Ardmore: Order boom in MR product tankers is over

No more overwhelming orders for MR ships, says Anthony Gurnee, CEO of Ardmore, in an interview with ShippingWatch, while he also downplays the concern that equity funds are set to destroy the otherwise harmonious market conditions.

Photo: Ardmore

It has become far too expensive to place orders for MR ships, says Anthony Gurnee, CEO of Irish product and chemical tanker carrier Ardmore, which has in the last five years been highly active at shipyards in Korea and Japan, and the carrier still has ten newbuildings set for delivery during 2014 and 2015.

But expectations for a lucrative business based on a growing export out of the US, as the country’s shale production gets up and running, have in recent years made an increasing number of players shift their sights to the product tanker segment – Scorpio Tankers, Navig8 and Hafnia Tankers, just to name a few. The same thing goes for private equity and hedge funds, as they are increasingly investing in shipping. This March US-based private equity fund Blackstone bought shares in Ardmore amounting to six percent, just as the fund entered Hafnia Tankers last fall.

Already a subscriber? Log in.

Read the whole article

Get access for 14 days for free.
No credit card is needed, and you will not be automatically signed up for a paid subscription after the free trial.

  • Access all locked articles
  • Receive our daily newsletters
  • Access our app
An error has occured. Please try again later.

Get full access for you and your coworkers.

Start a free company trial today

More from ShippingWatch

Stolt-Nielsen reports best quarterly profit in years

Norwegian Stolt-Nielsen, which has acquired shares in competitor Odfjell, benefitted from higher volumes and spot rates in the chemical tanker market and predicts further improvement in the market. The company is, however, not quite ready for ordering newbuilds.

Skuld opens new office in Tokyo

Skuld is to open a Japanese branch located in Tokyo. To lead the division, Skuld recruits former deputy general manager from Japan P&I Club.

Further reading

Related articles

Latest news

See all jobs