Frontline Ltd.
oslo : FRO

October 31, 2011 03:48 ET

FRO - Sale of Vessel

HAMILTON, BERMUDA--(Marketwire - Oct 31, 2011) -

Frontline Ltd. ("Frontline" or "Company") has entered into an agreement to sell its 1996-built Suezmax tanker Front Hunter to VTN Shipping Group, a related party. The vessel will cease to trade in the spot tanker market, and delivery is expected to take place in November 2011. The sale will result in a net cash outflow of approximately $0.3 million, after repayment of bank debt, and the Company expects to record a loss of approximately $29.6 million.

October 31, 2011
The Board of Directors
Frontline Ltd.
Hamilton, Bermuda

Questions should be directed to:

Jens Martin Jensen, Chief Executive Officer, Frontline Management AS, +47 23 11 40 00

Inger M. Klemp, Chief Financial Officer, Frontline Management AS, +47 23 11 40 76

Forward Looking Statements

This press release contains forward looking statements. These statements are based upon various assumptions, many of which are based, in turn, upon further assumptions, including Frontline management's examination of historical operating trends. Although Frontline believes that these assumptions were reasonable when made, because assumptions are inherently subject to significant uncertainties and contingencies which are difficult or impossible to predict and are beyond its control, Frontline cannot give assurance that it will achieve or accomplish these expectations, beliefs or intentions.

Important factors that, in the Company's view, could cause actual results to differ materially from those discussed in this press release include the strength of world economies and currencies, general market conditions including fluctuations in charter hire rates and vessel values, changes in demand in the tanker market as a result of changes in OPEC's petroleum production levels and world wide oil consumption and storage, changes in the Company's operating expenses including bunker prices, dry-docking and insurance costs, changes in governmental rules and regulations or actions taken by regulatory authorities, potential liability from pending or future litigation, general domestic and international political conditions, potential disruption of shipping routes due to accidents or political events, and other important factors described from time to time in the reports filed by the Company with the United States Securities and Exchange Commission.

This information is subject of the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.

This announcement is distributed by Thomson Reuters on behalf of Thomson Reuters clients. The owner of this announcement warrants that:

(i) the releases contained herein are protected by copyright and other applicable laws; and

(ii) they are solely responsible for the content, accuracy and originality of the information contained therein.

Source: Frontline Ltd. via Thomson Reuters ONE


Contact Information

  • Jens Martin Jensen
    Chief Executive Officer
    Frontline Management AS
    +47 23 11 40 00

    Inger M. Klemp
    Chief Financial Officer
    Frontline Management AS
    +47 23 11 40 76