John Fredriksen said he is always eyeing potential additions to his tanker fleet after the Norwegian tycoon's Frontline spent $566.8m to buy six VLCC newbuildings.
TradeWinds reported on Tuesday that New York and Oslo-listed Frontline, which has Fredriksen as its chairman and largest shareholder, agreed to buy the tankers under construction at Hyundai Heavy Industries.
They are believed to have been ordered by Greek shipowner Evangelos Pistiolis' Central Shipping. The ships are to be delivered from Hyundai Heavy Industries in 2022 and 2023.
After the deal, Fredriksen stressed that the company's VLCC fleet is the most modern of any shipowner in the segment, but he said he is always on the look out for more purchases.
"We have discussions over this every day," he said. "We are not running after more ships. This will depend on the market."
The move comes as Frontline is rebuilding its VLCC fleet after selling off a number of elderly vessels in the recent years. Today, the Oslo-headquartered company only has 15 VLCCs in its fleet.
Fredriksen said he is satisfied with the design of the newbuildings purchased in the latest deal.
But the billionaire regretted that it took so long to finalise a deal, which meant that the price rose in the process. He explained that it took time to settle on what type of engines the tankers should have.
The tankers will have exhaust gas scrubber systems installed and anti-fouling systems.
Prices are increasing sharply both in the LNG carrier and boxships segments as steel prices are going through the roof, Fredriksen noted.
For the VLCCs, the $94.3m per ship appears attractive for Pistiolis, who ordered the series for around $90m each.
