- Frontline announced agreement to acquire two ECO-design, scrubber-fitted VLCCs.
- Vessels are scheduled to be delivered during the fourth quarter of 2021.
- The company aims to recover the firm as the oil supply returns to pre pandemic levels.
Frontline Ltd. (NYSE and OSE: FRO) has entered into an agreement to acquire two scrubber fitted VLCCs at Hyundai Heavy Industries (“HHI”) shipyard, says a press release published on their website.
ECO-type VLCCs
Frontline Ltd. (NYSE and OSE: FRO) inks an agreement to acquire two scrubber fitted, latest generation ECO-type VLCCs built in 2019 at Hyundai Heavy Industries (“HHI”) shipyard in South Korea for a total of $180.0 million.
Scheduled delivery
The vessels are scheduled to deliver during the fourth quarter of 2021. Frontline intends to meet the financing of this acquisition with existing borrowing facilities and establish long term financing closer to delivery of the vessels.
Aims a firm recovery after pandemic
Lars H. Barstad, Interim CEO of Frontline Management AS said:
“Frontline continues to execute on our strategy to position the Company towards what we believe will be a firm recovery as oil demand, and subsequently oil supply returns to pre pandemic levels. We have over the last periods seen the benefits of running a modern fuel-efficient fleet. These VLCCs are well-maintained high-quality additions, delivered at what we believe is a favorable timing.”
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Source: Frontline
