Petredec Global, one of the world’s biggest owners of large gas carriers, has sold one of its oldest VLGCs as it takes up debt to finance a new generation of vessels.
Speaking to the local press, sources at Greece’s Naftomar Shipping & Trading confirmed having acquired Petredec’s 84,100-cbm Saltram (built 2015).
Several brokers had earlier reported a deal between the two companies at $73.5m, with the vessel due for delivery in the first quarter of 2024.
The transaction comes as VLGC spot rates continue to set astonishing records on Indian deals and US exports driving the market.
The Baltic Exchange assessment for Thursday showed trips from the Middle East Gulf to Asia at $171,800 per day, up 127% month on month.
Despite its relatively young age, the Saltram is one of the oldest vessels in the Petredec fleet of 27 VLGCs.
That is because the fleet has an average age of about 4.5 years, compared with an industry average that is about twice as high.
Its fleet age dropped significantly when the company took delivery this year of six 93,000-cbm newbuildings with dual-fuel LPG propulsion from Shanghai Jiangnan Changxing Shipbuilding.
To finance these ships, Petredec secured a $315m loan from a syndicate of international banks in April. In September, it announced the refinancing of three of these vessels with a $122m loan that was its first such transaction in Asia.
Late last year, Petredec sold another LPG carrier of Saltram’s age, the 84,000-cbm Sea Bird (renamed Navigare Generosa, built 2015), to Denmark’s Navigare Capital Partners. The ship, however, is still trading with Petredec, which promptly chartered it back.
Petredec is active in smaller gas carriers as well. Last November, it formed a new subsidiary, Fortitude Shipping, to take over its 11 handysize LPG carriers.
Rare buy in wider expansion mode
Naftomar, the buyer of the Saltram, is one of Greece’s oldest LPG players.
Originally based in Lebanon, the Zein family that controls Naftomar moved the company to Athens more than 30 years ago.
Naftomar’s last known VLGC purchase was five years ago. Its acquisition of the Saltram seems to confirm the company’s expansionist attitude.
Greek newspaper Naftemporiki has cited Naftomar’s head of trading, Talal Zein, as saying that the company is involved in several LPG carrier expansion projects, including potential newbuilding orders for VLGCs and smaller gas carriers.
This month, London brokers reported that the company has chartered in Manta Denizcilik’s 38,500-cbm gas carrier Manta Salacak (built 2007) for one year at $800,000 per month.
TradeWinds reported in December 2022 about Naftomar returning to product tankers after three decades, with the purchase of the 37,800-dwt MR1s Single and Silent (both built 2007). They are currently trading as Starlight I and Starlight II, respectively.
Adding to its tanker exposure, Naftomar emerged in May as the new owner of a third such ship, the 50,900-dwt Falcon Iris (renamed Skylight, built 2008) that was previously trading with Greece’s Falcon Navigation.
At about the same time, Naftomar doubled its money on the sale of its oldest LPG carrier, the 79,500-cbm Gaz Liberty (renamed Gaz GMS, built 1997), to Middle Eastern interests.
