John Fredriksen’s Frontline has revealed via its latest quarterly results that the tanker firm has picked up two VLCC resales for what it claims are “historically low prices”. Frontline did not reveal who they bought the pair of Daewoo Shipbuilding & Marine Engineering tankers from, but did state they are costing $77.5m each and will deliver in the third quarter of this year.
Robert Hvide Macleod, ceo of Frontline Management, commented in the quarterly results: “We remain of the opinion that 2017 will see pressure on freight rates as further newbuildings are delivered.”
Macleod also took aim once again at takeover target DHT Holdings which has repeatedly rebuffed offers from the Fredriksen firm this year.
“As DHT’s largest shareholder we are surprised that DHT’s Board has declined our repeated attempts to discuss a business combination that we believe is clearly in the best interest of all shareholders,” Macleod said.