Waigaoqiao Shipbuilding received an EPS order for an 114000 ton LR2 oil tanker

On June 27th, China Shipbuilding Industry and Trade Co., Ltd., a subsidiary of China Shipbuilding Group, jointly signed a contract with Shanghai Waigaoqiao Shipbuilding Co., Ltd. and Eastern Pacific Shipping Pte. Ltd. (EPS) in Shanghai for the construction of an 114000 ton LR2 product oil/crude oil ship.

IDAN OFER, Chairman of EPS, Aviad Kaufman, CEO of One Globe Business Advisory Ltd under the group, Cyril Ducau, CEO of EPS, Chen Gang, General Manager and Zhang Qipeng, Deputy General Manager of Waigaoqiao Shipbuilding, and Wu Aijun, Deputy General Manager of China Shipbuilding Corporation, attended the signing ceremony. Cyril Ducau、 Zhang Qipeng and Wu Aijun respectively signed ship construction contracts on behalf of all parties.

This new ship will be delivered in 2026, and the specific price has not been announced. As a reference, Clarkson's data shows that the current shipbuilding price for a 113000-115000 deadweight ton Aframax tanker is approximately $75 million, an increase of 10% from $68 million in the same period last year.

It is reported that the LR2 oil tanker for this project is independently developed and designed by Waigaoqiao Shipbuilding. It has a total length of 243.95 meters, a width of 44 meters, a structural draft of 14.7 meters, and a structural draft of 15 meters. The emission standards meet IMO TIER III standards, and the EEDI energy efficiency index meets the requirements of the third stage.

It is understood that Singapore EPS has a history of over 60 years in the shipping industry and has now grown into one of the world's largest independent shipowners. At present, EPS has 6000 employees and manages a diversified fleet of over 270 ships, including four core areas: container ships, dry bulk carriers, liquefied gas carriers, and oil tankers, with a total capacity of 28 million deadweight tons.

Since 2021, EPS has been active in the new shipbuilding market, ordering over 120 new ships from China, Japan, and South Korea shipyards. According to Clarkson's data, in the first half of this year alone, the number of new ship orders for EPS reached 26, all of which were undertaken by Chinese shipyards, including 8 bulk carriers, 6 car transport ships, and 12 oil tankers.

EPS is one of the important partners in China Shipbuilding Corporation's trade. China Shipbuilding Industry Corporation fully leverages the overall resource advantages of the group and comprehensively enhances its value creation capabilities. Since 2019, it has jointly signed more than 30 new shipbuilding contracts with sister units such as Waigaoqiao Shipbuilding, Guangzhou Shipbuilding International, Qingdao Beihai, and Jiangnan Shipbuilding, involving various ship types such as bulk carriers, oil tankers, and VLAC, to help shipbuilding enterprises further increase their market share of products and enhance the market influence of Chinese shipbuilding brands.

Including the latest orders, according to Clarkson's data, so far, Waigaoqiao Shipbuilding has 79 orders of 8.35 million deadweight tons in total, including 31 tankers, 26 container ships, 16 motor transport ships, 3 offshore factory ship, 1 bulk carrier and 1 other ship. The delivery date is scheduled to 2028.