Tanker Firm Buys Secondhand Tanker for Eco-Conversion

by Ship & Bunker News Team
Tuesday October 29, 2013

Chemical tanker owner and operator Ardmore Shipping Corp. [NYSE:ACS] (Ardmore) will convert a newly acquired secondhand tanker to improve its fuel efficiency, the company said Monday in an emailed press release.

The Irish company bought the 45,726 deadweight tonne (dwt) MR product tanker for $20.5 million.

"We are very pleased with the acquisition of this 2006-built sister to the Ardmore Seafarer, a proven performer in our fleet with excellent fuel efficiency," said Chief Executive Anthony Gurnee.

"This latest addition to our fleet represents the ongoing execution of our expansion strategy as articulated during the initial public offering of ASC: a high-quality, modern, fuel-efficient Japanese built MR tanker suitable for conversion to Eco-Mod."

After receiving the ship this December and converting it to Eco-Mod, the company plans to employ it either on the spot market or on a one-year time charter.

The new vessel will bring Ardmore's fleet to nine vessels in operation and 12 on order.

The secondhand vessel represents a significantly lower investment for the tonnage than newbuilds, the company said.

The company has said it paid $32.7 million each for two new eco-design 37,000 dwt chemical tankers and about $118 million total for four 25,000 dwt eco-design product and chemical tankers.

Ship & Bunker News Team
To contact the editor responsible for this story email us at editor@shipandbunker.com