The National Shipping Company of Saudi Arabia (Bahri) said that it has concluded the first phase of the process of merging the Vela fleet and operations with Bahri.
Namely, Matar Star the first of the VLCC vessels in the Vela fleet, was transferred to Bahri’s ownership on Monday 21 July 2014 and her name was changed to Nisalah.
“This marks a milestone in the transaction to merge the Vela fleet and operations with Bahri as it signifies the effective date of the long-term contract of affreightment, whereby Bahri becomes the exclusive carrier of all Aramco VLCC sized Crude Oil cargos sold on a Delivered Basis, ” Bahri said in a release.
Bahri added that the remaining Vela vessels shall be transferred to Bahri on a staggered basis according to an agreed upon vessel delivery schedule with Vela and was expected to be completed before the end of 2014.
The financial impact of the move is expected to materialize during the third quarter of 2014.
[mappress] Press Release, July 22nd 2014