Performance Shipping Inc. Signs Shipbuilding Contracts For The Construction Of 2 Newbuilding LNG-Ready Scrubber Fitted Tier III LR2 Tankers Expected To Be Delivered In January And April Of 2026, At A Purchase Price Of $64,845,000 Per Vessel
Portfolio Pulse from Benzinga Newsdesk
Performance Shipping Inc. (NASDAQ:PSHG) has signed contracts for the construction of two new LNG-ready, scrubber-fitted Tier III LR2 tankers, with deliveries scheduled for January and April of 2026. The vessels, costing $64,845,000 each, will be built by CSTC and SWS in China. This move is part of the company's fleet expansion and renewal strategy, following the sale of two older tankers in 2022 and 2023. The new tankers will feature advanced engines and emission control systems, positioning the company to benefit from expected low tanker fleet growth and high seaborne trade demand.
December 20, 2023 | 2:29 pm
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Performance Shipping Inc. is investing in two new LNG-ready LR2 tankers as part of its fleet renewal strategy, with a total investment of $129,690,000. The company aims to capitalize on a modern fleet during expected periods of high demand and low global fleet growth.
The investment in new, technologically advanced tankers is likely to be viewed positively by investors as it aligns with the company's strategy to maintain a modern fleet. This positions PSHG well for future market conditions that favor newer, more efficient vessels. The significant capital commitment and the long-term nature of the investment suggest a strong belief in the future profitability of these assets. However, the actual impact on the stock price will depend on market conditions, the company's financial performance, and investor sentiment.
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