Greek tanker operator Estoril Navigation has broken a five-year hiatus on the sal-and-purchase front by adding to its fleet a former Xihe Holdings LR2 aframax tanker that went under the hammer at the end of June.

The Alex Karidopoulos-led company confirmed to TradeWinds that it took delivery of the 108,900-dwt Ocean Pegasus (built 2009) in Singapore on 15 July, at which time the vessel was renamed Blue Intergrity.

Like most private Greek shipping companies, Estoril describes itself as a ship manager. It said in an email that it participated in the Ocean Pegasus auction on behalf of client Blue Integrity Navigation Co, a Liberian-registered single-vessel entity.

Market reports have indicated that the ship was sold for $17.7m, which brokers said was in line with the last done Xihe aframax sale that saw the 108,900-dwt Ocean Taipan (built 2008) sold to Stamford Shipping for $17m in May.

Estoril said the newest addition to its fleet would remain in Singapore for approximately two weeks while it underwent maintenance work and class surveys, although it cautioned that the city-state’s prevailing Covid-19 protocols could impact the exact time frame.

When the Blue Integrity returns to active service, Estoril will control a fleet of five aframax tankers.

The last time the company added tankers to its fleet was in December 2015 in the form of two former Teekay Offshore Partners aframaxes.

However, the company indicated to TradeWinds that more tankers could be added in the near future as “the interest of the clients for new ventures still exists”.

Counter-cyclical moves

The move by Estoril to expand during a market down-cycle reflects growing interest by Greek operators to make counter-cyclical S&P moves.

Market observers have previously said buyers are betting on an expected post-pandemic rate recovery as seen in bulkers and containerships, firm steel prices and a strong appetite for aged ships from players in more marginal or risky trades.

In early July, the Tsangaris family made its first visible shipping move in years, setting up new company Westport Tankers to pick up the 106,100-dwt LR2 tanker Makronissos (built 2002) from Eletson Corp.

At the same time, Nicholas Notias’ SteelShips outfit made its first foray into tankers by acquiring a pair of 50,000-dwt product carriers under construction at STX Offshore & Shipbuilding.

Others such as Onassis company Olympic Shipping and Management have taken advantage of the disconnect between tanker freight rates and secondhand prices by selling off older tankers at surprisingly robust prices.