Singapore's Volare Shipping Signs to Acquire a $210 Million VLCC

en.Wedoany.com Reported - On November 11, Singapore-based Volare Shipping entered into an acquisition agreement with an affiliate of Trafigura Maritime Logistics to acquire a newly built Very Large Crude Carrier (VLCC) equipped with an exhaust gas scrubber system for $210 million. The vessel, M.T. VENI VIDI VICI, is currently undergoing sea trials at the Hengli Shipyard in China and is scheduled for delivery on November 20. Upon completion of the transaction, Volare Shipping's actively operated VLCC fleet will increase from 6 to 7 vessels. The acquisition is intended to be funded through a combination of existing cash and long-term lease financing.

The acquired vessel features an energy-efficient design and is equipped with a marine exhaust gas scrubber system. The system treats exhaust gases from the main engine and auxiliary engines through a scrubbing unit to reduce sulfur oxide concentrations. Under Annex VI of the International Maritime Organization (IMO) MARPOL Convention, the global sulfur content limit for marine fuel in general waters has been 0.50% since 2020; an exhaust gas scrubber system approved by the flag state may serve as an equivalent technical solution for compliance with sulfur emission requirements, enabling vessels to use the applicable fuel while meeting emission standards.

Volare additionally has 8 VLCC newbuilding orders scheduled for delivery between 2027 and 2028. These vessels have a designed deadweight tonnage of 319,000 tonnes each, feature an ammonia fuel-ready dual-fuel design, and are equipped with special LR6 cargo tank coatings and heating coils, enabling them to handle both crude oil and clean petroleum product transportation. The cargo tank coatings are intended to accommodate the loading requirements of different cargoes, while the heating system can meet the transportation needs of certain oil products that require temperature control or maintained flowability.

The VLCC is a large vessel type in the ocean-going crude oil transportation system, primarily undertaking large-volume crude oil shipments from the Middle East, Africa, and other oil-producing regions to consumption markets such as Asia and Europe. Its large-scale design increases per-voyage carrying capacity, but at the same time imposes higher requirements on port draft conditions, channel depth, cargo oil loading and unloading facilities, and vessel operational management. Through the acquisition of newbuildings nearing delivery, Volare supplements its active fleet capacity, adding operating vessels without having to wait for a complete newbuilding cycle.