Frontline Cancels Tanker Orders

Friday, May 29, 2009

According to a May 28 Associated Press report, Frontline Ltd., which owns and operates one of the world's largest fleet of crude oil tankers, said Thursday it canceled contracts to construct six new tankers, representing a third of the company's tanker building program and a contractual cost of $556 million.

The company said it canceled contracts to build four Suezmaxes and two Very Large Crude Carriers (VLCC). Shares of Bermuda-based company climbed $1.06, or 4.7 percent, to $23.88 in morning trading. After the cancellations, the company's total new-tanker building program amounts to about $1.1 billion, including seven VLCCs and four Suezmax tankers.

Bloomberg reported on May 28 that Frontline Ltd., said it was the first publicly traded shipping line to cancel contracts for new oil carriers and predicted a third of all orders will be delayed or canceled.

(Source: Associated Press, Bloomberg)

Maritime Reporter November 2014 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Tanker Trends

Larger Tankers May Offer Better Return Chances

Investors looking for returns in the tanker markets can invest their capital in a variety of ways. Should an owner invest in a VLCC or an Aframax? How about an

Benghazi Port Still Closed, Imports Rerouted

The commercial port in Libya's second city, Benghazi, remains closed due to fighting between pro-government and Islamist forces, forcing wheat imports to make a detour via Tobruk harbour,

EGAS Tenders for as many as 48 LNG Cargoes

Egypt's state-owned gas company EGAS has tendered to buy at least 48 cargoes of liquefied natural gas (LNG) for delivery in 2015/16, three traders said. A senior

 
 
Maritime Careers / Shipboard Positions Maritime Contracts Maritime Security Maritime Standards Navigation Offshore Oil Pipelines Ship Electronics Ship Repair Sonar
rss | archive | history | articles | privacy | terms and conditions | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1593 sec (6 req/sec)