Norway’s Stolt-Nielsen is hoping to run some of its older chemical tankers into a fourth decade.
Chief executive Udo Lange told an earnings call he is proud of the results achieved by his team in terms of maintenance and extending vessels’ useful lives.
“And I would say the Stolt Tankers ship management team is probably leading in the world,” he said.
“Over all the years, we have never cut short on maintenance and our ships are in outstanding condition.
“And we are even in conversation and we have recently gotten some ships approved for life extension over 30 years.”
Lange said the group looks at tankers more in terms of how well they are maintained, not their age.
“Because you can cut short on maintenance and maybe your ship is already in a bad condition,” he added.
Stolt-Nielsen has, however, been looking to the future with orders for 12 tankers in China: six 38,000-dwt stainless-steel vessels for NYK Stolt Tankers, its joint venture with Japan’s NYK, at Nantong Xiangyu Shipbuilding; and six more of the same size for its own account at Wuhu Shipyard.
The vessels are due from 2026 to 2029.
Scrapping will come into play
“Of course, once we feel that ships are not in a good condition any more, we will scrap them,” Lange said.
“And that’s the reason why we really invested in our 12 newbuilds. Because we know over the coming years, there will come the point in time where we will have to scrap some ships.”
He described the newbuildings as replacements rather than additions to the fleet.
“But overall, I am very confident that we will be able to continue to extend some ships on their life thanks to the excellent condition.”
