New Suezmax Tankship Sold, Bareboat Chartered Back

Belgium's Euronav sells Samsung newbuild 'Cap Isabella' 157,648 dwt to new owners then charters the vessel back long-term.

Cap Isabella was sold for US$ 54,000,000, with delivery from Korea's SHI to the new owners due shortly.

The vessel will be taken back under a bareboat charter for a fixed period of 2 years at current market rates and with 3 options to extend the charter by a further year. In the event of a sale of the vessel by the new owner during the currency of the bareboat charter, the company will also share in the profit if the vessel value exceeds a certain threshold.

Euronav point out that as this transaction was signed before the announcement of the 2012 final figures and is the result of negotiations with various parties which started in the financial year 2012, the company will record the capital loss of USD -32 million still in 2012, in accordance with IFRS rules.

More importantly, however, this transaction enables Euronav to eliminate its only remaining capital expenditure whilst using very limited cash to
take delivery of the vessel.

Euronav is one of the world's leading independent tankercompanies engaged in the ocean transportation and storage of crude oil and petroleum products. The company is headquartered in Antwerp, Belgium, and has offices throughout Europe and Asia.