Italian product tanker specialist D’Amico International Shipping (DIS) is to extend its activities into the long-range product tanker market with a USD 88 million order for two 75,000 dwt vessels from Hyundai MIPO’s Vinashin Shipyard in Vietnam.
The Milan-listed company placed the order for the two USD44 million LR1 vessels through its operating subsidiary d’Amico Tankers Limited – Ireland. Delivery of the two vessels is expected in mid-2017.
D’Amico chief executive Marco Fiori explained that the company’s decision to go into the long range product tanker market was influenced by a number of factors, including the concentration of refining capacity in the US, Middle East and Far East which he said was creating increasing demand for tonne-miles.
“In this context, I believe LR1s, with their larger cargo capacity, will be in great demand in the years to come, thanks to their ability to carry larger quantities on the same distances.
“In fact, we are actually seeing a constantly growing demand from oil majors and leading market players for these types of ships.”
The DIS fleet currently comprises 52.8 double hull product tankers in the medium range and Handy size category, of which 23.3 are owned and 29.5 are chartered in. The new order takes its order book to 10 vessels, all to be built by Vinashin Shipyard.