Al Seer Marine Expands Fleet With Delivery Of Two Advanced MR Tankers To Meet Global Demand

Al Seer Marine has recently received M.T. Saiph and her sister ship from K Shipbuilding Korea. These vessels are the second pair in a series of six new MR tankers. Each ship is equipped with an Exhaust Gas Cleaning System (EGCS) and designed to use alternative fuels like LNG, ammonia, and methanol. These features ensure adaptability to future environmental regulations and meet the growing demand for clean petroleum products and chemical transportation.

The financing for these vessels was secured through BOCOM Financial Leasing Co., Ltd., a subsidiary of China's Bank of Communications. The total funding amounts to US$80 million, with US$40 million allocated per vessel. This agreement strengthens Al Seer Marine's relationship with BOCOM Leasing, which began in August 2024 with the financing of MR Tankers Betelgeuse and Bellatrix, bringing BOCOM's total commitment to US$160 million.

Guy Neivens, CEO at Al Seer Marine, stated, "At Al Seer Marine, we continue to invest strategically in product and chemical tankers, which represents one of the most promising sectors in the maritime industry. The expansion of our partnership with BOCOM Leasing, our first international financing partner, validates our growth trajectory and market potential. This aligns with our vision to become a global leader in meeting the surging demand for refined petroleum products and chemicals trade, a position increasingly recognised by financial markets and key investors."

Each tanker has a deadweight of 49,757 MT and is classified as IMO II/III oil and chemical tankers. They are engineered to carry six fully segregated grades of cargo efficiently across global routes. Their design ensures versatile navigation capabilities and unrestricted access to major ports worldwide.

Both vessels have secured five-year time charters with Reliance Industries (Middle East) DMCC. Each charter is valued at $42 million per vessel. These ships join their sister vessels Betelgeuse and Bellatrix under this arrangement. With these charters, Al Seer Marine enhances its commercial revenues significantly.

The delivery of these two modern tankers leaves just two more vessels from the six MR tankers ordered from K Shipbuilding. The completion of these remaining ships is anticipated by January 2025. This will further boost Al Seer Marine's commercial operations.

In the first half of 2024, Al Seer Marine reported strong performance with total assets reaching AED7.5 billion ($2.04 billion). Revenues climbed to AED580 million ($158 million). The expanded fleet solidifies its role as a key player in the UAE's maritime sector.

Al Seer Marine's strategic investments exceed AED1.45 billion ($395.1 million) in Abu Dhabi Ports and ADNOC Logistics and Services. These investments complement its growing fleet and reinforce its position as a significant partner in the region's maritime industry.

With inputs from WAM