Iran’s NITC Expects First Supertanker Delivery from China in May

Based on the information published by Reuters, Tehran- based oil shipping company NITC, expects arrival of the first out of 12 ordered supertankers in May.

The construction is taking place at Waigaoqiao Shipbuilding Co Ltd, a China CSSC Holdings Ltd unit based in financial hub Shanghai, and Dalian Shipbuilding Industry Co. Ltd, based in the north-eastern port of Dalian.

Accordingly, each of stakeholders has been awarded with construction of six tankers where the overall order has been predominantly financed by China’s Export and Import Bank.

The capacity of each vessel amounts to 2 million barrels of crude and the overall value of the contract is estimated to be $1.2 billion.

NITC currently disposes of 39 oil tankers and it would need 17 additional supertankers to be able to cover the shipping requirements of oil to Asia.

In ideal circumstances, the fleet with existing capacity can cover half of the Asia bound crude oil export, transporting 2.6 million barrels per day.

Seven of 12 ordered vessels are expected to be delivered by the end of the year, while the remaining four should be commissioned by the end of 2013. The payment for the construction works is running right on schedule.

Enlarging of NITC shipping fleet proves to be an important step in an effort to keep export level of Iran’s crude oil, having in mind the sanctions imposed by the EU and the U.S.

“Right now, there is no clarity as to how we will get shipments from July 1,” said U.K. Basu, managing director of India’s Mangalore Refinery and Petrochemicals Ltd, India being among the top buyers of Iran’s oil, together with China, Japan and Korea.

The sanctions include the announced prohibition to insurers and reinsurers from indemnifying tankers carrying Iranian crude oil anywhere in the world, which is to enter into force as of July. It is said that Asian lobby groups are trying to convince EU officials to keep certain exemptions from the ban.

[mappress]

World Maritime News Staff, April 13, 2012