June 17 2004

Indonesian government won't block VLCC sale

The Jakarta Post quotes Indonesia's Minister of State Enterprises Affairs, Laksamana Sukardi, as saying it won't block the sale of two VLCC's by state owned, but cash strapped, Pertamina,

Lawmakers have the authority to scrap the sale because the company is state-owned, says the newspaper, have they would let the government make the final decision.

The two VLCC's were ordered in 2002 by Pertamina's previous management and are scheduled for delivery from Hyundai in July and September this year. Pertamina's price for the pair was $130 million in total.

Earlier this week, it was announced that Frontline was to buy the two 260,000 dwt ships for $184 million total.

Tell a friend: