Algoma Tankers Buys Its Youngest Vessel
Algoma Tankers Limited (ATL), an operating unit of Canadian shipping company Algoma Central Corporation, has purchased a 2010-built product tanker.
The 16,512 dwt tanker, to be renamed the Algoterra, will become the eighth ship in Algoma’s Great Lakes-based product tanker fleet, according to the company.
Apart from Algoterra, the company’s tanker fleet comprises seven small clean tankers, built between 1998 and 2008.
“We expect to take ownership of the Algoterra in mid-March in Europe and she will join our fleet in early April. The ship will be the youngest tanker we operate and as our newest ship, she will be the workhorse of the ATL fleet for many years to come,” Gregg Ruhl, President and CEO of Algoma, commented.
We are pleased to announce the purchase of an additional product tanker! The Algoterra is expected to begin operations in April, becoming the eighth vessel in the Algoma Tankers Limited fleet! For more details please go to https://t.co/uAVfdcIEZi#excitingtimesatalgoma pic.twitter.com/MV9sPmZytt
— Algoma Central (@AlgomaCentral) February 21, 2019
The acquisition comes just over three months after the purchase of the 2008-built tanker Ramira. As explained, these investments are part of Algoma’s efforts to meet the growing needs of its customers for marine-based transportation of petroleum products.
“With a long-term contract in place with a strong counterparty, we expect this acquisition to be accretive to earnings upon the ship’s arrival in Canada,” Peter Winkley, Algoma’s Chief Financial Officer, said.
Algoma continues to invest in fleet renewal for its domestic fleet. The company also recently announced the delivery of the Algoma Conveyor, a 740’ self-unloading dry-bulk carrier that is currently en route from China and which will join the 18 vessels of Algoma’s dry-bulk fleet early in the 2019 navigation season.
Algoma operates a fleet of dry and liquid bulk carriers on the Great Lakes - St. Lawrence Waterway, including self-unloading dry-bulk carriers, gearless dry-bulk carriers and product tankers. The company also owns ocean self-unloading dry-bulk vessels operating in international markets and a 50% interest in NovaAlgoma.
