Western Petroleum News

Tsakos Energy Navigation Ltd. (TEN) announced the delivery of the 1A ice-class 116,000dwt Aframax product tanker Propontis and the 1A ice-class 36,660dwt Handysize product tanker Arion from South Korea's Hyundai Heavy Industries and Hyundai Mipo Dockyard, respectively. Upon delivery, the Propontis, one of the largest product tankers in the world and the last of the three Aframax newbuildings acquired from Western Petroleum to be delivered, entered a two- year time charter with Neste Oil of Finland, one of Europe's prime independent oil companies with significant ice-class trading requirements. The time charter incorporates a minimum rate which should gross TEN revenues in excess of $21 million over the corresponding charter period, with a 50:50 profit split if rates exceed that minimum.

Artemis. acquired from Western Petroleum S.A. earlier this year. Aframax product tankers, all with 1A ice-class designations. LR Aframaxes are expected to be delivered during May and June of this year. tanker Proteas, and the TEN built 1A 36,660dwt product tanker Antares. end of May of this year.

Navigation Ltd. and Hyundai Mipo Dockyard, respectively. voyage carrying naptha. entity for a minimum rate that exceeds the vessel's all-in breakeven rate. specified level above the minimum. $16 million in gross revenue.

TEN, the New York quoted Greek tanker company controlled by the Tsakos family, confirmed it has bought for nine ice class 1A tankers from Western Petroleum for $530 million. The fleet consists of six 53,000-dwt medium range chemical/products carriers delivered by Hyundai Mipo Dockyard last year and three 116,000-dwt coated aframax products carriers for delivery from Hyundai Heavy Industries in May August and October this year. The acquisitions would be financed with a mixture of corporate cash and bank debt. The handymax tankers which all fly the Bahamas flag are the Western Baltic, Western Pacific, Western Atlantic, Western Antarctic, Western Arctic and Western Icelandic. The six vessels are due for delivery to TEN in April.

Tsakos Energy Navigation Limited (TEN) announced the completion of delivery of three LR Aframax newbuilding contracts and six 2005-built MR handymax tankers all with 1A ice-class designations and capable of carrying petroleum products. The first vessel, the Artemis, was delivered on April 11, 2006 while the remaining eight vessels and contracts were delivered in the course of the following four weeks. Of the six MR tankers delivered four will operate in extended time-charters while two will enter the spot market.

Samsung will build four ice-class 70,000-ton tankers for Russia’s oil major Lukoil to help it export crude from the Arctic to Western markets, according to a report on MosNews.com. The ships will reportedly will be built by 2008, though the company has yet decided who will operate the ships. The firm has reportedly shortlisted three companies including Russian shippersSovComflot, Murmansk Shipping Company and Swiss-registered trader Western Petroleum.