Kuwait Oil Tanker Co. plans to build four very large crude carriers (VLCCS) averaging about 280,000 dwt to take advantage of the improving market for crude transportation and better long term prospects for freight rates.
KOTC Chairman Abdel Fatah al Badr said the company also plans to acquire additional product tankers and gas and chemical tankers.
Last year KOTC acquired two secondhand 333,750 dwt tankers from A.P. Moller of Denmark for $30 million each.
Al Badr believes there will be a scarcity of VLCCs because world shipyards will be unable to fully replace the existing fleet as new vessels are needed. He forecast a demand for 20 new tankers/year during the next 15 years and estimated current yard capacity at 8-10 vessels/year.
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