Scorpio Tankers has reached a deal this month to bareboat charter-out the MR product tanker STI Bosphorus. The vessel will be chartered to a third-party joint venture which will re-flag the vessel to the United States in order for it to participate in the U.S. Government’s Tanker Security Program (TSP).
The New York-listed product tanker owner said the 49,990-dwt vessel STI Bosphorus (2017-built) will be chartered-out at a bareboat rate of $13,150 per day, which is equivalent to a time charter equivalent rate of approximately $21,000 per day.
The contract will remain in effect until the vessel reaches 20 years of age, which will occur in 2037, subject to annual renewal within the National Defense Authorization Act.
The charter is expected to start in August 2025.
In the S&P sector, the company submitted notice in July to exercise the purchase option on the LR2 product tanker that is financed under this arrangement, STI Symphony. This 109,999-dwt vessel, 2016-built, is scheduled to be purchased in February 2026 and the outstanding lease obligation on the date of purchase is scheduled to be $18.9m.
Furthermore, the shipowner submitted notice in June and July to exercise the purchase options on three vessels that are currently financed through sale and leaseback arrangements.
Two of the vessels, STI Guard and STI Gallantry, both 2016-built (113,000-dwt), are scheduled to be purchased in December 2025 and the outstanding lease obligation is scheduled to be $23.4m per vessel at the date of purchase.
The third vessel, STI Symphony, is scheduled to be purchased in February 2026 and the outstanding lease obligation is scheduled to be $18.9m at the date of purchase.
Scorpio Tankers Inc. currently owns or lease finances 99 product tankers, including 38 LR2 tankers, 47 MR tankers and 14 handymax tankers, with an average age of 9.4 years.
