Scorpio Charters-In Handymax Trio

Scorpio Tankers Inc. (NYSE: STNG) announced agreements to time charter-in three ice class 1A Handymax product tankers.

The Company has entered into time charter-in agreements with an unrelated third party on three ice class 1A Handymax product tankers. Each agreement is for three years at $15,600 per day, and the Company has two consecutive one year options to extend the agreements at $16,500 per day and $17,500 per day, respectively.

The time charters are expected to commence before the end of March 2016. In addition, the Company has the option to time charter-in up to four additional ice class 1A Handymax product tankers under the same terms.

The Company has contracted for 12 newbuilding product tankers (eight MR and four LR2 tankers). The four LR2s are expected to be delivered in 2016 (one per quarter), and the eight MRs are expected to be delivered throughout 2017. The Company has also reached an agreement to sell five of its 2014 built MR product tankers.