Sincere Navigation has sold its 2011-built VLCC Maxim to Sinokor, marking a significant transaction in the VLCC market. This sale leaves Sincere Navigation with only one VLCC, the 2017-built Elbhoff.
Recent VLCC Market Activity
The tanker sale and purchase (S&P) activity has been relatively quiet recently, largely due to industry players attending the Posidonia event. However, brokers in the Far East have remained active, facilitating significant deals such as this one. Sinokor, known for its active participation in the VLCC market, is behind this latest acquisition.
Details of the Transaction
The VLCC Maxim, built by Jiangnan Shanghai Changxing Heavy Industry, is the second VLCC sold by Sincere Navigation this year. The previous sale involved the sister vessel, Kondor, which was sold to Sinokor in March for $78 million and renamed Madagascar Prosperity. Although the sale price for Maxim has not been disclosed, it reflects Sinokor's strategic expansion in the VLCC sector.
Implications for Sincere Navigation
With the sale of Maxim, Sincere Navigation is left with one VLCC, the Elbhoff, which was ordered in 2015 for approximately $95 million. In the current market, this vessel could potentially fetch $110 million, indicating a favorable market condition for VLCCs.
Watch List
- Market Dynamics: Continued monitoring of VLCC market activity, especially Sinokor's future acquisitions.
- Pricing Trends: Potential changes in VLCC pricing due to market demand and supply shifts.
- Industry Events: Impact of industry gatherings like Posidonia on market activity.
| Vessel Name | Year Built | Seller | Buyer | Sale Price | New Name |
|---|---|---|---|---|---|
| Maxim | 2011 | Sincere Navigation | Sinokor | Not Disclosed | - |
| Kondor | 2012 | Sincere Navigation | Sinokor | $78 million | Madagascar Prosperity |
This transaction underscores Sinokor's strategic positioning in the VLCC market and Sincere Navigation's shift in fleet composition.
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