BW LPG has sold VLGC pair BW Confidence and BW Cedar, expanding its Indian joint venture in the process.
The BW Confidence was sold to an unnamed party, with delivery scheduled for the first quarter of 2021. The sale is expected to generate around $36m in liquidity and a net book gain of around $4m.
Additionally, the 2007-built BW Cedar was sold to BW’s joint venture company BW Global United LPG India. The vessel will joint three other VLGCs, all on time charters contracts to Indian oil companies to supply India with LPG. BW sats it expects the sale to generate a net book gain of around $3m.
Anders Onarheim, CEO of BW LPG, commented: “Committing both vessels for sale is aligned with our strategy to capture growth opportunities. With a strong VLGC freight market, we secured an attractive price for BW Confidence. With BW Cedar, we further strengthen BW LPG’s strong base in India. India is the world’s second largest LPG import market, and our JV is now the largest VLGC operator in India.”
The sales leaves BW LPG with a fleet of 45 VLGCs.
