TORM Adds Three MRs to Its Orderbook

Image Courtesy: TORM

Danish shipping company TORM has exercised options for the construction of three MR newbuildings at Guangzhou Shipyard International (GSI).

TORM will pay a total of USD 93 million for the vessel trio which is scheduled for delivery in 2019 through first quarter of 2020.

In connection with the acquisition, TORM has secured commitment for vessel financing of up to USD 63 million from KfW and ABN AMRO respectively, which remains subject to loan documentation.

“We are pleased to expand the fleet with the addition of three MR newbuildings. The vessels are attractively priced when comparing to the current market, and we believe that now is an attractive time to secure new fuel-efficient tonnage that is compliant with the ballast water convention and ready for the IMO 2020 sulfur requirements,” Jacob Meldgaard, Executive Director at TORM, commented.

“The vessels are already fully funded by our USD 100m equity raise in January 2018 and through loan commitments from KfW and ABN AMRO,” he added.

Since 2017, TORM has bought a total of nine MR vessels and two LR1 vessels for a total consideration of USD 352 million. The vessels are all fuel-efficient and high-specification product tankers that are compliant with the ballast water convention and ready for the IMO 2020 sulfur requirements, according to the company.

As of today, TORM has CAPEX commitments of USD 335 million covering the remaining CAPEX on TORM’s two LR2 vessels with expected delivery in 2018, two LR1 vessels and seven MR vessels with expected delivery in 2019 and first quarter of 2020.

Currently, TORM operates a fleet of around 80 tankers.

Share this article

Follow World Maritime News

In Depth>

Events>

<< Jun 2019 >>
MTWTFSS
27 28 29 30 31 1 2
3 4 5 6 7 8 9
10 11 12 13 14 15 16
17 18 19 20 21 22 23
24 25 26 27 28 29 30

World Gas Series: Morocco Summit

Bringing together key players in the gas value chain in Morocco, the World Gas Series:

read more >

Electric & Hybrid Marine World Expo Conference 2019

Electric & Hybrid Marine World Expo Conference is the world’s only international conference…

read more >

GreenTech in Shipping USA Forum 2019

GreenTech in Shipping USA Forum is an event for Maritime leaders who want to unlock successful business formula of the industry!

read more >

Shipping Transformation Asia

Shipping Transformation Asia will provide a platform for future-focused discussion in the shipping,…

read more >