Aberdeen-based shuttle tanker and floating production, storage and offloading vessel owner Altera Infrastructure has sold one of its oldest tankers for demolition.
Scrap brokers say the 100,000-dwt Navion Oslo (built 2001) has gone for green recycling to Turkey, where it is set to fetch a substantially lower price than on the Indian sub-continent, which today is paying more than $500 per ldt for tankers.
Some demolition brokers say a Turkey deal is likely to go for $275 per ldt, others say less than $100 per ldt.
Altera Infrastructure did not respond to a request for comment. The company has one other vintage shuttle tanker in its fleet — the 126,000-dwt Navion Anglia (built 1999).
The company was at the centre of a probe by the Norwegian authorities and police last year over the sale of the shuttle tankers Navion Britannia for scrapping at Alang in India.
"Having reviewed relevant materials together with our advisors, the group continue to believe we acted in accordance with the relevant rules and regulations and denies the alleged violations," the company said in its fourth-quarter results.
"The group are continuing to cooperate with authorities in respect of this matter."
The 126,000-dwt Navion Oceania (built 1999) and 108,000-dwt Stena Natalita (built 2001), which are owned on a 50:50 basis with the Stena Group of Sweden, have both been sold for further trading this year.
Altera Infrastructure was taken over last year by Brookfield Business Partners, which changed the company's name from Teekay Offshore. It is now headed by Ingvild Saether.
While Teekay Offshore sold several shuttle tankers for demolition in India, in May 2019 it offloaded the 126,000-dwt Stena Sirita to Turkey for $260 per ldt.
Early last year, Teekay Offshore sold the 126,000-dwt Navion Hispania (built 1999) to Turkey for $270 per ldt.
Altera Infrastructure is a leading shuttle tanker owner and reported net profit of $5.9m in the first quarter of this year compared to a $259m loss in the same period of 2020.
DNB Markets and Citi Investment Bank have been chosen to find partners for its Altera Shuttle Tankers subsidiary.
