker does not evaluate performance according to geographical region.

The following table presents time charter and bareboat revenues and percentages of revenues for material customers that accounted for more than 10% of the Partnership’s consolidated revenues during the years ended December 31, 2025, 2024 and 2023. Aside from KNOT, all of these customers are subsidiaries of major national or international oil companies.

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Year Ended December 31, 

​

(U.S. Dollars in thousands)

  ​ ​ ​

2025

  ​ ​ ​

2024

  ​ ​ ​

2023

​

Brazil Shipping I Limited, a subsidiary of Royal Dutch Shell

  ​ ​ ​

$

80,986

  ​ ​ ​

22

%  

$

73,337

  ​ ​ ​

24

%  

$

33,019

  ​ ​ ​

12

%

Equinor ASA

​

​

55,186

 

15

%  

​

53,297

 

17

%  

​

36,563

 

13

%

Eni Trading and Shipping S.p.A.

​

 

46,734

 

13

%  

 

6,636

 

2

%  

 

—

 

—

%

Repsol Sinopec Brasil, S.A., a subsidiary of Repsol Sinopec Brasil, B.V., combined with Repsol Trading S.A.

​

 

38,422

 

11

%  

 

41,235

 

13

%  

 

36,946

 

13

%

Chartering and Shipping Service S.A., a subsidiary of TotalEnergies

​

 

38,433

 

11

%  

 

24,127

 

8

%  

 

41,030

 

14

%

Fronape International Company, a subsidiary of Petrobras Transporte S.A.

​

​

36,903

 

10

%  

​

42,238

 

14

%  

​

51,743

 

18

%

KNOT

​

$

2,834

​

1

%  

$

28,008

​

9

%  

$

28,682

​

10

%

​

The Partnership has financial assets that expose it to credit risk arising from possible default by a counterparty. The Partnership considers its counterparties to be creditworthy banking and financial institutions and does not expect any significant loss to result from non-performance by such counterparties. The maximum loss due to credit risk that the Partnership would incur if counterparties failed completely to perform would be the carrying value of cash and cash equivalents, and derivative assets. The Partnership, in the normal course of business, does not demand collateral from its counterparties.

The accounting policies of the shuttle tanker segment are the same as those described in the summary of significant accounting policies.

The chief operating decision maker manages the business activities on a consolidated basis and assesses performance for the shuttle tanker segment based on operating income that also is reported on the Consolidated Statements of Operations. Although separate vessel financial information is available, the chief operating decision maker internally evaluates the performance of the Partnership as a whole and not on basis of each vessel or charters. As a result, the Partnership has determined that it has one reportable segment. Consolidated expense information presented within the Consolidated Statements of Operations are considered to be significant expenses as they are important to the Partnership’s segment and regularly reported to the chief operating decision maker. The Partnership has not identified any other significant expense categories. The measure of segment assets is reported on the balance sheets as Consolidated Balance Sheets.

The chief operating decision maker uses operating income to evaluate performance and allocation of resources. In this industry, the nature of allocation of resources for new capital expenditure is typically not related to the existing vessels but would rather result in the acquisition or construction of a new shuttle tanker. Typically, such investment decisions are not made on a speculative basis but would occur when a specific long-term customer contract has already been negotiated. The ability to negotiate a contract with acceptable terms to justify such a major capital expenditure is dependent on the prevailing market conditions at the time of the negotiation rather than on historical indicators of operations. Much of the ongoing capital expenditure is driven by classification requirements and is to a large extent unavoidable.

The decisions related to resource allocation and the assessment of the operating results of the Partnership is the responsibility of board of directors, top executives and the entity that has technical management of the vessels on time charters. The Partnership’s chief operating decision maker is as such the Board of Directors.

The Partnership does not have intra-entity sales or transfers.

For information about reported segment assets, segment revenue, significant segment expense categories and segment profit or loss, reference is made to the Consolidated Balance Sheets and Consolidated Statements of Operations.
v3.26.1
Insurance Proceeds
 12 Months Ended
Dec. 31, 2025
Insurance Proceeds  
Insurance Proceeds

8) Insurance Proceeds

Insurance claims for property damage for recoveries up to the amount of loss recognized are recorded when the claims submitted to insurance carriers are probable of recovery. Claims for property damage in excess of the loss recognized and for loss of hire are recognized when the proceeds are received. As of December 31, 2025, the Partnership had open insurance claims for loss of hire and hull and machinery recoveries of $0.0 million and $0.02 million, respectively, which were recorded as part of Other current assets. As of December 31, 2024, the Partnership had open insurance claims for loss of hire and hull and machinery recoveries of $3.9 million and $0.0 million, respectively, which were recorded as part of Other current assets. See Note 12(b)—Other Current Assets.

As of December 31, 2023, loss of hire proceeds of $2.8 million related to the Synnøve Knutsen, the Windsor Knutsen, the Lena Knutsen, and the Tove Knutsen were recognized as a component of the total revenues, since day rates are recovered under the terms of the policy.

As of December 31, 2024, loss of hire proceeds of $6.0 million related to the Brasil Knutsen and the Torill Knutsen were recognized as a component of total revenues, since day rates are recovered under the terms of the policy.

​

As of December 31, 2025, loss of hire proceeds of $0.6 million related to the Live Knutsen were recognized as a component of total revenues, since day rates are recovered under the terms of the policy.

​
v3.26.1
Other Finance Expenses
 12 Months Ended
Dec. 31, 2025
Other Finance Expenses  
Other Finance Expenses

9) Other Finance Expenses

(a) Interest Expense

The following table presents the components of interest expense as reported in the consolidated statements of operations for the years ended December 31, 2025, 2024 and 2023:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Year Ended December 31, 

(U.S. Dollars in thousands)

  ​ ​ ​

2025

  ​ ​ ​

2024

  ​ ​ ​

2023

Interest expense

​

$

59,639

​

$

65,131

​

$

69,567

Amortization of debt issuance cost and fair value of debt assumed

​

 

2,391

​

 

2,221

​

 

2,503

Total interest expense

​

$

62,030

​

$

67,352

​

$

72,070

​

(b) Other Finance Expense

The following table presents the components of other finance expense for the years ended December 31, 2025, 2024 and 2023:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Year Ended December 31, 

(U.S. Dollars in thousands)

  ​ ​ ​

2025

  ​ ​ ​

2024

  ​ ​ ​

2023

Bank fees, charges

​

$

532

​

$

258

​

$

554

Guarantee costs

​

​

—

​

​

60

​

​

—

Commitment fees

​

 

223

 

 

40

 

 

35

Total other finance expense

​

$

755

 

$

358

 

$

589

​
v3.26.1
Derivative Instruments
 12 Months Ended
Dec. 31, 2025
Derivative Instruments  
Derivative Instruments

10) Derivative Instruments

Interest Rate Risk Management

The consolidated financial statements include the results of interest rate swap contracts to manage the Partnership’s exposure related to changes in interest rates on its variable rate debt instruments and the results of foreign exchange forward contracts to manage its exposure related to changes in currency exchange rates on its operating expenses, mainly crew expenses, in currency other than the U.S. Dollar and on its contract obligations. The Partnership does not apply hedge accounting for derivative instruments. The Partnership does not speculate using derivative instruments.

By using derivative financial instruments to economically hedge exposures to changes in interest rates, the Partnership exposes itself to credit risk and market risk. Derivative instruments that economically hedge exposures are used for risk management purposes, but these instruments are not designated as hedges for accounting purposes. Credit risk is the failure of the counterparty to perform under the terms of the derivative instrument. When the fair value of a derivative instrument is positive, the counterparty owes the Partnership, which creates credit risk for the Partnership. When the fair value of a derivative instrument is negative, the Partnership owes the counterparty, and, therefore, the Partnership is not exposed to the counterparty’s credit risk in those circumstances. The Partnership minimizes counterparty credit risk in derivative instruments by entering into transactions with major banking and financial institutions. The derivative instruments entered into by the Partnership do not contain credit risk-related contingent features. The Partnership has not entered into master netting agreements with the counterparties to its derivative financial instrument contracts.

Market risk is the adverse effect on the value of a derivative instrument that results from a change in interest rates, currency exchange rates or commodity prices. The market risk associated with interest rate contracts is managed by establishing and monitoring parameters that limit the types and degree of market risk that may be undertaken.

The Partnership assesses interest rate risk by monitoring changes in interest rate exposures that may adversely impact expected future cash flows and by evaluating economical hedging opportunities.

The Partnership has historically used variable interest rate mortgage debt to finance its vessels. The variable interest rate mortgage debt obligations expose the Partnership to variability in interest payments due to changes in interest rates. The Partnership believes that it is prudent to limit the variability of a portion of its interest payments. To meet this objective, the Partnership has historically entered into interest rate swap contracts to manage fluctuations in cash flows resulting from changes in the benchmark Secured Overnight Financing Rate (“SOFR”). These swaps change a portion of the Partnership’s total variable rate cash flow exposure on the mortgage debt obligations to fixed cash flows. Under the terms of the interest rate swap contracts, the Partnership receives SOFR-based variable interest rate payments and makes fixed interest rate payments, thereby creating the equivalent of fixed rate debt for the notional amount of its debt hedged.

As of December 31, 2025 and 2024, the total notional amount of the Partnership’s outstanding interest rate swap contracts that were entered into in order to hedge outstanding or forecasted debt obligations were $325.0 million and $417.9 million, respectively. As of December 31, 2025 and 2024, the carrying amount of the interest rate swap contracts was a net asset of $3.0 million and a net asset of $13.3 million, respectively. See Note 11—Fair Value Measurements.

Changes in the fair value of interest rate swap contracts are reported in realized and unrealized gain (loss) on derivative instruments in the same period in which the related interest affects earnings.

The Partnership and its subsidiaries utilize the U.S. Dollar as their functional and reporting currency, because all of their revenues and the majority of their expenditures, including the majority of their investments in vessels and their financing transactions, are denominated in U.S. Dollars. Payment obligations in currencies other than the U.S. Dollar, and in particular operating expenses in NOK, expose the Partnership to variability in currency exchange rates. The Partnership believes that it is prudent to limit the variability of a portion of its currency exchange exposure where possible. To meet this objective, the Partnership at times has entered into foreign exchange forward contracts to manage fluctuations in cash flows resulting from changes in the exchange rates towards the U.S. Dollar. The agreements change the variable exchange rate to fixed exchange rates at agreed dates.

The following table presents the realized and unrealized gains and losses that are recognized in earnings as net gain (loss) on derivative instruments for the years ended December 31, 2025, 2024 and 2023:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Year Ended December 31, 

(U.S. Dollars in thousands)

  ​ ​ ​

2025

  ​ ​ ​

2024

  ​ ​ ​

2023

Realized gain (loss):

 

​

  ​

 

​

  ​

 

​

  ​

Interest rate swap contracts

​

$

9,508

​

$

15,518

​

$

14,648

Foreign exchange forward contracts

​

 

—

​

 

—

​

 

(79)

Total realized gain (loss):

​

 

9,508

​

 

15,518

​

 

14,569

Unrealized gain (loss):

​

 

​

​

 

​

​

 

  ​

Interest rate swap contracts

​

 

(10,432)

​

 

(8,720)

​

 

(9,200)

Total unrealized gain (loss):

​

 

(10,432)

​

 

(8,720)

​

 

(9,200)

Total net realized gain and unrealized loss on derivative instruments:

​

$

(924)

​

$

6,798

​

$

5,369

​
v3.26.1
Fair Value Measurements
 12 Months Ended
Dec. 31, 2025
Fair Value Measurements  
Fair Value Measurements

11) Fair Value Measurements

(a) Fair Value of Assets and Liabilities

The following table presents the carrying amounts and estimated fair values of the Partnership’s assets and liabilities that are measured at fair value on a recurring basis as of December 31, 2025 and December 31, 2024. Fair value is defined as the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

December 31, 2025

​

December 31, 2024

​

  ​ ​ ​

Carrying 

  ​ ​ ​

Fair 

  ​ ​ ​

Carrying 

  ​ ​ ​

Fair 

(U.S. Dollars in thousands)

 

Amount  

 

Value  

 

Amount  

 

Value  

Recurring:

​

​

​

​

​

​

​

​

​

​

​

​

Financial assets:

​

​

​

​

​

​

​

​

​

​

​

​

Cash and cash equivalents

​

$

88,983

​

$

88,983

​

$

66,933

​

$

66,933

Current derivative assets:

​

 

  ​

​

 

  ​

​

 

  ​

​

 

  ​

Interest rate swap contracts

​

 

2,276

​

 

2,276

​

 

8,112

​

 

8,112

Non-current derivative assets:

​

 

​

​

 

  ​

​

 

​

​

 

  ​

Interest rate swap contracts

​

 

1,908

​

 

1,908

​

 

5,189

​

 

5,189

Financial liabilities:

​

 

  ​

​

 

  ​

​

 

  ​

​

 

  ​

Current derivative liabilities:

​

 

​

​

 

  ​

​

 

​

​

 

  ​

Interest rate swap contracts

​

​

247

​

​

247

​

​

—

​

​

—

Non-current derivative liabilities:

​

 

  ​

​

 

  ​

​

 

  ​

​

 

  ​

Interest rate swap contracts

​

​

909

​

​

909

​

​

—

​

​

—

Long-term debt, current and non-current

​

​

959,633

​

​

941,525

​

​

909,653

​

​

887,192

Non-recurring:

​

​

​

​

​

​

​

​

​

​

​

​

Non-current asset:

​

​

​

​

​

​

​

​

​

​

​

​

Vessel

​

$

59,498

​

$

59,498

​

$

—

​

$

—

​

The carrying amounts shown in the table above are included in the consolidated balance sheets under the indicated captions. Carrying amount of long-term debt, current and non-current, above excludes capitalized debt issuance cost of $4.5 million and $4.9 million as of December 31, 2025 and 2024, respectively. The carrying value of trade accounts receivable, trade accounts payable and receivables/payables to owners and affiliates approximate their fair value.

The fair values of the financial instruments shown in the above table as of December 31, 2025 and 2024 represent the amounts that would be received to sell those assets or that would be paid to transfer those liabilities in an orderly transaction between market participants at that date. Those fair value measurements maximize the use of observable inputs. However, in situations where there is little, if any, market activity for the asset or liability at the measurement date, the fair value measurement reflects the Partnership’s own judgment about the assumptions that market participants would use in pricing the asset or liability. Those judgments are developed by the Partnership based on the best information available in the circumstances, including expected cash flows, appropriately risk-adjusted discount rates and available observable and unobservable inputs.

The following methods and assumptions were used to estimate the fair value of each class of financial instruments:

●Cash and cash equivalents and restricted cash: The fair value of the Partnership’s cash balances approximates the carrying amounts due to the current nature of the amounts. As of December 31, 2025 and 2024 there is no restricted cash.
●Interest rate swap contracts: The fair value of interest rate swap contracts is determined using an income approach using the following significant inputs: (1) the term of the swap contract (weighted average of 1.6 years and 1.0 years, as of December 31, 2025 and 2024, respectively), (2) the notional amount of the swap contract (ranging from $14.4 million to $50.0 million as of December 31, 2025 and ranging from $13.8 million to $27.9 million as of December 31, 2024), discount rates interpolated based on relevant SOFR swap curves; and (3) the rate on the fixed leg of the swap contract rates ranging from 1.55% to 3.80% for the contracts as of December 31, 2025 and 0.71% to 2.90% as of December 31, 2024.
●Long-term debt: With respect to long-term debt measurements, the Partnership uses market interest rates and adjusts for risks such as its own credit risk. In determining an appropriate spread to reflect its credit standing, the Partnership considered interest rates currently offered to KNOT and the Partnership for similar debt instruments of comparable maturities by KNOT’s and the Partnership’s bankers as well as other banks that regularly compete to provide financing to the Partnership.
●Vessels: In estimating fair value, the Partnership considers factors related to vessel age, expected residual value, ongoing use of the vessels and equipment, shifts in market conditions and other impacting factors associated with the global oil and maritime transportation industries. This exercise in the fourth quarter of 2025 resulted in an impairment of the Bodil Knutsen owing to her high carrying value and the potential for her earnings in the hands of the Partnership to cease at the age of 20 years. This exercise in the fourth quarter of 2025 resulted in an impairment in respect of this vessel using a discounted cash flow approach. The Partnership determined the discounted cash flows for the vessel using projected future redeployment opportunities and estimated residual value, discounted at an estimated market participant rate of 9.18%. The projected future redeployment opportunities take into consideration the Partnership’s projected time charter rates that the Partnership believes could be contracted in future periods. In establishing these estimates, the Partnership considered the specific attributes of the vessel, current and future potential discussions with potential customers, and available redeployment opportunities.

(b) Fair Value Hierarchy

The following table presents the placement in the fair value hierarchy of assets and liabilities that are measured at fair value on a recurring basis (including items that are required to be measured at fair value or for which fair value is required to be disclosed) as of December 31, 2025 and December 31, 2024:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Fair Value Measurements

​

​

​

​

​

at Reporting Date Using

​

​

​

​

​

Price

​

​

​

​

​

​

​

​

​

​

​

in Active

​

Significant

​

​

​

​

​

Carrying

​

Markets for

​

Other

​

Significant

​

​

Value

​

Identical

​

Observable

​

Unobservable

​

​

December

​

Assets

​

Inputs

​

Inputs

(U.S. Dollars in thousands)

  ​ ​ ​

31, 2025

  ​ ​ ​

(Level 1)

  ​ ​ ​

(Level 2)

  ​ ​ ​

(Level 3)

Recurring:

​

​

​

​

​

​

​

​

​

​

​

​

Financial assets:

​

​

  ​

​

​

  ​

​

​

  ​

​

​

  ​

Cash and cash equivalents

​

$

88,983

​

$

88,983

​

$

—

​

$

—

Current derivative assets:

​

 

  ​

​

 

  ​

​

 

  ​

​

 

  ​

Interest rate swap contracts

​

 

2,276

​

 

—

​

 

2,276

​

 

—

Non-current derivative assets:

​

 

  ​

​

 

  ​

​

 

  ​

​

 

  ​

Interest rate swap contracts

​

 

1,908

​

 

—

​

 

1,908

​

 

—

Financial liabilities:

​

 

  ​

​

 

  ​

​

 

  ​

​

 

  ​

Current derivative liabilities:

​

 

  ​

​

 

  ​

​

 

  ​

​

 

  ​

Interest rate swap contracts

​

​

247

​

​

—

​

​

247

​

​

—

Non-current derivative liabilities:

​

 

  ​

​

 

  ​

​

 

  ​

​

 

  ​

Interest rate swap contracts

​

​

909

​

​

—

​

​

909

​

​

—

Long-term debt, current and non-current

​

​

959,633

​

​

—

​

​

941,525

​

​

—

Non-recurring:

​

​

​

​

​

​

​

​

​

​

​

​

Non-current asset:

​

​

​

​

​

​

​

​

​

​

​

​

Vessel

​

$

59,498

​

$

—

​

$

—

​

$

59,498

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Fair Value Measurements

​

​

​

​

​

at Reporting Date Using

​

​

​

​

​

Price

​

​

​

​

​

​

​

​

​

​

​

in Active

​

Significant

​

​

​

​

​

Carrying

​

Markets for

​

Other

​

Significant

​

​

Value

​

Identical

​

Observable

​

Unobservable

​

​

December

​

Assets

​

Inputs

​

Inputs

(U.S. Dollars in thousands)

  ​ ​ ​

31, 2024

  ​ ​ ​

(Level 1)

  ​ ​ ​

(Level 2)

  ​ ​ ​

(Level 3)

Recurring:

​

​

​

​

​

​

​

​

​

​

​

​

Financial assets:

​

​

​

​

​

​

​

​

​

​

​

​

Cash and cash equivalents

​

$

66,933

​

$

66,933

​

$

—

​

$

—

Current derivative assets:

​

 

  ​

​

 

  ​

​

 

  ​

​

 

  ​

Interest rate swap contracts

​

 

8,112

​

 

—

​

 

8,112

​

 

—

Non-current derivative assets:

​

 

  ​

​

 

  ​

​

 

  ​

​

 

  ​

Interest rate swap contracts

​

 

5,189

​

 

—

​

 

5,189

​

 

—

Financial liabilities:

​

 

  ​

​

 

  ​

​

 

  ​

​

 

  ​

Long-term debt, current and non-current

​

$

909,653

​

$

—

​

$

887,192

​

$

—

​

​

​

​

​

​

​

​

The Partnership’s accounting policy is to recognize transfers between levels of the fair value hierarchy on the date of the event or change in circumstances that caused the transfer. There were no transfers into or out of Level 1 and Level 2 as of December 31, 2025 and December 31, 2024. As of December 31, 2025, one non-recurring asset was recognized as Level 3. The following table provides information about the valuation techniques and significant unobservable inputs used in the valuation of Level 3 assets measured at fair value on a non-recurring basis as of December 31, 2025.

​

​

​

​

​

​

​

​

​

​

​

​

​

  ​ ​ ​

​

​

  ​ ​ ​

​

  ​ ​ ​

Significant

  ​ ​ ​

​

 

​

​

Fair

​

​

​

unobservable

​

​

 

(U.S. Dollars in thousands)

​

Value

​

Valuation technique

​

inputs:

​

WACC (1)

 

Non-Recurring:

 

​

  ​

 

  ​

 

  ​

 

  ​

​

Non-current assets:

 

​

  ​

 

  ​

 

  ​

 

  ​

​

Bodil Knutsen

​

$

59,498

 

Discounted cash flow

 

Discount rate

 

9.18

%

​

​

​

​

​

​

​

​

​

​

​

(1) WACC is defined as weighted average cost of capital.
v3.26.1
Trade Accounts Receivable and Other Current Assets
 12 Months Ended
Dec. 31, 2025
Trade Accounts Receivable and Other Current Assets  
Trade Accounts Receivable and Other Current Assets

12) Trade Accounts Receivable and Other Current Assets

(a) Trade Accounts Receivable

Trade accounts receivable are presented as part of Other current assets, see Note 12(b)—Other Current Assets. Trade accounts receivable are presented net of provisions for expected credit loss. As of December 31, 2025 and 2024, there was no provision for expected credit loss.

(b) Other Current Assets

Other current assets consist of the following:

​

​

​

​

​

​

​

​

​

​

At December 31, 

​

At December 31, 

(U.S. Dollars in thousands)

  ​ ​ ​

2025

  ​ ​ ​

2024

Trade receivables

​

$

3,694

​

$

6,251

Trade receivables due from KNOT and affiliates (see Note 19 (d))

​

​

1

​

​

804

Insurance claims for recoveries (refer to note 5 )

​

​

16

​

​

3,877

Refund of value added tax

​

​

1,606

​

​

1,337

Prepaid expenses

​

 

1,537

​

 

1,505

EU ETS current receivables

​

​

6,597

​

​

—

Other receivables

​

 

1,741

​

 

1,019

Total other current assets

​

$

15,192

​

$

14,793

​
v3.26.1
Inventory
 12 Months Ended
Dec. 31, 2025
Inventory  
Inventory

13) Inventory

The following table presents the inventory as of December 31, 2025 and December 31, 2024:

​

​

​

​

​

​

​

​

​

​

At December 31, 

​

At December 31, 

(U.S. Dollars in thousands)

  ​ ​ ​

2025

​

2024

Lubricating oil

​

$

4,288

​

$

3,304

Total inventory

​

$

4,288

​

$

3,304

​
v3.26.1
Vessels and Equipment
 12 Months Ended
Dec. 31, 2025
Vessels and Equipment  
Vessels and Equipment

14) Vessels and Equipment

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Vessels &

​

Accumulated

​

Accumulated

​

​

​

(U.S. Dollars in thousands)

  ​ ​ ​

equipment

  ​ ​ ​

depreciation

  ​ ​ ​

impairment

  ​ ​ ​

Net Vessels

Vessels, December 31, 2023

​

$

2,398,434

​

$

(826,366)

​

$

(79,070)

​

$

1,492,998

Additions (1)

​

 

126,106

​

 

—

​

​

—

​

 

126,106

Drydock costs

​

 

553

​

 

—

​

​

—

​

 

553

Disposals (2)

​

 

(103,537)

​

 

43,973

​

​

30,300

​

 

(29,264)

Depreciation and impairment for the period (3)

​

 

—

​

 

(111,817)

​

​

(16,384)

​

 

(128,201)

Vessels, December 31, 2024

​

$

2,421,556

​

$

(894,210)

​

$

(65,154)

​

$

1,462,192

Additions (4 and 6)

​

 

244,669

​

​

—

​

​

—

​

​

244,669

Drydock costs

​

 

14,690

​

​

—

​

​

—

​

​

14,690

Disposals (5)

​

 

(115,824)

​

​

55,522

​

​

35,734

​

​

(24,568)

Depreciation and impairment for the period (3)

​

 

—

​

​

(119,703)

​

​

(20,259)

​

​

(139,962)

Vessels, December 31, 2025

​

$

2,565,091

​

$

(958,391)

​

$

(49,679)

​

$

1,557,021

​

As of December 31, 2025 and 2024, Vessels with a book value of $1,557 million and $1,462 million, respectively, are pledged as security for the Partnership’s long-term debt. See Note 17—Long-Term Debt.

(1)On September 3, 2024 the Partnership acquired KNOT’s 100% interest in KNOT Shuttle Tankers 31 AS, the company that owns and operates the Tuva Knutsen. This acquisition was accounted for as an acquisition of assets. See Note 24—Acquisitions.
(2)On September 3, 2024 the Partnership sold to KNOT its 100% interest in KNOT Shuttle Tankers 20 AS, the company that owns and operates the Dan Cisne. This sales transaction was part of an asset swap. See footnote (1) above and see Note 19 (a)—Related Parties.
(3)The carrying values of the Dan Sabia and the Dan Cisne were written down to their estimated fair values as of June 30, 2024 and the carrying value of the Bodil Knutsen was written down to its estimated fair value as of December 31, 2025. See Note 21—Impairment of Long - Lived Assets.
(4)On March 3, 2025, the Partnership acquired KNOT’s 100% interest in KNOT Shuttle Tankers 27 AS, the company that owns and operates the Live Knutsen. This acquisition was accounted for as an acquisition of assets. See Note 24—Acquisitions.
(5)On March 3, 2025, the Partnership sold to KNOT its 100% interest in KNOT Shuttle Tankers 21 AS, the company that owns and operates the Dan Sabia. This sales transaction was part of an asset swap. See footnote (4) above and see Note 19(a)—Related Parties.
(6)On July 2, 2025, the Partnership acquired KNOT’s 100% interest in KNOT Shuttle Tankers 37 AS, the company that owns and operates the Daqing Knutsen. This acquisition was accounted for as an acquisition of assets. See Note 24—Acquisitions.

Drydocking activity for the years ended December 31, 2025 and 2024 is summarized as follows:

​

​

​

​

​

​

​

​

(U.S. Dollars in thousands)

  ​ ​ ​

At December 31, 2025

  ​ ​ ​

At December 31, 2024

Balance at the beginning of the year

​

$

28,661

​

$

40,587

Costs incurred for drydocking

​

 

14,690

​

 

553

Costs re-allocated to drydocking due to change of contract

​

​

—

​

​

2,039

Costs allocated to drydocking as part of acquisition of asset

​

 

2,340

​

 

910

Drydock amortization as part of sale of asset

​

​

(1,526)

​

​

(1,490)

Drydock amortization

​

 

(14,842)

​

 

(13,938)

Balance at the end of the year

​

$

29,323

​

$

28,661

​
v3.26.1
Contract Liabilities
 12 Months Ended
Dec. 31, 2025
Contract Liabilities  
Contract Liabilities

15) Contract Liabilities

Contract Liabilities

The unfavorable contractual rights for charters associated with Fortaleza Knutsen and Recife Knutsen were obtained in connection with a step acquisition in 2008 that had unfavorable contractual terms relative to market as of the acquisition date. The Fortaleza Knutsen and the Recife Knutsen commenced on their 12 years’ fixed bareboat charters in March 2011 and August 2011, respectively. The unfavorable contract rights related to Fortaleza Knutsen and Recife Knutsen are amortized to bareboat revenues on straight-line basis over the 12 years’ contract period that expired in March 2023 and August 2023, respectively.

​

The unfavorable contractual rights for the time charter contract associated with Tuva Knutsen were obtained in connection with the acquisition in 2024 that had unfavorable contractual terms relative to market as of the acquisition date. The Tuva Knutsen commenced on its 5 year time charter in February 2021, with options to declare additional terms for up to a total of 10 years. The unfavorable contract rights related to the Tuva Knutsen are split between the firm contract period and the option period and both are amortized to time charter revenue on a straight-line basis over the remaining term of their estimated period and the option ending in January 2036.

​

The unfavorable contractual rights for the time charter contract associated with Live Knutsen were obtained in connection with an acquisition in 2025 that had unfavorable contractual terms relative to market as of acquisition date. The Live Knutsen commenced on its 5 year time charter contract in January 2022, with options to declare additional terms for up to a total of 6 years. The unfavorable contract rights related to the Live Knutsen are split between the firm contract period and the option period and both are amortized to time charter revenue on a straight-line basis over the remaining term of their estimated period and the option ending in December 2032.

The unfavorable contractual rights for the time charter contract associated with Daqing Knutsen were obtained in connection with an acquisition in 2025 that had unfavorable contractual terms relative to market as of acquisition date. The Daqing Knutsen commenced on its 5 year time charter contract in July 2022, with options to declare additional terms for up to a total of 5 years. The unfavorable contract rights related to the Daqing Knutsen are split between the firm contract period and the option period and both are amortized to time charter revenue on a straight-line basis over the remaining term of their estimated period and the option ending in July 2032.

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

  ​ ​ ​

Unfavourable

  ​ ​ ​

Unfavourable

​

Unfavourable

  ​ ​ ​

Total

​

​

contract rights

​

contract rights

​

contract rights

​

Contract

(U.S. Dollars in thousands)

​

Tuva Knutsen

​

Live Knutsen

​

Daqing Knutsen

​

liabilities

Contract liabilities, December 31, 2023

 

$

—

 

$

—

​

$

—

 

$

—

Additions

​

​

(27,628)

​

​

—

​

​

—

​

​

(27,628)

Amortization for the period

​

​

963

​

​

—

​

​

—

​

​

963

Contract liabilities, December 31, 2024

​

​

(26,665)

​

​

—

​

​

—

​

​

(26,665)

Additions

​

​

—

​

​

(24,463)

​

​

(24,754)

​

​

(49,217)

Amortization for the period

​

​

2,406

​

​

2,602

​

​

1,748

​

​

6,756

Contract liabilities, December 31, 2025

​

$

(24,259)

​

$

(21,861)

​

$

(23,006)

​

$

(69,126)

​

​

The following table presents the Partnership’s outstanding contract liabilities as of December 31, 2025.

​

​

​

​

​

(U.S. Dollars in thousands)

  ​ ​ ​

​

​

2026

​

$

(9,024)

2027

​

​

(9,024)

2028

​

​

(9,024)

2029

​

​

(9,024)

2030 and thereafter

​

​

(33,030)

Total

 

$

(69,126)

​

Accumulated amortization for contract liabilities was $7.7 million and $1.0 million as of December 31, 2025 and 2024, respectively.
v3.26.1
Accrued expenses
 12 Months Ended
Dec. 31, 2025
Accrued expenses  
Accrued expenses

16) Accrued expenses

The following table presents accrued expenses as of December 31, 2025 and December 31, 2024:

​

​

​

​

​

​

​

​

​

​

At December 31, 

​

At December 31, 

(U.S. Dollars in thousands)

  ​ ​ ​

2025

​

2024

Operating expenses

​

$

5,456

​

$

3,629

Interest expenses

​

 

4,834

​

 

4,936

EU ETS

​

​

6,805

​

​

—

Other expenses

​

 

1,333

​

 

2,900

Total accrued expenses

​

$

18,428

​

$

11,465

​
v3.26.1
Long-Term Debt
 12 Months Ended
Dec. 31, 2025
Long-Term Debt.  
Long-Term Debt

17) Long-Term Debt

Long-term debt as of December 31, 2025 and 2024, consisted of the following:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

December 31, 

​

December 31, 

(U.S. Dollars in thousands)

  ​ ​ ​

Vessel

  ​ ​ ​

2025

  ​ ​ ​

2024

$345 million loan facility

​

Anna Knutsen, Tordis Knutsen, Vigdis Knutsen, Brasil Knutsen, Lena Knutsen

​

$

238,343

​

$

263,438

$240 million loan facility

​

Windsor Knutsen, Bodil Knutsen, Carmen Knutsen, Fortaleza Knutsen, Recife Knutsen, Ingrid Knutsen

​

​

151,321

​

​

186,792

$60 million Hilda loan facility

 

Hilda Knutsen

​

 

48,750

​

 

56,250

$192.1 million loan facility

​

Tove Knutsen and Synnøve Knutsen

​

​

—

​

​

144,597

$69 million Tuva loan facility

​

Tuva Knutsen

​

​

62,568

​

​

67,744

$73 million Live loan facility

​

Live Knutsen

​

​

69,658

​

​

—

$71 million Synnøve loan facility

​

Synnøve Knutsen

​

​

71,076

​

​

—

$70 million Daqing loan facility

​

Daqing Knutsen

​

​

68,130

​

​

—

$25 million revolving credit facility with NTT

 

  ​

​

 

2,000

​

 

1,500

$25 million revolving credit facility with SBI Shinsei

​

​

​

​

—

​

​

25,000

Raquel Sale & Leaseback

​

Raquel Knutsen

​

​

68,010

​

​

73,653

Torill Sale & Leaseback

​

Torill Knutsen

​

​

81,921

​

​

90,679

Tove Sale & Leaseback

​

Tove Knutsen

​

​

97,856

​

​

—

Total long-term debt

 

  ​

​

$

959,633

​

$

909,653

Less: current installments

 

  ​

​

 

383,146

​

 

258,739

Less: unamortized deferred loan issuance costs

 

  ​

​

 

2,020

​

 

2,080

Current portion of long-term debt

 

  ​

​

 

381,126

​

 

256,659

Amounts due after one year

 

  ​

​

 

576,487

​

 

650,914

Less: unamortized deferred loan issuance costs

 

  ​

​

 

2,513

​

 

2,839

Long-term debt, less current installments, and unamortized deferred loan issuance costs

 

  ​

​

$

573,974

​

$

648,075

​

The Partnership’s outstanding debt of $959.6 million as of December 31, 2025 is repayable as follows:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Sale &

​

Period

​

Balloon

​

​

​

(U.S. Dollars in thousands)

  ​ ​ ​

Leaseback

  ​ ​ ​

 repayment

  ​ ​ ​

repayment

  ​ ​ ​

Total

2026

​

$

20,258

​

$

78,685

​

$

284,203

​

$

383,146

2027

​

​

21,246

 

​

38,613

 

​

156,679

 

​

216,538

2028

​

​

22,345

​

​

17,979

​

​

78,824

​

​

119,148

2029

​

​

23,373

​

​

4,738

​

​

—

​

​

28,111

2030

​

​

24,515

​

​

4,738

​

​

47,387

​

​

76,640

2031 and thereafter

​

​

136,050

​

​

—

​

​

—

​

​

136,050

Total

​

$

247,787

​

$

144,753

​

$

567,093

​

$

959,633

​

As of December 31, 2025, the interest rates on the Partnership’s loan agreements were SOFR plus a fixed margin ranging from 1.9% to 2.4%.

As shown on the balance sheet at December 31, 2025 and as disclosed in the table above, the Partnership has significant debt coming due within one year, of which approximately $284.2 million relates to balloon repayments on certain facilities as described further below. The Partnership has commenced discussions and negotiations with its lending group and other institutions and advisors concerning the refinancing of all of its credit facilities that mature in 2026. However, if the Partnership is not able to secure the refinancing of this debt, there will be insufficient liquid funds necessary to repay the debt at maturity.

Although there is some judgement required in assessing this risk, given the negotiations that are already underway and given the Partnership’s history of successfully obtaining financing or refinancing its debt, management believes that it will be able to conclude a refinancing of all such facilities on similar terms (including that no re-leverage is required) prior to maturity. However, no assurance can be given that all such facilities will be timely refinanced on acceptable terms.

$345 Million Term Loan Facility

In September 2021, the Partnership’s subsidiaries which own the Tordis Knutsen, the Vigdis Knutsen, the Lena Knutsen, the Anna Knutsen and the Brasil Knutsen, entered into a new $345 million senior secured credit facility in order to refinance their existing term loans (the “$345 Million Loan Facility”). The $345 Million Loan Facility consists of a term loan repayable in 20 consecutive quarterly installments, with a balloon payment of $220 million due at maturity in September 2026. The facility bears interest at a rate per annum equal to SOFR plus a Credit Adjustment Spread (“CAS”) of 0.26161% and a margin of 2.05%. The facility is guaranteed by the Partnership and secured by mortgages on the five vessels.

The $345 Million Loan Facility contains the following financial covenants:

●Each borrower shall at all times maintain Liquidity equal to or greater than $250,000;
●Positive working capital of the Partnership;
●Minimum liquidity of the Partnership of $15 million plus increments of $1.5 million for each owned vessel with less than 12 months remaining tenor on its employment contract up to 8 vessels and $1 million for each owned vessel with less than 12 months remaining tenor on its employment contract up to 12 vessels;
●Minimum book equity ratio for the Partnership of 30%; and
●Minimum EBITDA to interest ratio for the Partnership of 2.50.

The $345 Million Loan Facility also identifies various events that may trigger mandatory reduction, prepayment, and cancellation of the facility, including if the aggregate market value of the vessels is less than 125% of the outstanding balance under the facility, upon a total loss or sale of a vessel and customary events of default. As of December 31, 2025, the borrowers and the guarantors were in compliance with all financial covenants under this facility.

$240 Million Senior Secured Term Loan Facility

On June 2, 2023, the Partnership’s subsidiaries which own the Vessels entered into the $240 Million Loan Facility, which consists of a five-year term loan. The $240 Million Loan Facility bears interest at a rate per annum equal to SOFR plus a margin of 2.4% and is repayable in 20 consecutive quarterly installments, with a final payment at maturity in June 2028 of $85.4 million, which amount includes the balloon payment and last quarterly installment. The loan is guaranteed by the Partnership and KNOT Shuttle Tankers AS and secured by mortgages on the Vessels. The Vessels, assignments of earnings, charterparty contracts and insurance proceeds are pledged as collateral for the $240 Million Loan Facility.

The $240 Million Loan Facility contains the following financial covenants:

●Each borrower shall at all times maintain liquidity equal to or greater than $500,000;
●Positive working capital of the Partnership;
●Minimum liquidity of the Partnership of $15 million plus increments of $1.5 million for each owned vessel with less than 12 months remaining tenor on its employment contract up to 8 vessels and $1 million for each owned vessel with less than 12 months remaining tenor on its employment contract up to 12 vessels (of which a minimum of $10 million must be cash);
●Minimum book equity ratio for the Partnership of 30%; and
●Minimum EBITDA to interest ratio for the Partnership of 2.50.

The $240 Million Loan Facility also identifies various events that may trigger mandatory reduction, prepayment and cancellation of the facility, including if the aggregate market value of the vessels is less than 130% of the outstanding balance under the $240 Million Loan Facility (or less than 166% after June 2, 2027), upon a total loss or sale of a vessel and customary events of default. As of December 31, 2025, the borrowers and the guarantors were in compliance with all financial covenants under this facility.

$60 Million Hilda Loan Facility

In May 2024, the Partnership’s subsidiary, Knutsen Shuttle Tankers 14 AS, which owns the vessel Hilda Knutsen, entered into a new $60 million senior secured term loan facility with DNB (the “$60 Million Hilda Facility”). The $60 Million Hilda Facility is repayable in 12 consecutive quarterly installments with a final payment due at maturity of $39.4 million, which includes the balloon payment and last quarterly installment. The facility bears interest at a rate per annum equal to SOFR plus a margin of 2.25%. The Partnership and KNOT Shuttle Tankers AS are the sole guarantors. The facility matures in March 2027.

The $60 Million Hilda Facility contains the following primary financial covenants:

●The borrower shall at all times maintain liquidity equal or greater than $500,000;
●Positive working capital of the Partnership;
●Minimum liquidity of the Partnership of $15 million plus increments of $1.5 million for each owned vessel with less than 12 months remaining tenor on its employment contract up to 8 vessels and $1 million for each owned vessel with less than 12 months remaining tenor on its employment contract up to 12 vessels (of which a minimum of $10 million must be cash);
●Minimum book equity ratio for the Partnership of 30%; and
●Minimum EBITDA to interest ratio for the Partnership of 2.50.

The $60 Million Hilda Facility also identifies various events that may trigger mandatory reduction, prepayment and cancellation of the facility, including if the market value of the vessels is less than 135% of the outstanding loan under the $60 Million Hilda Facility, upon a total loss or sale of the vessel and customary events of default. As of December 31, 2025, the borrowers and the guarantors were in compliance with all financial covenants under this facility.

$192.1 Million Secured Loan Facility

In July 2019, KNOT Shuttle Tankers 34 AS and KNOT Shuttle Tankers 35 AS, the subsidiary owning the Tove Knutsen and the Synnøve Knutsen, as the borrowers, entered into a $192.1 million secured loan facility. The loan facility was split into a tranche related to the Tove Knutsen (the “Tove Facility”) and a tranche related to the Synnøve Knutsen (the “Synnøve Facility”). The Tove Facility was repayable in quarterly installments with a final balloon payment of $66.6 million due at maturity in September 2025, which included the balloon payment and last quarterly installment. The Synnøve Facility was repayable in quarterly installments with a final payment of $72.3 million due at maturity in October 2025, which included the balloon payment and last quarterly installment.

On September 16, 2025, the Tove Facility was repaid when the Partnership, through its wholly-owned subsidiary, KNOT Shuttle Tankers 34 AS, which owns the Tove Knutsen, sold the Tove Knutsen to, and leased her back from, a Japanese-based lessor, for a lease period of 10 years. The gross sale price was $100 million and a portion of the proceeds were used to repay the Tove Facility. On October 20, 2025, KNOT Shuttle Tankers 35 AS, the Partnership’s wholly-owned subsidiary which owns the vessel Synnøve Knutsen, entered into a new $71.1 million senior secured term loan facility with MUFG Bank (Europe) N.V. This new facility replaced the Synnøve Facilty.

$69 Million Tuva Loan Facility

On January 15, 2021, KNOT Shuttle Tankers 31 AS, the subsidiary owning the Tuva Knutsen, as borrower, entered into a $88 million term loan facility with Nordea Bank ABP (the “$69 Million Tuva Loan Facility”). The $69 Million Tuva Loan Facility became one of the Partnership’s debt obligations upon closing of the Tuva Knutsen Acquisition on September 3, 2024. The $69 Million Tuva Loan Facility is repayable in quarterly installments with a final payment due at maturity of $57.4 million, which includes the balloon payment and last quarterly installment. The facility bears interest at a rate per annum equal to SOFR plus a margin of 2.16%. In connection with the Tuva Knutsen Acquisition, the Partnership and KNOT Shuttle Tankers AS became the sole guarantors. The facility is secured by a mortgage on the Tuva Knutsen. The facility matures in January 2027.

The $69 Million Tuva Loan Facility contains the following primary financial covenants:

●The borrower shall at all times maintain liquidity equal or greater than $500,000;
●Positive working capital of the Partnership;
●Minimum liquidity of the Partnership of $15 million plus increments of $1.5 million for each owned vessel with less than 12 months remaining tenor on its employment contract up to 8 vessels and $1 million for each owned vessel with less than 12 months remaining tenor on its employment contract up to 12 additional vessels in excess of 8 vessels (of which a minimum of $10 million must be cash);
●Minimum book equity ratio for the Partnership of 30%; and
●Minimum EBITDA to interest ratio for the Partnership of 2.50.

The $69 Million Tuva Loan Facility also identifies various events that may trigger mandatory reduction, prepayment and cancellation of the facility, including if the market value of the Tuva Knutsen falls below 125% of the outstanding loan, upon total loss or sale of the vessel and customary events of default. As of December 31, 2025, the borrowers and the guarantors were in compliance with all financial covenants under this facility.

$73 Million Live Loan Facility

On March 3, 2025, the Partnership acquired KNOT Shuttle Tankers 27 AS, the subsidiary owning the Live Knutsen. KNOT Shuttle Tankers 27 AS, as borrower, had entered into a senior secured term loan facility on October 14, 2021 with SMBC Bank EU AG and others, the initial amount of which was $89.6 million. Following repayment of the quarterly installments due prior to March 3, 2025, the outstanding amount of this facility had been reduced to $73.4 million. In connection with the acquisition of KNOT Shuttle Tankers 27 AS, the Partnership and KNOT Shuttle Tankers AS became the sole guarantors of this facility (the “$73 million Live Loan Facility). The $73 million Live Loan Facility is repayable in quarterly installments with a final payment due at maturity in October 2026 of $65.9 million. The facility bears interest at a rate per annum equal to SOFR plus a margin of 2.01% including a Credit Adjustment Spread. The facility is secured by a mortgage on the Live Knutsen.

The $73 million Live Loan Facility contains the following primary financial covenants:

●The borrower shall at all times maintain liquidity equal or greater than $500,000;
●Positive working capital of the Partnership, excluding amounts in respect of liabilities for instalments on long-term debt and capital lease payments falling due within twelve (12) months after the relevant calculation date and any group intercompany balances;
●Minimum liquidity of the Partnership of $15 million plus increments of $1.5 million for each owned vessel with less than 12 months remaining tenor on its employment contract up to 8 vessels and $1 million for each owned vessel with less than 12 months remaining tenor on its employment contract up to 12 additional vessels in excess of 8 vessels (of which a minimum of $10 million must be cash);
●Minimum book equity ratio for the Partnership of 30%; and
●Minimum EBITDA to interest ratio for the Partnership of 2.50.

The $73 million Live Loan Facility also identifies various events that may trigger mandatory reduction, prepayment and cancellation of the facility, including if the market value of the vessels is less than 125% of the outstanding loan under the Live Loan Facility, upon a total loss or sale of the vessel and customary events of default. As of December 31, 2025, the borrowers and the guarantors were in compliance with all financial covenants under this facility.

$71 Million Synnøve Loan Facility

On October 20, 2025, KNOT Shuttle Tankers 35 AS, the Partnership’s wholly owned subsidiary which owns the vessel Synnøve Knutsen, entered into a new $71.1 million senior secured term loan facility (the “$71 million Synnøve Loan Facility”) with MUFG Bank (Europe) N.V. This new facility replaced the previous facility secured by the Synnøve Knutsen. The $71 million Synnøve Loan Facility is repayable in quarterly installments, bears interest at a rate per annum equal to SOFR plus a margin of 2.01% and will mature in October 2030, at which point the outstanding amount following quarterly repayments is due to be $48.6 million. The facility is secured by a mortgage on the Synnøve Knutsen.

The $71 million Synnøve Loan Facility contains the following financial covenants:

●The borrower shall at all times maintain liquidity equal or greater than $500,000;
●Positive working capital of the Partnership;
●Minimum liquidity of the Partnership of $15 million plus increments of $1.5 million for each owned vessel with less than 12 months remaining tenor on its employment contract up to 8 vessels and $1 million for each owned vessel with less than 12 months remaining tenor on its employment contract in excess of 8 vessels;
●Minimum book equity ratio for the Partnership of 30%; and
●Minimum EBITDA to interest ratio for the Partnership of 2.50.

The $71 million Synnøve Loan Facility also identifies various events that may trigger mandatory reduction, prepayment and cancellation of the facility, including if the market value of the Synnøve Knutsen falls below 110% of the outstanding loan, upon total loss or sale of the vessel and customary events of default. As of December 31, 2025, the borrower and the guarantors were in compliance with all financial covenants under this facility.

$70 Million Daqing Loan Facility

On March 31, 2022, KNOT Shuttle Tankers 37 AS, the subsidiary owning the Daqing Knutsen, as borrower, entered into a $84.6 million term loan facility with Development Bank of Japan Inc. and others (the “$70 million Daqing Loan Facility”). The $70 million Daqing Loan Facility became one of the Partnership’s debt obligations upon closing of the Daqing Knutsen Acquisition on July 2, 2025. Following repayment of the quarterly installments due prior to July 2, 2025, the outstanding amount of this facility had been reduced to $70 million. The $70 million Daqing Loan Facility is repayable in quarterly installments with a final payment due at maturity on June 13, 2027, of $62.3 million, which includes the balloon payment and last quarterly installment. The facility bears interest at a rate per annum equal to SOFR plus a margin of 1.94%. In connection with the Daqing Knutsen Acquisition, the Partnership and KNOT Shuttle Tankers AS became the sole guarantors. The facility is secured by a mortgage on the Daqing Knutsen.

The $70 million Daqing Loan Facility contains the following primary financial covenants:

●The borrower shall at all times maintain liquidity equal or greater than $500,000;
●Positive working capital of the Partnership;
●Minimum liquidity of the Partnership of $15 million (of which at least $10 million is required to be in cash) plus increments of $1.5 million for each owned vessel with less than 12 months remaining tenor on its employment contract up to 8 vessels and $1 million for each owned vessel with less than 12 months remaining tenor on its employment contract up to 12 additional vessels in excess of 8 vessels;
●Minimum book equity ratio for the Partnership of 30%; and
●Minimum EBITDA to interest ratio for the Partnership of 2.50.

The $70 million Daqing Loan Facility also identifies various events that may trigger mandatory reduction, prepayment and cancellation of the facility, including if the market value of the Daqing Knutsen falls below 120% (or 125% after June 13, 2026) of the outstanding loan, upon total loss or sale of the vessel and customary events of default. As of December 31, 2025, the borrowers and the guarantors were in compliance with all financial covenants under this facility.

Revolving Credit Facilities

On August 15, 2025, the Partnership closed the refinancing of the first of its two $25 million revolving credit facilities, with the facility being rolled over with NTT TC Leasing Co. The facility will mature in August 2027, bears interest at a rate per annum equal to SOFR plus a margin of 2.3% and has a commitment fee and has a commitment fee on any undrawn portion of the facility that varies based on the aggregate borrowing amount: 0.70% per annum for borrowings up to $10 million, 0.60% per annum for borrowings between $10 million and $20 million, and 0.50% per annum for borrowings exceeding $20 million. The commercial terms of the facility are substantially unchanged from the facility entered into in August 2023 with NTT Finance Corporation.

On November 17, 2025, the Partnership closed the refinancing of the second of its two $25 million revolving credit facilities, with the facility being rolled over with SBI Shinsei Bank, Limited. The new facility will mature in November 2027, bears interest at a rate per annum equal to SOFR plus a margin of 2.18% and has a commitment fee of 0.8% per annum on the undrawn portion of the facility. The commercial terms of the facility are substantially unchanged from the facility entered into in November 2023.

Raquel Sale and Leaseback

On December 30, 2020, the Partnership through its wholly owned subsidiary, Knutsen Shuttle Tankers 19 AS, which owned the Raquel Knutsen, agreed to enter into a sale and leaseback agreement with a Japanese-based lessor for a lease period of ten years. The closing of the transaction occurred on January 19, 2021. The gross sales price was $94.3 million, and a portion of the proceeds was used to repay the outstanding loan and cancelation of the interest rate swap agreements related to the vessel. The bareboat rate under the lease consists of a fixed element per day and there is a fixed-price purchase obligation at maturity.

​

Torill Sale and Leaseback

On June 30, 2022, the Partnership through its wholly owned subsidiary, Knutsen Shuttle Tankers 15 AS, which owned the Torill Knutsen, closed a sale and leaseback agreement with a Japanese-based lessor for a lease period of ten years. The gross sales price was $112.0 million, and a portion of the proceeds was used to repay the outstanding loan related to the vessel. The bareboat rate under the lease consists of a fixed element per day and there is a fixed-price purchase obligation at maturity.

​

Tove Sale and Leaseback

On September 16, 2025, the Partnership, through its wholly-owned subsidiary, KNOT Shuttle Tankers 34 AS, which owns the Tove Knutsen, sold the Tove Knutsen to, and leased her back from, a Japanese-based lessor for a lease period of 10 years. The gross sale price was $100 million and a portion of the proceeds was used to repay the outstanding loan secured by the vessel and to settle the related interest rate swaps. The bareboat rate under the lease consists of a fixed element per day and there is a fixed-price purchase obligation at maturity. Following closing and after repayment of the loan and settlement of the interest rate swaps, the Partnership realized net proceeds of approximately $32 million after fees and expenses.
v3.26.1
Income Taxes
 12 Months Ended
Dec. 31, 2025
Income Taxes  
Income Taxes

18) Income Taxes

(a) Components of Current and Deferred Tax Expense

All of the income from continuing operations before income taxes was taxable in Norway for the years ended December 31, 2025, 2024 and 2023. Our Norwegian subsidiaries are subject to Norwegian tonnage tax rather than ordinary corporate taxation. Under the tonnage tax regime, tax is payable based on the tonnage of the vessel, not on operating income, and is included within operating expenses. Net financial income and expense remain taxable as ordinary income at the regular corporate income tax rate of 22% and is recorded as an income tax expense. The amount of tonnage tax included in operating expenses for each of the years ended December 31, 2025, 2024 and 2023 was $0.3 million, $0.2 million and $0.2 million respectively. See Note 2(r)—Income Taxes. The activities taxable in the UK relate to KNOT UK and are based on the operating income for the entity.

The significant components of current and deferred income tax expense attributable to income from continuing operations for the years ended December 31, 2025, 2024 and 2023 are as follows:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Year Ended December 31, 

(U.S. Dollars in thousands)

  ​ ​ ​

2025

  ​ ​ ​

2024

  ​ ​ ​

2023

Current tax benefit (expense)

​

$

(1,151)

​

$

(606)

​

$

4,598

Deferred tax benefit (expense)

​

 

(12)

​

 

(25)

​

 

(3)

Income tax benefit (expense)

​

$

(1,163)

​

$

(631)

​

$

4,595

​

(b) Taxation

Income taxes attributable to income from continuing operations was an income tax expense of $1,163,000 for the year ended December 31, 2025, $631,000 for the year ended December 31, 2024 and an income tax benefit of $4,595,000 for the year ended December 31, 2023. These differed from the amounts computed by applying the tax rates in Norway (22% of the tonnage tax) and the UK (19% until April 2023 and 25% thereafter, each as applied to pretax net income) for the years ended December 31, 2025, 2024 and 2023 respectively, as a result of the following:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

 

​

​

Year Ended December 31, 

​

(U.S. Dollars in thousands)

  ​ ​ ​

2025

  ​ ​ ​

2024

  ​ ​ ​

2023

 

Income (loss) before income taxes

​

$

24,422

​

$

14,696

​

$

(38,923)

​

​

A reconciliation between the effective tax rate and the product of the accounting profit multiplied by the UK domestic tax rate for the year ended December 31, 2025, 2024 and 2023 is as follows:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Year Ended December 31, 

(U.S. Dollars in thousands)

  ​ ​ ​

2025

  ​ ​ ​

2024

  ​ ​ ​

2023

​

​

Amount

​

Percent

​

Amount

​

Percent

​

Amount

​

Percent

Income tax benefit (expense) in UK

​

$

(6,105)

​

25

%

​

$

(3,674)

​

25

%

​

$

9,731

​

25

%

Nontaxable and nondeductible items related to the Norwegian tonnage tax regime

​

​

4,942

​

(20)

​

​

​

3,043

​

(22)

​

​

​

(5,136)

​

(13)

​

Effective tax rate

​

$

(1,163)

​

5

%

​

$

(631)

​

5

%

​

$

4,595

​

12

%

​

(c) Components of Deferred Tax Assets and Liabilities

The tax effects, relating to the Norwegian tonnage tax regime, of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities as of December 31, 2025 and 2024 are presented below:

​

​

​

​

​

​

​

​

​

​

As of December 31, 

(U.S. Dollars in thousands)

  ​ ​ ​

2025

  ​ ​ ​

2024

Deferred tax assets:

​

​

  ​

​

​

  ​

Financial loss carry forwards for tonnage tax

​

$

19,862

​

$

19,341

Valuation allowance

​

 

(17,200)

​

 

(16,015)

Deferred tax liabilities:

​

 

​

​

 

​

Entrance tax

​

 

(82)

​

 

(91)

Total net deferred tax assets (liabilities)

​

$

2,580

​

$

3,235

​

The net deferred tax assets (liabilities) is classified in the consolidated balance sheets as follows:

​

​

​

​

​

​

​

​

​

​

As of December 31, 

(U.S. Dollars in thousands)

  ​ ​ ​

2025

  ​ ​ ​

2024

Non-current deferred tax assets

​

$

2,662

​

$

3,326

Non-current deferred tax liabilities

​

 

(82)

​

 

(91)

Total net deferred tax assets (liabilities)

​

$

2,580

​

$

3,235

​

Changes in the net deferred tax assets (liabilities) at December 31, 2025 and 2024 are presented below:

​

​

​

​

​

​

​

​

​

​

As of December 31, 

(U.S. Dollars in thousands)

  ​ ​ ​

2025

  ​ ​ ​

2024

Total net deferred tax assets (liabilities) at January 1,

​

$

3,235

​

$

4,231

Change in temporary differences

​

 

(644)

​

 

(1,009)

Translation differences

​

 

(11)

​

 

13

Total net deferred tax assets (liabilities) at December 31, 

​

$

2,580

​

$

3,235

​

The Partnership records a valuation allowance for deferred tax assets when it is more likely than not that some or all of the benefit from the deferred tax asset will not be realized. The valuation allowances were $17.2 million and $16.0 million as of December 31, 2025 and 2024, respectively. The valuation allowances relate to the financial loss carry forwards and other deferred tax assets for tonnage tax that, in the judgment of the Partnership, are more-likely-than not to be realized reflecting the Partnership’s cumulative loss position for tonnage tax. In assessing the realizability of deferred tax assets, the Partnership considers whether it is more-likely-than-not that some portion or all of the deferred tax assets will not be realized taking into account all the positive and negative evidence available. In September 2023, KNOT Shuttle Tankers 12 AS and KNOT Shuttle Tankers AS were merged. After the merger, the financial loss carry forwards in KNOT Shuttle Tankers 12 AS were transferred to the acquiring entity, KNOT Shuttle Tankers AS. KNOT Shuttle Tankers AS has taxable income, and the Partnership has determined it is more likely than not that some of the benefit from the deferred tax assets would be realized based on the weight of available evidence. As of December 31, 2025, the Partnership has determined that $2.6 million of the deferred tax assets are more likely than not to be realized.

After the reorganization of the Partnership’s predecessor’s activities into the new group structure in February 2013, all profit from continuing operations in Norway is taxable within the tonnage tax regime. The consequence of the reorganization is a one-time entrance tax into the Norwegian tonnage tax regime due to the Partnership’s acquisition of the shares in the subsidiary that owns the Fortaleza Knutsen and the Recife Knutsen. The total amount of the entrance tax was estimated to be approximately $3.0 million, which was recognized in the three months ended March 31, 2013. At September 30, 2017 the Partnership acquired the shares in the subsidiary that owns the Lena Knutsen, and recognized an additional entrance tax of $0.1 million. The entrance tax on this gain is payable over several years and is calculated by multiplying the Norwegian tax rate by the declining balance of the gain, which will decline by 20% each year. As of December 31, 2024, the entrance tax had declined to approximately $0.11 million due to paid entrance tax and translation effects. At December 31, 2025 the entrance tax had declined to approximately $0.10 million due to paid entrance tax, change in tax rate and translation effects. The taxes payable are calculated based on the Norwegian corporate tax rate of 22% for 2025 and 2024, and the deferred tax liabilities are also calculated based on a tax rate of 22% effective for 2025 and 2024. Income tax expense within the UK of $51,458 and $37,000 for 2025 and 2024, respectively, was calculated by multiplying the tax basis with the UK tax rate of 25% and 25% in 2025 and 2024, respectively.

As of December 31, 2025, the total income taxes payable are estimated to be $0.05 million and consist primarily of net financial income and expense taxable in Norway at the normal corporate income tax rate, payable Norwegian entrance tax and ordinary UK corporation tax. As of December 31, 2024, the total income taxes payable are estimated to be $0.06 million and consist primarily of net financial income and expense taxable in Norway at the normal corporate income tax rate, payable Norwegian entrance tax and ordinary UK corporation tax.

The tax loss carry forward from ordinary taxation and financial loss carry forwards for tonnage tax have no expiration dates.

The Partnership’s Norwegian income tax returns are subject to examination by Norwegian tax authorities going back ten years. The Partnership had no unrecognized tax benefits as of December 31, 2025 and 2024. During the years ended December 31, 2025 and 2024, the Partnership did not incur any interest or penalties on its tax returns.

On December 14, 2017, the Norwegian government concluded the negotiations with the EFTA Surveillance Authority regarding the Norwegian tonnage tax regime, which has been approved for another ten years, until 2027. Pursuant to the approval, Norway has introduced restrictions that eliminates the ability of companies that own vessels under certain bareboat charters to qualify for the Norwegian tonnage tax regime. Companies that no longer qualify for the Norwegian tonnage tax regime will instead be subject to Norwegian corporate income tax. However, there are no limitations on intra-group bareboat chartering, as well as bareboat charters where crewing services are carried out by a related party. In order to constitute a related party, a minimum of 25% ownership/control is required, according to the “associated enterprise” definition in the ATAD directive (Council Directive EU 2016/1164.) Due to the

fact that KNOT has an ownership interest in the Partnership that exceeds 25% as well as an ownership interest of 100% in KNOT Management and KNOT Management Denmark AS which provide services to the Vessels owned by the Partnership which operate on bareboat charters, the Vessels operating on bareboat charters are effectively seen as time charter services to the customer. The services are provided to the charterer. If this related party situation is ended, other alternatives and possibly mitigating measures must be evaluated.
v3.26.1
Related Party Transactions
 12 Months Ended
Dec. 31, 2025
Related Party Transactions  
Related Party Transactions

19) Related Party Transactions

(a) Related Parties

Prior to the IPO, the Partnership’s predecessor operated as an integrated part of KNOT. KNOT is owned 50% by TSSI and 50% by NYK Europe.

The Partnership’s vessels that operate under time charters are subject to technical management agreements pursuant to which certain crew, technical and commercial management services are provided by KNOT Management or KNOT Management Denmark, each of which is a 100% owned subsidiary of KNOT. Under these technical management agreements, the Partnership’s subsidiaries pay fees to and reimburse the costs and expenses of KNOT Management. With respect to the Partnership’s vessels that operate under bareboat charters, the customer is responsible for providing the crew, technical and commercial management of the vessel. However, each of the vessels operating under bareboat charters are subject to management and administration agreements with either KNOT Management or KNOT Management Denmark, pursuant to which these companies provide general monitoring services for the vessels in exchange for an annual fee.

The Partnership is a party to an administrative services agreement with KNOT UK, pursuant to which KNOT UK provides administrative services, and KNOT UK is permitted to subcontract certain of the administrative services provided under the administrative services agreement to KOAS UK and KOAS. On May 7, 2015, the Partnership entered into an amendment to the administrative services agreement, which allows KNOT UK to also subcontract administrative services to KNOT Management.

The amounts of such costs and expenses included in the consolidated statements of operations for the years ended December 31, 2025, 2024 and 2023 are as follows:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Year Ended December 31, 

(U.S. Dollars in thousands)

  ​ ​ ​

2025

  ​ ​ ​

2024

  ​ ​ ​

2023

Statements of operations:

​

​

  ​

​

​

  ​

​

​

  ​

Time charter and bareboat revenues:

​

​

​

​

​

​

​

​

​

Time charter income from KNOT (1)

​

$

2,834

​

$

28,008

​

$

28,682

​

​

​

​

​

​

​

​

​

​

Gain from disposal of vessel (2)

​

​

1,342

​

​

703

​

​

—

​

​

​

​

​

​

​

​

​

​

Operating expenses:

​

 

​

​

 

​

​

 

​

Vessel operating expenses (3)

​

​

20,756

​

​

19,028

​

​

16,507

Voyage expenses and commissions (4)

​

​

—

​

​

15

​

​

70

Technical and operational management fee from KNOT to Vessels (5)

​

 

14,228

​

 

12,490

​

 

10,461

Operating expenses from other related parties (6)

​

​

1,257

​

​

1,730

​

​

801

General and administrative expenses:

​

 

​

​

 

​

​

 

​

Administration fee from KNOT Management (7)

​

 

1,605

​

 

1,264

​

 

1,189

Administration fee from KOAS (7)

​

 

830

​

 

826

​

 

631

Administration fee from KOAS UK (7)

​

 

50

​

 

68

​

 

71

Administration and management fee from KNOT (8)

​

 

6

​

 

26

​

 

64

Total income (expenses)

​

$

(34,556)

​

$

(6,736)

​

$

(1,112)

​

​

​

​

​

​

​

​

​

​

​

​

​

At December 31, 

​

At December 31, 

​

At December 31, 

(U.S. Dollars in thousands)

  ​ ​ ​

2025

  ​ ​ ​

2024

  ​ ​ ​

2023

Balance Sheet:

​

​

​

​

​

​

​

​

​

Vessels:

​

​

​

​

​

​

​

​

​

Drydocking supervision fee from KNOT (9)

​

$

69

​

$

10

​

$

135

Drydocking supervision fee from KOAS (9)

​

​

81

​

​

—

​

​

(77)

Equipment purchased from KBAL (10)

​

​

—

​

​

70

​

​

577

Total

​

$

150

​

$

80

​

$

635

(1)Time charter income from KNOT: The Bodil Knutsen operated under a time charter with Knutsen Shuttle Tankers Pool AS, a subsidiary of KNOT, from the second quarter of 2021 to March 2024. The Hilda Knutsen operated under a time charter with Knutsen Shuttle Tankers Pool AS from the third quarter of 2022 to March 2025. The Torill Knutsen operated under a time charter with Knutsen Shuttle Tankers Pool AS from the first quarter of 2023 to December 2024. The Ingrid Knutsen operated under a time charter with Knutsen Shuttle Tankers Pool AS from the second quarter of 2024 to September 2024. The Dan Cisne operated under a time charter with Knutsen Shuttle Tankers Pool AS from the second quarter of 2024 to the date of her disposal in September 2024.
(2)Gain from disposal of vessel: On March 3, 2025, the Partnership acquired from KNOT the Live Knutsen, and simultaneously the Partnership sold to KNOT the Dan Sabia. The purchase price for the Live Knutsen Acquisition was $100 million less $73.4 million of outstanding debt plus $0.3 million of capitalized fees related to the credit facility secured by the Live Knutsen. The sale price for the Dan Sabia Sale was $25.75 million. These purchase and sale prices resulted in a net payment of $1.2 million paid by the Partnership to KNOT on March 3, 2025 in addition to customary adjustments relating to working capital related to the Live Knutsen and the Dan Sabia. On September 3, 2024, the Partnership acquired from KNOT the Tuva Knutsen, and simultaneously the Partnership sold to KNOT the Dan Cisne. The purchase price for the Tuva Knutsen Acquisition was $97.5 million less $69.0 million of outstanding debt plus $0.4 million of capitalized fees related to the credit facility secured by the Tuva Knutsen. The sale price for the Dan Cisne Sale was $30 million. These purchase and sale prices resulted in a net payment of $1.1 million paid by KNOT to the Partnership on September 3, 2024 in addition to customary adjustments relating to working capital related to the Tuva Knutsen and the Dan Cisne. See Note 24—Acquisitions.
(3)Vessel operating expenses: KNOT Management or KNOT Management Denmark provides technical and operational management of the vessels on time charter including crewing and crew training services.
(4)Voyage expenses and commissions: As of December 31, 2024 and 2023, the Ingrid Knutsen and the Torill Knutsen had completed spot voyages where Knutsen Shuttle Tankers Pool AS has earned a 1.25% commission.
(5)Technical and operational management fee, from KNOT Management or KNOT Management Denmark to Vessels: KNOT Management or KNOT Management Denmark provides technical and operational management of the vessels on time charter including crewing, purchasing, maintenance and other operational service. In addition, there is also a charge for 24-hour emergency response services provided by KNOT Management for all vessels managed by KNOT Management.
(6)Operating expenses from other related parties: Simsea Real Operations AS, a company jointly owned by the Partnership’s Chairman of the Board, Trygve Seglem, and by other third-party shipping companies in Haugesund, provides simulation, operational training assessment and other certified maritime courses for seafarers. The cost is course fees for seafarers. Knutsen OAS Crewing AS, a subsidiary of TSSI, provides administrative services related to Eastern European crew on vessels operating on time charter contracts. The cost is a fixed fee per month per such crew member onboard a vessel. Level Power & Automation AS, a company that provides the Partnership’s vessels with equipment and inspection services, is owned by Level Group AS, where Trygve Seglem, his family and members of TSSI management have significant influence.
(7)Administration fee from KNOT Management, Knutsen OAS Shipping AS (“KOAS”) and Knutsen OAS (UK) Ltd. (“KOAS UK”): Administration costs include compensation and benefits of KNOT Management’s management and administrative staff on a time-spent basis as well as other general and administration expenses. Some services are also provided by KOAS and KOAS UK. Net costs are total administration cost plus a 5% margin. As such, the level of administration costs charged to the Partnership can vary from year to year based on the administration and financing services provided each year. KNOT Management also charges each subsidiary a fixed annual fee for the preparation of statutory financial statements.
(8)Administration and management fee from KNOT Management and KNOT Management Denmark: For bareboat charters, the shipowner is not responsible for providing crewing or other operational services and the customer is responsible for all vessel operating expenses and voyage expenses. However, each of the vessels under bareboat charters is subject to a management and administration agreement with either KNOT Management or KNOT Management Denmark, pursuant to which these companies provide general monitoring services for the vessels in exchange for an annual fee.
(9)Drydocking supervision fee from KNOT Management, KNOT Management Denmark and KOAS: KNOT Management, KNOT Management Denmark and KOAS provide supervision and hire out service personnel during drydocking of the vessels. The fee is calculated as a daily fixed fee.
(10)Equipment purchased from Knutsen Ballast Water AS (“KBAL”): As part of the scheduled drydocking of the Torill Knutsen in the fourth quarter of 2023 until the first quarter of 2024, a ballast water treatment system was installed on the vessel in 2024. As part of the scheduled drydocking of the Carmen Knutsen that commenced in the fourth quarter of 2022 until the first quarter of 2023, a ballast water treatment system was installed on the vessel in 2023. As of December 31, 2024 and 2023, parts of the system had been purchased from Knutsen Ballast Water AS, a subsidiary of TSSI, for $0.07 million and $0.58 million, respectively.

(b) Transactions with Management and Directors

Trygve Seglem, the Chairman of the Partnership’s board of directors and the President and CEO of KNOT, controls Seglem Holding AS, which owns 100% of the equity interest in TSSI, which controls KOAS. TSSI owns 50% of the equity interest in KNOT. NYK, which owns 50% of the equity interest in KNOT, has management and administrative personnel on secondment to KNOT. Mr. Seglem, along with other third-party shipping companies in Haugesund, also jointly owns Simsea Real Operations AS.

See the footnotes to Note 19(a)—Related Party Transactions—Related Parties for a discussion of the allocation principles for KNOT’s administrative costs, including management and administrative staff, included in the consolidated statements of operations.

(c) Amounts Due from and Due to Related Parties

Balances with related parties consisted of the following:

​

​

​

​

​

​

​

​

​

​

At December 31, 

​

At December 31, 

(U.S. Dollars in thousands)

  ​ ​ ​

2025

  ​ ​ ​

2024

Balance Sheet:

 

​

  ​

 

​

  ​

Trading balances due from KOAS

​

$

33

​

$

427

Trading balances due from KNOT and affiliates

​

 

672

​

 

1,803

Amount due from related parties

​

$

705

​

$

2,230

Trading balances due to KOAS

​

$

1,663

​

$

1,339

Trading balances due to KNOT and affiliates

​

 

729

​

 

496

Amount due to related parties

​

$

2,392

​

$

1,835

​

Amounts due from and due to related parties are unsecured and intended to be settled in the ordinary course of business. The majority of these related party transactions relate to vessel management and other fees due to KNOT, KNOT Management, KOAS UK and KOAS.

(d) Trade accounts payable and other current assets

Trade accounts payable to related parties are included in total trade accounts payables in the balance sheet. The balances to related parties consisted of the following:

​

​

​

​

​

​

​

​

​

​

At December 31, 

​

At December 31, 

(U.S. Dollars in thousands)

  ​ ​ ​

2025

  ​ ​ ​

2024

Balance Sheet:

​

​

  ​

​

​

  ​

Trading balances due to KOAS

​

$

1,309

​

$

1,394

Trading balances due to KNOT and affiliates

​

 

1,614

​

 

1,379

Trade accounts payables to related parties

​

$

2,923

​

$

2,773

​

Trading balances from KNOT and affiliates are included in other current assets in the balance sheet. The balances from related parties consisted of the following:

​

​

​

​

​

​

​

​

​

  ​ ​ ​

At December 31, 

  ​ ​ ​

At December 31, 

(U.S. Dollars in thousands)

​

2025

​

2024

Balance Sheet:

 

​

  ​

 

​

  ​

Trade receivables due from KNOT and affiliates (refer to Note 17 (b))

​

$

1

​

$

804

Other trading balances due from KOAS

​

​

1,317

​

​

521

Other current assets from related parties

​

$

1,318

​

$

1,325

​

(e) Acquisitions from KNOT

On September 3, 2024, the Partnership acquired KNOT’s 100% interest in KNOT Shuttle Tankers 31 AS, the company that owns and operates the Tuva Knutsen. This acquisition was accounted for as an asset acquisition.

On March 3, 2025, the Partnership acquired KNOT’s 100% interest in KNOT Shuttle Tankers 27 AS, the company that owns and operates the Live Knutsen. This acquisition was accounted for as an asset acquisition.

On July 2, 2025, the Partnership acquired KNOT’s 100% interest in KNOT Shuttle Tankers 37 AS, the company that owns and operates the Daqing Knutsen. This acquisition was accounted for as an acquisition of assets.

The board of directors of the Partnership (the “Board”) and the Conflicts Committee of the Board approved the purchase prices for the transactions described above. The Conflicts Committee retained an outside financial advisor and outside legal counsel to assist

with its evaluation of the Tuva Knutsen Acquisition, the Live Knutsen Acquisition and the Daqing Knutsen Acquisition. See Note 24—Acquisitions.

​

(f) Sale of Vessel to KNOT

On September 3, 2024, the Partnership sold its 100% interest in KNOT Shuttle Tankers 20 AS, the company that owns and operates the Dan Cisne, to KNOT in an asset swap where the Partnership acquired from KNOT the Tuva Knutsen as described in footnote (e) above. The sales price of the Dan Cisne was $30 million, and the sales transaction resulted in a net gain of $0.7 million.

On March 3, 2025, the Partnership sold its 100% interest in KNOT Shuttle Tankers 21 AS, the company that owns and operates the Dan Sabia, to KNOT in an asset swap where the Partnership acquired from KNOT the Live Knutsen as described in footnote (e) above. The sale price of the Dan Sabia was $25.75 million and the sale transaction resulted in a net gain of $1.3 million.

The Board and the Conflicts Committee of the Board approved the sales price for the transactions described above. The Conflicts Committee retained an outside financial advisor and outside legal counsel to assist with its evaluation of the Dan Cisne Sale and the Dan Sabia Sale.

The cost of the fees paid to the financial advisor was divided equally between the Partnership and KNOT. Sales related costs of $0.03 million as of September 3, 2024, were deducted from the net gain on disposal of the Dan Cisne. Sale related costs of $0.03 million as of March 3, 2025, were deducted from the net gain on disposal of the Dan Sabia.

v3.26.1
Commitments and Contingencies
 12 Months Ended
Dec. 31, 2025
Commitments and Contingencies  
Commitments and Contingencies

20) Commitments and Contingencies

Assets Pledged

As of December 31, 2025 and 2024, Vessels with a book value of $1,557 million and $1,462 million, respectively, were pledged as security held as guarantee for the Partnership’s long-term debt and interest rate swap obligations. See Note 10—Derivative Instruments, Note 14—Vessels and Equipment and Note 17—Long-Term Debt.

Claims and Legal Proceedings

Under the Partnership’s time charters, claims to reduce the hire rate payments can be made if the Vessel does not perform to certain specifications in the agreements. No accrual for possible claims was recorded for the years ended December 31, 2025, 2024 and 2023.

From time to time, the Partnership is involved in various claims and legal actions arising in the ordinary course of business. In the opinion of management, the ultimate disposition of these matters will not have a material adverse effect on the consolidated financial position, results of operations or cash flows.

Insurance

The Partnership maintains insurance on all the Vessels to insure against marine and war risks, which include damage to or total loss of the Vessels, subject to deductible amounts that average $0.15 million per Vessel, and loss of hire.

Under the loss of hire policies, the insurer will pay compensation for the lost hire rate agreed in respect of each Vessel for each day, in excess of 14 deductible days, for the time that the Vessel is out of service as a result of damage, for a maximum of 180 days. In addition, the Partnership maintains protection and indemnity insurance, which covers third-party legal liabilities arising in connection with the Vessels’ activities, including, among other things, the injury or death of third-party persons, loss or damage to cargo, claims arising from collisions with other vessels and other damage to other third-party property, including pollution arising from oil or other substances. This insurance is unlimited, except for pollution, which is limited to $1 billion per vessel per incident. The protection and indemnity insurance is maintained through a protection and indemnity association, and as a member of the association, the Partnership may be required to pay amounts above budgeted premiums if the member claims exceed association reserves, subject to certain reinsured amounts. If the Partnership experiences multiple claims each with individual deductibles, losses due to risks that are not

insured or claims for insured risks that are not paid, it could have a material adverse effect on the Partnership’s results of operations and financial condition. See Note 8—Insurance Proceeds.
v3.26.1
Impairment of Long-Lived Assets
 12 Months Ended
Dec. 31, 2025
Impairment of Long-Lived Assets  
Impairment of Long-Lived Assets

21) Impairment of Long-Lived Assets

The carrying value of the Partnership’s fleet is regularly assessed as events or changes in circumstances may indicate that a vessel’s net carrying value exceeds the net undiscounted cash flows expected to be generated over its remaining useful life, and in such situation the carrying amount of the vessel is reduced to its estimated fair value. The Partnership considers factors related to vessel age, expected residual value, ongoing use of the vessels and equipment, shifts in market conditions and other impacting factors associated with the shuttle tanker business as well as the wider global oil and maritime transportation industries.

This exercise in the fourth quarter of 2025 resulted in an impairment in respect of the Bodil Knutsen, principally due to her high carrying value and the prospective change, from January 1, 2026, of the useful life estimate for our vessels from 23 years to 20 years. This change is a consequence of prevailing longer term market trends, but does not prevent vessels from being utilized beyond 20 years, should a market opportunity arise. The carrying value of the Bodil Knutsen was written down to her estimated fair value, using a discounted cash flow valuation. Our estimates of future cash flows involve assumptions about future hire rates, vessel utilization, operating expenses, drydocking expenditures, vessel residual values, the remaining estimated life of our vessels and discount rates. The Partnership’s consolidated statement of operations for the year ended December 31, 2025, includes a $20.3 million impairment charge related to the Bodil Knutsen. The impairment of the Bodil Knutsen is included in the Partnership’s only segment, the shuttle tanker segment.

This exercise in the second quarter of 2024 resulted in impairments in respect of both the Dan Cisne and the Dan Sabia principally due to their high carrying value, and their smaller size not being optimal for the Brazilian market, therefore affecting the outlook for their future employment. The carrying values of the Dan Cisne and the Dan Sabia were written down to their estimated fair values, using a discounted cash flow valuation. Our estimates of future cash flows involve assumptions about future hire rates, vessel utilization, operating expenses, drydocking expenditures, vessel residual values, the remaining estimated life of our vessels, possible sale of the two vessels and discount rates. The Partnership’s consolidated statement of operations for the year ended December 31, 2024, includes a $5.8 million impairment charge related to the Dan Cisne and a $10.6 million impairment charge related to the Dan Sabia. The impairment of the Dan Cisne and the Dan Sabia is included in the Partnership’s only segment, the shuttle tanker segment.
v3.26.1
Earnings per Unit and Cash Distributions
 12 Months Ended
Dec. 31, 2025
Earnings per Unit and Cash Distributions  
Earnings per Unit and Cash Distributions

22) Earnings per Unit and Cash Distributions

The calculations of basic and diluted earnings per unit (1) are presented below:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Year Ended December 31, 

(U.S. Dollars in thousands, except per unit data)

  ​ ​ ​

2025

  ​ ​ ​

2024

  ​ ​ ​

2023

Net income (loss)

​

$

23,259

​

$

14,065

​

$

(34,328)

Less: Series A Preferred unitholders’ interest in net income (loss)

​

​

6,800

​

​

6,800

​

​

6,800

Net income (loss) attributable to the unitholders of KNOT Offshore Partners LP

​

​

16,459

​

​

7,265

​

​

(41,128)

Less: Distributions (2)

​

​

3,591

​

​

3,607

​

​

3,607

Under (over) distributed earnings

​

​

12,868

​

​

3,658

​

​

(44,735)

Under (over) distributed earnings attributable to:

​

​

​

​

​

​

​

​

  ​

Common unitholders

​

​

12,630

​

​

3,591

​

​

(43,909)

Class B unitholders (3)

​

​

—

​

​

—

​

​

—

General Partner

​

​

238

​

​

67

​

​

(826)

Weighted average units outstanding (basic) (in thousands):

​

​

​

​

​

​

​

​

  ​

Common unitholders

​

​

33,918

​

​

34,045

​

​

34,045

Class B unitholders

​

​

252

​

​

252

​

​

252

General Partner

​

​

640

​

​

640

​

​

640

Weighted average units outstanding (diluted) (in thousands):

​

​

​

​

​

​

​

​

  ​

Common unitholders

​

​

38,168

​

​

38,399

​

​

38,430

Class B unitholders

​

​

252

​

​

252

​

​

252

General Partner

​

​

640

​

​

640

​

​

640

Earnings per unit (basic):

​

​

​

​

​

​

​

​

  ​

Common unitholders

​

$

0.48

​

$

0.21

​

$

(1.19)

Class B unitholders (3)

​

​

—

​

​

—

​

​

—

General Partner

​

​

0.48

​

​

0.21

​

​

(1.19)

Earnings per unit (diluted):

​

​

​

​

​

​

​

​

  ​

Common unitholders (4)

​

$

0.48

​

$

0.21

​

$

(1.19)

Class B unitholders (3)

​

​

—

​

​

—

​

​

—

General Partner

​

​

0.48

​

​

0.21

​

​

(1.19)

Cash distributions declared and paid in the period per unit (5)

​

$

0.10

​

$

0.10

​

$

0.10

Subsequent event: Cash distributions declared and paid per unit relating to the period (6)

​

$

0.03

​

$

0.03

​

$

0.03

(1)Earnings per unit have been calculated in accordance with the cash distribution provisions set forth in the Partnership’s agreement of limited partnership (the “Partnership Agreement”).
(2)This refers to distributions made or to be made in relation to the period irrespective of the declaration and payment dates and based on the number of units outstanding at the record date.
(3)When the distribution target is not met, there is no allocation of net income (loss) to Class B units.
(4)Diluted weighted average units outstanding and earnings per unit diluted for the year ended December 31, 2025, 2024 and 2023 does not reflect any potential common units relating to the Series A Preferred Units since the assumed issuance of any additional units would be anti-dilutive.
(5)Refers to cash distributions declared and paid during the period.
(6)Refers to cash distributions declared and paid subsequent to the period end.

The Partnership’s Series A Convertible Preferred Units (the “Series A Preferred Units”) rank senior to the common units and Class B Units as to the payment of distributions and amounts payable upon liquidation, dissolution or winding up. The Series A

Preferred Units have a liquidation preference of $24.00 per unit, plus any Series A unpaid cash distributions, plus all accrued but unpaid distributions on such Series A Preferred Unit with respect to the quarter in which the liquidation occurs to the date fixed for the payment of any amount upon liquidation. The Series A Preferred Units are entitled to cumulative distributions from their initial issuance date, with distributions being calculated at an annual rate of 8.0% on the stated liquidation preference and payable quarterly in arrears within 45 days after the end of each quarter, when, as and if declared by the Board.

The Series A Preferred Units are generally convertible, at the option of the holders of the Series A Preferred Units, into common units at the applicable conversion rate. The conversion rate will be subject to adjustment under certain circumstances. In addition, the conversion rate will be redetermined on a quarterly basis, such that the conversion rate will be equal to $24.00 (the “Issue Price”) divided by the product of (x) the book value per common unit at the end of the immediately preceding quarter (pro-forma for per unit cash distributions payable with respect to such quarter) multiplied by (y) the quotient of (i) the Issue Price divided by (ii) the book value per common unit on February 2, 2017. In addition, the Partnership may redeem the Series A Preferred Units at any time until February 2, 2027 at the redemption price specified in the Partnership Agreement, provided, however, that upon notice from the Partnership to the holders of Series A Preferred Units of its intent to redeem, such holders may elect, instead, to convert their Series A Preferred Units into common units at the applicable conversion rate.

Upon a change of control of the Partnership, the holders of Series A Preferred Units will have the right to require cash redemption at 100% of the Issue Price. In addition, the holders of Series A Preferred Units will have the right to cause the Partnership to redeem the Series A Preferred Units on February 2, 2027 in, at the option of the Partnership, (i) cash at a price equal to 70% of the Issue Price or (ii) common units such that each Series A Preferred Unit receives common units worth 80% of the Issue Price (based on the volume-weighted average trading price, as adjusted for splits, combinations and other similar transactions, of the common units as reported on the NYSE for the 30 trading day period ending on the fifth trading day immediately prior to the redemption date) plus any accrued and unpaid distributions. In addition, subject to certain conditions, the Partnership has the right to convert the Series A Preferred Units into common units at the applicable conversion rate if the aggregate market value (calculated as set forth in the partnership agreement) of the common units into which the outstanding Series A Preferred Units are convertible, based on the applicable conversion rate, is greater than 130% of the aggregate Issue Price of the outstanding Series A Preferred Units.

The Series A Preferred Units have voting rights that are identical to the voting rights of the common units and Class B Units, except they do not have any right to nominate, appoint or elect any of the directors of the Board, except whenever distributions payable on the Series A Preferred Units have not been declared and paid for four consecutive quarters (a “Trigger Event”). Upon a Trigger Event, holders of Series A Preferred Units, together with the holders of any other series of preferred units upon which like rights have been conferred and are exercisable, may replace one of the members of the Board appointed by the General Partner with a person nominated by such holders, such nominee to serve until all accrued and unpaid distributions on the preferred units have been paid. The Series A Preferred Units are entitled to vote with the common units and Class B Units as a single class so that the Series A Preferred Units are entitled to one vote for each common unit into which the Series A Preferred Units are convertible at the time of voting.

On September 7, 2021, the Partnership entered into an exchange agreement with its general partner and KNOT whereby KNOT contributed to the Partnership all of KNOT’s IDRs in exchange for the issuance by the Partnership to KNOT of 673,080 common units and 673,080 Class B Units, whereupon the IDRs were cancelled (the “IDR Exchange”). The IDR Exchange closed on September 10, 2021. The Class B Units are a new class of limited partner interests which are not entitled to receive cash distributions in any quarter unless common unitholders receive a distribution of at least $0.52 for such quarter (the “Distribution Threshold”). When common unitholders receive a quarterly distribution at least equal to the Distribution Threshold, then Class B unitholders will be entitled to receive the same distribution as common unitholders.

For each quarter (starting with the quarter ended September 30, 2021) that the Partnership pays distributions on the common units that are at or above the Distribution Threshold, one-eighth of the original number of the Class B Units will be converted to common units on a one-for-one basis until such time as no further Class B Units exist. The Class B Units will generally vote together with the common units as a single class.

After the payment of the Partnership’s quarterly cash distribution on February 12, 2022, with respect to the fourth quarter of 2021, 84,135 of the Class B Units converted to common units on a one-to-one basis. After the payment of the Partnership’s quarterly cash distribution on May 12, 2022, with respect to the first quarter of 2022, 84,135 of the Class B Units converted to common units on a one-to-one basis. After the payment of the Partnership’s quarterly cash distribution on August 11, 2022, with respect to the second quarter of 2022, 84,135 of the Class B Units converted to common units on a one-to-one basis. After the payment of the Partnership’s quarterly cash distribution on November 9, 2022 with respect to the third quarter of 2022, 84,135 of the Class B Units converted to common units on a one-to-one basis.

On January 11, 2023, the Partnership declared a quarterly cash distribution with respect to the fourth quarter of 2022 of $0.026 per common unit and, after the payment of this quarterly cash distribution on February 9, 2023, no Class B Units converted to common units. After the payment of the Partnership’s quarterly cash distribution on May 11, 2023, with respect to the first quarter, no Class B Units converted to common units. After the payment of the Partnership’s quarterly cash distribution on August 10, 2023, with respect to the second quarter, no Class B Units converted to common units. After the payment of the Partnership’s quarterly cash distribution on November 9, 2023, with respect to the third quarter, no Class B Units converted to common units.

As of December 31, 2025, 71% of the Partnership’s total number of common units outstanding representing limited partner interests were held by the public (in the form of 23,908,719 common units) and 28.7% of such units were held directly by KNOT (in the form of 9,661,255 common units). In addition, KNOT, through its ownership of the General Partner, held a 1.85% general partner interest (in the form of 640,278 general partner units) and a 0.3% limited partner interest (in the form of 90,368 common units). As of December 31, 2025, KNOT also held 208,333 Series A Preferred Units and 252,405 Class B Units.

Earnings per unit—basic is determined by dividing net income, after deducting the amount of net income attributable to the Series A Preferred Units and the distribution paid or to be made in relation to the period, by the weighted-average number of units outstanding during the applicable period.

The computation of limited partners’ interest in net income per common unit – diluted assumes the issuance of common units for all potentially dilutive securities consisting of 3,541,666 Series A Preferred Units and 252,405 Class B Units as of December 31, 2025. Consequently, the net income attributable to limited partners’ interest is exclusive of any distributions on the Series A Preferred Units. In addition, the weighted average number of common units outstanding has been increased assuming the Series A Preferred Units and Class B Units have been converted to common units using the if-converted method. The computation of limited partners’ interest in net income per common unit – diluted does not assume the issuance of Series A Preferred Units and Class B Units if the effect would be anti-dilutive.

The General Partner’s, Class B unitholders’ and common unitholders’ interest in net income was calculated as if all net income was distributed according to the terms of the Partnership Agreement, regardless of whether those earnings would or could be distributed. The Partnership Agreement does not provide for the distribution of net income. Rather, it provides for the distribution of available cash, which is a contractually defined term that generally means all cash on hand at the end of each quarter less the amount of cash reserves established by the Board to provide for the proper conduct of the Partnership’s business, including reserves for future capital expenditures, anticipated credit needs and capital requirements and any accumulated distributions on, or redemptions of, the Series A Preferred Units. Unlike available cash, net income is affected by non-cash items, such as depreciation and amortization, unrealized gains and losses on derivative instruments and unrealized foreign currency gains and losses.
v3.26.1
Unit Activity
 12 Months Ended
Dec. 31, 2025
Unit Activity  
Unit Activity

23) Unit Activity

The following table shows the number of common units, Class B Units, general partner units and Series A Preferred Units from December 31, 2023 until December 31, 2025:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Convertible

​

​

​

​

​

​

General Partner

​

Preferred 

(in units)

  ​ ​ ​

Common Units

  ​ ​ ​

Class B Units

  ​ ​ ​

Units

  ​ ​ ​

Units

December 31, 2023

 

34,045,081

 

252,405

 

640,278

 

3,541,666

December 31, 2024

 

34,045,081

 

252,405

 

640,278

 

3,541,666

Repurchase of Common Units

​

(384,739)

​

—

​

—

​

—

December 31, 2025

​

33,660,342

​

252,405

​

640,278

​

3,541,666

​

On July 2, 2025, the Partnership announced a program for the Partnership to repurchase up to $10 million of its common units. All purchases of common units were at prevailing market prices on the open market. Common units repurchased by the Partnership under the program have been cancelled. The program concluded in October 2025. As of December 31, 2025, the Partnership had repurchased a total of 384,739 common units at an average purchase price of $7.87 per unit.
v3.26.1
Acquisitions
 12 Months Ended
Dec. 31, 2025
Acquisitions  
Acquisitions

24) Acquisitions

On July 2, 2025, the Partnership’s wholly owned subsidiary, KNOT Shuttle Tankers AS, acquired KNOT Shuttle Tankers 37 AS, the company that owns and operates the Daqing Knutsen. The purchase price for the vessel was $95.0 million, less $70.5 million of outstanding indebtedness related to the Daqing Knutsen plus approximately $0.3 million for certain capitalized fees related to the financing of the Daqing Knutsen and plus customary working capital purchase price adjustments of $3.3 million to be paid by KNOT Shuttle Tankers AS.

On March 3, 2025, the Partnership’s wholly owned subsidiary, KNOT Shuttle Tankers AS, acquired KNOT Shuttle Tankers 27 AS, the company that owns and operates the Live Knutsen. The purchase price for the vessel was $100 million, less $73.4 million of outstanding indebtedness related to the Live Knutsen plus approximately $0.3 million for certain capitalized fees related to the financing of the Live Knutsen and plus customary working capital purchase price adjustments of $0.8 million to be received by KNOT Shuttle Tankers AS.

On September 3, 2024, the Partnership’s wholly owned subsidiary, KNOT Shuttle Tankers AS, acquired KNOT Shuttle Tankers 31 AS, the company that owns and operates the Tuva Knutsen. The purchase price for the vessel was $97.5 million, less $69.0 million of outstanding indebtedness related to the Tuva Knutsen plus approximately $0.4 million for certain capitalized fees related to the financing of the Tuva Knutsen and plus customary working capital purchase price adjustments of $2.7 million to be paid by KNOT Shuttle Tankers AS.

The board of directors of the Partnership and the Conflicts Committee approved the purchase price for the transactions. The Conflicts Committee retained a financial advisor to assist with its evaluation of each of the transactions. The cost of the fee paid to the financial advisor was divided equally between the Partnership and KNOT. Acquisition related costs were capitalized as a component of the assets acquired, and amounted to $0.05 million as of July 2, 2025, $0.03 million as of March 3, 2025 and $0.03 million as of September 3, 2024 on the respective dates. The allocation of the purchase price to acquired identifiable assets was based on their estimated fair values at the date of acquisition. The purchase price of the acquisition has been allocated to the identifiable assets acquired. The details of the transactions are as follows:

​

​

​

​

​

​

​

​

​

​

​

​

​

Final

​

Final

​

Final

​

​

Daqing Knutsen

​

Live Knutsen

​

Tuva Knutsen

​

​

July, 2

​

March 3,

​

September 3,

(U.S. Dollars in thousands)

​

2025

​

2025

​

2024

Purchase consideration (1)

​

$

28 180

​

$

26 149

​

$

31 557

Less: Fair value of net assets acquired:

​

​

​

​

​

​

​

​

​

Vessels and equipment (2)

​

​

115,424

​

​

121,165

​

​

125,161

Cash

​

​

2,131

​

​

1,116

​

​

1,782

Inventories

​

​

339

​

​

346

​

​

285

Derivatives assets (liabilities)

​

​

(47)

​

​

213

​

​

1,773

Others current assets

​

​

171

​

​

2,113

​

​

1,101

Amounts due from related parties

​

​

2,138

​

​

—

​

​

—

Long-term debt

​

​

(70,479)

​

​

(73,389)

​

​

(69,038)

Deferred debt issuance

​

​

334

​

​

349

​

​

404

Trade accounts payable

​

​

(420)

​

​

(129)

​

​

(249)

Accrued expenses

​

​

(320)

​

​

(3,851)

​

​

(1,419)

Amounts due to related parties

​

​

(662)

​

​

(1,510)

​

​

(615)

Contract liabilities: Unfavourable contract rights

​

​

(25,716)

​

​

(25,339)

​

​

(27,628)

Subtotal

​

​

22,893

​

​

21,084

​

​

31,557

Difference between the purchase price and fair value of net assets acquired

​

$

5,287

​

$

5,065

​

$

—

Excess value allocated on a relative basis to:

​

​

​

​

​

​

​

​

​

Vessels and equipment (2)

​

​

4,324

​

​

4,189

​

​

—

Contract liabilities: Unfavourable contract rights

​

​

963

​

​

876

​

​

—

Difference between the purchase price and fair value of net assets acquired

​

$

—

​

$

—

​

$

—

(1)The purchase consideration comprises the following:

​

​

​

​

​

​

​

​

​

​

​

​

​

Final

​

Final

​

Final

​

​

Daqing Knutsen

​

Live Knutsen

​

Tuva Knutsen

​

​

July 2,

​

March 3,

​

September 3,

(U.S. Dollars in thousands)

​

2025

​

2025

​

2024

Cash consideration paid to KNOT (from KNOP)

​

$

24,800

​

$

1,210

​

$

—

Asset swap - sale of the Dan Cisne

​

​

—

​

​

—

​

​

30,000

Asset swap - sale of the Dan Sabia

​

​

—

​

​

25,750

​

​

—

Cash consideration paid to KNOP (from KNOT)

​

​

—

​

​

—

​

​

(1,135)

Purchase price adjustments

​

​

3,330

​

​

(845)

​

​

2,659

Acquisition-related costs

​

​

50

​

​

34

​

​

33

Purchase price

​

$

28,180

​

$

26,149

​

$

31,557

(2)Vessel and equipment includes allocation to drydocking (in thousands) of $910, $1,067 and $1,273 related to the Tuva Knutsen, the Live Knutsen and the Daqing Knutsen, respectively.
v3.26.1
Subsequent Events
 12 Months Ended
Dec. 31, 2025
Subsequent Events  
Subsequent Events

25) Subsequent Events

The Partnership has evaluated subsequent events from the balance sheet date through April 17, 2026, the date at which the audited consolidated financial statements were issued, and determined that there are no other items to disclose, except as follows:

On January 7, 2026, the Partnership declared a quarterly cash distribution of $0.026 per common unit with respect to the quarter ended December 31, 2025, which was paid on February 5, 2026, to all common unitholders of record on January 26, 2026. On the same day, the Partnership declared a quarterly cash distribution to holders of Series A Preferred Units with respect to the quarter ended December 31, 2025 in an aggregate amount of $1.7 million;

On October 31, 2025, the Partnership received an unsolicited non-binding proposal from Knutsen NYK Offshore Tankers AS (“Knutsen NYK” or “KNOT”), pursuant to which KNOT proposed to acquire through a wholly-owned subsidiary all publicly held common units of the Partnership in exchange for $10 in cash per unit (the “KNOT Offer”). The Conflicts Committee of the Partnership’s Board, which is comprised of only non-KNOT-affiliated directors, retained Evercore Group L.L.C., Richards, Layton & Finger, P.A. and IGB Group as independent advisors to assist it in evaluating the KNOT Offer. The Conflicts Committee and its independent advisors reviewed the KNOT Offer carefully and held a series of discussions with KNOT regarding the potential transaction since receiving the proposal. Following such discussions, on March 19, 2026, the parties announced that they were not able to reach an agreement and have therefore terminated discussions regarding the KNOT Offer;

Prospectively from January 1, 2026, the Partnership changed the useful life estimate of each of the vessels in its fleet from 23 years to 20 years due to prevailing longer term market trends. This change will increase the non-cash accounting depreciation charge in all future quarters, beginning in the first quarter of 2026. However, this change does not prevent vessels from being utilized beyond 20 years, should a market opportunity arise;

On January 5, 2026, we exercised our option to continue the time charter of the Hilda Knutsen with Shell through to March 2027;

In early January 2026, the Tuva Knutsen commenced a scheduled drydocking, following completion of a conventional cargo voyage which utilized her voyage to Europe. This drydocking completed in early March 2026;

In mid-February 2026, the Bodil Knutsen commenced a scheduled drydocking, following completion of a conventional cargo voyage which utilized her voyage to the yard. This drydocking completed in late March 2026;

On February 16, 2026, the Tordis Knutsen experienced a breakdown of its diesel generator, which has required the vessel to go off-hire until repairs are completed, which is expected to be in May 2026. Under its loss of hire insurance policies, the Partnership anticipates being compensated by insurance for the extent to which, as a consequence of this breakage, the Tordis Knutsen’s earnings fall short of a contractual hire rate, commencing 14 days after the date of the breakage. The Partnership also anticipates that the repair cost will be covered by insurance, in excess of a deductible of $150,000;

In March 2026, the final insurance claim payment in the amount of $1.8 million was received in respect of loss of hire for the Windsor Knutsen, which had arisen from required thruster repairs carried out over March – May 2025;

On March 20, 2026, TotalEnergies exercised their option to extend their time charter on the Anna Knutsen for one year, until May 2027;

On April 7, 2026, the Partnership declared a quarterly cash distribution of $0.05 per common unit with respect to the quarter ended March 31, 2026, which is due to be paid on May 14, 2026, to all common unitholders of record on April 27, 2026. On the same day, the Partnership declared a quarterly cash distribution to holders of Series A Preferred Units with respect to the quarter ended March 31, 2026, in an aggregate amount of $1.7 million; and

In mid-April 2026, the Fortaleza Knutsen is scheduled to commence a drydocking in Europe, following redelivery in Europe from Transpetro. Following completion of this drydocking, the Fortaleza Knutsen will commence operation on a time charter to KNOT, with expected operations in the North Sea.

​
v3.26.1
Pay vs Performance Disclosure - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Pay vs Performance Disclosure      
Net Income (Loss) [1] $ 23,259 $ 14,065 $ (34,328)
[1] Included in net income is interest paid amounting to $60.4 million, $65.7 million and $69.3 million for the years ended December 31, 2025, 2024 and 2023, respectively.
v3.26.1
Insider Trading Policies and Procedures
 12 Months Ended
Dec. 31, 2025
Insider Trading Policies and Procedures [Line Items]  
Insider Trading Policies and Procedures Adopted true
v3.26.1
Cybersecurity Risk Management and Strategy Disclosure
 12 Months Ended
Dec. 31, 2025
Cybersecurity Risk Management, Strategy, and Governance [Line Items]  
Cybersecurity Risk Management Processes for Assessing, Identifying, and Managing Threats [Text Block]

The Partnership recognizes the critical importance of developing, implementing, and maintaining a robust cybersecurity risk management, strategy, and governance program in order to safeguard the confidentiality, integrity, and availability of Partnership systems and information.

Engagement of Third Parties on Risk Management

The Partnership leverages the cybersecurity expertise, insight, and resources of various external third parties, including but not limited to cybersecurity service providers, assessors, consultants, auditors, and other third parties engaged on an as-needed basis. The Partnership engages with these third parties to perform audits, threat and vulnerability assessments, incident response plan testing, Partnership monitoring of cybersecurity risks, and consultation on security enhancements.

Managing Third Party Risk

The Partnership recognizes the risks associated with the use of vendors, service providers, and other third parties that provide information system services to it, process information on its behalf, or has access to the Partnership’s information systems, and Partnership management has processes in place to oversee and identify material cybersecurity risks associated with its use of such third parties. These processes include, but are not limited to:

●Maintaining an inventory of third-party vendors engaged by the Partnership;
●Maintaining a vendor management policy that addresses vendor cybersecurity standards, testing, and enforcement;
●Contractually requiring third-party vendors to employ reasonable security measures when accessing Partnership systems or handling Partnership information and to maintain appropriate cybersecurity insurance;
●Implementing access controls that restrict third-party vendor access to only those Partnership systems and information which are necessary to perform the vendor’s service; and
●Conducting audits of certain third-party vendor security practices.

Material Impact on Partnership

Thus far, to the Partnership’s knowledge, the Partnership’s business strategy, operations, or financial condition have not been materially affected by, and are not likely to be materially affected by, any largescale cybersecurity threats or incidents.
Cybersecurity Risk Management Processes Integrated [Flag] true
Cybersecurity Risk Management Processes Integrated [Text Block] The Partnership’s management has processes in place by which it is informed of and monitors the prevention, detection, mitigation, and remediation of cybersecurity risks and aligns its controls with industry-accepted frameworks, such as NSM Grunnprinsipper (the basic principles authorized by Norway’s National Security Authority), the NIST Cybersecurity Framework, the ISO/IEC 27001 standard, and the CIS Controls
Cybersecurity Risk Management Third Party Engaged [Flag] true
Cybersecurity Risk Third Party Oversight and Identification Processes [Flag] true
Cybersecurity Risk Materially Affected or Reasonably Likely to Materially Affect Registrant [Flag] false
Cybersecurity Risk Board of Directors Oversight [Text Block]

Board Oversight of Cybersecurity Matters

The Partnership’s Board of Directors has established robust oversight mechanisms to ensure effective governance in managing risks associated with cybersecurity threats.

In particular, the Board oversees the Partnership’s cybersecurity threats, risk management, strategy, and governance; receives updates from Partnership management regarding the same; and approves certain changes or adaptations that support the same.
Cybersecurity Risk Board Committee or Subcommittee Responsible for Oversight [Text Block] Board of Directors
Cybersecurity Risk Process for Informing Board Committee or Subcommittee Responsible for Oversight [Text Block] IT Manager reports to the Board regarding significant developments in the above topics. This ensures the Board is equipped with information to exercise oversight on critical cybersecurity issues.
Cybersecurity Risk Role of Management [Text Block]

Management of Cybersecurity Matters

The Partnership’s management assumes executive responsibility for assessing, identifying, and managing cybersecurity threats, incidents, and risks.

In particular, the Partnership’s Company Cyber Security Officer (CCSO) reports via the IT Manager to the Chief Executive Officer and Chairman of the Board. The CCSO plays a pivotal role in assessing and managing cybersecurity threats, incidents, and risks at the Partnership. Our CCSO holds a Bachelor’s degree in Information Technology, is a Certified Information Systems Security Professional (CISSP), and has over 7 years’ experience in a cyber security role along with more than 15 years’ experience with the Partnership, KNOT and its affiliates. Our CCSO’s professional development is sustained through various courses and certifications within the IT and information security industry.

The CCSO is supported by other key members of Partnership management and dedicated information technology and security personnel and resources, both internally and from third parties. Collectively, these personnel and resources allow the Partnership to strategically integrate cybersecurity into its broader risk management framework and decision-making process.

The Partnership’s management has processes in place by which it is informed of and monitors the prevention, detection, mitigation, and remediation of cybersecurity risks and aligns its controls with industry-accepted frameworks, such as NSM Grunnprinsipper (the basic principles authorized by Norway’s National Security Authority), the NIST Cybersecurity Framework, the ISO/IEC 27001 standard, and the CIS Controls. These processes include, but are not limited to:

●Maintaining an inventory of digital information and assets;
●Maintaining a cyber incident response plan;
●Employing incident prevention and detection software and safeguards (e.g., antivirus, anti-malware, firewall, endpoint detection and response, identity and access management, multifactor authentication, virtual private network, web content filter, spam filter, data loss protection software, security information and event management software);
●Employing industry-standard encryption protocols where appropriate;
●Employing backup/disaster recovery software where appropriate;
●Conducting regular vulnerability scans and penetration tests of Partnership systems and networks;
●Employing a patch management process;
●Requiring employees to complete a Cybersecurity Awareness Program;
●Conducting regular phishing simulations and tabletop exercises to test sufficiency of and adherence to Partnership cybersecurity policies and procedures; and
●Reviewing and evaluating new developments in the cyber threat landscape.
Cybersecurity Risk Management Positions or Committees Responsible [Flag] true
Cybersecurity Risk Management Positions or Committees Responsible [Text Block] Company Cyber Security Officer (CCSO) reports via the IT Manager
Cybersecurity Risk Management Expertise of Management Responsible [Text Block] The CCSO plays a pivotal role in assessing and managing cybersecurity threats, incidents, and risks at the Partnership. Our CCSO holds a Bachelor’s degree in Information Technology, is a Certified Information Systems Security Professional (CISSP), and has over 7 years’ experience in a cyber security role along with more than 15 years’ experience with the Partnership, KNOT and its affiliates. Our CCSO’s professional development is sustained through various courses and certifications within the IT and information security industry.
Cybersecurity Risk Process for Informing Management or Committees Responsible [Text Block]

The IT Manager maintains ongoing dialogue with the CEO to ensure awareness of the Partnership’s cybersecurity posture and developments, including but not limited to new threats, incidents, risks, risk management solutions, tools, trainings, strategy pivots, or governance changes.
Cybersecurity Risk Management Positions or Committees Responsible Report to Board [Flag] true
v3.26.1
Summary of Significant Accounting Policies (Policies)
 12 Months Ended
Dec. 31, 2025
Summary of Significant Accounting Policies  
Basis of Preparation

(a) Basis of Preparation

The consolidated financial statements are prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”). All intercompany balances and transactions are eliminated on consolidation.

The consolidated financial statements include the financial statements of the entities listed in Note 4—Subsidiaries
Business Combinations and Asset Acquisitions

(b) Business Combinations and Asset Acquisitions

Business combinations are accounted for under the purchase method of accounting. On acquisition, the identifiable assets, liabilities and contingent liabilities are measured at their fair values at the date of acquisition. Any excess of the cost of acquisition over the fair values of the identifiable net assets acquired is recognized as goodwill. The consideration transferred for an acquisition is measured at fair value of the consideration given. Acquisition related costs are expensed as incurred. The results of operations of the acquired businesses are included in the consolidated results as of the date of the applicable acquisition.

Dependent on the facts and circumstances, the assessment of a transaction may be considered the acquisition of an asset, when substantially all of the fair value of assets acquired is concentrated in a single identifiable asset, rather than a business combination. Asset acquisitions are accounted for by allocating the cost of the acquisition to the individual assets acquired and liabilities assumed on a relative fair value basis. Acquisition related costs are capitalized as a component of the assets acquired. See Note 24—Acquisitions.
Reporting Currency

(c) Reporting Currency

The consolidated financial statements are prepared in the reporting currency of U.S. Dollars. The functional currency of the vessel-owning Partnership subsidiaries is the U.S. Dollar, because the subsidiaries operate in the international shipping market, in which all revenues are U.S. Dollar-denominated and the majority of expenditures are made in U.S. Dollars. Transactions involving other currencies during the year are converted into U.S. Dollars using the exchange rates in effect at the time of the transactions. As of the balance sheet dates, monetary assets and liabilities that are denominated in currencies other than the U.S. Dollar are translated to reflect the year-end exchange rates. Resulting gains or losses are reflected separately in the accompanying consolidated statements of operations.
Use of Estimates

(d) Use of Estimates

The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the financial statements, and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates. Significant items subject to such estimates and assumptions include the useful lives and impairment of Vessels, vessel market values, drydocking, purchase price allocation and income taxes.
Revenues and Operating Expenses

(e) Revenues and Operating Expenses

The Partnership’s time charter contracts include both a lease component, consisting of the lease of the vessel, and non-lease component, consisting of operation of the vessel for the customers. The lease element is accounted for as an operating lease on a straight-line basis over the term of the charter, while the non-lease service element consisting of the operation of the vessel is recognized over time as the services are delivered. The Partnership, as lessor, has not disclosed the consideration in the agreement to the separate lease and non-lease components as it was concluded that the inclusion of such information would not provide meaningful information to the users of the Financial statements. The timing and pattern of transfer to the charterer, as the lessee, are the same. Revenue from time charters is not recognized during days the Vessel is off-hire. Revenue is recognized from delivery of the Vessel to the charterer, until the end of the contract period. Under bareboat charters, the Partnership provides a specified Vessel for a fixed period of time at a specified day rate and the Partnership recognizes revenues from bareboat charters as operating leases on a straight-line basis over the term of the charter. Where the term of the contract is based on the duration of a single voyage, the Partnership evaluates whether the voyage contain leases and, if so, recognizes lease revenue as described above, and if not, recognizes revenue in accordance with ASC 606 upon the satisfaction of the performance obligations in the contract on a load-to-discharge basis.

In connection with the installation of the volatile organic compound emissions (“VOC”) control equipment on the Bodil Knutsen, the Partnership is receiving a grant to compensate for expenses incurred in relation to the retrofit of the vessel, the installation of the equipment and maintenance and operation of the unit. These grants or contributions are recorded as deferred revenue when they are received. The deferred revenue is recognized as other income over the useful life of the related asset.

In connection with the extensions of time charter contracts on the Tordis Knutsen, the Lena Knutsen, the Brasil Knutsen, the Bodil Knutsen and the Hilda Knutsen, and the change from time charter to bareboat charter on the Vigdis Knutsen there is a difference in the

time/bareboat charter recognized in revenue and the rental payment received from charter, thus there will be accrued income on the balance sheet.

Voyage expenses are paid by the customer under time charter and bareboat charters. Voyage expenses are paid by the Partnership for spot contracts and during periods of off-hire and are recognized when incurred.

Vessel operating expenses include commissions, crewing, repairs and maintenance, insurance, stores, lube oils and communication expenses. Vessel operating expenses are paid by the Partnership for time charters, spot contracts and during off-hire and are recognized when incurred.

The Partnership directly employs one onshore employee and no seagoing employees. Related parties have provided the management services for the Vessels and employ the crews that work on the Vessels. The Partnership is not liable for any pension or post-retirement benefits. See Note 19—Related Party Transactions.

Commencing January 1, 2024, the EU Emissions Trading System (EU ETS), was extended to cover carbon dioxide, or CO2, emissions from ships over 5,000 gross tons entering EU ports. The EU ETS covers (a) 50% of emissions from voyages either starting in or ending in an EU port, and (b) 100% of emissions from voyages between two EU ports or emissions generated while a ship is within an EU port.

​

Shipping companies will have to surrender EU ETS emissions allowances (EU Allowances, EUAs) for each ton of reported CO2 emissions in the scope of the EU ETS. There is a phase-in period for the regulations, as allowances will have to be submitted for 40% of 2024 emissions, 70% of 2025 emissions and 100% of emissions for 2026 and subsequent years.

​

EUAs are valued based upon a market approach utilizing prices published on an EUA market index. The value of the EUAs to be provided to the Partnership under the time charter contracts with the charterers of its vessels is included in “Time charter and bareboat revenues” in the consolidated statements of operations. The value of the EUA obligations incurred by the Partnership under the EU ETS are included in “Vessel operating expenses” or “Voyage expenses and commission” when the vessel is off-hire or operating in the spot market. The EUAs are measured at the estimated cost of purchasing the credits from the EUA market, based on the date of completing a voyage.

​
Financial Income (Expense)

(f) Financial Income (Expense)

Other finance expenses include external bank fees and commitment fees paid on undrawn revolving credit facility.
Cash and Cash Equivalents

(g) Cash and Cash Equivalents

The Partnership considers all highly liquid investments with an original maturity of three months or less when purchased to be cash equivalents.
Trade Accounts Receivable

(h) Trade Accounts Receivable

Accounts receivables are recorded at the invoiced amount and do not bear interest. Time charter and bareboat charter contracts require customers to pay in advance of the period of hire.

The allowance for expected credit losses is the Partnership’s best estimate of the expected credit losses over the remaining lives of the assets. Expected credit losses are estimated using historical credit loss experience, relevant available information, from internal and external sources, relating to current conditions and reasonable and supportable forecasts of economic conditions impacting the collectability of the assets. There was no allowance for expected credit loss or amounts written off against the allowance as of December 31, 2025, 2024 and 2023.

The Partnership does not have any off-balance-sheet credit exposure related to its customers.
Inventories

(i) Inventories

Inventories, which are comprised of lubricating oils and, for vessels not operating on time charter or bareboat charter, also bunkers, are stated at the lower of cost or net realizable value. For vessels on time charters or bareboat charters, there are no bunkers, as the charterer supplies the bunkers, which principally consist of fuel oil. Cost is determined using the first-in, first-out method for all inventories.
Other Current Assets

(j) Other Current Assets

Other current assets principally consist of prepaid expenses, other receivables and EUAs receivables from the charterers (EUAs relating to emissions required to be surrendered to the EU authorities are presented within Accrued expenses).
Vessels and Equipment

(k) Vessels and Equipment

Vessels and equipment are stated at the historical acquisition or construction cost, including capitalized interest, supervision and technical and delivery cost, net of accumulated depreciation and impairment loss, if any. Expenditures for subsequent conversions and major improvements are capitalized, provided that such costs increase the earnings capacity or improve the efficiency or safety of the vessels.

Generally, the Partnership drydocks each vessel every 60 months until the vessel is 15 years old and every 30 months thereafter, as required for the renewal of certifications issued by classification societies. For vessels operating on time charters, the Partnership capitalizes the costs directly associated with the classification and regulatory requirements for inspection of the vessels and improvements incurred during drydocking. Drydock cost is depreciated on a straight-line basis over the period until the next planned drydocking takes place. The Partnership expenses costs related to routine repairs and maintenance performed during drydocking or as otherwise incurred. For vessels that are newly built or acquired, an element of the cost of the vessel is initially allocated to a drydock component and depreciated on a straight-line basis over the period until the next planned drydocking. When significant dry-docking expenditures occur prior to the expiration of this period, the Partnership expenses the remaining balance of the original drydocking cost in the month of the subsequent drydocking. For vessels operating on bareboat charters, the charter-party bears the cost of any drydocking.

As of December 31, 2025, depreciation on vessels and equipment is calculated on a straight-line basis over the asset’s estimated useful life, less an estimated residual value, as follows:

​

​

​

​

​

  ​ ​ ​

Useful Life

Hull

 

20 years

Anchor-handling, loading and unloading equipment

 

20 years

Main/auxiliary engine

 

20 years

Thruster, dynamic positioning systems, cranes and other equipment

 

20 years

Drydock costs

 

2.5 – 5 years

​

A vessel is depreciated to its estimated residual value, which is calculated based on the weight of the ship and estimated steel price. Any cost related to the disposal is deducted from the residual value.

Prior to June 30, 2021, the useful life of the Partnership’s vessels and equipment was assessed as 25 years commencing from the date the vessel and equipment were delivered from the shipyard. The useful life was reassessed by the Partnership as being 23 years as of June 30, 2021. As of December 31, 2025, the Partnership considered factors related to the ongoing use of the vessels and equipment, gradual shifts in market conditions and other long-term factors associated with the global oil and maritime transportation industries and based on this has reassessed the useful life as being 20 years.

This change in estimate will be applied prospectively from January 1, 2026 and impacts the entire fleet of shuttle tanker vessels. The change in estimate did not impact income, net income nor earnings per share basic and diluted for the year ended December 31, 2025.
Right-of-use assets and lease liabilities

(l) Right-of-use assets and lease liabilities

The Partnership assesses whether a contract contains a lease at inception of the contract. The assessment involves the exercise of judgement about whether it depends on a specified asset, whether the Partnership obtains substantially all the economic benefits from the use of that asset, and whether the Partnership has the right to direct the use of the asset. The Partnership does not separate lease components from non-lease components as lessee. The Partnership recognizes a right-of-use asset and a lease liability at the lease commencement date, except for short-term leases of twelve months or less, which are expensed on a straight-line basis over the lease term.
Capitalized Interest

(m) Capitalized Interest

Interest expense incurred on the Partnership’s debt during the construction of the Vessels exceeding one year is capitalized during the construction period.
Impairment of Long-Lived Assets

(n) Impairment of Long-Lived Assets

Vessels and equipment, vessels under construction and intangible assets subject to amortization are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. If circumstances require a long-lived asset or asset group to be tested for possible impairment, the Partnership first compares undiscounted cash flows expected to be generated by that asset or asset group to its carrying value. If the carrying value of the long-lived asset or asset group is not recoverable on an undiscounted cash flow basis, impairment is recognized to the extent that the carrying value exceeds its fair value. Fair value is determined through various valuation techniques including discounted cash flow models, quoted market values and third-party independent appraisals, as considered necessary. See Note 21—Impairment of Long - Lived Assets.
Intangibles

(o) Intangibles

Intangible assets represent contractual rights for charters obtained in connection with business and asset acquisitions that have favorable contractual terms relative to market as of the acquisition dates. Contract liabilities represent contractual rights obtained in connection with business acquisitions that have unfavorable contractual terms relative to market as of the acquisition dates. The favorable and unfavorable contract rights have definite lives and are amortized to revenues over the period of the related contracts. Intangible assets with a definite life are tested for impairment whenever events or circumstances indicate that their carrying amount may not be recoverable. An impairment loss is recognized if the carrying amount exceeds the estimated fair value of the asset.

The contract related intangible liabilities and their amortization periods at acquisition dates are as follows:

​

​

​

​

​

​

Amortization

Intangible category

  ​ ​ ​

 Period

Unfavorable contractual rights—Fortaleza Knutsen

 

12 years

Unfavorable contractual rights—Recife Knutsen

 

12 years

Unfavorable contractual rights—Tuva Knutsen

​

12 years

Unfavorable contractual rights—Live Knutsen

​

8 years

Unfavorable contractual rights—Daqing Knutsen

​

7 years

​

The unfavorable contractual rights for charters associated with Fortaleza Knutsen and Recife Knutsen were obtained in connection with a step acquisition in 2008 that had unfavorable contractual terms relative to market as of acquisition date. The Fortaleza Knutsen and the Recife Knutsen commenced on their 12 years’ fixed bareboat charters in March 2011 and August 2011, respectively. The unfavorable contract rights related to Fortaleza Knutsen and Recife Knutsen are amortized to bareboat revenues on a straight-line basis over the 12 years’ contract period that expired in March 2023 and August 2023, respectively.

The unfavorable contractual rights for the time charter contract associated with Tuva Knutsen were obtained in connection with an acquisition in 2024 that had unfavorable contractual terms relative to market as of acquisition date. The Tuva Knutsen commenced on its 5 year time charter contract in February 2021, with options to declare additional terms for up to a total of 10 years. The unfavorable contract rights related to the Tuva Knutsen are split between the firm contract period and the option period and both are amortized to time charter revenue on a straight-line basis over the remaining term of their estimated period and the option ending in January 2036.

The unfavorable contractual rights for the time charter contract associated with Live Knutsen were obtained in connection with an acquisition in 2025 that had unfavorable contractual terms relative to market as of acquisition date. The Live Knutsen commenced on its 5 year time charter contract in January 2022, with options to declare additional terms for up to a total of 6 years. The unfavorable contract rights related to the Live Knutsen are split between the firm contract period and the option period and both are amortized to time charter revenue on a straight-line basis over the remaining term of their estimated period and the option ending in December 2032.

The unfavorable contractual rights for the time charter contract associated with Daqing Knutsen were obtained in connection with an acquisition in 2025 that had unfavorable contractual terms relative to market as of acquisition date. The Daqing Knutsen commenced on its 5 year time charter contract in July 2022, with options to declare additional terms for up to a total of 5 years. The unfavorable contract rights related to the Daqing Knutsen are split between the firm contract period and the option period and both are amortized to time charter revenue on a straight-line basis over the remaining term of their estimated period and the option ending in July 2032.

Debt Issuance Costs

(p) Debt Issuance Costs

Debt issuance costs, including fees, commissions and legal expenses, are deferred and presented net of debt. Debt issuance costs of term loans are amortized over the term of the relevant loan. Amortization of debt issuance costs is included in interest expense. These costs are presented as a deduction from the corresponding liability, consistent with debt discount.
Derivative Instruments

(q) Derivative Instruments

The Partnership uses derivatives to reduce market risks associated with its operations. The Partnership uses interest rate swaps for the management of interest risk exposure. The interest rate swaps effectively convert a portion of the Partnership’s debt from a floating to a fixed rate over the life of the transactions without an exchange of underlying principal.

The Partnership seeks to reduce its exposure to fluctuations in foreign exchange rates through the use of foreign currency forward contracts.

All derivative instruments are initially recorded at fair value as either assets or liabilities in the accompanying consolidated balance sheets and subsequently measured to fair value. The Partnership does not apply hedge accounting to its derivative instruments. Changes in the fair value of the derivative instruments are recognized in earnings. Gains and losses from the interest rate swap contracts of the Partnership related to long-term mortgage debt and foreign exchange forward contracts are recorded in realized and unrealized gain (loss) on derivative instruments in the consolidated statements of operations. Cash flows related to interest rate swap contracts are presented as cash flows provided by operating activities. Cash flows related to foreign exchange forward contracts entered into to economically hedge operating expenses in currencies other than U.S. Dollars are presented as cash flows provided by operating activities in the consolidated statements of cash flows, while cash flows related to foreign exchange forward contracts entered into to hedge contractual obligations to pay the shipyard in currencies other than functional currency of U.S. Dollars are presented as cash flows used in investing activities in the consolidated statements of cash flows.
Income Taxes

(r) Income Taxes

Historically, part of the Partnership’s activities were subject to ordinary taxation and taxes were paid on taxable income (including operating income and net financial income and expense), while part of the activities were subject to the Norwegian Tonnage Tax Regime (the “tonnage tax regime”). Under the tonnage tax regime, tax is based on the tonnage of the vessel, and not operating income. Net financial income and expense remain taxable as ordinary income at the regular corporate income tax rate. Income taxes arising from the part of activities subject to ordinary taxation are included in income tax expense in the consolidated statements of operations. For the portion of activities subject to the tonnage tax regime, tonnage taxes are classified as vessel operating expenses, while the current and deferred taxes arising on net financial income and expense are reflected as income tax expense in the consolidated statements of operations. See Note 18—Income Taxes.

The Partnership accounts for deferred income taxes using the liability method. Under the liability method, deferred tax assets and liabilities are recognized for the anticipated future tax effects of temporary differences between the financial statement basis and the tax basis of the Partnership’s assets and liabilities using enacted tax rates expected to apply to taxable income in the years in which

these temporary differences are expected to be recovered or settled. A valuation allowance for deferred tax assets is recorded when it is more likely than not that some or all of the benefit from the deferred tax asset will not be realized.

Recognition of uncertain tax positions is dependent upon whether it is more-likely-than-not that a tax position taken or expected to be taken in a tax return will be sustained upon examination, including resolution of any related appeals or litigation processes, based on the technical merits of the position. If a tax position meets the more-likely-than-not recognition threshold, it is measured to determine the amount of benefit to recognize in the consolidated financial statements based on U.S. GAAP guidance. The Partnership recognizes interest and penalties related to uncertain tax positions in income tax expense.
Prepaid Charter

(s) Prepaid Charter

Under terms of the time charters and bareboat charters, the customer pays for the month’s charter the first day of each month. If they pay in advance, the amount is recorded as prepaid charter revenues.

Commitments, Contingencies and Insurance Proceeds

(t) Commitments, Contingencies and Insurance Proceeds

Liabilities for loss contingencies arising from claims, assessments, litigation, fines and penalties and other sources are recorded when it is probable that a liability has been incurred and the amount can be reasonably estimated. Legal costs incurred in connection with loss contingencies are expensed as incurred. See Note 20—Commitments and Contingencies

Insurance claims for property damage for recoveries up to the amount of loss recognized are recorded when the claims submitted to insurance carriers are probable of recovery. Claims for property damage in excess of the loss recognized and for loss of hire are considered gain contingencies, which are generally recognized when the proceeds are received.
Fair Value Measurements

(u) Fair Value Measurements

The Partnership utilizes valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible. The Partnership determines fair value based on assumptions that market participants would use in pricing an asset or liability in the principal or most advantageous market. When considering market participant assumptions in fair value measurements, the following fair value hierarchy distinguishes between observable and unobservable inputs, which are categorized in one of the following levels:

●Level 1 Inputs: Unadjusted quoted prices in active markets for identical assets or liabilities accessible to the reporting entity at the measurement date
●Level 2 Inputs: Other than quoted prices included in Level 1 inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the asset or liability.
●Level 3 Inputs: Unobservable inputs for the asset or liability used to measure fair value to the extent that observable inputs are not available, thereby allowing for situations in which there is little, if any, market activity for the asset or liability at the measurement date.
Recently Adopted Accounting Standards and New Accounting Standards Not Yet Adopted

(v) Recently Adopted Accounting Standards

On December 14, 2023, the Financial Accounting Standards Board (“FASB”) issued an amendment to the Accounting Standard Update (“ASU”) ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures. The guidance requires disaggregated information about a reporting entity’s effective tax rate reconciliation as well as information on income taxes paid. The standard is intended to benefit investors by providing more detailed income tax disclosures that would be useful in making capital allocation decisions. This guidance is effective for periods beginning after December 15, 2024, with early adoption permitted. The amendments in this update should be applied either prospectively or retrospectively to all periods presented in the financial statements. The adoption of ASU 2023-09 did not have a material impact on the Partnership’s consolidated financial statements and disclosures.

(w) New Accounting Standards Not Yet Adopted

On November 4, 2024, the FASB issued ASU 2024-03 Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures (DISE), which requires a public entity to disclose, on an annual and interim basis, disaggregated information about certain income statement line items in a tabular format in the notes to the financial statements. The ASU, which does not change what a public entity presents on the face of its income statement, establishes a new subtopic, ASC 220-40, that sets minimum disaggregated expense disclosure requirements. The ASU also requires separate disclosures of selling expenses and an entity’s definition of those expenses. The new guidance is effective for public entities for fiscal years beginning after December 15, 2026, and interim periods within fiscal years beginning after December 15, 2027. Early adoption is permitted. The Partnership has not yet adopted this ASU and is in the process of evaluating the impact of the adoption of this pronouncement on its consolidated financial statements and related disclosures.

On December 4, 2025, the FASB issued ASU 2025-10, Government Grants (Topic 832): Accounting for Government Grants Received by Business Entities, to establish guidance on the recognition, measurement, and presentation of government grants received by business entities. The new guidance leverages the principles in the accounting framework for government assistance in International Financial Reporting Standards (“IFRS”), specifically IAS 20, Accounting for Government Grants and Disclosure of Government Assistance; makes certain targeted improvements; and modifies certain of the existing disclosure requirements in ASC 832, Government Assistance. The new guidance is effective for public business entities in annual periods beginning after December 15, 2028 (including interim periods within) and one year later for all other entities, with early adoption permitted in any period for which financial statements have not yet been issued. The guidance can be applied on a modified prospective basis, a modified retrospective basis, or a full retrospective basis. The new guidance is not expected to materially impact the Partnership.

The Partnership has reviewed all other recently issued accounting pronouncements and has not identified any new or amended standards that would have a material impact on the Partnership’s current accounting policies.
v3.26.1
Summary of Significant Accounting Policies (Tables)
 12 Months Ended
Dec. 31, 2025
Summary of Significant Accounting Policies  
Schedule of estimated useful life of vessels and equipment

​

​

​

​

​

  ​ ​ ​

Useful Life

Hull

 

20 years

Anchor-handling, loading and unloading equipment

 

20 years

Main/auxiliary engine

 

20 years

Thruster, dynamic positioning systems, cranes and other equipment

 

20 years

Drydock costs

 

2.5 – 5 years
Schedule of contract related intangible liabilities and their amortization periods at acquisition dates

​

​

​

​

​

​

Amortization

Intangible category

  ​ ​ ​

 Period

Unfavorable contractual rights—Fortaleza Knutsen

 

12 years

Unfavorable contractual rights—Recife Knutsen

 

12 years

Unfavorable contractual rights—Tuva Knutsen

​

12 years

Unfavorable contractual rights—Live Knutsen

​

8 years

Unfavorable contractual rights—Daqing Knutsen

​

7 years
v3.26.1
Significant Risks and Uncertainties Including Business and Credit Concentrations (Tables)
 12 Months Ended
Dec. 31, 2025
Significant Risks and Uncertainties Including Business and Credit Concentrations  
Schedules of concentration of risk, by risk factor

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Year Ended December 31, 

​

(U.S. Dollars in thousands)

  ​ ​ ​

2025

  ​ ​ ​

2024

  ​ ​ ​

2023

​

Brazil Shipping I Limited, a subsidiary of Royal Dutch Shell

  ​ ​ ​

$

80,986

  ​ ​ ​

22

%  

$

73,337

  ​ ​ ​

24

%  

$

33,019

  ​ ​ ​

12

%

Equinor ASA

​

​

55,186

 

15

%  

​

53,297

 

17

%  

​

36,563

 

13

%

Eni Trading and Shipping S.p.A.

​

 

46,734

 

13

%  

 

6,636

 

2

%  

 

—

 

—

%

Repsol Sinopec Brasil, S.A., a subsidiary of Repsol Sinopec Brasil, B.V., combined with Repsol Trading S.A.

​

 

38,422

 

11

%  

 

41,235

 

13

%  

 

36,946

 

13

%

Chartering and Shipping Service S.A., a subsidiary of TotalEnergies

​

 

38,433

 

11

%  

 

24,127

 

8

%  

 

41,030

 

14

%

Fronape International Company, a subsidiary of Petrobras Transporte S.A.

​

​

36,903

 

10

%  

​

42,238

 

14

%  

​

51,743

 

18

%

KNOT

​

$

2,834

​

1

%  

$

28,008

​

9

%  

$

28,682

​

10

%
v3.26.1
Operating Leases (Tables)
 12 Months Ended
Dec. 31, 2025
Operating Leases  
Schedule of Partnership's revenues by time charter and bareboat charters and other revenues

​

​

​

​

​

​

​

​

​

​

​

​

​

Year Ended December 31, 

(U.S. Dollars in thousands)

  ​ ​ ​

2025

  ​ ​ ​

2024

  ​ ​ ​

2023

Time charter revenues (service element included)

​

$

359,094

​

$

302,061

​

$

246,670

Bareboat charter revenues

​

​

2,091

​

​

4,854

​

​

30,414

Total time charter and bareboat revenues

​

​

361,185

​

​

306,915

​

​

277,084

Other revenues (voyage revenues, loss of hire insurance recoveries and other income)

​

​

3,258

​

​

11,684

​

​

13,632

Total revenues

​

$

364,443

​

$

318,599

​

$

290,716
Schedule of minimum contractual future revenues

​

​

​

​

​

(U.S. Dollars in thousands)

  ​ ​ ​

​

​

2026

​

$

339,036

2027

​

​

260,287

2028

​

​

151,940

2029

​

​

93,032

2030

​

​

48,062

2031 and thereafter

​

​

37,485

Total

 

$

929,842
Schedule of maturity analysis of partnership's lease liabilities

​

​

​

​

​

(U.S. Dollars in thousands)

  ​ ​ ​

  ​

​

2026

​

$

449

2027

​

​

449

2028

​

​

37

2029

​

​

—

2030 and thereafter

​

​

—

Total

​

​

935

Less imputed interest

​

 

60

Carrying value of operating lease liabilities

​

$

875

​
v3.26.1
Segment Information (Tables)
 12 Months Ended
Dec. 31, 2025
Segment Information  
Schedule of consolidated revenues and percentages of revenues for customers

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Year Ended December 31, 

​

(U.S. Dollars in thousands)

  ​ ​ ​

2025

  ​ ​ ​

2024

  ​ ​ ​

2023

​

Brazil Shipping I Limited, a subsidiary of Royal Dutch Shell

  ​ ​ ​

$

80,986

  ​ ​ ​

22

%  

$

73,337

  ​ ​ ​

24

%  

$

33,019

  ​ ​ ​

12

%

Equinor ASA

​

​

55,186

 

15

%  

​

53,297

 

17

%  

​

36,563

 

13

%

Eni Trading and Shipping S.p.A.

​

 

46,734

 

13

%  

 

6,636

 

2

%  

 

—

 

—

%

Repsol Sinopec Brasil, S.A., a subsidiary of Repsol Sinopec Brasil, B.V., combined with Repsol Trading S.A.

​

 

38,422

 

11

%  

 

41,235

 

13

%  

 

36,946

 

13

%

Chartering and Shipping Service S.A., a subsidiary of TotalEnergies

​

 

38,433

 

11

%  

 

24,127

 

8

%  

 

41,030

 

14

%

Fronape International Company, a subsidiary of Petrobras Transporte S.A.

​

​

36,903

 

10

%  

​

42,238

 

14

%  

​

51,743

 

18

%

KNOT

​

$

2,834

​

1

%  

$

28,008

​

9

%  

$

28,682

​

10

%
v3.26.1
Other Finance Expenses (Tables)
 12 Months Ended
Dec. 31, 2025
Other Finance Expenses  
Schedule of components of interest expense

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Year Ended December 31, 

(U.S. Dollars in thousands)

  ​ ​ ​

2025

  ​ ​ ​

2024

  ​ ​ ​

2023

Interest expense

​

$

59,639

​

$

65,131

​

$

69,567

Amortization of debt issuance cost and fair value of debt assumed

​

 

2,391

​

 

2,221

​

 

2,503

Total interest expense

​

$

62,030

​

$

67,352

​

$

72,070
Schedule of components of other finance expense

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Year Ended December 31, 

(U.S. Dollars in thousands)

  ​ ​ ​

2025

  ​ ​ ​

2024

  ​ ​ ​

2023

Bank fees, charges

​

$

532

​

$

258

​

$

554

Guarantee costs

​

​

—

​

​

60

​

​

—

Commitment fees

​

 

223

 

 

40

 

 

35

Total other finance expense

​

$

755

 

$

358

 

$

589

​
v3.26.1
Derivative Instruments (Tables)
 12 Months Ended
Dec. 31, 2025
Derivative Instruments  
Schedule of realized and unrealized gains and losses recognized in earnings as net gain (loss) on derivative instruments

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Year Ended December 31, 

(U.S. Dollars in thousands)

  ​ ​ ​

2025

  ​ ​ ​

2024

  ​ ​ ​

2023

Realized gain (loss):

 

​

  ​

 

​

  ​

 

​

  ​

Interest rate swap contracts

​

$

9,508

​

$

15,518

​

$

14,648

Foreign exchange forward contracts

​

 

—

​

 

—

​

 

(79)

Total realized gain (loss):

​

 

9,508

​

 

15,518

​

 

14,569

Unrealized gain (loss):

​

 

​

​

 

​

​

 

  ​

Interest rate swap contracts

​

 

(10,432)

​

 

(8,720)

​

 

(9,200)

Total unrealized gain (loss):

​

 

(10,432)

​

 

(8,720)

​

 

(9,200)

Total net realized gain and unrealized loss on derivative instruments:

​

$

(924)

​

$

6,798

​

$

5,369

​
v3.26.1
Fair Value Measurements (Tables)
 12 Months Ended
Dec. 31, 2025
Fair Value Measurements  
Schedule of carrying amounts and estimated fair values of financial instruments

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

December 31, 2025

​

December 31, 2024

​

  ​ ​ ​

Carrying 

  ​ ​ ​

Fair 

  ​ ​ ​

Carrying 

  ​ ​ ​

Fair 

(U.S. Dollars in thousands)

 

Amount  

 

Value  

 

Amount  

 

Value  

Recurring:

​

​

​

​

​

​

​

​

​

​

​

​

Financial assets:

​

​

​

​

​

​

​

​

​

​

​

​

Cash and cash equivalents

​

$

88,983

​

$

88,983

​

$

66,933

​

$

66,933

Current derivative assets:

​

 

  ​

​

 

  ​

​

 

  ​

​

 

  ​

Interest rate swap contracts

​

 

2,276

​

 

2,276

​

 

8,112

​

 

8,112

Non-current derivative assets:

​

 

​

​

 

  ​

​

 

​

​

 

  ​

Interest rate swap contracts

​

 

1,908

​

 

1,908

​

 

5,189

​

 

5,189

Financial liabilities:

​

 

  ​

​

 

  ​

​

 

  ​

​

 

  ​

Current derivative liabilities:

​

 

​

​

 

  ​

​

 

​

​

 

  ​

Interest rate swap contracts

​

​

247

​

​

247

​

​

—

​

​

—

Non-current derivative liabilities:

​

 

  ​

​

 

  ​

​

 

  ​

​

 

  ​

Interest rate swap contracts

​

​

909

​

​

909

​

​

—

​

​

—

Long-term debt, current and non-current

​

​

959,633

​

​

941,525

​

​

909,653

​

​

887,192

Non-recurring:

​

​

​

​

​

​

​

​

​

​

​

​

Non-current asset:

​

​

​

​

​

​

​

​

​

​

​

​

Vessel

​

$

59,498

​

$

59,498

​

$

—

​

$

—
Schedule of assets and liabilities measured at fair value on recurring basis

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Fair Value Measurements

​

​

​

​

​

at Reporting Date Using

​

​

​

​

​

Price

​

​

​

​

​

​

​

​

​

​

​

in Active

​

Significant

​

​

​

​

​

Carrying

​

Markets for

​

Other

​

Significant

​

​

Value

​

Identical

​

Observable

​

Unobservable

​

​

December

​

Assets

​

Inputs

​

Inputs

(U.S. Dollars in thousands)

  ​ ​ ​

31, 2025

  ​ ​ ​

(Level 1)

  ​ ​ ​

(Level 2)

  ​ ​ ​

(Level 3)

Recurring:

​

​

​

​

​

​

​

​

​

​

​

​

Financial assets:

​

​

  ​

​

​

  ​

​

​

  ​

​

​

  ​

Cash and cash equivalents

​

$

88,983

​

$

88,983

​

$

—

​

$

—

Current derivative assets:

​

 

  ​

​

 

  ​

​

 

  ​

​

 

  ​

Interest rate swap contracts

​

 

2,276

​

 

—

​

 

2,276

​

 

—

Non-current derivative assets:

​

 

  ​

​

 

  ​

​

 

  ​

​

 

  ​

Interest rate swap contracts

​

 

1,908

​

 

—

​

 

1,908

​

 

—

Financial liabilities:

​

 

  ​

​

 

  ​

​

 

  ​

​

 

  ​

Current derivative liabilities:

​

 

  ​

​

 

  ​

​

 

  ​

​

 

  ​

Interest rate swap contracts

​

​

247

​

​

—

​

​

247

​

​

—

Non-current derivative liabilities:

​

 

  ​

​

 

  ​

​

 

  ​

​

 

  ​

Interest rate swap contracts

​

​

909

​

​

—

​

​

909

​

​

—

Long-term debt, current and non-current

​

​

959,633

​

​

—

​

​

941,525

​

​

—

Non-recurring:

​

​

​

​

​

​

​

​

​

​

​

​

Non-current asset:

​

​

​

​

​

​

​

​

​

​

​

​

Vessel

​

$

59,498

​

$

—

​

$

—

​

$

59,498

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Fair Value Measurements

​

​

​

​

​

at Reporting Date Using

​

​

​

​

​

Price

​

​

​

​

​

​

​

​

​

​

​

in Active

​

Significant

​

​

​

​

​

Carrying

​

Markets for

​

Other

​

Significant

​

​

Value

​

Identical

​

Observable

​

Unobservable

​

​

December

​

Assets

​

Inputs

​

Inputs

(U.S. Dollars in thousands)

  ​ ​ ​

31, 2024

  ​ ​ ​

(Level 1)

  ​ ​ ​

(Level 2)

  ​ ​ ​

(Level 3)

Recurring:

​

​

​

​

​

​

​

​

​

​

​

​

Financial assets:

​

​

​

​

​

​

​

​

​

​

​

​

Cash and cash equivalents

​

$

66,933

​

$

66,933

​

$

—

​

$

—

Current derivative assets:

​

 

  ​

​

 

  ​

​

 

  ​

​

 

  ​

Interest rate swap contracts

​

 

8,112

​

 

—

​

 

8,112

​

 

—

Non-current derivative assets:

​

 

  ​

​

 

  ​

​

 

  ​

​

 

  ​

Interest rate swap contracts

​

 

5,189

​

 

—

​

 

5,189

​

 

—

Financial liabilities:

​

 

  ​

​

 

  ​

​

 

  ​

​

 

  ​

Long-term debt, current and non-current

​

$

909,653

​

$

—

​

$

887,192

​

$

—
Schedule of valuation techniques and significant unobservable inputs used in the valuation of Level 3 assets measured at fair value on a non-recurring basis

​

​

​

​

​

​

​

​

​

​

​

​

​

  ​ ​ ​

​

​

  ​ ​ ​

​

  ​ ​ ​

Significant

  ​ ​ ​

​

 

​

​

Fair

​

​

​

unobservable

​

​

 

(U.S. Dollars in thousands)

​

Value

​

Valuation technique

​

inputs:

​

WACC (1)

 

Non-Recurring:

 

​

  ​

 

  ​

 

  ​

 

  ​

​

Non-current assets:

 

​

  ​

 

  ​

 

  ​

 

  ​

​

Bodil Knutsen

​

$

59,498

 

Discounted cash flow

 

Discount rate

 

9.18

%

​

​

​

​

​

​

​

​

​

​

​

(1) WACC is defined as weighted average cost of capital.
v3.26.1
Trade Accounts Receivable and Other Current Assets (Tables)
 12 Months Ended
Dec. 31, 2025
Trade Accounts Receivable and Other Current Assets  
Schedule of other current assets

​

​

​

​

​

​

​

​

​

​

At December 31, 

​

At December 31, 

(U.S. Dollars in thousands)

  ​ ​ ​

2025

  ​ ​ ​

2024

Trade receivables

​

$

3,694

​

$

6,251

Trade receivables due from KNOT and affiliates (see Note 19 (d))

​

​

1

​

​

804

Insurance claims for recoveries (refer to note 5 )

​

​

16

​

​

3,877

Refund of value added tax

​

​

1,606

​

​

1,337

Prepaid expenses

​

 

1,537

​

 

1,505

EU ETS current receivables

​

​

6,597

​

​

—

Other receivables

​

 

1,741

​

 

1,019

Total other current assets

​

$

15,192

​

$

14,793

​
v3.26.1
Inventory (Tables)
 12 Months Ended
Dec. 31, 2025
Inventory  
Schedule of inventory

​

​

​

​

​

​

​

​

​

​

At December 31, 

​

At December 31, 

(U.S. Dollars in thousands)

  ​ ​ ​

2025

​

2024

Lubricating oil

​

$

4,288

​

$

3,304

Total inventory

​

$

4,288

​

$

3,304

​
v3.26.1
Vessels and Equipment (Tables)
 12 Months Ended
Dec. 31, 2025
Vessels and Equipment  
Schedule of vessels and equipment

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Vessels &

​

Accumulated

​

Accumulated

​

​

​

(U.S. Dollars in thousands)

  ​ ​ ​

equipment

  ​ ​ ​

depreciation

  ​ ​ ​

impairment

  ​ ​ ​

Net Vessels

Vessels, December 31, 2023

​

$

2,398,434

​

$

(826,366)

​

$

(79,070)

​

$

1,492,998

Additions (1)

​

 

126,106

​

 

—

​

​

—

​

 

126,106

Drydock costs

​

 

553

​

 

—

​

​

—

​

 

553

Disposals (2)

​

 

(103,537)

​

 

43,973

​

​

30,300

​

 

(29,264)

Depreciation and impairment for the period (3)

​

 

—

​

 

(111,817)

​

​

(16,384)

​

 

(128,201)

Vessels, December 31, 2024

​

$

2,421,556

​

$

(894,210)

​

$

(65,154)

​

$

1,462,192

Additions (4 and 6)

​

 

244,669

​

​

—

​

​

—

​

​

244,669

Drydock costs

​

 

14,690

​

​

—

​

​

—

​

​

14,690

Disposals (5)

​

 

(115,824)

​

​

55,522

​

​

35,734

​

​

(24,568)

Depreciation and impairment for the period (3)

​

 

—

​

​

(119,703)

​

​

(20,259)

​

​

(139,962)

Vessels, December 31, 2025

​

$

2,565,091

​

$

(958,391)

​

$

(49,679)

​

$

1,557,021

(1)On September 3, 2024 the Partnership acquired KNOT’s 100% interest in KNOT Shuttle Tankers 31 AS, the company that owns and operates the Tuva Knutsen. This acquisition was accounted for as an acquisition of assets. See Note 24—Acquisitions.
(2)On September 3, 2024 the Partnership sold to KNOT its 100% interest in KNOT Shuttle Tankers 20 AS, the company that owns and operates the Dan Cisne. This sales transaction was part of an asset swap. See footnote (1) above and see Note 19 (a)—Related Parties.
(3)The carrying values of the Dan Sabia and the Dan Cisne were written down to their estimated fair values as of June 30, 2024 and the carrying value of the Bodil Knutsen was written down to its estimated fair value as of December 31, 2025. See Note 21—Impairment of Long - Lived Assets.
(4)On March 3, 2025, the Partnership acquired KNOT’s 100% interest in KNOT Shuttle Tankers 27 AS, the company that owns and operates the Live Knutsen. This acquisition was accounted for as an acquisition of assets. See Note 24—Acquisitions.
(5)On March 3, 2025, the Partnership sold to KNOT its 100% interest in KNOT Shuttle Tankers 21 AS, the company that owns and operates the Dan Sabia. This sales transaction was part of an asset swap. See footnote (4) above and see Note 19(a)—Related Parties.
(6)On July 2, 2025, the Partnership acquired KNOT’s 100% interest in KNOT Shuttle Tankers 37 AS, the company that owns and operates the Daqing Knutsen. This acquisition was accounted for as an acquisition of assets. See Note 24—Acquisitions.
Schedule of drydocking activity

​

​

​

​

​

​

​

​

(U.S. Dollars in thousands)

  ​ ​ ​

At December 31, 2025

  ​ ​ ​

At December 31, 2024

Balance at the beginning of the year

​

$

28,661

​

$

40,587

Costs incurred for drydocking

​

 

14,690

​

 

553

Costs re-allocated to drydocking due to change of contract

​

​

—

​

​

2,039

Costs allocated to drydocking as part of acquisition of asset

​

 

2,340

​

 

910

Drydock amortization as part of sale of asset

​

​

(1,526)

​

​

(1,490)

Drydock amortization

​

 

(14,842)

​

 

(13,938)

Balance at the end of the year

​

$

29,323

​

$

28,661

​
v3.26.1
Contract Liabilities (Tables)
 12 Months Ended
Dec. 31, 2025
Contract Liabilities  
Schedule of contract liabilities

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

  ​ ​ ​

Unfavourable

  ​ ​ ​

Unfavourable

​

Unfavourable

  ​ ​ ​

Total

​

​

contract rights

​

contract rights

​

contract rights

​

Contract

(U.S. Dollars in thousands)

​

Tuva Knutsen

​

Live Knutsen

​

Daqing Knutsen

​

liabilities

Contract liabilities, December 31, 2023

 

$

—

 

$

—

​

$

—

 

$

—

Additions

​

​

(27,628)

​

​

—

​

​

—

​

​

(27,628)

Amortization for the period

​

​

963

​

​

—

​

​

—

​

​

963

Contract liabilities, December 31, 2024

​

​

(26,665)

​

​

—

​

​

—

​

​

(26,665)

Additions

​

​

—

​

​

(24,463)

​

​

(24,754)

​

​

(49,217)

Amortization for the period

​

​

2,406

​

​

2,602

​

​

1,748

​

​

6,756

Contract liabilities, December 31, 2025

​

$

(24,259)

​

$

(21,861)

​

$

(23,006)

​

$

(69,126)
Schedule of expected amortization of contract liabilities

​

​

​

​

​

(U.S. Dollars in thousands)

  ​ ​ ​

​

​

2026

​

$

(9,024)

2027

​

​

(9,024)

2028

​

​

(9,024)

2029

​

​

(9,024)

2030 and thereafter

​

​

(33,030)

Total

 

$

(69,126)
v3.26.1
Accrued expenses (Tables)
 12 Months Ended
Dec. 31, 2025
Accrued expenses  
Schedule of accrued expenses

​

​

​

​

​

​

​

​

​

​

At December 31, 

​

At December 31, 

(U.S. Dollars in thousands)

  ​ ​ ​

2025

​

2024

Operating expenses

​

$

5,456

​

$

3,629

Interest expenses

​

 

4,834

​

 

4,936

EU ETS

​

​

6,805

​

​

—

Other expenses

​

 

1,333

​

 

2,900

Total accrued expenses

​

$

18,428

​

$

11,465

​
v3.26.1
Long-Term Debt (Tables)
 12 Months Ended
Dec. 31, 2025
Long-Term Debt.  
Schedule of long-term debt

​

​

​

​

​

​

​

​

​

​

​

​

​

​

December 31, 

​

December 31, 

(U.S. Dollars in thousands)

  ​ ​ ​

Vessel

  ​ ​ ​

2025

  ​ ​ ​

2024

$345 million loan facility

​

Anna Knutsen, Tordis Knutsen, Vigdis Knutsen, Brasil Knutsen, Lena Knutsen

​

$

238,343

​

$

263,438

$240 million loan facility

​

Windsor Knutsen, Bodil Knutsen, Carmen Knutsen, Fortaleza Knutsen, Recife Knutsen, Ingrid Knutsen

​

​

151,321

​

​

186,792

$60 million Hilda loan facility

 

Hilda Knutsen

​

 

48,750

​

 

56,250

$192.1 million loan facility

​

Tove Knutsen and Synnøve Knutsen

​

​

—

​

​

144,597

$69 million Tuva loan facility

​

Tuva Knutsen

​

​

62,568

​

​

67,744

$73 million Live loan facility

​

Live Knutsen

​

​

69,658

​

​

—

$71 million Synnøve loan facility

​

Synnøve Knutsen

​

​

71,076

​

​

—

$70 million Daqing loan facility

​

Daqing Knutsen

​

​

68,130

​

​

—

$25 million revolving credit facility with NTT

 

  ​

​

 

2,000

​

 

1,500

$25 million revolving credit facility with SBI Shinsei

​

​

​

​

—

​

​

25,000

Raquel Sale & Leaseback

​

Raquel Knutsen

​

​

68,010

​

​

73,653

Torill Sale & Leaseback

​

Torill Knutsen

​

​

81,921

​

​

90,679

Tove Sale & Leaseback

​

Tove Knutsen

​

​

97,856

​

​

—

Total long-term debt

 

  ​

​

$

959,633

​

$

909,653

Less: current installments

 

  ​

​

 

383,146

​

 

258,739

Less: unamortized deferred loan issuance costs

 

  ​

​

 

2,020

​

 

2,080

Current portion of long-term debt

 

  ​

​

 

381,126

​

 

256,659

Amounts due after one year

 

  ​

​

 

576,487

​

 

650,914

Less: unamortized deferred loan issuance costs

 

  ​

​

 

2,513

​

 

2,839

Long-term debt, less current installments, and unamortized deferred loan issuance costs

 

  ​

​

$

573,974

​

$

648,075
Schedule of partnership's outstanding debt repayable

The Partnership’s outstanding debt of $959.6 million as of December 31, 2025 is repayable as follows:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Sale &

​

Period

​

Balloon

​

​

​

(U.S. Dollars in thousands)

  ​ ​ ​

Leaseback

  ​ ​ ​

 repayment

  ​ ​ ​

repayment

  ​ ​ ​

Total

2026

​

$

20,258

​

$

78,685

​

$

284,203

​

$

383,146

2027

​

​

21,246

 

​

38,613

 

​

156,679

 

​

216,538

2028

​

​

22,345

​

​

17,979

​

​

78,824

​

​

119,148

2029

​

​

23,373

​

​

4,738

​

​

—

​

​

28,111

2030

​

​

24,515

​

​

4,738

​

​

47,387

​

​

76,640

2031 and thereafter

​

​

136,050

​

​

—

​

​

—

​

​

136,050

Total

​

$

247,787

​

$

144,753

​

$

567,093

​

$

959,633
v3.26.1
Income Taxes (Tables)
 12 Months Ended
Dec. 31, 2025
Income Taxes  
Schedule of significant components of current and deferred Income tax expense attributable to Income from continuing operations

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Year Ended December 31, 

(U.S. Dollars in thousands)

  ​ ​ ​

2025

  ​ ​ ​

2024

  ​ ​ ​

2023

Current tax benefit (expense)

​

$

(1,151)

​

$

(606)

​

$

4,598

Deferred tax benefit (expense)

​

 

(12)

​

 

(25)

​

 

(3)

Income tax benefit (expense)

​

$

(1,163)

​

$

(631)

​

$

4,595
Schedule of Income (loss) before income taxes

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

 

​

​

Year Ended December 31, 

​

(U.S. Dollars in thousands)

  ​ ​ ​

2025

  ​ ​ ​

2024

  ​ ​ ​

2023

 

Income (loss) before income taxes

​

$

24,422

​

$

14,696

​

$

(38,923)

​
Schedule of income tax expense reconciliation

​

A reconciliation between the effective tax rate and the product of the accounting profit multiplied by the UK domestic tax rate for the year ended December 31, 2025, 2024 and 2023 is as follows:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Year Ended December 31, 

(U.S. Dollars in thousands)

  ​ ​ ​

2025

  ​ ​ ​

2024

  ​ ​ ​

2023

​

​

Amount

​

Percent

​

Amount

​

Percent

​

Amount

​

Percent

Income tax benefit (expense) in UK

​

$

(6,105)

​

25

%

​

$

(3,674)

​

25

%

​

$

9,731

​

25

%

Nontaxable and nondeductible items related to the Norwegian tonnage tax regime

​

​

4,942

​

(20)

​

​

​

3,043

​

(22)

​

​

​

(5,136)

​

(13)

​

Effective tax rate

​

$

(1,163)

​

5

%

​

$

(631)

​

5

%

​

$

4,595

​

12

%
Schedule of components of deferred tax assets and liabilities

The tax effects, relating to the Norwegian tonnage tax regime, of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities as of December 31, 2025 and 2024 are presented below:

​

​

​

​

​

​

​

​

​

​

As of December 31, 

(U.S. Dollars in thousands)

  ​ ​ ​

2025

  ​ ​ ​

2024

Deferred tax assets:

​

​

  ​

​

​

  ​

Financial loss carry forwards for tonnage tax

​

$

19,862

​

$

19,341

Valuation allowance

​

 

(17,200)

​

 

(16,015)

Deferred tax liabilities:

​

 

​

​

 

​

Entrance tax

​

 

(82)

​

 

(91)

Total net deferred tax assets (liabilities)

​

$

2,580

​

$

3,235

​

The net deferred tax assets (liabilities) is classified in the consolidated balance sheets as follows:

​

​

​

​

​

​

​

​

​

​

As of December 31, 

(U.S. Dollars in thousands)

  ​ ​ ​

2025

  ​ ​ ​

2024

Non-current deferred tax assets

​

$

2,662

​

$

3,326

Non-current deferred tax liabilities

​

 

(82)

​

 

(91)

Total net deferred tax assets (liabilities)

​

$

2,580

​

$

3,235

​

Changes in the net deferred tax assets (liabilities) at December 31, 2025 and 2024 are presented below:

​

​

​

​

​

​

​

​

​

​

As of December 31, 

(U.S. Dollars in thousands)

  ​ ​ ​

2025

  ​ ​ ​

2024

Total net deferred tax assets (liabilities) at January 1,

​

$

3,235

​

$

4,231

Change in temporary differences

​

 

(644)

​

 

(1,009)

Translation differences

​

 

(11)

​

 

13

Total net deferred tax assets (liabilities) at December 31, 

​

$

2,580

​

$

3,235
v3.26.1
Related Party Transactions (Tables)
 12 Months Ended
Dec. 31, 2025
Related Party Transactions  
Schedule of Related Party Costs and Expenses

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Year Ended December 31, 

(U.S. Dollars in thousands)

  ​ ​ ​

2025

  ​ ​ ​

2024

  ​ ​ ​

2023

Statements of operations:

​

​

  ​

​

​

  ​

​

​

  ​

Time charter and bareboat revenues:

​

​

​

​

​

​

​

​

​

Time charter income from KNOT (1)

​

$

2,834

​

$

28,008

​

$

28,682

​

​

​

​

​

​

​

​

​

​

Gain from disposal of vessel (2)

​

​

1,342

​

​

703

​

​

—

​

​

​

​

​

​

​

​

​

​

Operating expenses:

​

 

​

​

 

​

​

 

​

Vessel operating expenses (3)

​

​

20,756

​

​

19,028

​

​

16,507

Voyage expenses and commissions (4)

​

​

—

​

​

15

​

​

70

Technical and operational management fee from KNOT to Vessels (5)

​

 

14,228

​

 

12,490

​

 

10,461

Operating expenses from other related parties (6)

​

​

1,257

​

​

1,730

​

​

801

General and administrative expenses:

​

 

​

​

 

​

​

 

​

Administration fee from KNOT Management (7)

​

 

1,605

​

 

1,264

​

 

1,189

Administration fee from KOAS (7)

​

 

830

​

 

826

​

 

631

Administration fee from KOAS UK (7)

​

 

50

​

 

68

​

 

71

Administration and management fee from KNOT (8)

​

 

6

​

 

26

​

 

64

Total income (expenses)

​

$

(34,556)

​

$

(6,736)

​

$

(1,112)

​

​

​

​

​

​

​

​

​

​

​

​

​

At December 31, 

​

At December 31, 

​

At December 31, 

(U.S. Dollars in thousands)

  ​ ​ ​

2025

  ​ ​ ​

2024

  ​ ​ ​

2023

Balance Sheet:

​

​

​

​

​

​

​

​

​

Vessels:

​

​

​

​

​

​

​

​

​

Drydocking supervision fee from KNOT (9)

​

$

69

​

$

10

​

$

135

Drydocking supervision fee from KOAS (9)

​

​

81

​

​

—

​

​

(77)

Equipment purchased from KBAL (10)

​

​

—

​

​

70

​

​

577

Total

​

$

150

​

$

80

​

$

635

(1)Time charter income from KNOT: The Bodil Knutsen operated under a time charter with Knutsen Shuttle Tankers Pool AS, a subsidiary of KNOT, from the second quarter of 2021 to March 2024. The Hilda Knutsen operated under a time charter with Knutsen Shuttle Tankers Pool AS from the third quarter of 2022 to March 2025. The Torill Knutsen operated under a time charter with Knutsen Shuttle Tankers Pool AS from the first quarter of 2023 to December 2024. The Ingrid Knutsen operated under a time charter with Knutsen Shuttle Tankers Pool AS from the second quarter of 2024 to September 2024. The Dan Cisne operated under a time charter with Knutsen Shuttle Tankers Pool AS from the second quarter of 2024 to the date of her disposal in September 2024.
(2)Gain from disposal of vessel: On March 3, 2025, the Partnership acquired from KNOT the Live Knutsen, and simultaneously the Partnership sold to KNOT the Dan Sabia. The purchase price for the Live Knutsen Acquisition was $100 million less $73.4 million of outstanding debt plus $0.3 million of capitalized fees related to the credit facility secured by the Live Knutsen. The sale price for the Dan Sabia Sale was $25.75 million. These purchase and sale prices resulted in a net payment of $1.2 million paid by the Partnership to KNOT on March 3, 2025 in addition to customary adjustments relating to working capital related to the Live Knutsen and the Dan Sabia. On September 3, 2024, the Partnership acquired from KNOT the Tuva Knutsen, and simultaneously the Partnership sold to KNOT the Dan Cisne. The purchase price for the Tuva Knutsen Acquisition was $97.5 million less $69.0 million of outstanding debt plus $0.4 million of capitalized fees related to the credit facility secured by the Tuva Knutsen. The sale price for the Dan Cisne Sale was $30 million. These purchase and sale prices resulted in a net payment of $1.1 million paid by KNOT to the Partnership on September 3, 2024 in addition to customary adjustments relating to working capital related to the Tuva Knutsen and the Dan Cisne. See Note 24—Acquisitions.
(3)Vessel operating expenses: KNOT Management or KNOT Management Denmark provides technical and operational management of the vessels on time charter including crewing and crew training services.
(4)Voyage expenses and commissions: As of December 31, 2024 and 2023, the Ingrid Knutsen and the Torill Knutsen had completed spot voyages where Knutsen Shuttle Tankers Pool AS has earned a 1.25% commission.
(5)Technical and operational management fee, from KNOT Management or KNOT Management Denmark to Vessels: KNOT Management or KNOT Management Denmark provides technical and operational management of the vessels on time charter including crewing, purchasing, maintenance and other operational service. In addition, there is also a charge for 24-hour emergency response services provided by KNOT Management for all vessels managed by KNOT Management.
(6)Operating expenses from other related parties: Simsea Real Operations AS, a company jointly owned by the Partnership’s Chairman of the Board, Trygve Seglem, and by other third-party shipping companies in Haugesund, provides simulation, operational training assessment and other certified maritime courses for seafarers. The cost is course fees for seafarers. Knutsen OAS Crewing AS, a subsidiary of TSSI, provides administrative services related to Eastern European crew on vessels operating on time charter contracts. The cost is a fixed fee per month per such crew member onboard a vessel. Level Power & Automation AS, a company that provides the Partnership’s vessels with equipment and inspection services, is owned by Level Group AS, where Trygve Seglem, his family and members of TSSI management have significant influence.
(7)Administration fee from KNOT Management, Knutsen OAS Shipping AS (“KOAS”) and Knutsen OAS (UK) Ltd. (“KOAS UK”): Administration costs include compensation and benefits of KNOT Management’s management and administrative staff on a time-spent basis as well as other general and administration expenses. Some services are also provided by KOAS and KOAS UK. Net costs are total administration cost plus a 5% margin. As such, the level of administration costs charged to the Partnership can vary from year to year based on the administration and financing services provided each year. KNOT Management also charges each subsidiary a fixed annual fee for the preparation of statutory financial statements.
(8)Administration and management fee from KNOT Management and KNOT Management Denmark: For bareboat charters, the shipowner is not responsible for providing crewing or other operational services and the customer is responsible for all vessel operating expenses and voyage expenses. However, each of the vessels under bareboat charters is subject to a management and administration agreement with either KNOT Management or KNOT Management Denmark, pursuant to which these companies provide general monitoring services for the vessels in exchange for an annual fee.
(9)Drydocking supervision fee from KNOT Management, KNOT Management Denmark and KOAS: KNOT Management, KNOT Management Denmark and KOAS provide supervision and hire out service personnel during drydocking of the vessels. The fee is calculated as a daily fixed fee.
(10)Equipment purchased from Knutsen Ballast Water AS (“KBAL”): As part of the scheduled drydocking of the Torill Knutsen in the fourth quarter of 2023 until the first quarter of 2024, a ballast water treatment system was installed on the vessel in 2024. As part of the scheduled drydocking of the Carmen Knutsen that commenced in the fourth quarter of 2022 until the first quarter of 2023, a ballast water treatment system was installed on the vessel in 2023. As of December 31, 2024 and 2023, parts of the system had been purchased from Knutsen Ballast Water AS, a subsidiary of TSSI, for $0.07 million and $0.58 million, respectively.
Schedule of amounts due from and due to related parties

​

​

​

​

​

​

​

​

​

​

At December 31, 

​

At December 31, 

(U.S. Dollars in thousands)

  ​ ​ ​

2025

  ​ ​ ​

2024

Balance Sheet:

 

​

  ​

 

​

  ​

Trading balances due from KOAS

​

$

33

​

$

427

Trading balances due from KNOT and affiliates

​

 

672

​

 

1,803

Amount due from related parties

​

$

705

​

$

2,230

Trading balances due to KOAS

​

$

1,663

​

$

1,339

Trading balances due to KNOT and affiliates

​

 

729

​

 

496

Amount due to related parties

​

$

2,392

​

$

1,835
Schedule of Trade accounts payable and other current assets

​

​

​

​

​

​

​

​

​

​

At December 31, 

​

At December 31, 

(U.S. Dollars in thousands)

  ​ ​ ​

2025

  ​ ​ ​

2024

Balance Sheet:

​

​

  ​

​

​

  ​

Trading balances due to KOAS

​

$

1,309

​

$

1,394

Trading balances due to KNOT and affiliates

​

 

1,614

​

 

1,379

Trade accounts payables to related parties

​

$

2,923

​

$

2,773
Schedule of trading balances from KNOT and affiliates are included in other current assets

​

​

​

​

​

​

​

​

​

  ​ ​ ​

At December 31, 

  ​ ​ ​

At December 31, 

(U.S. Dollars in thousands)

​

2025

​

2024

Balance Sheet:

 

​

  ​

 

​

  ​

Trade receivables due from KNOT and affiliates (refer to Note 17 (b))

​

$

1

​

$

804

Other trading balances due from KOAS

​

​

1,317

​

​

521

Other current assets from related parties

​

$

1,318

​

$

1,325
v3.26.1
Earnings per Unit and Cash Distributions (Tables)
 12 Months Ended
Dec. 31, 2025
Earnings per Unit and Cash Distributions  
Schedule of calculations of basic and diluted earnings per unit

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Year Ended December 31, 

(U.S. Dollars in thousands, except per unit data)

  ​ ​ ​

2025

  ​ ​ ​

2024

  ​ ​ ​

2023

Net income (loss)

​

$

23,259

​

$

14,065

​

$

(34,328)

Less: Series A Preferred unitholders’ interest in net income (loss)

​

​

6,800

​

​

6,800

​

​

6,800

Net income (loss) attributable to the unitholders of KNOT Offshore Partners LP

​

​

16,459

​

​

7,265

​

​

(41,128)

Less: Distributions (2)

​

​

3,591

​

​

3,607

​

​

3,607

Under (over) distributed earnings

​

​

12,868

​

​

3,658

​

​

(44,735)

Under (over) distributed earnings attributable to:

​

​

​

​

​

​

​

​

  ​

Common unitholders

​

​

12,630

​

​

3,591

​

​

(43,909)

Class B unitholders (3)

​

​

—

​

​

—

​

​

—

General Partner

​

​

238

​

​

67

​

​

(826)

Weighted average units outstanding (basic) (in thousands):

​

​

​

​

​

​

​

​

  ​

Common unitholders

​

​

33,918

​

​

34,045

​

​

34,045

Class B unitholders

​

​

252

​

​

252

​

​

252

General Partner

​

​

640

​

​

640

​

​

640

Weighted average units outstanding (diluted) (in thousands):

​

​

​

​

​

​

​

​

  ​

Common unitholders

​

​

38,168

​

​

38,399

​

​

38,430

Class B unitholders

​

​

252

​

​

252

​

​

252

General Partner

​

​

640

​

​

640

​

​

640

Earnings per unit (basic):

​

​

​

​

​

​

​

​

  ​

Common unitholders

​

$

0.48

​

$

0.21

​

$

(1.19)

Class B unitholders (3)

​

​

—

​

​

—

​

​

—

General Partner

​

​

0.48

​

​

0.21

​

​

(1.19)

Earnings per unit (diluted):

​

​

​

​

​

​

​

​

  ​

Common unitholders (4)

​

$

0.48

​

$

0.21

​

$

(1.19)

Class B unitholders (3)

​

​

—

​

​

—

​

​

—

General Partner

​

​

0.48

​

​

0.21

​

​

(1.19)

Cash distributions declared and paid in the period per unit (5)

​

$

0.10

​

$

0.10

​

$

0.10

Subsequent event: Cash distributions declared and paid per unit relating to the period (6)

​

$

0.03

​

$

0.03

​

$

0.03

(1)Earnings per unit have been calculated in accordance with the cash distribution provisions set forth in the Partnership’s agreement of limited partnership (the “Partnership Agreement”).
(2)This refers to distributions made or to be made in relation to the period irrespective of the declaration and payment dates and based on the number of units outstanding at the record date.
(3)When the distribution target is not met, there is no allocation of net income (loss) to Class B units.
(4)Diluted weighted average units outstanding and earnings per unit diluted for the year ended December 31, 2025, 2024 and 2023 does not reflect any potential common units relating to the Series A Preferred Units since the assumed issuance of any additional units would be anti-dilutive.
(5)Refers to cash distributions declared and paid during the period.
(6)Refers to cash distributions declared and paid subsequent to the period end.
v3.26.1
Unit Activity (Tables)
 12 Months Ended
Dec. 31, 2025
Unit Activity  
Schedule of movement in number of common units, Class B Units, general partner units and Series A Preferred Units

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Convertible

​

​

​

​

​

​

General Partner

​

Preferred 

(in units)

  ​ ​ ​

Common Units

  ​ ​ ​

Class B Units

  ​ ​ ​

Units

  ​ ​ ​

Units

December 31, 2023

 

34,045,081

 

252,405

 

640,278

 

3,541,666

December 31, 2024

 

34,045,081

 

252,405

 

640,278

 

3,541,666

Repurchase of Common Units

​

(384,739)

​

—

​

—

​

—

December 31, 2025

​

33,660,342

​

252,405

​

640,278

​

3,541,666
v3.26.1
Acquisitions (Tables)
 12 Months Ended
Dec. 31, 2025
Acquisitions  
Schedule of purchase price for the transaction

​

​

​

​

​

​

​

​

​

​

​

​

​

Final

​

Final

​

Final

​

​

Daqing Knutsen

​

Live Knutsen

​

Tuva Knutsen

​

​

July, 2

​

March 3,

​

September 3,

(U.S. Dollars in thousands)

​

2025

​

2025

​

2024

Purchase consideration (1)

​

$

28 180

​

$

26 149

​

$

31 557

Less: Fair value of net assets acquired:

​

​

​

​

​

​

​

​

​

Vessels and equipment (2)

​

​

115,424

​

​

121,165

​

​

125,161

Cash

​

​

2,131

​

​

1,116

​

​

1,782

Inventories

​

​

339

​

​

346

​

​

285

Derivatives assets (liabilities)

​

​

(47)

​

​

213

​

​

1,773

Others current assets

​

​

171

​

​

2,113

​

​

1,101

Amounts due from related parties

​

​

2,138

​

​

—

​

​

—

Long-term debt

​

​

(70,479)

​

​

(73,389)

​

​

(69,038)

Deferred debt issuance

​

​

334

​

​

349

​

​

404

Trade accounts payable

​

​

(420)

​

​

(129)

​

​

(249)

Accrued expenses

​

​

(320)

​

​

(3,851)

​

​

(1,419)

Amounts due to related parties

​

​

(662)

​

​

(1,510)

​

​

(615)

Contract liabilities: Unfavourable contract rights

​

​

(25,716)

​

​

(25,339)

​

​

(27,628)

Subtotal

​

​

22,893

​

​

21,084

​

​

31,557

Difference between the purchase price and fair value of net assets acquired

​

$

5,287

​

$

5,065

​

$

—

Excess value allocated on a relative basis to:

​

​

​

​

​

​

​

​

​

Vessels and equipment (2)

​

​

4,324

​

​

4,189

​

​

—

Contract liabilities: Unfavourable contract rights

​

​

963

​

​

876

​

​

—

Difference between the purchase price and fair value of net assets acquired

​

$

—

​

$

—

​

$

—

(1)The purchase consideration comprises the following:

​

​

​

​

​

​

​

​

​

​

​

​

​

Final

​

Final

​

Final

​

​

Daqing Knutsen

​

Live Knutsen

​

Tuva Knutsen

​

​

July 2,

​

March 3,

​

September 3,

(U.S. Dollars in thousands)

​

2025

​

2025

​

2024

Cash consideration paid to KNOT (from KNOP)

​

$

24,800

​

$

1,210

​

$

—

Asset swap - sale of the Dan Cisne

​

​

—

​

​

—

​

​

30,000

Asset swap - sale of the Dan Sabia

​

​

—

​

​

25,750

​

​

—

Cash consideration paid to KNOP (from KNOT)

​

​

—

​

​

—

​

​

(1,135)

Purchase price adjustments

​

​

3,330

​

​

(845)

​

​

2,659

Acquisition-related costs

​

​

50

​

​

34

​

​

33

Purchase price

​

$

28,180

​

$

26,149

​

$

31,557

(2)Vessel and equipment includes allocation to drydocking (in thousands) of $910, $1,067 and $1,273 related to the Tuva Knutsen, the Live Knutsen and the Daqing Knutsen, respectively.
v3.26.1
Description of Business (Details) - item
 1 Months Ended 12 Months Ended
Apr. 15, 2013
Apr. 30, 2026
Dec. 31, 2025
Dec. 31, 2024
Description of Business        
Ownership interest in shuttle tankers acquired at formation (as a percent) 100.00%      
Number of shuttle tankers acquired at formation 4      
Number of operating vessels     18 18
Number Of Shuttle Tankers     19  
TSSI        
Description of Business        
Percentage ownership in joint venture     50.00%  
KNOT        
Description of Business        
Ownership interest in partnership     25.00%  
KNOT | TSSI        
Description of Business        
Percentage ownership in joint venture     50.00%  
KNOT | NYK        
Description of Business        
Percentage ownership in joint venture     50.00%  
Subsequent event | KNOT | KNOT        
Description of Business        
Ownership interest in partnership   29.00%    
Subsequent event | Series A Preferred Units        
Description of Business        
Percentage of dividend rate   5.90%    
v3.26.1
Summary of Significant Accounting Policies - Revenues and Operating Expenses (Details)
 12 Months Ended
Dec. 31, 2025
employee
Summary of Significant Accounting Policies  
Number of onshore employees 1
Number of seagoing employees 0
v3.26.1
Summary of Significant Accounting Policies - Trade Accounts Receivable (Details) - USD ($)
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Summary of Significant Accounting Policies      
Allowance for expected credit loss or written off $ 0 $ 0 $ 0
v3.26.1
Summary of Significant Accounting Policies - Vessels and Equipment (Details)
 12 Months Ended
Dec. 31, 2025
Jan. 01, 2026
Jun. 30, 2021
Jun. 29, 2021
Summary of Significant Accounting Policies        
Drydocking interval until a vessel is 15 years old 60 months      
Age of vessels to switch from 60 to 30 month drydocking interval 15 years      
Drydocking interval after a vessel is 15 years old 30 months      
Asset's estimated useful life       25 years
Vessels and equipment useful life period        
Summary of Significant Accounting Policies        
Asset's estimated useful life 23 years 20 years 23 years  
Vessels and equipment useful life period | Subsequent event        
Summary of Significant Accounting Policies        
Asset's estimated useful life   20 years    
Hull        
Summary of Significant Accounting Policies        
Asset's estimated useful life 20 years      
Anchor-handling, loading and unloading equipment        
Summary of Significant Accounting Policies        
Asset's estimated useful life 20 years      
Main/auxiliary engine        
Summary of Significant Accounting Policies        
Asset's estimated useful life 20 years      
Thruster, dynamic positioning systems, cranes and other equipment        
Summary of Significant Accounting Policies        
Asset's estimated useful life 20 years      
Drydock costs | Minimum        
Summary of Significant Accounting Policies        
Asset's estimated useful life 2 years 6 months      
Drydock costs | Maximum        
Summary of Significant Accounting Policies        
Asset's estimated useful life 5 years      
v3.26.1
Summary of Significant Accounting Policies - Intangibles (Details)
 1 Months Ended 12 Months Ended
Jul. 31, 2022
Jan. 31, 2022
Feb. 28, 2021
Dec. 31, 2025
Aug. 31, 2023
Mar. 31, 2023
Aug. 31, 2011
Mar. 31, 2011
Fortaleza Knutsen                
Summary of Significant Accounting Policies                
Term of bareboat charter           12 years   12 years
Recife Knutsen                
Summary of Significant Accounting Policies                
Term of bareboat charter         12 years   12 years  
Tuva Knutsen                
Summary of Significant Accounting Policies                
Amortization Period, Unfavorable contractual rights     5 years          
Additional term       10 years        
Live Knutsen                
Summary of Significant Accounting Policies                
Amortization Period, Unfavorable contractual rights   5 years            
Additional term       6 years        
Daqing Knutsen                
Summary of Significant Accounting Policies                
Amortization Period, Unfavorable contractual rights 5 years              
Additional term       5 years        
Unfavorable contractual rights | Fortaleza Knutsen                
Summary of Significant Accounting Policies                
Amortization Period, Unfavorable contractual rights       12 years        
Unfavorable contractual rights | Recife Knutsen                
Summary of Significant Accounting Policies                
Amortization Period, Unfavorable contractual rights       12 years        
Unfavorable contractual rights | Tuva Knutsen                
Summary of Significant Accounting Policies                
Amortization Period, Unfavorable contractual rights       12 years        
Unfavorable contractual rights | Live Knutsen                
Summary of Significant Accounting Policies                
Amortization Period, Unfavorable contractual rights       8 years        
Unfavorable contractual rights | Daqing Knutsen                
Summary of Significant Accounting Policies                
Amortization Period, Unfavorable contractual rights       7 years        
v3.26.1
Formation Transactions and Initial Public Offering (Details) - USD ($)
$ / shares in Units, $ in Thousands
 1 Months Ended 12 Months Ended
Apr. 30, 2013
Dec. 31, 2025
Dec. 31, 2024
Formation Transactions and Initial Public Offering      
Number of general partner units issued   640,278 640,278
Repayment of outstanding debt $ 118,900    
One-time entrance tax into Norwegian tonnage tax regime 3,000    
Revolving credit facility amount $ 20,000    
KNOT | Bodil Knutsen      
Formation Transactions and Initial Public Offering      
Period of related party guarantee of payment of hire rate 5 years    
IPO      
Formation Transactions and Initial Public Offering      
Gross proceeds received $ 179,900    
Net proceeds from the offering 160,700    
KNOT      
Formation Transactions and Initial Public Offering      
Cash distribution $ 21,950    
General Partner      
Formation Transactions and Initial Public Offering      
Number of general partner units issued 349,694    
Subordinated Units | KNOT      
Formation Transactions and Initial Public Offering      
Limited partners' capital account, units issued 8,567,500    
Common units      
Formation Transactions and Initial Public Offering      
Limited partners' capital account, units issued   33,660,342 34,045,081
Limited Partner | Common units | IPO      
Formation Transactions and Initial Public Offering      
Common units issued to public 8,567,500    
Common unit, per share amount $ 21    
Limited Partner | Common units | Underwriters' option to purchase additional units      
Formation Transactions and Initial Public Offering      
Common units issued to public 1,117,500    
IDR Holders      
Formation Transactions and Initial Public Offering      
Threshold quarterly distribution for increasing percentages allocated to the IDRs $ 0.43125    
KNOT Offshore Partners UK LLC | Knutsen Shuttle Tankers AS      
Formation Transactions and Initial Public Offering      
Percentage of contribution to subsidiary 100.00%    
Public | Partnership      
Formation Transactions and Initial Public Offering      
Percentage of limited partner interest 49.00% 71.00%  
KNOT | Partnership      
Formation Transactions and Initial Public Offering      
Percentage of limited partner interest 49.00% 28.70%  
KNOT | Incentive Distribution Rights      
Formation Transactions and Initial Public Offering      
Percentage of limited partner interest 100.00%    
General Partner | Partnership      
Formation Transactions and Initial Public Offering      
Percentage of general partner interest 2.00%    
v3.26.1
Significant Risks and Uncertainties Including Business and Credit Concentrations (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Significant Risks and Uncertainties Including Business and Credit Concentrations      
Revenues $ 364,443 $ 318,599 $ 290,716
Customer concentration risk | Revenues | Minimum      
Significant Risks and Uncertainties Including Business and Credit Concentrations      
Percentage of partnership's consolidated revenues 10.00% 10.00% 10.00%
Customer concentration risk | Revenues | Brazil Shipping I Limited, a subsidiary of Royal Dutch Shell      
Significant Risks and Uncertainties Including Business and Credit Concentrations      
Revenues $ 80,986 $ 73,337 $ 33,019
Percentage of partnership's consolidated revenues 22.00% 24.00% 12.00%
Customer concentration risk | Revenues | Equinor ASA      
Significant Risks and Uncertainties Including Business and Credit Concentrations      
Revenues $ 55,186 $ 53,297 $ 36,563
Percentage of partnership's consolidated revenues 15.00% 17.00% 13.00%
Customer concentration risk | Revenues | Eni Trading and Shipping S.p.A.      
Significant Risks and Uncertainties Including Business and Credit Concentrations      
Revenues $ 46,734 $ 6,636  
Percentage of partnership's consolidated revenues 13.00% 2.00%  
Customer concentration risk | Revenues | Repsol Sinopec Brasil, S.A., a subsidiary of Repsol Sinopec Brasil, B.V., combined with Repsol Trading S.A.      
Significant Risks and Uncertainties Including Business and Credit Concentrations      
Revenues $ 38,422 $ 41,235 $ 36,946
Percentage of partnership's consolidated revenues 11.00% 13.00% 13.00%
Customer concentration risk | Revenues | Chartering and Shipping Service S.A., a subsidiary of TotalEnergies      
Significant Risks and Uncertainties Including Business and Credit Concentrations      
Revenues $ 38,433 $ 24,127 $ 41,030
Percentage of partnership's consolidated revenues 11.00% 8.00% 14.00%
Customer concentration risk | Revenues | Fronape International Company, a subsidiary of Petrobras Transporte S.A.      
Significant Risks and Uncertainties Including Business and Credit Concentrations      
Revenues $ 36,903 $ 42,238 $ 51,743
Percentage of partnership's consolidated revenues 10.00% 14.00% 18.00%
Customer concentration risk | Revenues | KNOT      
Significant Risks and Uncertainties Including Business and Credit Concentrations      
Revenues $ 2,834 $ 28,008 $ 28,682
Percentage of partnership's consolidated revenues 1.00% 9.00% 10.00%
v3.26.1
Operating Leases (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Operating Leases      
Other revenues (voyage revenues, loss of hire insurance recoveries and other income) $ 3,258 $ 11,684 $ 13,632
Total revenues 364,443 318,599 290,716
Time charter revenues (service element included)      
Operating Leases      
Revenue from contract with customers 359,094 302,061 246,670
Bareboat charter revenues      
Operating Leases      
Revenue from contract with customers 2,091 4,854 30,414
Time charter and bareboat revenues      
Operating Leases      
Revenue from contract with customers $ 361,185 $ 306,915 $ 277,084
v3.26.1
Operating Leases - Minimum Contractual Future Revenues (Details)
$ in Thousands
Dec. 31, 2025
USD ($)
Minimum contractual future revenues  
2026 $ 339,036
2027 260,287
2028 151,940
2029 93,032
2030 48,062
2031 and thereafter 37,485
Total $ 929,842
v3.26.1
Operating Leases - Additional Information (Details)
 12 Months Ended
Dec. 31, 2025
Options
Fortaleza Knutsen  
Operating Leases  
Current time charter expiration year 2026
Fixed term of contract 1 year
Number of options to extend one year periods 2
Option to extend term one year
Recife Knutsen  
Operating Leases  
Current time charter expiration year 2026
Bodil Knutsen  
Operating Leases  
Current time charter expiration year 2029
Number of options to extend one year periods 2
Option to extend term one-year
Windsor Knutsen  
Operating Leases  
Current time charter expiration year 2027
Carmen Knutsen  
Operating Leases  
Current time charter expiration year 2026
Option to extend term one
Time charter expiration year under options to extend 2030
Hilda Knutsen  
Operating Leases  
Current time charter expiration year 2027
Torill Knutsen  
Operating Leases  
Current time charter expiration year 2027
Number of options to extend one year periods 3
Option to extend term one-year
Ingrid Knutsen  
Operating Leases  
Current time charter expiration year 2026
Number of options to extend one year periods 2
Option to extend term one-year
Raquel Knutsen  
Operating Leases  
Current time charter expiration year 2028
Option to extend term two-year
Number of options to extend two year periods 1
Tordis Knutsen  
Operating Leases  
Current time charter expiration year 2028
Number of options to extend one year periods 3
Option to extend term one-year
Vigdis Knutsen  
Operating Leases  
Option to extend term two years
Current bareboat charter expiration year 2030
Lena Knutsen  
Operating Leases  
Current time charter expiration year 2028
Number of options to extend one year periods 3
Option to extend term one-year
Brasil Knutsen  
Operating Leases  
Current time charter expiration year 2027
Number of options to extend one year periods 2
Option to extend term one-year
Anna Knutsen  
Operating Leases  
Current time charter expiration year 2027
Anna Knutsen | Vessel  
Operating Leases  
Fixed term of contract 1 year
Number of options to extend one year periods 3
Option to extend term one-year
Tove Knutsen  
Operating Leases  
Current time charter expiration year 2027
Time charter expiration year under options to extend 2040
Synnve Knutsen  
Operating Leases  
Current time charter expiration year 2027
Time charter expiration year under options to extend 2042
Tuva Knusten  
Operating Leases  
Time charter expiration year under options to extend 2036
Live Knutsen  
Operating Leases  
Current time charter expiration year 2026
Time charter expiration year under options to extend 2032
Daqing Knutsen  
Operating Leases  
Current time charter expiration year 2027
Time charter expiration year under options to extend 2032
v3.26.1
Operating Leases - Lease obligations (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Operating Leases    
Right-of-use assets $ 875 $ 1,269
Lease liability 875 1,300
Operating lease payments $ 500  
Weighted average discount rate (as a percent) 6.35%  
Weighted average remaining lease term (in years) 2 years 1 month 6 days  
Partnership's lease liabilities from leased-in equipment    
2026 $ 449  
2027 449  
2028 37  
Total 935  
Less imputed interest 60  
Carrying value of operating lease liabilities $ 875 $ 1,300
v3.26.1
Segment Information (Details)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
USD ($)
item
segment
Dec. 31, 2024
USD ($)
item
Dec. 31, 2023
USD ($)
Segment Information      
Number of reportable segments | segment 1    
Number of operating vessels | item 18 18  
Number of bareboat charters | item 1    
Revenues $ 364,443 $ 318,599 $ 290,716
Revenues | Brazil Shipping I Limited, a subsidiary of Royal Dutch Shell | Customer concentration risk      
Segment Information      
Benchmark percentage of revenues and combined revenues concentration 22.00% 24.00% 12.00%
Revenues $ 80,986 $ 73,337 $ 33,019
Revenues | Equinor ASA | Customer concentration risk      
Segment Information      
Benchmark percentage of revenues and combined revenues concentration 15.00% 17.00% 13.00%
Revenues $ 55,186 $ 53,297 $ 36,563
Revenues | Eni Trading and Shipping S.p.A. | Customer concentration risk      
Segment Information      
Benchmark percentage of revenues and combined revenues concentration 13.00% 2.00%  
Revenues $ 46,734 $ 6,636  
Revenues | Repsol Sinopec Brasil, S.A., a subsidiary of Repsol Sinopec Brasil, B.V., combined with Repsol Trading S.A. | Customer concentration risk      
Segment Information      
Benchmark percentage of revenues and combined revenues concentration 11.00% 13.00% 13.00%
Revenues $ 38,422 $ 41,235 $ 36,946
Revenues | Chartering and Shipping Service S.A., a subsidiary of TotalEnergies | Customer concentration risk      
Segment Information      
Benchmark percentage of revenues and combined revenues concentration 11.00% 8.00% 14.00%
Revenues $ 38,433 $ 24,127 $ 41,030
Revenues | Fronape International Company, a subsidiary of Petrobras Transporte S.A. | Customer concentration risk      
Segment Information      
Benchmark percentage of revenues and combined revenues concentration 10.00% 14.00% 18.00%
Revenues $ 36,903 $ 42,238 $ 51,743
Revenues | KNOT | Customer concentration risk      
Segment Information      
Benchmark percentage of revenues and combined revenues concentration 1.00% 9.00% 10.00%
Revenues $ 2,834 $ 28,008 $ 28,682
Minimum | Revenues | Customer concentration risk      
Segment Information      
Benchmark percentage of revenues and combined revenues concentration 10.00% 10.00% 10.00%
v3.26.1
Insurance Proceeds (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Insurance proceeds      
Loss of hire insurance payments recorded as a component of total revenues $ 607 $ 5,970 $ 2,840
Loss of hire proceeds      
Insurance proceeds      
Open insurance claim amount 0 3,900  
Loss of hire insurance payments recorded as a component of total revenues 600 6,000 $ 2,800
Hull and machinery damage      
Insurance proceeds      
Open insurance claim amount $ 20 $ 0  
v3.26.1
Other Finance Expenses - Components interest expense (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Other Finance Expenses      
Interest expense $ 59,639 $ 65,131 $ 69,567
Amortization of debt issuance cost and fair value of debt assumed 2,391 2,221 2,503
Total interest expense $ 62,030 $ 67,352 $ 72,070
v3.26.1
Other Finance Expenses - Components of other finance expense (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Other Finance Expenses      
Bank fees, charges $ 532 $ 258 $ 554
Guarantee costs   60  
Commitment fees 223 40 35
Total other finance expense $ 755 $ 358 $ 589
v3.26.1
Derivative Instruments (Details) - Interest rate swap contracts - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Derivative Instruments    
Notional amount $ 325.0 $ 417.9
Carrying amount of derivative asset $ 3.0 $ 13.3
v3.26.1
Derivative Instruments - Realized and unrealized gain (loss) on derivative instruments (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Net gain (loss) on derivative instruments      
Total realized gain (loss): $ 9,508 $ 15,518 $ 14,569
Total unrealized gain (loss): (10,432) (8,720) (9,200)
Total net realized gain and unrealized loss on derivative instruments: (924) 6,798 5,369
Interest rate swap contracts      
Net gain (loss) on derivative instruments      
Total realized gain (loss): 9,508 15,518 14,648
Total unrealized gain (loss): $ (10,432) $ (8,720) (9,200)
Foreign exchange forward contracts      
Net gain (loss) on derivative instruments      
Total realized gain (loss):     $ (79)
v3.26.1
Fair Value Measurements - Carrying amounts and estimated fair values of the Partnership's assets and liabilities (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Financial assets:    
Current derivative assets $ 2,276 $ 8,112
Non-current derivative assets 1,908 5,189
Financial liabilities:    
Current derivative liabilities 247  
Non-current derivative liabilities 909  
Carrying Amount | Recurring    
Financial assets:    
Cash and cash equivalents 88,983 66,933
Financial liabilities:    
Long-term debt, current and non-current 959,633 909,653
Carrying Amount | Recurring | Interest rate swap contracts    
Financial assets:    
Current derivative assets 2,276 8,112
Non-current derivative assets 1,908 5,189
Financial liabilities:    
Current derivative liabilities 247  
Non-current derivative liabilities 909  
Carrying Amount | Non-Recurring    
Financial liabilities:    
Non-current asset: Vessel 59,498  
Fair Value | Recurring    
Financial assets:    
Cash and cash equivalents 88,983 66,933
Financial liabilities:    
Long-term debt, current and non-current 941,525 887,192
Fair Value | Recurring | Interest rate swap contracts    
Financial assets:    
Current derivative assets 2,276 8,112
Non-current derivative assets 1,908 $ 5,189
Financial liabilities:    
Current derivative liabilities 247  
Non-current derivative liabilities 909  
Fair Value | Non-Recurring    
Financial liabilities:    
Non-current asset: Vessel $ 59,498  
v3.26.1
Fair Value Measurements - Additional information (Details)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
USD ($)
Y
Asset
Dec. 31, 2024
USD ($)
Fair Value Measurements    
Deferred debt issuance cost $ 4,500 $ 4,900
Restricted cash 0 0
Transfers amount Fair value assets level 1 to level 2 $ 0 $ 0
Number of non-recurring assets | Asset 1  
Interest rate swap contracts    
Fair Value Measurements    
Weighted average remaining terms 1 year 7 months 6 days 1 year
Interest rate swap contracts | Minimum    
Fair Value Measurements    
Notional amount per contract $ 14,400 $ 13,800
Fixed interest rate 1.55% 0.71%
Interest rate swap contracts | Maximum    
Fair Value Measurements    
Notional amount per contract $ 50,000 $ 27,900
Fixed interest rate 3.80% 2.90%
Discounted cashflow | Expected term    
Fair Value Measurements    
Vessel, Measurement input | Y 20  
Discounted cashflow | Discount rate    
Fair Value Measurements    
Vessel, Measurement input 0.0918  
v3.26.1
Fair Value Measurements - Fair value hierarchy (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Financial assets:    
Current derivative assets $ 2,276 $ 8,112
Non-current derivative assets 1,908 5,189
Financial liabilities:    
Current derivative liabilities 247  
Non-current derivative liabilities 909  
Carrying Value | Significant Other Observable Inputs (Level 2) | Interest rate swap contracts    
Financial liabilities:    
Current derivative liabilities 247  
Non-current derivative liabilities 909  
Fair Value | Significant Other Observable Inputs (Level 2) | Interest rate swap contracts    
Financial liabilities:    
Current derivative liabilities 247  
Non-current derivative liabilities 909  
Recurring | Carrying Value    
Financial assets:    
Cash and cash equivalents 88,983 66,933
Financial liabilities:    
Long-term debt, current and non-current 959,633 909,653
Recurring | Carrying Value | Interest rate swap contracts    
Financial assets:    
Current derivative assets 2,276 8,112
Non-current derivative assets 1,908 5,189
Financial liabilities:    
Current derivative liabilities 247  
Non-current derivative liabilities 909  
Recurring | Fair Value    
Financial assets:    
Cash and cash equivalents 88,983 66,933
Financial liabilities:    
Long-term debt, current and non-current 941,525 887,192
Recurring | Fair Value | Interest rate swap contracts    
Financial assets:    
Current derivative assets 2,276 8,112
Non-current derivative assets 1,908 5,189
Financial liabilities:    
Current derivative liabilities 247  
Non-current derivative liabilities 909  
Recurring | Fair Value | Price in Active Markets for Identical Assets (Level 1)    
Financial assets:    
Cash and cash equivalents 88,983 66,933
Recurring | Fair Value | Significant Other Observable Inputs (Level 2)    
Financial liabilities:    
Long-term debt, current and non-current 941,525 887,192
Recurring | Fair Value | Significant Other Observable Inputs (Level 2) | Interest rate swap contracts    
Financial assets:    
Current derivative assets 2,276 8,112
Non-current derivative assets 1,908 $ 5,189
Non-Recurring | Carrying Value    
Financial liabilities:    
Non-current asset: Vessel 59,498  
Non-Recurring | Fair Value    
Financial liabilities:    
Non-current asset: Vessel 59,498  
Non-Recurring | Fair Value | Significant Unobservable Inputs (Level 3)    
Financial liabilities:    
Non-current asset: Vessel $ 59,498  
v3.26.1
Fair Value Measurements - Fair value non-recurring assets (Details)
$ in Thousands
Dec. 31, 2025
USD ($)
Discount rate | Discounted cash flow  
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]  
Vessel, Measurement input 0.0918
Non-Recurring | Discounted cash flow  
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]  
Non-current asset: Vessel $ 59,498
Non-Recurring | Discount rate  
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]  
Vessel, Measurement input 9.18
v3.26.1
Trade Accounts Receivable and Other Current Assets (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Trade Accounts Receivable and Other Current Assets    
Provisions for expected credit loss $ 0 $ 0
v3.26.1
Trade Accounts Receivable and Other Current Assets - Other current assets (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Trade Accounts Receivable and Other Current Assets    
Trade receivables $ 3,694 $ 6,251
Insurance claims for recoveries 16 3,877
Refund of value added tax 1,606 1,337
Prepaid expenses 1,537 1,505
EU ETS current receivables 6,597  
Other receivables 705 2,230
Total other current assets 15,192 14,793
KNOT and affiliates    
Trade Accounts Receivable and Other Current Assets    
Trade receivables 1 804
Nonrelated Party    
Trade Accounts Receivable and Other Current Assets    
Other receivables $ 1,741 $ 1,019
v3.26.1
Inventory (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Inventory    
Total inventory $ 4,288 $ 3,304
Lubricating oil    
Inventory    
Total inventory $ 4,288 $ 3,304
v3.26.1
Vessels and Equipment - Long-term debt (Details) - USD ($)
$ in Thousands
 12 Months Ended
Jul. 02, 2025
Mar. 03, 2025
Sep. 03, 2024
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Vessels and Equipment            
Book value of assets pledged as security       $ 1,557,000 $ 1,462,000  
Vessels & equipment - Activity            
Vessels, beginning balance       2,421,556 2,398,434  
Additions       244,669 126,106  
Drydock costs       14,690 553  
Disposals       (115,824) (103,537)  
Vessels, ending balance       2,565,091 2,421,556 $ 2,398,434
Accumulated depreciation - Activity            
Accumulated depreciation, beginning balance       (894,210) (826,366)  
Accumulated depreciation, disposals       55,522 43,973  
Depreciation and impairment for the period       (119,703) (111,817) (110,902)
Accumulated depreciation, ending balance       (958,391) (894,210) (826,366)
Accumulated impairment - Activity            
Accumulated impairment, beginning balance       (65,154) (79,070)  
Accumulated impairment, disposals       35,734 30,300  
Depreciation and impairment for the period       (20,259) (16,384) (49,649)
Accumulated impairment, ending balance       (49,679) (65,154) (79,070)
Net Vessels - Activity            
Net Vessels, beginning balance       1,462,192 1,492,998  
Additions       244,669 126,106  
Drydock costs       14,690 553  
Disposals       (24,568) (29,264)  
Depreciation and impairment for the period       (139,962) (128,201)  
Net Vessels, ending balance       1,557,021 $ 1,462,192 $ 1,492,998
Tuva Knutsen | Acquisitions from KNOT            
Net Vessels - Activity            
Percentage of interest acquired     100.00%      
Dan Cisne            
Accumulated impairment - Activity            
Depreciation and impairment for the period       (5,800)    
Dan Cisne | KNOT Shuttle Tankers 20 AS            
Net Vessels - Activity            
Percentage of asset sold     100.00%      
Live Knutsen | Acquisitions from KNOT            
Net Vessels - Activity            
Percentage of interest acquired   100.00%        
Dan Sabia            
Accumulated impairment - Activity            
Depreciation and impairment for the period       $ (10,600)    
Dan Sabia | Knot Shuttle Tankers 21As            
Net Vessels - Activity            
Percentage of asset sold   100.00%        
Daqing Knutsen | Acquisitions from KNOT            
Net Vessels - Activity            
Percentage of interest acquired 100.00%          
v3.26.1
Vessels and Equipment - Drydocking activity (Details) - Vessels & Equipment - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Drydocking activity    
Balance at the beginning of the year $ 28,661 $ 40,587
Costs incurred for drydocking 14,690 553
Costs re-allocated to drydocking due to change of contract   2,039
Costs allocated to drydocking as part of acquisition of asset 2,340 910
Drydock amortization as part of sale of asset (1,526) (1,490)
Drydock amortization (14,842) (13,938)
Balance at the end of the year $ 29,323 $ 28,661
v3.26.1
Contract Liabilities - Schedule of Contract Liabilities (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Contract liabilities:    
Contract liabilities, Beginning Balance $ (26,665)  
Additions (49,217) $ (27,628)
Amortization for the period 6,756 963
Contract liabilities, Ending Balance (69,126) (26,665)
Tuva Knutsen    
Contract liabilities:    
Contract liabilities, Beginning Balance (26,665)  
Additions   (27,628)
Amortization for the period 2,406 963
Contract liabilities, Ending Balance (24,259) $ (26,665)
Live Knutsen    
Contract liabilities:    
Additions (24,463)  
Amortization for the period 2,602  
Contract liabilities, Ending Balance (21,861)  
Daqing Knutsen    
Contract liabilities:    
Additions (24,754)  
Amortization for the period 1,748  
Contract liabilities, Ending Balance $ (23,006)  
v3.26.1
Contract Liabilities - Amortization of Contract Liabilities Classified Under Time Charter and Bareboat Revenues (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Amortization of contract liabilities    
2026 $ (9,024)  
2027 (9,024)  
2028 (9,024)  
2029 (9,024)  
2030 and thereafter (33,030)  
Total $ (69,126) $ (26,665)
v3.26.1
Contract Liabilities - Additional information (Details) - USD ($)
$ in Millions
 1 Months Ended 12 Months Ended
Jul. 31, 2022
Jan. 31, 2022
Feb. 28, 2021
Dec. 31, 2025
Dec. 31, 2024
Aug. 31, 2023
Mar. 31, 2023
Aug. 31, 2011
Mar. 31, 2011
Summary of Significant Accounting Policies                  
Accumulated amortization for contract liabilities       $ 7.7 $ 1.0        
Fortaleza Knutsen                  
Summary of Significant Accounting Policies                  
Term of bareboat charter             12 years   12 years
Recife Knutsen                  
Summary of Significant Accounting Policies                  
Term of bareboat charter           12 years   12 years  
Tuva Knutsen                  
Summary of Significant Accounting Policies                  
Amortization Period, Unfavorable contractual rights     5 years            
Additional term       10 years          
Live Knutsen                  
Summary of Significant Accounting Policies                  
Amortization Period, Unfavorable contractual rights   5 years              
Additional term       6 years          
Daqing Knutsen                  
Summary of Significant Accounting Policies                  
Amortization Period, Unfavorable contractual rights 5 years                
Additional term       5 years          
v3.26.1
Accrued expenses (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Accrued expenses    
Operating expenses $ 5,456 $ 3,629
Interest expenses 4,834 4,936
EU ETS 6,805  
Other expenses 1,333 2,900
Total accrued expenses $ 18,428 $ 11,465
v3.26.1
Long-Term Debt - Components (Details) - USD ($)
Dec. 31, 2025
Dec. 31, 2024
Sep. 30, 2021
Long-Term Debt      
Long-term debt $ 959,633,000 $ 909,653,000  
Less: current installments 383,146,000 258,739,000  
Less: unamortized deferred loan issuance costs 2,020,000 2,080,000  
Current portion of long-term debt 381,126,000 256,659,000  
Amounts due after one year 576,487,000 650,914,000  
Less: unamortized deferred loan issuance costs 2,513,000 2,839,000  
Long-term debt, less current installments, and unamortized deferred loan issuance costs 573,974,000 648,075,000  
$345 million loan facility      
Long-Term Debt      
Long-term debt 238,343,000 263,438,000  
Debt instrument face amount 345,000,000 345,000,000 $ 345,000,000
$240 million loan facility      
Long-Term Debt      
Long-term debt 151,321,000 186,792,000  
Debt instrument face amount 240,000,000 240,000,000  
$60 million Hilda loan facility      
Long-Term Debt      
Long-term debt 48,750,000 56,250,000  
Debt instrument face amount 60,000,000 60,000,000  
$192.1 million loan facility      
Long-Term Debt      
Long-term debt   144,597,000  
Debt instrument face amount 192,100,000    
$69 million Tuva loan facility      
Long-Term Debt      
Long-term debt 62,568,000 67,744,000  
Debt instrument face amount 69,000,000    
$73 million Live loan facility      
Long-Term Debt      
Long-term debt 69,658,000    
Debt instrument face amount 73,000,000    
$71 million Synnve loan facility      
Long-Term Debt      
Long-term debt 71,076,000    
Debt instrument face amount 71,000,000 71,000,000  
$70 million Daqing loan facility      
Long-Term Debt      
Long-term debt 68,130,000    
Debt instrument face amount 70,000,000    
Tove loan facility      
Long-Term Debt      
Long-term debt 97,856,000    
$25 million revolving credit facility | NTT      
Long-Term Debt      
Long-term debt 2,000,000 1,500,000  
Debt instrument face amount 25,000,000 25,000,000  
$25 million revolving credit facility | SBI Shinsei      
Long-Term Debt      
Long-term debt   25,000,000  
Debt instrument face amount 25,000,000 25,000,000  
Raquel Sale & Leaseback      
Long-Term Debt      
Long-term debt 68,010,000 73,653,000  
Torill Sale & Leaseback      
Long-Term Debt      
Long-term debt $ 81,921,000 $ 90,679,000  
v3.26.1
Long-Term Debt - Summary of Partnership's Outstanding Debt Repayable (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Long-Term Debt    
2026 $ 383,146  
2027 216,538  
2028 119,148  
2029 28,111  
2030 76,640  
2031 and thereafter 136,050  
Total 959,633 $ 909,653
Sale & Leaseback    
Long-Term Debt    
2026 20,258  
2027 21,246  
2028 22,345  
2029 23,373  
2030 24,515  
2031 and thereafter 136,050  
Total 247,787  
Periodic repayment    
Long-Term Debt    
2026 78,685  
2027 38,613  
2028 17,979  
2029 4,738  
2030 4,738  
Total 144,753  
Balloon repayment    
Long-Term Debt    
2026 284,203  
2027 156,679  
2028 78,824  
2030 47,387  
Total $ 567,093  
v3.26.1
Long-Term Debt - Summary Of Partnerships Outstanding Debt Repayable- Additional Information (Details)
$ in Millions
 12 Months Ended
Dec. 31, 2025
USD ($)
Long-Term Debt  
Balloon Repayment. $ 284.2
Partnership's Loan Agreements  
Long-Term Debt  
Debt Instrument, Variable Interest Rate, Type [Extensible Enumeration] us-gaap:SecuredOvernightFinancingRateSofrOvernightIndexSwapRateMember
Minimum | Partnership's Loan Agreements  
Long-Term Debt  
Spread on variable rate 1.90%
Maximum | Partnership's Loan Agreements  
Long-Term Debt  
Spread on variable rate 2.40%
v3.26.1
Long-Term Debt - 345 Million Term Loan Facility (Details)
 1 Months Ended
Sep. 30, 2021
USD ($)
item
Dec. 31, 2025
USD ($)
Dec. 31, 2024
USD ($)
Apr. 30, 2013
USD ($)
Long-Term Debt        
Revolving credit facility amount       $ 20,000,000
$345 million loan facility        
Long-Term Debt        
Debt instrument face amount $ 345,000,000 $ 345,000,000 $ 345,000,000  
Number of consecutive quarterly installments | item 20      
Balloon payment to be paid $ 220,000,000      
Revolving credit facility amount 250,000,000      
Minimum liquidity of Partnership 15,000,000      
Incremental minimum liquidity, first 8 vessels with less than 12 months employment contract remaining 1,500,000      
Incremental minimum liquidity, next 12 vessels with less than 12 months employment contract remaining $ 1,000,000      
Maximum market value of vessels as percentage of outstanding loan (in percent) 125.00%      
Minimum book equity ratio for Partnership 30.00%      
Minimum EBITDA to interest ratio for Partnership 2.50%      
Credit adjustment spread ("CAS") percentage 0.26161%      
Interest margin percentage 2.05%      
Debt Instrument, Variable Interest Rate, Type [Extensible Enumeration] us-gaap:SecuredOvernightFinancingRateSofrOvernightIndexSwapRateMember      
v3.26.1
Long-Term Debt - 240 Million Senior Secured Term Loan Facility (Details) - 240 Million Senior Secured Term Loan Facility
Jun. 02, 2023
USD ($)
item
Sep. 30, 2018
USD ($)
Long-Term Debt    
Debt instrument face amount $ 240,000,000 $ 240,000,000
Senior secured term 5 years  
Number of consecutive quarterly installments | item 20  
Minimum liquidity requirement $ 500,000  
Minimum liquidity of the Partnership 15,000,000  
Amount for each owned vessel with less than 12 months remaining tenor on its employment contract up to 8 vessels 1,500,000  
Amount for each owned vessel with less than 12 months remaining tenor on its employment contract up to 12 additional vessels in excess of 8 vessels 1,000,000  
Minimum liquidity requirement in cash $ 10,000,000  
Minimum book equity ratio for Partnership 30.00%  
Minimum EBITDA to interest ratio for Partnership 2.50%  
Maximum market value of vessels as percentage of outstanding loan (in percent) 130.00%  
Percent of outstanding balance after June 2, 2027 166.00%  
Interest margin percentage 2.40%  
Debt Instrument, Variable Interest Rate, Type [Extensible Enumeration] us-gaap:SecuredOvernightFinancingRateSofrOvernightIndexSwapRateMember  
Final payment which includes balloon payment and last quarterly installment $ 85,400,000  
v3.26.1
Long-Term Debt - 60 Million Hilda Loan Facility (Details) - $60 Million Hilda Loan Facility
 1 Months Ended
May 31, 2024
USD ($)
item
Long-Term Debt  
Face amount of debt $ 60,000,000
Number of consecutive quarterly installments | item 12
Balloon payment to be paid $ 39,400,000
Debt Instrument, Variable Interest Rate, Type [Extensible Enumeration] us-gaap:SecuredOvernightFinancingRateSofrOvernightIndexSwapRateMember
Minimum liquidity amount $ 500,000
Interest margin percentage 2.25%
Minimum liquidity of Partnership $ 15,000,000
Incremental minimum liquidity, in excess of 8 vessels with less than 12 months employment contract remaining 1,500,000
Incremental minimum liquidity, next 12 vessels with less than 12 months employment contract remaining 1,000,000
Incremental minimum liquidity, first 8 vessels with less than 12 months employment contract remaining $ 10,000,000
Minimum book equity ratio for Partnership 30.00%
Minimum EBITDA to interest ratio for Partnership 2.50%
Maximum market value of vessels as percentage of outstanding loan for first two years (in percent) 135.00%
v3.26.1
Long-Term Debt - 192.1 Million Term Loan Facility (Details) - USD ($)
$ in Millions
Sep. 16, 2025
Oct. 20, 2025
Jul. 31, 2019
$192.1 million loan facility      
Long-Term Debt      
Face amount of debt     $ 192.1
$192.1 million loan facility | Tove Facility      
Long-Term Debt      
Final payment to be paid     66.6
$192.1 million loan facility | Synnve Facility      
Long-Term Debt      
Final payment to be paid     $ 72.3
Tove Sale & Leaseback | Knutsen Shuttle Tankers 35 AS      
Long-Term Debt      
Lease period 10 years    
Gross sales price $ 100.0    
Synnve Knutsen      
Long-Term Debt      
Face amount of debt   $ 71.1  
v3.26.1
Long-Term Debt - 69 Million Tuva Loan Facility (Details)
Jan. 15, 2021
USD ($)
$69 million Tuva loan facility  
Long-Term Debt  
Debt instrument face amount $ 69,000,000
Balloon payment to be paid $ 57,400,000
Spread on variable rate 2.16%
Debt Instrument, Variable Interest Rate, Type [Extensible Enumeration] us-gaap:SecuredOvernightFinancingRateSofrOvernightIndexSwapRateMember
Minimum liquidity requirement $ 500,000
Minimum liquidity of Partnership 15,000,000
Incremental minimum liquidity, first 8 vessels with less than 12 months employment contract remaining 1,500,000
Amount for each owned vessel with less than 12 months remaining tenor on its employment contract up to 12 additional vessels in excess of 8 vessels 1,000,000
Minimum liquidity requirement in cash $ 10,000,000
Minimum book equity ratio for Partnership 30.00%
Minimum EBITDA to interest ratio for Partnership 2.50%
Maximum market value of vessels as percentage of outstanding loan (in percent) 125.00%
$88 million term loan facility | Knutsen Shuttle Tankers AS  
Long-Term Debt  
Debt instrument face amount $ 88,000,000
v3.26.1
Long-Term Debt - 73 Million Live Loan Facility (Details) - USD ($)
Mar. 03, 2025
Mar. 02, 2025
Oct. 14, 2021
$73 million Live Loan Facility      
Long-Term Debt      
Debt instrument face amount $ 73,000,000 $ 73,400,000  
Final payment which includes balloon payment and last quarterly installment $ 65,900,000    
Spread on variable rate 2.01%    
Debt Instrument, Variable Interest Rate, Type [Extensible Enumeration] us-gaap:SecuredOvernightFinancingRateSofrOvernightIndexSwapRateMember    
Minimum liquidity requirement $ 500,000    
Minimum liquidity of Partnership 15,000,000    
Incremental minimum liquidity, first 8 vessels with less than 12 months employment contract remaining 1,500,000    
Incremental minimum liquidity, next 12 vessels with less than 12 months employment contract remaining 1,000,000    
Minimum liquidity requirement in cash $ 10,000,000    
Minimum book equity ratio (percent) 30.00%    
Minimum EBITDA to interest ratio 2.5    
Maximum market value of vessels as percentage of outstanding loan (in percent) 125.00%    
$89.6 Millions SMBC Bank EU AG and other | Knot Shuttle Tankers 27 As      
Long-Term Debt      
Debt instrument face amount     $ 89,600,000
v3.26.1
Long-Term Debt - 71 Million Synnove Loan Facility (Details) - $71 million Synnve Loan Facility
Oct. 20, 2025
USD ($)
Long-Term Debt  
Debt instrument face amount $ 71,100,000
Spread on variable rate 2.01%
Debt Instrument, Variable Interest Rate, Type [Extensible Enumeration] us-gaap:SecuredOvernightFinancingRateSofrOvernightIndexSwapRateMember
Final payment which includes balloon payment and last quarterly installment $ 48,600,000
Minimum liquidity of Partnership 15,000,000
Incremental minimum liquidity, first 8 vessels with less than 12 months employment contract remaining 1,500,000
Minimum liquidity requirement 500,000
Incremental minimum liquidity, excess of 8 vessels with less than 12 months employment contract remaining $ 1,000,000
Minimum book equity ratio (percent) 30.00%
Minimum EBITDA to interest ratio 2.5
Maximum market value of vessels as percentage of outstanding loan (in percent) 110.00%
Knutsen Shuttle Tankers 35 AS  
Long-Term Debt  
Debt instrument face amount $ 71,100,000
v3.26.1
Long-Term Debt - 70 Million Daqing Loan Facility (Details) - $70 million Daqing Loan Facility - USD ($)
Jun. 13, 2026
Jul. 02, 2025
Mar. 31, 2022
Long-Term Debt      
Debt instrument face amount   $ 70,000,000 $ 70,000,000
Final payment which includes balloon payment and last quarterly installment   $ 62,300,000  
Spread on variable rate   1.94%  
Debt Instrument, Variable Interest Rate, Type [Extensible Enumeration]     us-gaap:SecuredOvernightFinancingRateSofrOvernightIndexSwapRateMember
Minimum liquidity requirement   $ 500,000  
Maximum market value of vessels as percentage of outstanding loan (in percent)   120.00%  
Minimum liquidity of Partnership   $ 15,000,000  
Minimum liquidity requirement in cash   10,000,000  
Incremental minimum liquidity, first 8 vessels with less than 12 months employment contract remaining   1,500,000  
Incremental minimum liquidity, next 12 vessels with less than 12 months employment contract remaining   $ 1,000,000  
Minimum book equity ratio (percent)   30.00%  
Minimum EBITDA to interest ratio   2.5  
Subsequent event      
Long-Term Debt      
Maximum market value of vessels as percentage of outstanding loan (in percent) 125.00%    
KNOT Shuttle Tankers 37 AS      
Long-Term Debt      
Debt instrument face amount     $ 84,600,000
v3.26.1
Long-Term Debt - Revolving Credit Facility (Details)
$ in Millions
 12 Months Ended
Nov. 17, 2025
USD ($)
Aug. 15, 2025
USD ($)
Dec. 31, 2025
item
Apr. 30, 2013
USD ($)
Long-Term Debt        
Number of credit facilities | item     2  
Revolving credit facility amount       $ 20.0
NTT Finance Corporation | Aggregate borrowing capacity between 10 million and 20 million        
Long-Term Debt        
Commitment fee percentage   0.60%    
NTT Finance Corporation | Aggregate borrowing capacity between 10 million and 20 million | Minimum        
Long-Term Debt        
Revolving credit facility amount   $ 10.0    
NTT Finance Corporation | Aggregate borrowing capacity between 10 million and 20 million | Maximum        
Long-Term Debt        
Revolving credit facility amount   20.0    
Revolving credit facilities maturing in August 2027        
Long-Term Debt        
Revolving credit facility amount   20.0    
Revolving credit facilities maturing in August 2027 | NTT Finance Corporation        
Long-Term Debt        
Revolving credit facility amount   $ 25.0    
Interest margin percentage   2.30%    
Debt Instrument, Variable Interest Rate, Type [Extensible Enumeration]   us-gaap:SecuredOvernightFinancingRateSofrOvernightIndexSwapRateMember    
Commitment fee percentage   0.50%    
Revolving credit facilities maturing in August 2027 | NTT Finance Corporation | Aggregate borrowing capacity up to 10 million        
Long-Term Debt        
Revolving credit facility amount   $ 10.0    
Commitment fee percentage   0.70%    
Revolving credit facilities maturing in November 2027 | Shinsei        
Long-Term Debt        
Revolving credit facility amount $ 25.0      
Interest margin percentage 2.18%      
Debt Instrument, Variable Interest Rate, Type [Extensible Enumeration] us-gaap:SecuredOvernightFinancingRateSofrOvernightIndexSwapRateMember      
Commitment fee percentage 0.80%      
v3.26.1
Long-Term Debt - Raquel Sale and Leaseback (Details) - Knutsen Shuttle Tankers 19 AS - Raquel Sale & Leaseback
$ in Millions
 1 Months Ended
Dec. 31, 2020
USD ($)
Long-Term Debt  
Lease period 10 years
Gross sales price $ 94.3
v3.26.1
Long-Term Debt - Torill Sale and Leaseback (Details) - Knutsen Shuttle Tankers 15 AS - Torill Sale & Leaseback
$ in Millions
 1 Months Ended
Jun. 30, 2022
USD ($)
Long-Term Debt  
Lease period 10 years
Gross sales price $ 112.0
v3.26.1
Long-Term Debt - Tove Sale and Leaseback (Details) - KNOT Shuttle Tankers 34 AS - Tove Sale & Leaseback
$ in Millions
Sep. 16, 2025
USD ($)
Long-Term Debt  
Lease period 10 years
Gross sales price $ 100
Net proceeds $ 32
v3.26.1
Income Taxes - Additional information (Details) - USD ($)
 1 Months Ended 2 Months Ended 3 Months Ended 6 Months Ended 12 Months Ended
Apr. 30, 2023
Jun. 30, 2023
Mar. 31, 2023
Dec. 31, 2023
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Sep. 30, 2017
Mar. 31, 2013
Income Taxes                  
Effective tax rate         5.00% 5.00% 12.00%    
Income Tax Rate Before Effect Of Lower Foreign Tax Rate         25.00% 25.00% 25.00%    
Income Tax Benefit Expense Before Effect Of Lower Foreign Tax Rate In UK         $ 6,105,000 $ 3,674,000 $ (9,731,000)    
Tonnage tax included in operating expenses         300,000 200,000 200,000    
Valuation allowances         17,200,000 16,015,000      
Deferred tax assets         2,662,000 3,326,000      
Entrance tax         $ 82,000 91,000     $ 3,000,000
Entrance tax payable related to acquisition               $ 100,000  
Entrance tax, annual decline in gain         20.00%        
Payment of entrance tax and translation effects         $ 100,000 110,000      
Income tax (benefit)/expense         $ 1,163,000 $ 631,000 (4,595,000)    
Income tax rate, deferred tax liabilities         22.00% 22.00%      
Estimated income tax payable         $ 50,000.00 $ 60,000.00      
Period for income tax returns         10 years        
Unrecognized tax benefits         $ 0 0      
Interest or penalties on tax return         $ 0 0      
Minimum percentage of ownership/control required to constitute a related party         25.00%        
Deferred tax assets         $ 2,580,000 3,235,000      
KNOT                  
Income Taxes                  
Ownership interest in partnership         25.00%        
KNOT | KNOT Management                  
Income Taxes                  
Percentage of contribution to subsidiary         100.00%        
KNOT | KNOT Management Denmark AS                  
Income Taxes                  
Percentage of contribution to subsidiary         100.00%        
Norway                  
Income Taxes                  
Income Tax Rate Before Effect Of Lower Foreign Tax Rate         22.00%        
Percentage of Tonnage Tax         $ 22 $ 22 $ 22    
Period for income tax returns         10 years        
United Kingdom                  
Income Taxes                  
Income Tax Rate Before Effect Of Lower Foreign Tax Rate 19.00%   19.00%   25.00% 25.00%      
Percentage of Tonnage Tax   $ 25   $ 25 $ 25 $ 25      
Income tax (benefit)/expense         $ 51,458 $ 37,000      
v3.26.1
Income Taxes - Significant components of current and deferred income tax expense attributable to income from continuing operations (Details) - USD ($)
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Income Taxes      
Current tax benefit (expense) $ (1,151,000) $ (606,000) $ 4,598,000
Deferred tax benefit (expense) (12,000) (25,000) (3,000)
Income tax benefit (expense) $ (1,163,000) $ (631,000) $ 4,595,000
v3.26.1
Income Taxes - Income tax reconciliation (Details) - USD ($)
 1 Months Ended 3 Months Ended 12 Months Ended
Apr. 30, 2023
Mar. 31, 2023
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Income taxes reconciliation          
Income (loss) before income taxes     $ 24,422,000 $ 14,696,000 $ (38,923,000)
Income taxes reconciliation, amount          
Income Tax Benefit Expense Before Effect Of Lower Foreign Tax Rate In UK     6,105,000 3,674,000 (9,731,000)
Amount of Effect Of Lower Foreign Tax Rate     (4,942,000) (3,043,000) 5,136,000
Income tax benefit (expense)     $ (1,163,000) $ (631,000) $ 4,595,000
Income taxes reconciliation, percent          
Income Tax Rate Before Effect Of Lower Foreign Tax Rate     25.00% 25.00% 25.00%
Effect Of Lower Foreign Tax Rate     (20.00%) (22.00%) (13.00%)
Income tax benefit (expense), Percent, Total     5.00% 5.00% 12.00%
Norway          
Income taxes reconciliation, percent          
Income Tax Rate Before Effect Of Lower Foreign Tax Rate     22.00%    
United Kingdom          
Income taxes reconciliation, amount          
Income tax benefit (expense)     $ (51,458) $ (37,000)  
Income taxes reconciliation, percent          
Income Tax Rate Before Effect Of Lower Foreign Tax Rate 19.00% 19.00% 25.00% 25.00%  
v3.26.1
Income Taxes - Components of Deferred Tax Assets and Liabilities (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Mar. 31, 2013
Deferred tax assets:      
Financial loss carry forwards for tonnage tax $ 19,862 $ 19,341  
Valuation allowance (17,200) (16,015)  
Deferred tax liabilities:      
Entrance tax (82) (91) $ (3,000)
Total net deferred tax assets (liabilities) $ 2,580 $ 3,235  
v3.26.1
Income Taxes - Net deferred tax assets liabilities (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Income Taxes    
Non-current deferred tax assets $ 2,662 $ 3,326
Non-current deferred tax liabilities (82) (91)
Total net deferred tax assets (liabilities) $ 2,580 $ 3,235
v3.26.1
Income Taxes - Changes in net deferred Tax assets liabilities (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Income Taxes    
Total net deferred tax assets (liabilities) at January 1, $ 3,235  
Total net deferred tax assets (liabilities) at January 1,   $ (4,231)
Change in temporary differences (644) (1,009)
Translation differences (11) 13
Total net deferred tax assets (liabilities) at December 31, $ 2,580 $ 3,235
v3.26.1
Related Party Transactions - Net income (expense) from related parties (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Related Party Transaction      
Operating expenses $ 281,136 $ 246,387 $ 265,580
General and administrative expenses 7,398 6,067 6,142
Time charter and bareboat revenues      
Related Party Transaction      
Revenue from contract with customers 361,185 306,915 277,084
Related Party      
Related Party Transaction      
Gain from disposal of vessel 1,342 703  
Vessel operating expenses 20,756 19,028 16,507
Voyage expenses and commissions   15 70
Technical and operational management fee from KNOT to Vessels 14,228 12,490 10,461
Total income (expenses) (34,556) (6,736) (1,112)
Related Party | KNOT Management      
Related Party Transaction      
General and administrative expenses 1,605 1,264 1,189
Related Party | KNOT Management | Time charter and bareboat revenues      
Related Party Transaction      
Revenue from contract with customers 2,834 28,008 28,682
Related Party | KOAS      
Related Party Transaction      
General and administrative expenses 830 826 631
Related Party | KOAS UK      
Related Party Transaction      
General and administrative expenses 50 68 71
Related Party | KNOT      
Related Party Transaction      
General and administrative expenses 6 26 64
Related Party | Other counterparties      
Related Party Transaction      
Operating expenses $ 1,257 $ 1,730 $ 801
v3.26.1
Related Party Transactions - Schedule of dues payables to related party (Detail) - Related Party - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Related Party Transaction      
Vessels $ 150 $ 80 $ 635
Drydocking supervision fee | KNOT Management      
Related Party Transaction      
Vessels 69 10 135
Drydocking supervision fee | KOAS      
Related Party Transaction      
Vessels $ 81   (77)
Equipment purchased | KOAS      
Related Party Transaction      
Vessels   $ 70 $ 577
v3.26.1
Related Party Transactions - Transactions with Management and Directors (Details)
 12 Months Ended
Dec. 31, 2025
Seglem Holding AS | TSSI  
Related Party Transaction  
Ownership percentage acquired 100.00%
TSSI  
Related Party Transaction  
Percentage ownership in joint venture 50.00%
TSSI | KNOT  
Related Party Transaction  
Percentage ownership in joint venture 50.00%
NYK | KNOT  
Related Party Transaction  
Percentage ownership in joint venture 50.00%
v3.26.1
Related Party Transactions - Amounts Due from and Due to Related Parties (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Related Party Transaction    
Trade receivables $ 3,694 $ 6,251
Amounts due from related parties 705 2,230
Amount due to related parties $ 2,392 $ 1,835
Other Liability, Current, Related Party, Type [Extensible Enumeration] Related Party Related Party
KOAS    
Related Party Transaction    
Amount due to related parties $ 1,663 $ 1,339
Other Liability, Current, Related Party, Type [Extensible Enumeration] Related Party Related Party
KNOT and affiliates    
Related Party Transaction    
Trade receivables $ 1 $ 804
Amount due to related parties $ 729 $ 496
Other Liability, Current, Related Party, Type [Extensible Enumeration] Related Party Related Party
Related Party    
Related Party Transaction    
Amounts due from related parties $ 705 $ 2,230
Related Party | KOAS    
Related Party Transaction    
Trade receivables 1,317 521
Amounts due from related parties 33 427
Related Party | KNOT and affiliates    
Related Party Transaction    
Trade receivables 1 804
Amounts due from related parties $ 672 $ 1,803
v3.26.1
Related Party Transactions - Trade Accounts Payable (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Related Party Transaction    
Trade accounts payables to related parties $ 9,607 $ 5,766
Related Party    
Related Party Transaction    
Trade accounts payables to related parties 2,923 2,773
Related Party | KOAS    
Related Party Transaction    
Trade accounts payables to related parties 1,309 1,394
Related Party | KNOT and affiliates    
Related Party Transaction    
Trade accounts payables to related parties $ 1,614 $ 1,379
v3.26.1
Related Party Transactions - Other current assets (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Related Party Transaction    
Trade receivables $ 3,694 $ 6,251
Other receivables 705 2,230
Other current assets from related parties 15,192 14,793
KNOT and affiliates    
Related Party Transaction    
Trade receivables 1 804
Related Party    
Related Party Transaction    
Other receivables 705 2,230
Other current assets from related parties 1,318 1,325
Related Party | KNOT and affiliates    
Related Party Transaction    
Trade receivables 1 804
Other receivables 672 1,803
Related Party | KOAS    
Related Party Transaction    
Trade receivables 1,317 521
Other receivables $ 33 $ 427
v3.26.1
Related Party Transactions - Acquisitions from KNOT (Details) - Acquisitions from KNOT
Jul. 02, 2025
Mar. 03, 2025
Sep. 03, 2024
Live Knutsen      
Related Party Transaction      
Percentage of interest acquired   100.00%  
Tuva Knutsen      
Related Party Transaction      
Percentage of interest acquired     100.00%
Daqing Knutsen      
Related Party Transaction      
Percentage of interest acquired 100.00%    
v3.26.1
Related Party Transactions - Sale of Vessel to KNOT (Details) - KNOT Shuttle Tankers 20 AS - Dan Cisne - USD ($)
$ in Thousands
Sep. 03, 2024
Mar. 03, 2025
Related Party Transaction    
Percentage of asset sold 100.00%  
KNOT    
Related Party Transaction    
Percentage of asset sold 100.00%  
Sale price $ 30,000 $ 25,750
Net gain 700 1,300
Sales related costs $ 30 $ 30
v3.26.1
Related Party Transactions - Additional Information (Details) - USD ($)
$ in Thousands
 12 Months Ended
Mar. 03, 2025
Sep. 03, 2024
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
KNOT Shuttle Tankers 20 AS          
Related Party Transaction          
Cash payment received relating to difference between the prices of transactions   $ 1,100      
KNOT Shuttle Tankers 20 AS | Tuva Knutsen          
Related Party Transaction          
Purchase price $ 100,000 97,500      
Outstanding indebtedness 73,400 69,000      
Capitalized fees 300 400      
KNOT Shuttle Tankers 20 AS | Dan Cisne          
Related Party Transaction          
Sale price   30,000      
Related Party | KOAS          
Related Party Transaction          
Margin rate on administration cost     5.00%    
Related Party | Equipment purchased | Bodil Knutsen ballast water treatment system installed          
Related Party Transaction          
Amount of parts purchased       $ 70 $ 580
KNOT Shuttle Tankers AS          
Related Party Transaction          
Percentage of voyage commission earned       1.25% 1.25%
TSSI          
Related Party Transaction          
Percentage ownership in joint venture     50.00%    
TSSI | KNOT          
Related Party Transaction          
Percentage ownership in joint venture     50.00%    
NYK | KNOT          
Related Party Transaction          
Percentage ownership in joint venture     50.00%    
KNOT | KNOT Management Denmark AS          
Related Party Transaction          
Ownership percentage acquired     100.00%    
KNOT | KNOT Management          
Related Party Transaction          
Ownership percentage acquired     100.00%    
KNOT          
Related Party Transaction          
Cash payment received relating to difference between the prices of transactions 1,200        
KNOT | Dan Cisne | KNOT Shuttle Tankers 20 AS          
Related Party Transaction          
Sale price $ 25,750 $ 30,000      
v3.26.1
Commitments and Contingencies - Assets Pledged, Claims and Legal Proceedings (Details) - USD ($)
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Commitments and Contingencies      
Book value of assets pledged as security $ 1,557,000,000 $ 1,462,000,000  
Accrued claim $ 0 $ 0 $ 0
v3.26.1
Commitments and Contingencies - Insurance (Details)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
USD ($)
Insurance proceeds  
Insurance coverage deductible amount per vessel $ 150
Deductible period under business interruption insurance 14 days
Limit of protection and indemnity insurance for pollution, per vessel per incident $ 1,000,000
Maximum  
Insurance proceeds  
Deductible period under business interruption insurance 180 days
v3.26.1
Impairment of Long-Lived Assets (Details)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
USD ($)
item
Dec. 31, 2024
USD ($)
Dec. 31, 2023
USD ($)
Jan. 01, 2026
Jun. 30, 2021
Jun. 29, 2021
Vessels and Equipment            
Number of vessels to be sold | item 2          
Impairment $ 20,259 $ 16,384 $ 49,649      
Asset's estimated useful life           25 years
Vessels and equipment useful life period            
Vessels and Equipment            
Asset's estimated useful life 23 years     20 years 23 years  
Vessels and equipment useful life period | Subsequent event            
Vessels and Equipment            
Asset's estimated useful life       20 years    
Bodil Knutsen            
Vessels and Equipment            
Impairment $ 20,300          
Dan Cisne            
Vessels and Equipment            
Impairment 5,800          
Dan Sabia            
Vessels and Equipment            
Impairment $ 10,600          
v3.26.1
Earnings per Unit and Cash Distributions - Calculations of Basic and Diluted Earnings per Unit (Details) - USD ($)
$ / shares in Units, shares in Thousands, $ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Earnings per Unit and Cash Distributions      
Net income (loss) [1] $ 23,259 $ 14,065 $ (34,328)
Less: Series A Preferred unitholders' interest in net income (loss) 6,800 6,800 6,800
Net income (loss) attributable to the unitholders of KNOT Offshore Partners LP 16,459 7,265 (41,128)
Less: Distributions 3,591 3,607 3,607
Under (over) distributed earnings $ 12,868 $ 3,658 $ (44,735)
Weighted average units outstanding (basic):      
General Partner 640 640 640
Weighted average units outstanding (diluted):      
General Partner 640 640 640
Earnings per unit (basic):      
General Partner units $ 0.48 $ 0.21 $ (1.19)
Earnings per unit (diluted):      
General Partner units 0.48 0.21 (1.19)
Cash distributions declared and paid in the period per unit 0.1 0.1 0.1
Subsequent event: Cash distributions declared and paid per unit relating to the period $ 0.03 $ 0.03 $ 0.03
Common Unitholders      
Earnings per Unit and Cash Distributions      
Net income (loss) attributable to the unitholders of KNOT Offshore Partners LP $ 16,157 $ 7,131 $ (40,368)
Weighted average units outstanding (basic):      
Common unitholders 33,918 34,045 34,045
Weighted average units outstanding (diluted):      
Common unit (diluted) 38,168 38,399 38,430
Earnings per unit (basic):      
Earnings per unit (basic) $ 0.48 $ 0.21 $ (1.19)
Earnings per unit (diluted):      
Earnings per unit (diluted) $ 0.48 $ 0.21 $ (1.19)
Class B Unitholders      
Weighted average units outstanding (basic):      
Common unitholders 252 252 252
Weighted average units outstanding (diluted):      
Common unit (diluted) 252 252 252
Limited Partner | Common Unitholders      
Earnings per Unit and Cash Distributions      
Under (over) distributed earnings $ 12,630 $ 3,591 $ (43,909)
General Partner      
Earnings per Unit and Cash Distributions      
Net income (loss) attributable to the unitholders of KNOT Offshore Partners LP 302 134 (760)
Under (over) distributed earnings $ 238 $ 67 $ (826)
[1] Included in net income is interest paid amounting to $60.4 million, $65.7 million and $69.3 million for the years ended December 31, 2025, 2024 and 2023, respectively.
v3.26.1
Earnings per Unit and Cash Distributions - Additional Information (Details)
 1 Months Ended 3 Months Ended 12 Months Ended
Nov. 09, 2023
shares
Aug. 10, 2023
shares
May 11, 2023
shares
Feb. 09, 2023
shares
Jan. 11, 2023
$ / shares
Nov. 09, 2022
shares
Aug. 11, 2022
shares
May 12, 2022
shares
Feb. 12, 2022
shares
Sep. 07, 2021
$ / shares
shares
Apr. 30, 2013
Sep. 30, 2021
shares
Dec. 31, 2025
Vote
$ / shares
shares
Dec. 31, 2024
shares
Distribution Made to Limited Partner                            
Units conversion ratio                       1    
Number of general partner units outstanding                         640,278 640,278
Series A Preferred Stock                            
Distribution Made to Limited Partner                            
Potentially dilutive preferred units                         3,541,666  
Number of shares held                         208,333  
Series A Convertible Preferred Units                            
Distribution Made to Limited Partner                            
Percentage of annual rate                         8.00%  
Common Unitholders                            
Distribution Made to Limited Partner                            
Number of units in exchange of IDRs                   673,080        
Cash distributions paid in the period per unit | $ / shares                   $ 0.52        
Number of common units and subordinated units outstanding                         33,660,342 34,045,081
Common Unitholders | KNOT                            
Distribution Made to Limited Partner                            
Number of common units and subordinated units outstanding                         9,661,255  
Class B Unitholders                            
Distribution Made to Limited Partner                            
Number of units in exchange of IDRs                   673,080        
Cash distributions paid in the period per unit | $ / shares         $ 0.026                  
Units to be converted into common units for distribution that are at or above the Distribution Threshold                       0.125    
Units conversion ratio           1 1 1 1          
Number of units converted           84,135 84,135 84,135 84,135          
Conversion price (in per unit) 0 0 0 0                    
Potentially dilutive preferred units                         252,405  
Number of shares held                         252,405  
Series A Preferred unit                            
Distribution Made to Limited Partner                            
Preferred units liquidation preference | $ / shares                         $ 24  
Cash redemption rate as percentage of Issue Price, upon redemption eligibility date                         100.00%  
Percentage of cash Issue Price                         70.00%  
Percentage of common unit Issue Price                         80.00%  
Aggregate Issue Price of outstanding                         130.00%  
Preferred units number of votes for each units | Vote                         1  
KNOT | Common Unitholders | Limited Partner                            
Distribution Made to Limited Partner                            
Number of general partner units outstanding                         90,368  
KNOT | Partnership [Member]                            
Distribution Made to Limited Partner                            
Conversion price (in per unit)                         23,908,719  
KNOT | Partnership [Member] | Limited Partner                            
Distribution Made to Limited Partner                            
Percentage of limited partner interest                         0.30%  
KNOT | Partnership [Member] | General Partner Units                            
Distribution Made to Limited Partner                            
Percentage of general partner interest                         1.85%  
Number of general partner units outstanding                         640,278  
KNOT | Partnership [Member]                            
Distribution Made to Limited Partner                            
Percentage of limited partner interest                     49.00%   28.70%  
General Partner | Partnership [Member]                            
Distribution Made to Limited Partner                            
Percentage of general partner interest                     2.00%      
Public | Partnership [Member]                            
Distribution Made to Limited Partner                            
Percentage of limited partner interest                     49.00%   71.00%  
v3.26.1
Unit Activity (Details) - shares
 12 Months Ended
Sep. 30, 2025
Dec. 31, 2025
Unit Activity    
Convertible Preferred Units, Beginning balance   3,541,666
General Partner Units    
Unit Activity    
Units, Beginning balance   640,278
Common units    
Unit Activity    
Units, Beginning balance   34,045,081
Repurchase of Common Units (384,739)  
Units, Ending balance   33,660,342
Class B Units    
Unit Activity    
Units, Beginning balance   252,405
v3.26.1
Unit Activity - Additional information (Details) - USD ($)
$ / shares in Units, $ in Millions
 12 Months Ended
Dec. 31, 2025
Jul. 02, 2025
Unit Activity    
Authorized shares for repurchase   $ 10
Common units    
Unit Activity    
Shares repurchased 384,739  
Average purchase price $ 7.87  
v3.26.1
Acquisitions - Purchase Price Allocation (Details) - USD ($)
$ in Thousands
Jul. 02, 2025
Mar. 03, 2025
Sep. 03, 2024
Daqing Knutsen      
Acquisitions      
Purchase consideration $ 28,180    
Less: Fair value of net assets acquired:      
Vessels and equipment 115,424    
Cash 2,131    
Inventories 339    
Derivatives assets (liabilities) (47)    
Others current assets 171    
Amounts due from related parties 2,138    
Long-term debt (70,479)    
Deferred debt issuance 334    
Trade accounts payable (420)    
Accrued expenses (320)    
Amounts due to related parties (662)    
Contract liabilities: Unfavorable contract rights (25,716)    
Subtotal 22,893    
Difference between the purchase price and fair value of net assets acquired 5,287    
Excess value allocated on a relative basis to Vessels and equipment 4,324    
Excess value allocated on a relative basis to contract liabilities, unfavourable contract rights $ 963    
Live Knutsen      
Acquisitions      
Purchase consideration   $ 26,149  
Less: Fair value of net assets acquired:      
Vessels and equipment   121,165  
Cash   1,116  
Inventories   346  
Derivatives assets (liabilities)   213  
Others current assets   2,113  
Long-term debt   (73,389)  
Deferred debt issuance   349  
Trade accounts payable   (129)  
Accrued expenses   (3,851)  
Amounts due to related parties   (1,510)  
Contract liabilities: Unfavorable contract rights   (25,339)  
Subtotal   21,084  
Difference between the purchase price and fair value of net assets acquired   5,065  
Excess value allocated on a relative basis to Vessels and equipment   4,189  
Excess value allocated on a relative basis to contract liabilities, unfavourable contract rights   $ 876  
Tuva Knutsen      
Acquisitions      
Purchase consideration     $ 31,557
Less: Fair value of net assets acquired:      
Vessels and equipment     125,161
Cash     1,782
Inventories     285
Derivatives assets (liabilities)     1,773
Others current assets     1,101
Long-term debt     (69,038)
Deferred debt issuance     404
Trade accounts payable     (249)
Accrued expenses     (1,419)
Amounts due to related parties     (615)
Contract liabilities: Unfavorable contract rights     (27,628)
Subtotal     $ 31,557
v3.26.1
Acquisitions - Purchase Consideration (Details) - USD ($)
$ in Thousands
Jul. 02, 2025
Mar. 03, 2025
Sep. 03, 2024
Acquisitions      
Acquisition-related costs $ 50 $ 30 $ 30
Tuva Knutsen      
Acquisitions      
Costs incurred for drydocking     910
Live Knutsen      
Acquisitions      
Costs incurred for drydocking   1,067  
Daqing Knutsen      
Acquisitions      
Costs incurred for drydocking 1,273    
Daqing Knutsen      
Acquisitions      
Cash consideration paid to KNOT (from KNOP) 24,800    
Purchase price adjustments 3,330    
Acquisition-related costs 50    
Purchase price $ 28,180    
Live Knutsen      
Acquisitions      
Cash consideration paid to KNOT (from KNOP)   1,210  
Asset swap - sale of the Dan Sabia   25,750  
Purchase price adjustments   (845)  
Acquisition-related costs   34  
Purchase price   $ 26,149  
Tuva Knutsen      
Acquisitions      
Asset swap - sale of the Dan Cisne     30,000
Cash consideration paid to KNOP (from KNOT)     (1,135)
Purchase price adjustments     2,659
Acquisition-related costs     33
Purchase price     $ 31,557
v3.26.1
Acquisitions - Additional Information (Details) - USD ($)
$ in Thousands
Jul. 02, 2025
Mar. 03, 2025
Sep. 03, 2024
Additional information      
Acquisition related costs $ 50 $ 30 $ 30
Daqing Knutsen      
Additional information      
Purchase price 95,000    
Outstanding indebtedness 70,500    
Certain capitalized financing fees 300    
Customary working capital purchase price adjustments $ 3,300    
Live Knutsen      
Additional information      
Purchase price   100,000  
Outstanding indebtedness   73,400  
Certain capitalized financing fees   300  
Customary working capital purchase price adjustments   $ 800  
Tuva Knutsen      
Additional information      
Purchase price     97,500
Outstanding indebtedness     69,000
Certain capitalized financing fees     400
Customary working capital purchase price adjustments     $ 2,700
v3.26.1
Subsequent Events (Details) - USD ($)
 1 Months Ended 3 Months Ended 12 Months Ended
Apr. 07, 2026
Feb. 16, 2026
Jan. 07, 2026
Sep. 07, 2021
Mar. 31, 2026
Mar. 31, 2026
Dec. 31, 2025
Jan. 01, 2026
Oct. 31, 2025
Jun. 30, 2021
Jun. 29, 2021
Subsequent Events                      
Asset's estimated useful life                     25 years
Deductible period under business interruption insurance             14 days        
Knutsen NYK Offshore Tankers AS                      
Subsequent Events                      
Common units of Partnership in exchange for cash per unit                 $ 10    
Vessels and equipment useful life period                      
Subsequent Events                      
Asset's estimated useful life             23 years 20 years   23 years  
Common units                      
Subsequent Events                      
Cash distributions paid in the period per unit       $ 0.52              
Subsequent event | Tordis Knutsen                      
Subsequent Events                      
Repair cost deductible amount   $ 150,000                  
Deductible period under business interruption insurance   14 days                  
Subsequent event | Windsor Knutsen                      
Subsequent Events                      
Final insurance claim payment         $ 1,800,000            
Subsequent event | Vessel                      
Subsequent Events                      
Asset's estimated useful life         20 years 20 years   20 years      
Subsequent event | Vessels and equipment useful life period                      
Subsequent Events                      
Asset's estimated useful life               20 years      
Subsequent event | Series A Preferred unit                      
Subsequent Events                      
Cash distributions     $ 1,700,000     $ 1,700,000          
Subsequent event | Common units                      
Subsequent Events                      
Cash distributions paid in the period per unit $ 0.05   $ 0.026