MISC's unit AET Inc has a fleet of 83 vessels. The file photo shows one of MISC's petroleum tankers.
KUALA LUMPUR: MISC Bhd
’s petroleum tanker unit AET Inc Ltd has awarded contracts worth US$500mil (RM2.1bil) to two competing South Korean shipbuilders - Samsung Heavy Industries Co Ltd (SHI) and Hyundai Heavy Industries Co Ltd (HHI) - for the construction of eight vessels.
In a filing with Bursa Malaysia, the energy shipping giant said SHI was to deliver four new 113,000 deadweight tonnes (dwt) Aframax vessels to AET Inc in 2018.
Meanwhile, HHI is to deliver of two new 114,000 dwt LR2 product vessels and two new 158,000 dwt Suezmax vessels to AET Inc in 2017.
“The Aframax and Suezmax contracts are entered into as part of AET’s on-going fleet renewal plans, whereas the two LR2 product vessels are tied to long-term time charters which AET has been awarded with a strategic oil major client,” MISC said.
The Petroliam Nasional Bhd subsidiary said the payment would be funded by AET Inc’s internally generated funds and external borrowings.
Singapore-headquartered AET Inc, a company registered under the laws of Bermuda, is one of the world's largest petroleum tanker owner-operators, operating a fleet of 83 vessels.
In April, responding to market speculation which led to its shares hitting a seven-year high, MISC denied that it was divesting AET, noting that petroleum shipping was a core element of its current and ongoing business. AET has assets estimated to be worth over RM3bil.
On the latest shipbuilding contracts, MISC told the exchange that they did not have any effect on the issued and paid-up share capital and substantial shareholders’ shareholding in MISC. They are also not expected to have any material impact on MISC’s earnings per share, gearing and net assets per share for the financial year ending Dec 31, 2015.
MISC shares closed unchanged on Wednesday, with 4.59 million shares changing hands.
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