The Eitzen Group’s Danish-based chemical tanker company Christiania Shipping is expanding its fleet further by taking a Japanese-owned six-year-old stainless steel carrier on long-term bareboat charter.
The Usuki Shipyard-built, 12,600-dwt Sun Gaia (built 2015), which will be renamed Sigaia Theresa, is part of Christiania’s strategy of expanding and renewing the company’s fleet.
The tanker is on bareboat charter from Skokuyu Tanker of Japan in a deal brokered by Maersk Broker.
The expansion comes in the wake of a refinancing of Christiania Shipping in December and a restructuring of the overall structure at Eitzen Group, where Axel Eitzen is chief executive.
The refinancing with Dutch shipping bank NIBC allowed Eitzen to buy out Erik Bartnes and Nicolai Heidenreich, the two partners with whom he had bought the former Herning Shipping in 2018. It left him with a 70% stake in Christiania, alongside institutional investors.
He sees no dramatic changes in the works for that ownership structure.
"All our investors are looking forward to a future with the company," Eitzen told TradeWinds.
In chemical tankers, his plans are to expand slowly.
"This is our second stainless-steel vessel of this specification, and it suits our contracts of affreightment very closely so we can get the most out of our ship," he said.
"Being in the industrial shipping company, it's important to take expansion step by step and not go too fast."
Christiania trades mainly in northern Europe, the Mediterranean, and between Europe and West Africa — and Eitzen is gearing his strategy to his needs there rather than to the spot market.
"The chemical tanker market is still not exactly booming, and we are all still waiting for Covid to retreat," Eitzen said.
But he is keeping his eye on the available tonnage.
"In this segment, there have been a very limited number of ships changing hands," he said.
Eitzen has historically been close to Japanese tonnage providers and expects to remain so.
"We have very good experience doing business with Japan," he said.
But he is looking to expand further both through lease structures and outright purchases, not only in chemical tankers through Christiania but also in his own separate gas and dry bulk ventures.
The new acquisition will be technically managed by Suntech Ship Managemenent in Mumbai and Singapore. Christiania outsources all of its technical management to Suntech and Germany's TB Marine.
Christiania now operates a fleet of 19 tankers, of which 12 are owned. The fleet ranges in size from 3,500 dwt to 12,600 dwt.
