Navig8 Chemical Adds Two Eco Tankers to Growing Orderbook

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March 28, 2014

Navig8 Chemical Tankers on Friday announced that it has signed shipbuilding contracts for the construction of two 25,000 dwt eco-design Stainless Steel Chemical Tankers to be built at Fukuoka Shipbuilding, further expanding the company’s growing newbuild orderbook.

“We are experiencing robust growth for chemical tanker demand, in particular for long haul cargoes. We anticipate an acceleration of demand growth from 2015 onwards, initially from the Middle East producers, which are expected to add 5 million tonnes of new ethylene capacity between 2014 and 2016. Thereafter, the biggest change will come from the US from 2016 onwards, on the back of the US shale gas revolution, which is set to reshape the landscape for liquid chemical production and transportation”

“This order fits very well with our newbuilding strategy. Larger Eco long haul chemical tonnage from a first class yard.”

The order expands Navig8’s current orderbook to eight 25,000-dwt stainless-steel chemical tankers at Japan’s Kitanihon Shipbuilding and Fukuoka Shipbuilding for delivery in 2016 and 2017, and 18 ships of 37,000 dwt on order at South Korea’s Hyundai Mipo Dockyard (HMD) for delivery next year.

Navig8 is a venture sponsored by Navig8 Group and Howard Marks’s Oaktree Capital Management L.P.

SEE ALSO: Navig8 Tankers Continues Massive Fleet Expansion Amid Somewhat Dodgy Conditions 

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