On July 22, Orietal Energy Co., Ltd. (Orietal Energy) released the Announcement on the Sale of Keegan No. 1, Keegan No.2 vessels.
The announcement disclosed that Orietal Energy agreed to enter into an agreement with Alpha 13 Limited and Alpha 14 Limited for the sale of Keegan No. 1 vessel, Keegan No.2 Vessel under the name of its sub-subsidiary company for no less than the appraised value.
According to the appraisal report issued by Jiangsu Huaxin Asset Appraisal the appraisal base date is May 31, 2024, the net book value of the two LPG carriers is $117,388,500 and the appraisal value is $178,655,400, with an increase in value of $61,266,900, representing an appreciation rate of 52.19%. Both parties have agreed to enter into a transaction at no less than the appraised value after friendly negotiations.
“KEEGAN NO.1” and “KEEGAN NO.2” hold Singapore citizenship certificates and were built by Jiangnan Shipbuilding and delivered on October 19, 2020 and December 10, 2020, respectively. “KEEGAN NO.1″ was classed by Lloyd’s Register (LR) on October 19, 2020, with certificate valid until October 18, 2025.” KEEGAN NO.2″ was classed by Lloyd’s Register (LR) on December 10, 2020, and the certificate is valid until December 9, 2025.
According to the announcement, the disposal of the 2 LPG carriers is a decision made by Orietal Energy in consideration of maximizing the efficiency of its assets in view of the persistently high international ship prices.
According to the announcement, the disposal of the 2 LPG carriers is a decision made by Orietal Energy in consideration of maximizing the efficiency of its assets in view of the persistently high international ship prices. After the disposal, the number of Orietal Energy’s own vessels and vessels under long-term contracts will still be able to meet the requirements of production and operation (the “Madam Xian” and “Maoming Pan” were delivered in 2023), and there will not be any adverse impact.
As previously reported, both “Madam Xian” and “Maoming Pan” are 93,000 m³ very large liquefied petroleum gas (LPG) carriers. Classed by DNV, the LPG carriers have an overall length of 230 meters, a beam of 36.6 meters, a speed of 16.5 knots, and excellent and balanced performance under full load, ballast, and different specific gravity of liquid cargo loading conditions.
These two LPG carriers have strong competitive advantages, including the first application of self-developed rudder ball energy-saving device technology, which makes the rapidity reach the international leading level; the first time to realize the full localization of low-temperature steel, which significantly compresses the procurement cycle; and the fuel endurance of 23,000 nautical miles, which meets the latest emission requirements of the International Maritime Organization (IMO).
