Euronav NV completed the first tranche of the implementation of the Tanklog transaction. Five newbuilding contracts and two bareboat time charter contracts were novated to Euronav in exchange for a cash payment and a capital increase by means of a contribution in kind by which a total of 1,534,310 new shares were issued to companies related to Tanklog Shipholdings Ltd. The new shares will be listed on Euronext as from June 30, 2005. The five newbuild contracts are for the construction of five ice-class Suezmax tankers to be built by Samsung Heavy Industries in Korea for delivery in 2006 and 2007.
The two
bareboat charter contracts are for two Aframax tankers, the Fidelity and the
Fantasy, which are
currently under long term contractual arrangements with major independent U.S. refiners.