d’Amico International Shipping S.A. (Borsa Italiana: DIS) (DIS), an international marine transportation company operating in the product tanker market, announces that Eco Tankers Limited (“Eco Tankers”), a joint venture company with Venice Shipping and Logistics S.p.A., in which d’Amico International Shipping S.A. (“DIS”) holds a 33% participation, signed a memorandum of agreement for the sale of the MT High Sun, a 49,990 dwt MR product tanker vessel (the “Vessel”), built in 2014 by Hyundai MIPO, South Korea (Vinashin), for a consideration of US$ 28.7 million.

d’Amico International Shipping announces the sale of MT High Sun
Caption: Chemical/Oil Products Tanker High Sun - Image courtesy of Marcel Coster

This transaction will result in a profit on disposal and allows Eco Tankers to generate around US$ 12.8 million in cash, net of commissions and the reimbursement of the Vessel’s existing loan.

As of today, DIS’ fleet comprises 49.5 double-hulled product tankers (MR, Handysize and LR1, of which 23 owned, 17.5 chartered-in and 9 bareboat chartered-in. DIS has also 1 vessel in commercial management) with an average age of about 6.1 years for its owned and bareboat vessels. Currently, d’Amico Tankers has also a shipbuilding contract with Hyundai Mipo Dockyard Co. Ltd., for the construction of 1 LR1 (Long Range) product tanker expected to be delivered in 2019.

Paolo d’Amico, Chairman and Chief Executive Officer of d’Amico International Shipping, stated: “I am pleased to announce the conclusion of this deal, which will further improve DIS’ liquidity position. In fact, the sale of MT High Sun will generate a profit on disposal and a very positive net cash effect, of approximately US$ 12.8 million, for Eco Tankers, our joint venture company with Venice Shipping and Logistics. The sale price confirms the market’s improving fundamentals, with prices and time-charter rates for eco MR vessels on an upward trend over the last eighteen months”

Source: d’Amico