Expensive VLCC sold for FPSO conversion

VLCCs suitable for conversion into FPSOs (Floating Production Storage and Offloading) are hard to find at commercially viable prices. A lot of the current conversions are made from 1970s built VLCCs, which normally could be had at between USD 10 and USD 15 million. This week the FPSO specialist Modec had to pay USD 39.5 million for the 21-year old, 258,000 DWT Shoju. At present below 5 per cent of the VLCC fleet was built before 1985 and another 13,5 per cent between 1986 and 1990.