Abu Dhabi-based Al Seer Marine has ordered a quartet of product tankers at K Shipbuilding in South Korea.
K Shipbuilding, which until 2021 was known as STX, will deliver the four IMO II/III-type tankers to the fast-expanding shipowner before the end of the fourth quarter of 2024.
Al Seer has valued the contract for the four ships at AED 643m ($175m). They will be built at K Shipbuilding’s Jinhae Shipyard.
In a joint statement released by both companies on Tuesday, K Shipbuilding chief executive YK Jang said that demand for tankers has been on the rise since April this year.
“The economists point to the need to build new ships to meet the pending environmental regulations forecasting that shipbuilding orders will rebound in 2024, and today’s Al Seer Marine order confirms the market demand,” he said.
The tankers will be LNG ready and are being designed to be potentially ready to adapt to new fuels such as ammonia and methanol as part of what the company said was part of its plans to transport the transition fuels like methanol, which will help industry reach net zero.
“Al Seer Marine is very serious about becoming global market leader across different marine sectors. Our team is pushing hard, this is yet another endorsement of our global expansion strategy. We are working together with our partners to fulfil the need for modern and efficient tonnage in the markets we serve.” said Guy Neivens, Chief Executive Officer of Al Seer Marine.
Al Seer, a subsidiary of UAE-based investment powerhouse International Holding Company (IHC), made a big jump into the hydrocarbons shipping sector in May when it bought two VLCCs and two VLGCs off Russia’s Sovcomflot.
It added a third VLCC, the Vitol-linked Elandra Everest (built 2020) in late October.
In September Al Seer partnered with Singapore-based bulker operator Netbulk which commercially manages six supramax to capsize bulk carriers.
The company started as a shipbuilder specialising in small craft, an activity it is still involved in today, and is also involved in shipbuilding and yacht management.
