By an OGJ correspondent
KARACHI, Oct. 7 -- Pakistan National Shipping Corp. (PNSC) is seeking foreign investors to finance the acquisition of second-hand, modern Aframax-class tankers to upgrade and expand its fleet.
PNSC has invited expressions of interests from reputable, well-established ship financers having extensive international experience in ship financing services.
In October 2006 the corporation finalized a $135 million financing deal with ABN-Amro Bank, enabling PNSC to acquire three vessels valued at a total of $135 million—two Aframax oil tankers and one Panamax bulk carrier. New tankers were very costly and financial constraints forced the corporation to opt for second-hand vessels at the time.
The government granted an income tax exemption to PNSC on the financing arrangement for the purchases.
With the help of the two, 20-year-old oil tankers, PNSC has enhanced Pakistan's importation of crude oil and other liquid cargo, handling the share of the country's imports.
The national flag carrier planned to replace its older oil tankers because its first oil tanker would be retired in 2007 under International Maritime Organization (IMO) restrictions, while another three tankers will fall under IMO restriction in 2010.
During past 3 years, the corporation has paid $21.9 million total for three oil tankers: MT Shalamar, MT Swat, and MT Johar, while it purchased MT Lalazar for $13.5 million.