COSL Selling Its Tanker Business to CNOOC-Controlled Northsea Shipping

China Oilfield Services Limited (COSL) has received clearance from its board of directors to sell two tankers and its related tanker business to Northsea Shipping for RMB 84.8 million (USD 12.2 million).

CNOOC, COSL’s parent, is the controlling shareholder of Northsea Shipping with 50.53 pct stake in the company.

The transaction includes sale of two small tankers, Binhai 607 and Binhai 608, and the related crude oil transportation business of the two 5,000-ton vessels, including time charter tanker services provided by COSL in the Bohai Bay and neighboring areas.

The two ships have been in COSL’s ownership since 1999.

However, due to the company’s failure to meet the requirements of China’s Ministry of Transport for inter-provincial crude oil transportation for 35,000-ton vessel capacity, COSL will not be able to renew its qualification for crude oil shipping.

This was the key driver behind the company’s decision to transfer ownership of its tanker business.

World Maritime News Staff