BP to Charter Two OSG-Controlled Product Carriers
Overseas Shipholding Group, Inc.
(NYSE:OSG) announced that charter agreements with BP have been
signed for two of the Jones Act product carrier newbuildings that OSG
will bareboat upon delivery from Aker Philadelphia Shipyard, formerly
Kvaerner Philadelphia Shipyard.
Morten Arntzen, President and CEO of OSG said, "The strong commercial
interest in these U.S.-built product carriers further validates our
U.S. Flag expansion strategy, uniquely positioning us in the Jones Act
market. With two other tankers in the series already chartered out to
another major oil company, OSG has now signed 40 percent of the 10-ship
order scheduled for completion in 2010."
Work on the Veteran MT-46 Class tanker vessels began immediately after
Aker and OSG announced the 10-ship program in April 2005. Keel laying
for the first product tanker, scheduled for delivery to OSG in late
2006, took place in the yard's dry dock in October. Production of the
second vessel in the series has commenced as well, marked by the
beginning of steel cutting for the ship in late November.
