New York-listed International Seaways is moving toward sales of a handful of tankers, most in the handysize sector.
However, chief executive Lois Zabrocky told TradeWinds on Tuesday that reports it has sold five vessels are premature. International Seaways acquired the vessels in its 2021 all-stock merger with Diamond S Shipping.
“We have considered the handy tanker sector to be non-core for Seaways from the time of the merger, and will look to divest as we get strong price inquiry due both to ship age (2006) and it being non-core,” Zabrocky said in an email.
“That having been said, we have not yet divested (delivered) these ships and we therefore won’t comment on the rumours.”
Long subjects
Shipbrokers have reported that three of the company’s handysize tankers — the 37,700-dwt Seaways Cape Horn, Seaways Ambrose and Seaways Chania (all built 2006) — are going to Germany’s Chemikalien Seetransport, although the sale was described as provisional and “on very long subjects”.
The sale price was reported in a range from $9.9m to $10.5m per vessel.
Brokers reported that International Seaways sold a sister vessel — the Seaways Canaveral — to Turkey’s Trans KA Tanker Management for $9.9m, with the vessel to be renamed Can KA.
TradeWinds understands that the Akbasoglu Holding company also is the buyer of sister vessel Seaways Bodie, which was renamed Haci Kemal KA. Brokers had reported in mid-November that International Seaways sold the tanker for $7.6m without a buyer being identified.
The four are the only handysize vessels in the 86-strong International Seaways fleet, which includes 41 MR and handysize tankers.
Brokers said that a fifth International Seaways vessel — the 51,500-dwt MR tanker High Saturn (built 2006) — has gone to unidentified Greek buyers for $14.2m.
Neither Chemikalien Seetransport nor Trans KA Tanker Management responded to requests for comment before TradeWinds went to press.
The reported sales are said to be in line with a revival of rates in the MR segment, fuelling interest in such tonnage while at the same time affording International Seaways an attractive exit position.
As TradeWinds has reported, charter rates for MRs have hit their highest point in two years on the back of a strong spot market, with average earnings for eco ships at $47,400 per day, according to Clarksons Platou Securities.
The surge is bolstered by increasing tonne-miles as Europe chases cargoes from distant sources in place of short-haul Russian diesel exports.
Zabrocky discussed the volatile Ukraine-heated market at International Seaways’ last earnings call in March, saying there were both pros and cons to further tonnage disposals.
“We’re having constant conversations around looking at the fleet, and when you start to tip into a market that has the type of volatility that we’re seeing right now, these turn into real cash earners in the fleet,” she said.
“So we will very carefully ... we still continue to look at pruning vessels, but now the scales may tip the other way when you’re really making a lot of cash on these ships.”
