DHT Holdings Inks Charter for Scrubber-Fitted VLCC

Bermuda-incorporated tanker owner and operator DHT Holdings has entered into a time charter for one of its scrubber-fitted very large crude carriers (VLCCs).

The deal was signed for a period of three years with an undisclosed refining company.

Under the contract, the company’s 2012-built VLCC would start the employment once it completed its scrubber retrofitting works in the fourth quarter this year.

DHT Holdings said that the time charter has a base rate of USD 30,000 per day with all earnings up to USD 37,500 to the company following a profit sharing structure that includes scrubber economics for earnings in excess to be shared between the customer and DHT.

By 2020, the company plans to have 18 of its 27 very large crude carriers (VLCCs), the third of DHT Holdings’ fleet, fitted with exhaust gas cleaning systems (EGCS). The number comprises of two newbuildings and 16 retrofits, all of which would be fitted with open-loop systems.

DHT Holdings earlier said that the systems can be converted into hybrid systems, however, “we do not expect this to be a likely scenario.”