Torm pounces for GSI product tanker resale quartet

Torm has pounced on four resale MR tankers due for delivery from Guangzhou Shipyard International (GSI) in 2019. The agreement also extends to four options which could deliver in the same year.

“I am pleased that Torm’s long-term relationship with Guangzhou Shipyard International has enabled us to purchase four MR resale vessels at very favourable prices… Given the market outlook, we see this as an attractive way to grow and renew our fleet at a cyclical good point in time,” said the Danish line’s executive director Jacob Meldgaard.

Torm already has 20 GSI vessels in the current fleet, including four LR2 vessels under construction.

Torm has received firm commitment from Danish Ship Finance to finance the vessels with 65% of the purchase price. The tranche will run for seven years from the time of delivery.

“I see it as a demonstration of TORM’s strategic and financial flexibility that we are able to obtain attractive funding from an existing lender, Danish Ship Finance, in such a short time span,” commented CFO Christian Søgaard-Christensen.

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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