Frontline terminates charter of SFI suezmax to be sold

Frontline has terminated its long-term timecharter of the suezmax tanker Front Splendour (149,700 dwt, built 1995), which owner Ship Finance International (SFI) is to sell to an unnamed third party.

SFI said net cash proceeds from the sale will be approximately $13m, after Frontline has received $1.3m in compensation for the early termination of the charter.

The vessel is expected to be delivered to its new owner in the fourth quarter this year. The Japan-built ship has its special survey due by November 5.

“Divesting of older vessels is a part of the company’s strategy to renew and diversify the fleet, and the proceeds are expected to be reinvested in new assets,” SFI said in an exchange filing today.

In early August, SFI sold its Japan-built suezmax Front Glory (149,800 dwt, built 1995) to India’s Doehle Danautic for $16m.

Frontline now has 15 SFI vessels on timecharter, comprising 12 VLCCs and three suezmax tankers.

Holly Birkett

Holly is Splash's Online Editor and correspondent for the UK and Mediterranean. She has been a maritime journalist since 2010, and has written for and edited several trade publications. She is currently studying for membership of the Institute of Chartered Shipbrokers. In 2013, Holly won the Seahorse Club's Social Media Journalist of the Year award. She is currently based in London.
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