Tuesday, June 9, 2015

New Eco Friendly Product Tankers on Order for Italian Group

LR1 Type Vessels Exceed Forthcoming IMO Construction Guidelines
Shipping News Feature

ITALY – IRELAND – KOREA – VIETNAM – Product tanker specialist d’Amico International Shipping S.A, headquartered in Rome has, through its operating subsidiary d’Amico Tankers Limited, Ireland ordered the construction of two new Long Range (LR1 – 75,000 DWT) modern product tankers from the Hyundai Mipo Dockyard in Korea similar to two vessels already to be purchased as revealed in April. The two ships will actually be built at the Hyundai Vinashin Shipyard in Vietnam and are expected to be delivered in the second half of 2017 and Q1 2018 respectively, for a total consideration of about $44 million each.

The two double‐hull new builds are the latest ECO design vessels capable of affording the highest fuel efficiency and will have an attained Energy Design Index (EEDI) falling well within the IMO phase-in 2 requirements (the construction specifications necessary for oil carriers) due for vessels to be built before 31 December 2024 and being some 25% lower than the current IMO reference line. Marco Fiori, Chief Executive Officer of d’Amico International Shipping S.A. commented:

“I’m glad to announce the exercise of our options to build two further LR1 vessels, in addition to the two units ordered in April. This investment is fully in line with DIS’ strategy to modernise its fleet through newbuildings with eco innovative design and will also strengthen our presence in what I see as a very promising segment (LR1 – 75,000 dwt) within the product tanker market.

“In fact, the trend of our industry is pointing towards an expansion of the tonne/mile demand, following the concentration of the world refining capacity in the US and in the Middle and Far East. In this context, I believe LR1s, with their larger cargo capacity, will be in great demand in the years to come, thanks to their ability to carry larger quantities on the same distances. In fact, we are actually seeing a constantly growing demand from oil-majors and leading market players for these types of ships.”