English

NORDEN purchases 2 product tankers

Report this content 
Attached please find below text as PDF file.


Dampskibsselskabet NORDEN A/S
_______________________________________________________________________________


NASDAQ OMX Copenhagen A/S                                   Announcement no. 12
6, Nikolaj Plads                                                  19 April 2010
1067 Copenhagen K


NORDEN purchases 2 product tankers

NORDEN has agreed to purchase the 2 modern Handysize product tankers F.D. NORD
FAST (built in 2008) and F.D. NORD FARER (built in 2005). Ownership of the
vessels is expected to be taken over in June-July 2010. 

The purchase price of the 2 vessels is approximately USD 52 million. In
addition hereto, NORDEN pays approximately USD 3 million to the current Italian
owner as compensation for NORDEN's cancellation of the charter parties on the 2
vessels which have been on long-term charter by NORDEN since their delivery
from the yard. 

The purchase does not change NORDEN's expectations for 2010, but the investment
in the 2 vessels is expected to yield an attractive return as the tanker rates
henceforth are gradually normalising. 

NORDEN still assesses that the current asset prices in the product tanker
market make it possible to make attractive investments. In addition to the 2
Handysize product tankers, the Company has purchased 3 MR product tankers this
year, and NORDEN is analysing other opportunities to develop the tanker fleet
through purchase of secondhand tonnage, new long-term charters or purchase of
nearly finished newbuildings from yards. 

NORD FAST and NORD FARER will sail under Singapore flag. Both vessels are
40,000 dwt. and have a capacity of 44,500 cbm. After the purchase of the 2
vessels, NORDEN owns 16 MR and Handysize product tankers, and in addition
hereto the tanker fleet currently consists of 16 vessels on long-term charter.
All vessels are operated by the 50% owned Norient Product Pool, which currently
operates 63 vessels. 


                                   Kind regards,
                          Dampskibsselskabet NORDEN A/S

                                 Carsten Mortensen
                                  President & CEO


Contact at tel. +45 3315 0451: Martin Badsted, Senior Vice President, and Hans
Bøving, Head of Corporate Communications. 

_______________________________________________________________________________

                         Dampskibsselskabet NORDEN A/S
                                52, Strandvejen
                               DK-2900 HELLERUP
                               CVR no. 67758919
                               www.ds-norden.com

Subscribe

Documents & Links