DHT Holdings has sold off a trio of VLCCs, including two which it acquired as part of its fleet deal with BW Group earlier this year.
Speculation in the market is linking Bob Burke's Ridgebury Tankers to the deal, in what would take the US-based owner's VLCC purchasing activity to four in quick succession.
New York-listed DHT says the ships have gone to a single buyer for $66.5m.
In a statement to investors it explains $33.5m from the sale of the 299,000-dwt DHT Utah and DHT Utik (both built 2001) and the 309,000-dwt DHT Eagle (built 2002) will be used to repay bank debt.
The ships are similar to the 298,000-dwt Artois (built 2001), which Ridgebury snapped up from Euronav for $22m.
As TradeWinds has reported, that vessel has been placed into the Tankers International Pool.
Should Ridgebury also be confirmed as the buyer of the DHT ships, the company would double its VLCC presence to eight.
Renewal taking shape
DHT will carry a $3.5m loss on the transaction in its fourth quarter accounts, most of which relates to the DHT Eagle.
The ship was bought from Dr Peters in 2011 for $67m in a deal that included a time charter.
After today’s announcement DHT has sold five VLCCs built between 1999 and 2002 this year.
They followed the sales in in 2016 and 2105 of a VLCC and two suezmaxes built around the turn on the millennium.
Given the clearout, and the 11-ship BW intake, DHT’s VLCC fleet will have an average age of 6.1 years.
The stable includes three VLCCs built in 2004, and six launched since late 2015 by Hyundai Heavy Industries.
“The sale is in accordance with the company's fleet renewal strategy,” a statement said.
“DHT enjoys a strong position with its robust balance sheet, high quality fleet, best-in-class cash break-even levels, competitive cost structure and attractive time charter contracts.”
The sale of the early noughties built tankers comes at a time when VLCCs over 15 years of age are becoming increasingly difficult to trade.
However, Ridgebury does not seem to share that sentiment. Its first four VLCCs were all veterans bought under a closed box deal and are all earmarked for scrap at the end of the investment period.
Market sources suggest Ridgebury is now looking at a replay of that transaction having raised money from investors at a time when crude tanker values are just inching off historic lows.
Hew Crooks, Ridgebury's chief financial officer spoke favorably of the trading prospects of VLCCs over 15-years of age at Marine Money last week, calling them "classic ships".
