Prime Tankers signs LOI for two LR1 newbuildings

Prime Tankers has confirmed to Splash it has signed a letter of intent (LOI) for two LR1 tanker newbuildings at China’s New Times Shipbuilding, but stressed that no binding contract has been signed.

The LOI includes options for four further LR1s, Prime said today.

Delivery of the first two vessels is scheduled from the first half of 2017 to the second half of 2018.

Brokers say the two LR1s have each been priced at over $35m, with the optional vessels priced at up to $41m each, but Prime could not confirm the specific figures with Splash.

Prime Tankers’ fleet currently consists of 25 LR1 tankers and an LR2. Two of these vessels, including the LR2, are aged 15 years or over.

The Greek company bought four LR1 newbuildings from Navig8 Product Tankers for $53.5m each, which are set for delivery from STX in South Korea later this year.

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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