d’Amico Enters Shipbuilding Contract with Hyundai Mipo (South Korea)

d’Amico International Shipping S.A. announced yesterday that its operating subsidiary d’Amico Tankers Limited (Ireland), entered into contracts for the construction of two additional new product /chemical tanker vessels ( Hulls S408 and S409 – 50,000 dwt Medium Range ) with Hyundai Mipo Dockyard Co. Ltd.

d’Amico Tankers Limited was also offered with an option for two further vessels, under similar terms and conditions, to be exercised by April 2013. The above two newbuildings are the latest IMO II MR design with the highest fuel efficiency. The design is the utmost HMD concept of hull shape and propulsion efficiency leading to a fuel saving of 6-7 T/day compared to the average consumption of world existing MR fleet. The vessels will have an attained Energy Design Index (EEDI) falling already well within the IMO phase – in 3 requirement due for vessels to be built after Jan 1st 2025, being of 31,5 % lower than the current IMO reference line.

Marco Fiori , Chief Executive Officer of d’Amico International Shipping S.A. commented: “I am delighted to announce this new deal for two additional MR vessels which represents DIS’s 8th vessel ordering in the last 6 months. Attached to this transaction is also the option to order a further 2 ships at an attractive price. This is in coherence with the clear objective of the share capital increase and clearly reaffirms DIS strategy to modernize its fleet through new buildings with eco innovative design. We strongly believe these types of vessels are set to be the future of our industry and their estimated timing of delivery perfectly matches our positive market outlook on the medium/long term. Upon delivery these two ships will be the most advanced and efficient in terms of speed, consumption and deadweight & draft ratios among their size. These technical improvements will permit to improve current t/c equivalent rate revenue by an amount of at least US$ 3,000 per day.”

The vessels are expected to be delivered at the end of H1 2014, for a consideration of less than US$ 29.0 million each.

[mappress]

d’Amico, March 13, 2013