Bahri Unveils 10-Year Extension With South Korea's S-Oil, Enhancing Global Energy Transport

In a notable development for global shipping and logistics, Bahri, a leader in the field based in the Kingdom, has announced the extension of its agreement with South Korea's refiner, S-Oil Corporation.

This extension, lasting a decade, will see Bahri continue to ship crude oil using its Very Large Crude Carriers (VLCCs) from the Arabian Gulf and the Red Sea to Onsan in South Korea. This arrangement underscores Bahri's significant role in facilitating energy transport on a global scale.

The extended contract underscores a pivotal moment, marking two decades of collaboration between Bahri and S-Oil. It highlights a shared dedication to excellence in operations, reliability, and a commitment to fostering long-term partnerships within the energy transportation sector.

"This renewal reaffirms the mutual trust and long-standing partnership between Bahri and S-Oil. Over the past two decades, we have worked together to strengthen energy connectivity between Saudi Arabia and South Korea. This agreement will further enhance our fleet utilization, expand employment routes across key trade corridors, and continue delivering world-class shipping solutions that support the global energy supply chain," Eng. Ahmed Ali Al-Subaey, CEO of Bahri, commented on the renewal's significance.

Anwar A. Al-Hejazi, CEO of S-Oil, stated, "We are pleased to extend our partnership with Bahri, a company that has consistently demonstrated reliability, efficiency, and commitment to service excellence. This renewed agreement ensures continued access to Bahri's state-of-the-art VLCC fleet, reinforcing our supply chain resilience and supporting our strategic growth plans for the next decade."

This renewal not only plays a critical role in strengthening the bond between Bahri and S-Oil but also has a significant impact on Bahri's operations, potentially utilising up to 10% of its oil fleet capacity. The arrangement is structured to provide Bahri with strategic advantages, including predictable revenue streams and protection against the cyclical downturns often seen in the global shipping markets.

With one of the largest VLCC fleets in the world, totaling 50 vessels, Bahri is well-positioned to continue offering high-quality, efficient, and sustainable shipping solutions. This partnership is in line with Bahri's strategic goals and Saudi Vision 2030, aiming to foster long-term strategic alliances and ensure the company remains at the forefront of global energy transportation.