Scorpio Tankers increases loan for vessel finance, confirms product tanker sale

Scorpio Tankers has increased the size of its credit facility with ING Bank from $52m to $87m, which will be primarily used to finance its vessel acquisitions. The facility was first announced in March.

The NYSE-listed company plans to use the funds partly to finance the purchase of two LR2 product tankers currently under construction at Daehan Shipbuilding. Delivery of the two tankers is scheduled in the first and second quarters of 2016.

The loan will also be partly used to finance Scorpio’s purchase of STI Black Hawk (52,000 dwt, built 2015) from York Maritime Holdings, as well as to refinance the existing debt on an MR product tanker delivered in March.

Separately, Scorpio Tankers has today confirmed the details of its sale of the MR chemical/product tanker STI Highlander (37,100 dwt, built 2007), which it said was sold for around $19.35m.

Brokers reported the sale on Tuesday, citing a slightly higher price, with the buyer noted as Denmark’s Norden.

Following the sale, Scorpio’s tanker fleet will consist purely of fuel-efficient ‘eco’-ships built in 2012 or later.