Purchase of Newbuilding Contract
Press release from Frontline Ltd. 12.07.2004
Frontline Ltd. is pleased to report that the Company has secured two VLCC newbuildings for delivery in 2006. The newbuildings has been secured through a purchase of two resale contracts for a total price of USD 158,5 million. Initially only 10 % of the contract price will have to be paid in cash.
CEO of Frontline Management Oscar Spieler says in a comment: "The Combination of the price, the payment terms and the delivery position makes this a very attractive investment for Frontline. Frontline will prior to delivery of the vessels consider various options to sell the vessels to a third party and take them back on long term charters. One of the most likely options is to agree a long term sale / charter back with our affiliated party Ship Finance International Limited."
July 12, 2004
Hamilton, Bermuda
Contacts:
Oscar Spieler, +47 23 11 40 00
Tom E. Jebsen, +47 23 11 40 00
