Avance Gas Holding Ltd (OSE: AVANCE) announces that agreement has been reached for the sale of the 2003-built VLGC Avance, to an unrelated third party for a price of $35 million.

Avance Gas Announces Sale of Vessel
Caption: LPG tanker Avance - Image courtesy of Jacinto Cinto

A 10% deposit payment has been received, while delivery and balance payment is expected in primo September 2020.

After debt repayment, the sale will generate approx. $17 million in net cash proceeds, with an expected book profit of approx. $6 million to be recorded in the third quarter.

The sale follows the company’s fleet renewal strategy, reducing average age and fuel efficiency of the fleet, initiated with the contracting of two 91,000 cbm LPG dual fuel newbuilding’s to be delivered in 2021/2022.

Source: Avance Gas