John Fredriksen is getting out of single-hull tanker operation. Frontline Ltd. and Ship Finance International Limited have agreed to terminate the long term charter parties for the single- hull VLCCs Titan Orion, Titan Aries and Titan Ocean and Ship Finance has simultaneously sold the vessels to an unrelated third party.
Each charter party will terminate at the time the vessel is delivered to the new owner at which time Ship Finance will make a compensation payment to Frontline for termination of the charter party. Expected compensation amounts and termination dates are $9.4 million and first quarter of 2012 for Titan Orion, $6.5 million and fourth quarter of 2012 for Titan Aries and $10.2 million and third quarter of 2013 for Titan Ocean.
Frontline will have no single-hull vessels in its fleet following these charter party terminations.
September 13, 2011
Frontline sheds last three single-hull tankers
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