SOURCE: Navig8 Chemical Tankers Inc.

Navig8 Chemical Tankers Inc.

October 21, 2015 06:17 ET

Navig8 Chemical Tankers Announces Contracts to Purchase 4 Additional Vessels Further Expanding Its Long-Haul Oriented Eco Chemical Tanker Fleet

LONDON, UNITED KINGDOM--(Marketwired - Oct 21, 2015) - Navig8 Chemical Tankers Inc. (the "Company") (OSLO-OTC: CHEMS), an international shipping company focused on the transportation of chemicals, today announced that it has entered into contracts to purchase four 49,000 dwt IMO2 eco-design, Interline-coated chemical tankers to be built at STX Offshore & Shipbuilding Co., Ltd. in Korea ("STX"). The Company also announced that it has secured options to purchase six additional sister vessels from STX.

"We are very pleased to add these modern eco-design vessels to our current newbuilding fleet," said Nicolas Busch, President and Chief Executive Officer of Navig8 Chemical Tankers. "Our best-in-class chemical tanker fleet of 36 large, fuel-efficient vessels is designed to benefit from the continuing shift to long-haul chemical trades driven by significant investment in U.S. and Middle East chemical export projects."

The vessels will be built to the same technical specifications as the Company's preexisting orders with STX, including the capability to transport methanol and other specialty cargoes. The four new vessels are expected to be delivered by mid-2017 and then deployed in the Chronos8 pool managed by the Navig8 Group.

About Navig8 Chemical Tankers

Navig8 Chemical Tankers was established in 2013 as a joint venture between the Navig8 Group and Oaktree Capital Management to capitalize on significant structural changes in the petrochemical industry and the continuing development of long-haul chemical trades. Its best-in-class newbuilding fleet is comprised exclusively of large, fuel-efficient vessels with modern eco-designs to take greatest advantage of these shifts. The fully delivered fleet will feature a complementary mix of primarily Interline-coated and stainless steel vessels that are capable of servicing the full range of conventional and specialized chemicals cargoes.

The Company expects to take delivery of 20 chemical carriers in 2015 (18 vessels year-to-date), and anticipates delivery of its full 36-vessel fleet by mid-2017, excluding option vessels. The Company's fleet is contracted to operate in various chemical tanker pools managed by the Navig8 Group, the world's largest independent pool and commercial management company.

Navig8 Chemical Tankers is listed on the Norwegian OTC market under the symbol CHEMS.

Forward-Looking Statements and Distribution

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 Navig8 Chemical Tankers management's examination of historical operating trends. Although the Company 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, Navig8 Chemical Tankers 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 worldwide 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.

This communication is not for publication or distribution, directly or indirectly, in or into any state or jurisdiction into which doing so would be unlawful. The distribution of this communication may be restricted by law in certain jurisdictions and persons into whose possession any document or other information referred to herein comes, should inform themselves about and observe any such restrictions. Any failure to comply with these restrictions may constitute a violation of the securities laws of any such jurisdictions. The Company assumes no responsibility in the event there is a violation by any person of such restrictions.

Contact Information

  • For Further Information, Please Contact:
    Nicolas Busch
    President and Chief Executive Officer
    + 44 207 467 5888

    Rose & Company
    +1 212 359 2228