Aker Philadelphia Shipyard ASA ("AKPS") has previously informed the market that the company expects to build Hulls 025-028 as product tankers with deliveries in 2016 and 2017, and that the company is working with several interested parties to enter into definitive shipbuilding contracts for the four product tankers and agreement for joint ownership in the vessels.
American Shipping Company ASA ("AMSC") has a positive outlook on the Jones Act market for product tankers, and has previously informed the market that the company is looking for accretive growth opportunities.
As a consequence, AMSC has decided to enter into discussions with AKPS about a potential transaction involving Hulls 025-028 and possibly also other shipping assets. The discussions are at an early stage, and the form or content of any contract or cooperation has not yet been decided. The discussions are being conducted on an arms-length basis, and are currently non-exclusive and non-binding. AMSC will announce any transaction if and when agreed between the parties.
Contacts
American Shipping Company ASA
Dag F. Wittusen, CEO
Oslo, Norway
Tel: +47 916 300 02
Leigh Jaros, CFO
Philadelphia, PA, USA
Tel: +1 484 880 3741
AMSC is a ship owning company with ten modern handy size product tankers on long term bareboat charter with Overseas Shipholding Group (OSG). OSG charters the vessels out on time charters to major oil companies in the U.S. coastwise Jones Act trade. AMSC has a significant contract backlog as well as a profit sharing agreement with OSG which offers visibility with respect to future earnings and dividend capacity. The Company has an ambition to pay attractive and growing dividends to its shareholders.