Indian firm puts its five-strong aframax fleet up for sale

Indian firm puts its five-strong aframax fleet up for sale

India’s Chambal Fertilisers & Chemicals is selling its shipping division, putting five aframax tankers up for sale.

The company said in a release it requires fund to set up new ammonia-urea project in Rajasthan and the decision was taken to offload its fleet based on “the long-term shipping business outlook”. The decision to jettison its shipping division will require shareholder approval.

In 2004, Chambal acquired India Steamship, one of India’s oldest shipping companies.

Aframaxes are likely to be edged out by larger tanker types going forward, commented UK analysts Maritime Strategies International (MSI) in a tanker outlook carried on this site earlier this week. “Aframaxes are likely to see fewer benefits from strong Middle East output than their larger counterparts and production in established loading regions such as Latin America and the North Sea is vulnerable to low crude prices and competition from larger sizes and long-haul trades,” MSI noted.

 

Sam Chambers

Starting out with the Informa Group in 2000 in Hong Kong, Sam Chambers became editor of Maritime Asia magazine as well as East Asia Editor for the world’s oldest newspaper, Lloyd’s List. In 2005 he pursued a freelance career and wrote for a variety of titles including taking on the role of Asia Editor at Seatrade magazine and China correspondent for Supply Chain Asia. His work has also appeared in The Economist, The New York Times, The Sunday Times and The International Herald Tribune.

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