TEN Sells Two Tankers
Tuesday, September 12, 2006
Tsakos Energy Navigation Limited (TEN) announced the sale of the 1988 and 1987 double side/single bottom 41,161dwt handysize tankers Libra and Crux. The vessels were delivered to their new owners on the 7th and 8th of September 2006 respectively. A capital gain of $12.5m will be recorded in the third quarter of 2006 and $30 million of cash flow is
expected to be released for further investments.
Concurrently with the above sales, TEN placed four newbuilding orders:
Two orders were placed with Sumitomo Heavy Industries, Japan for the
construction of 105,00dwt Aframax-DNA crude carriers and two at Sungdong
Shipbuilding & Marine Engineering in South Korea for the construction of
73,000dwt panamax product tankers. The DNA designed Aframaxes, sister
vessels to the four the Company is currently building at the same yard, are
expected to be delivered in the third and fourth quarter of 2009 with the
panamax product tankers in the second half of 2007. The total consideration
for both newbuilding projects is about $228 million, which the Company
expects to finance with bank debt and cash.