Taiwanese owner Sincere Navigation’s product tanker order at South Korean yard STX Offshore & Shipbuilding has fallen through after the shipyard failed to secure refund guarantees.
Sincere Navigation announced the signing of a letter of intent with STX Offshore at the end of June for the construction of a 49,700 dwt product tanker priced at $35.294m.
Sincere Navigation has been informed by STX Offshore that the shipyard’s application for refund guarantees was rejected by Korean Development Bank and the company is now looking to choose another shipyard for the order.
The order will mark Sincere Navigation’s entry into the product tanker sector. It currently operates a fleet of 14 bulk carriers and three VLCCs.