Belgian tanker owner Euronav has clinched a new sustainability-linked loan to finance four newbuilds entering service this year.
The $190.5m facility is intended for VLCC Clovis, and a trio of suezmaxes the Brugge, Brest and Bristol. The 299,158 dwt Clovis was delivered end-May and 156,851 dwt Brugge joined the fleet In July.
Since 2020, Euronav began converting existing loans into revolving credits targeting emissions reduction over their duration. The targets are effective immediately, with compliance over the first 12 months being rewarded with a reduced interest coupon.
The new loan comes with an interest rate equal to SOFR plus a margin of 184 basis points (bps), while achievement of the ESG key performance indicators could lead to a blended rate of 177 bps.
The loan, coordinated by DNB and ING, will mature over 12 years and brings Euronav’s sustainable financing level at 62%.
