Tanker owner Scorpio Tankers has inked deals to time charter-in three ice class 1A Handymax product tankers with an undisclosed third party.
Each agreement is for three years at USD 15,600 per day, and the company has two consecutive one year options to extend the agreements at USD 16,500 per day and USD 17,500 per day, respectively. The time charters are expected to commence before the end of March 2016.
In addition, Scorpio has the option to time charter-in up to four additional ice class 1A Handymax product tankers under the same terms.
Scorpio Tankers has seen its net income skyrocket from USD 0.5 million recorded in the fourth quarter of 2014, to USD 34.2 million in the same quarter of 2015.
For the year ended December 31, 2015, Scorpio Tankers’ net income was at USD 217.7 million, compared to USD 52.1 million seen a year earlier.
Scorpio Tankers currently owns 79 product tankers with an average age of 1.4 years and time or bareboat charters-in 11 product tankers. 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, and the eight MRs are expected to be delivered throughout 2017.
Just a few days back, the company sold five of its 2014-built Medium Range tankers to the National Shipping Company of Saudi Arabia (Bahri) for a price tag of USD 166.5 million.