At least four LR1 product tankers have changed hands in recent deals that showed prices remain stubbornly soft in the sector.

Little-known Singapore-based Fusion Trade has taken its first step into big-league tanker ownership with the purchase of a ship owned by Golden Energy Marine, while Athens-headquartered Benetech Shipping has emerged as the buyer of MOL’s oldest product tanker at the end of last year.

TradeWinds also reported online this week that Germany's Mercator Navigation is believed to have parted with two LR1s for $28m enbloc, with brokers noting that the deal represented a dip from prior levels.

Several European brokers this week report that Fusion Trade has purchased the 70,200-dwt Energy Century (built 2003) for $9.3m.

The Hyundai-built, epoxy-coated tanker is noted as having passed its special survey and dry-docking in May 2017 and has most recently been trading in the dirty markets.

Delivery appears to have been extremely prompt, as the IHS International Ships Register has already recorded the change of ownership and indicates the ship has been renamed Fusion Energy.

Fusion Trade is listed as owning three tankers. Apart from the Fusion Energy, its fleet comprises two small product tankers of 6,500 dwt and 12,000 dwt.

The company is something of a mystery. Databases list it as sharing the address of Yuantai Fuel Trading, a Singapore-based bunker and gasoil trading company that also operates a number of small tankers of 10,000 dwt or less.

A senior Yuantai executive denied that the company was involved with the Fusion Energy. No explanation was given why Fusion Trade had the same address.

Several tanker sources in Singapore said they were unaware of Fusion Trade and its activities.

The Energy Century was the oldest ship in Victor Restis-controlled Golden Energy fleet, which is left with 12 product tankers built between 2004 and 2008.

Benetech Shipping has bought the 74,000-dwt Advance Victoria (built 2006) from Japan's MOL, Greek shipbrokers say.

TradeWinds reported on 28 December that the Minami Nippon-built vessel changed hands for about $13.5m. However, the buyer had not been revealed.

Managers at Benetech did not respond to a request for comment by TradeWinds' deadline. However, a move by the Greek company makes sense in light of a purchase early last year. The George and Vasilios Michael-led outfit acquired a sistership to the Advance Victoria, the 75,000-dwt Fortune Victoria (renamed Georgia M, built 2007). This deal had marked Benetech's first expansion in the LR1 segment.

The price difference between the two deals reveals how tanker values have declined. The Fortune Victoria sold for $17m last April.

If the purchase is confirmed, the Advance Victoria would push Benetech’s fleet past the 10-ship mark for the first time since the company was founded in 2005. This includes a small tanker owned by Polys Haji-Ioannou company World Tankers Management, as well as two ships operated by Norient Product Pools and the Glenda pool.

Shipbrokers say Mercator Navigation has sold the 73,600-dwt King Duncan (built 2008) and King Darius (built 2007) to a Greek shipowner.

A price of $28m enbloc is being suggested for the New Century-built vessels.

Some point to the sale of three Hellespont Shipping vessels, the 74,800-dwt Hellespont Protector, Hellespont Promise (both built 2007) and Hellespont Pride (built 2006), is the most recent guide to the strength of the market. They were reportedly sold for $42m enbloc last summer.

Officials at Mercator Navigation declined to comment when contacted by TradeWinds.