Frontline Ltd. has entered into an agreement with Euronav to acquire the two Suezmax tankers M/T Ardenne and M/T Brabant . The two ships of 153.000 dwt are built in 1997 and 1998 and are sister vessels of existing vessels in the Frontline fleet. The two vessels are together priced at approximately USD 95 million and will be taken over when their current charter to Total Fina ends in September this year.
The two ships bring Frontlines fleet of Suezmaxes up to 28 modern vessels, and increase the Alliance fleet, including newbuildings, to 42 vessels.
Frontlines Chairman, John Fredriksen, says in a comment to the transaction: The take-out of Euronav from the Suezmax market is another step forward in the consolidation process. The additions of two modern double hull Suezmaxes should make it possible for us to improve the service to our customers, as well as further optimise the economy of scale and the trading flexibility of our fleet.
It is of special importance for Frontline to find ways to grow our company in todays strong freight market without adding new orders to the orderbook. With the positive outlook for the tanker market the Board is confident that the acquisition of the two ships will be a good investment for our shareholders.