Shanghai-listed Tianjin Tianhai Investment (TIC), formerly known as Tianjin Marine Shipping (TMSC), has revised its very large crude carrier (VLCC) ordering plan to four with another four optional VLCCs.
TIC had contracted China National Technical Import and Export Corporation (CNTIC) to arrange the tendering work for the new orders, a stock filing of TIC said on 10 September.
In 2014, TIC raised a total of CNY12 billion (USD1.9 billion) in a private placement to fund its newbuilding project. TIC had held back tapping the funds since 2014 because of wider fluctuations in the crude oil shipping market, which prompted TIC to suspend its newbuilding project. The company had planned to order its first four VLCCs at an aggregate cost of USD400 million.
In 2013, then-TMSC planned to order 10 VLCCs and four LNG carriers by raising funds through a private placement. The company estimated that the VLCCs would cost USD90 million each, with the LNG carriers valued at USD200 million each.