Teekay Tankers Order Four Tankships from Korean Yard

Press Release
Monday, April 08, 2013
Image credit Teekay Tankers

Teekay Tankers orders 4 LR2 product tankships from STX Offshore & Shipbuilding with options for 12 more.

The agreement is for STX of South Korea to construct four  fuel-efficient 113,000 dwt Long Range 2 (LR2) product tanker newbuildings for a fully built-up cost of approximately $47-million each.

The agreement also includes fixed-price options for up to 12 additional LR2 newbuildings that can be declared over the next 18 months. Upon delivery, it is expected that the vessels will operate in Teekay Corporation's Taurus Tankers LR2 Pool, which is one of the world's largest LR2 pools with approximately 20 LR2 product tankers.

The agreement with STX includes a favorable installment payment schedule, with the majority of the purchase price due upon delivery. The Company intends to finance the installment payments with its existing liquidity, which was approximately $327 million as of December 31, 2012. The Company expects to secure long-term debt financing for the four vessels prior to their scheduled deliveries in late-2015 and early-2016.

"The shift in global refining capacity east of the Suez Canal, development of new long-haul product tanker trading patterns, including the potential for increased U.S. exports, and a relatively modest orderbook, make the LR2 segment a particularly attractive growth area for Teekay Tankers," commented Bruce Chan, Teekay Tankers' Chief Executive Officer. "With their fuel-efficient design, which is estimated to result in 20 to 30 percent fuel savings compared to current vessels in the existing LR2 fleet, we believe these newbuildings will be very attractive to our customers. Furthermore, we believe the vessel deliveries are well-timed to benefit from expected improvements in refined product and global crude oil tanker market fundamentals."

Teekay Tankers currently owns a fleet of 27 double-hull vessels, including 11 Aframax tankers, 10 Suezmax tankers, 3 Long Range 2  product tankers, three Medium-Range product tankers, and has time-chartered in two Aframax tankers.

Maritime Reporter February 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Shipbuilding

First LNG-powered EcoLiner Launched

Europe’s greenest inland vessel debuts Damen group innovations   Damen Shipyards Group launched the first LNG-powered Damen EcoLiner inland shipping tanker

Zamakona to Deliver Tuna Freezer Vessel

Zamakona Yards to deliver tuna freezer vessel Jai Alai to the Echebastar Group   This Saturday, March 7, Zamakona Shipyards in Santurce will deliver its construction number 737,

CTruk OWSV Enhanced with Volvo IPS

Since the launch of its first-of-class CTruk MPC22 late last year, the East Anglia-based workboat designer and builder informs it has incorporated performance feedback

Tanker Trends

First LNG-powered EcoLiner Launched

Europe’s greenest inland vessel debuts Damen group innovations   Damen Shipyards Group launched the first LNG-powered Damen EcoLiner inland shipping tanker

Stronger Panamaxes Boost Baltic Sea Freight Index

The Baltic Exchange's main sea freight index, which tracks rates for ships carrying dry bulk commodities, made minor gains on Thursday on higher rates for the panamax and smaller vessel segments.

Tank Coating for Navig8 Chemical Carrier Newbuilds

Shipowner Navig8 is progressing application of Interline9001, an advanced cargo tank coating from AkzoNobel’s International marine coating product range, on a series

 
 
Maritime Security Maritime Standards Naval Architecture Navigation Offshore Oil Pipelines Pod Propulsion Salvage Ship Electronics 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: 0.1834 sec (5 req/sec)