Shipbuilder ES Group has entered into chartering and vessel sale agreements worth S$29.4m ($23.2m) with bunker trader Sea Hub Tankers, Seatrade Asia online reports.
Singapore-listed ES will amend an existing three-year bareboat charter of a bunker tanker Sea Tanker I with Sea Hub to a five-year demise charter contract beginning in the second half of 2012.
Sea Tanker I is then expected to be sold to Singapore-based Sea Hub after the expiry of the charter period.
ES will also sell a second bunker tanker Sea Tanker II to Sea Hub when construction is slated for completion in August this year.
“We are delighted to extend our business partnership with Sea Hub Tankers. Their decision to revise the charter for Sea Tanker I and to acquire Sea Tanker II underscores their confidence in the quality and reliability of our group's EPC services and vessel construction competence,” said Christopher Low, ceo of ES.
The construction of the two double-hull 3,400 dwt bunker tankers is carried out at ES's 50% owned subsidiary's shipyard in Thailand. Both bunker tankers will be used to transport heavy marine fuel oil.
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