Italian shipowner d’Amico International Shipping has signed a construction contract for two 75,000 dwt LR1 product tankers with Yangzi Shipbuilding, a subsidiary of Yangzijiang Shipbuilding Group, marking the official end of the company’s nine-year drought of newbuilding orders. The company’s last order dates back to 2015.
The order was placed by d’Amico Tankers, a subsidiary of d’Amico International Shipping, at a cost of $55.4 million per unit, with a total order value of approximately $110.8 million, and is expected to be delivered in September and November 2027, respectively.
d’Amico International Shipping said that the two latest new product tankers ordered will be the most efficient and environmentally friendly LR1 product tankers in the company’s fleet. The order is fully in line with its strategic objective to build a modern fleet and will further strengthen its position in this segment of the tanker market, bringing it to a fleet size of eight modern vessels. The company also said that although the order book for LR1 product tankers remains relatively low, the trend of shifting world refining capacity away from some of the major consuming regions will continue to expand to the benefit of LR1 product tankers.
Recently, d’Amico International Shipping acquired the 50,000 dwt MR product tanker “Amfitrion” for $43.5 million. Amfitrion was built in 2017 by Ningbo Samsung Heavy Industries. After the acquisition, d’Amico International Shipping’s fleet consists of 34 product tankers (MR, Handysize and LR1), of which 26 are owned, 5 are chartered in and 3 are bareboat chartered. The average age of the fleet’s owned and demise chartered vessels is approximately 8.8 years.
It is understood that the above order is the second LR1 product tanker order that Yangzijiang Shipbuilding Group has publicized this year.In March, Cape Shipping, a Greek bulk carrier and container ship owner, announced that it had signed a letter of intent with Yangzijiang Shipbuilding Group for the construction of two LR1 product tankers, which are expected to be delivered in 2027, with a total value of about $108 million. It was reported at the time that the two sides would soon sign a formal shipbuilding contract.
