Bahri Inks Contracts with Hyundai to Build 5 VLCCs
By Aiswarya Lakshmi
Monday, May 25, 2015
The National Shipping Co. of Saudi Arabia (Bahri) signed contracts on Thursday with Hyundai Samho Heavy Industries (HSHI) to build five very large crude carriers (VLCCs), with an option for additional five more vessels, the company said in a bourse statement.
The carriers will be delivered in 2017, and the relevant financial impact will materialize after the delivery. The VLCCs are designed in-line with the latest international technical specifications, with a capacity of 300,000 DWT per carrier.
Eng. Ibrahim Abdulrahman Al-Omar, Bahri’s Chief Executive Officer said that this agreement is in line with Bahri’s plans to renew and expand its fleet to meet the requirements of both local and international markets.
According to Bahri, these carriers are designed to the latest international technical specifications and are fitted with environment friendly and fuel efficient engines.
“This ship order will ensure that Bahri remain competitive in the shipping market, support its efforts to expand its customer base and ensure reliable and efficient services,” AL-Omar added.
Bahri is the exclusive provider of VLCC transport services for Saudi Aramco delivered crude oil sales under a long-term contract of affreightment. The Company has recently signed a 10-year agreement with Korea’s S-Oil Corporation. Under this agreement, it will transport crude oil cargoes on VLCCs from the Arabian Gulf and the Red Sea to Ulsan in South Korea.