Odfjell buys back five and charters in four

Norwegian chemical tanker operator Odfjell has exercised the option to buy back five vessels on lease and chartered in four currently under construction.

The Bergen-based shipowner did not say which ships will add back to its owned fleet. The current fleet list shows 19 ships leased (one of which pictured) and 27 owned. The vessels are expected to be refinanced by the end of the year to further reduce the company’s leverage and the break-even rate.

The charter deals involve four new 25,000 dwt stainless steel vessels. This leads to a total of eight such newbuildings that will enter Odfjell’s fleet between 2022 and 2025.

The Oslo-listed company took delivery of the first of eight newbuilds in September and the second is set to deliver in November. Two further vessels are expected within the first half of 2023, and the last four will be delivered in 2024-2025.

Odfjell group has a fleet of 70 ships, as well as a tank terminal division consisting of five tank terminals, and is part of a network of another 10 tank terminals partly owned by related parties. The group bounced back into the black in the third quarter of 2022 reporting a profit of $50.2m against a $25.3m loss same time last year.

Adis Ajdin

Adis is an experienced news reporter with a background in finance, media and education. He has written across the spectrum of offshore energy and ocean industries for many years and is a member of International Federation of Journalists. Previously he had written for Navingo media group titles including Offshore Energy, Subsea World News and Marine Energy.
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