Frontline Ltd. (NYSE and OSE: FRO) (Frontline) on Monday (Jun28) announces that it has entered into an agreement to acquire two scrubber fitted, latest generation ECO-type VLCCs built in 2019 at Hyundai Heavy Industries (HHI) shipyard in South Korea for a total of $180.0 million.
The vessels are scheduled to deliver during fourth quarter of 2021. Frontline intends to meet the financing of this acquisition with existing borrowing facilities and establish long-term financing closer to delivery of the vessels.
Lars H. Barstad, Interim CEO of Frontline Management AS said:
“Frontline continues to execute on our strategy to position the Company towards what we believe will be a firm recovery as oil demand, and subsequently oil supply returns to pre pandemic levels. We have over the last periods seen the benefits of running a modern fuel-efficient fleet. These VLCCs are well-maintained high-quality additions, delivered at what we believe is a favorable timing.”
Source: Frontline