Bermudian-based SFL Corporation Ltd, one of the world's largest ship-owning companies, has agreed to acquire three new LR2 product tankers for an aggregate purchase price of approximately $230 million in combination with long term time charters to a world-leading energy and commodities company.

The company said the vessels are currently under construction in China, with the latest eco-design features.

The sellers are affiliates of the company’s largest shareholder, Hemen Holding Ltd, and the purchase price is in line with valuations by independent ship brokers, SFL said.

The company expects to take delivery of the vessels between the second and fourth quarter of this year, and the charter period will be minimum five years plus up to three years of extension options.

This adds close to $200 million to SFL’s fixed-rate backlog, excluding the optional years.

The charterer will have options to purchase the vessels after year five and eight, subject to a profit share mechanism with SFL.

Ole B Hjertaker, CEO of SFL Management AS, said: “We are pleased to do another milestone transaction in the tanker market at what we believe is an attractive stage of the market cycle.

“These product tankers are the most desired vessels for carrying clean petroleum products over long sea distances between the largest refineries and consumer centres of the world and will be in high demand to meet the future energy needs of the world.

“We are also very proud to add another leading energy and commodity powerhouse to our list of high-quality clients.”

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DHT Holdings Inc, the Bermudian-based crude oil tanker company, has ordered four very large crude carriers for delivery in 2026.

The company said two will be constructed at each of Hyundai Samho Heavy Industries and Hanwha Ocean – formerly known as Daewoo Shipbuilding & Marine Engineering – in South Korea.

The average price for the four ships is $128.5 million.

The contracts include options for an additional four vessels that can be delivered during the first half of 2027.

The company said the vessels have been ordered to high specifications with new Super Eco-designs and premium earning power through improved fuel economics, reduced emissions and large carrying capacity of about 320,000 metric tons.

President and CEO Svein Moxnes Harfjeld said: “We have secured very early and competitive delivery slots to build the most efficient ships and of the highest quality the market has to offer.

“We expect our clients to welcome these timely fleet additions through DHT’s continued safe, efficient and reliable transportation of crude oil.”

The company said it plans to finance the project with cash-flows from operations, available liquidity, and new mortgage debt.

It added that these investments are expected to be accretive to the company’s earnings and it will maintain its dividend policy of paying out 100 per cent of ordinary net income to shareholders through quarterly cash dividends.

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Avance Gas Holding Ltd, the Bermudian-based company engaged in the transportation of liquefied petroleum gas, has agreed a new one-year variable time charter for the dual fuel very large gas carrier Avance Polaris with an energy major.

Øystein Kalleklev, CEO of Avance Gas, said: "Under this time charter which has a variable hire linked to the spot market rates, we are obtaining economic benefits from the fact that the ship has considerably lower average freight costs than a traditional VLGC.

“This is due to the fact that the vessel has approximately 10 per cent higher cargo intake, 10-15 per cent lower fuel consumption and is equipped to burn LPG which is considerably cheaper in most cases than compliant fuel, and also better in terms of carbon emissions, which is now also financially rewarded if you call at EU ports, due to the Emission Trading System."