Torm Orders Four Tankers in $200 mln Deal

Danish shipping company Torm has signed an order for four fuel-efficient LR2 (long-range) product tanker vessels from Guangzhou Shipyard International in China for $200 million.

The shipyard is expected to deliver the vessels between the fourth quarter of 2017 and the second quarter of 2018. The agreement includes the option to buy up to six more vessels within the LR2, LR1 or MR (medium-range) segment with delivery in 2018 and 2019.

"Given the market outlook, we see this as an attractive way to grow and renew our LR2 fleet at a favourable price", says CEO Jacob Meldgaard in the statement.

LR2 tankers are the largest tankers after VLCCs -- very large crude carriers. LR1 and MR tankers are sizes below that.

Reporting by Ole Mikkelsen