Inc. has agreed to acquire a liquefied petroleum gas
(LPG) vessel from a subsidiary of Vitol SA, a major international oil and gas trading
company. The vessel, Keswick, is built in 2003 and has a capacity of 11,000 cbm. The vessel is expected to be delivered at the end of June 2008.
Simultaneously with the purchase, she will be time-chartered back to Vitol SA
for a minimum period of three years. The Company expects to finance the acquisition with a combination of bank debt and internal cash resources. The company will not be paying any of the purchase price until 2008.
The company also announced that its associate, MUNIA Mobiliengesellschaft mBH & Co. KG
("MUNIA"), has agreed to sell its container vessel, Maersk Belawan
to a third party for a gross consideration of $13.15m. The proceeds will be used to prepay the loan balance on the vessel and pay the costs and duties incurred in connection with the sale. Remaining net proceeds are expected to be distributed to the shareholders of MUNIA, including the Company, which will receive $1 million plus 40% of any amount in excess of $4.9 million. The delivery of the Maersk Belawan vessel to the buyers is expected before the end of February 2008.