BW LPG has struck another lucrative vessel sale, offloading a VLGC acquired in John Fredriksen’s Avance Gas fleet deal less than two years ago for well over $100m.
The New York- and Oslo-listed gas carrier giant has agreed to sell the 2015-built, 83,134 cu m BW Mistral, with the transaction expected to generate a net book gain of around $37m and net cash proceeds of approximately $104m.
The buyer has not been disclosed.
Built at China’s Jiangnan shipyard, the scrubber-fitted vessel is currently trading in the spot market and will continue earning revenue for BW LPG until its scheduled handover by mid-January 2027.
Chief executive Kristian Sørensen said the ship had contributed significantly to earnings since joining the fleet in 2024, with the company now taking advantage of strong secondhand values to realise a sizeable return.
The disposal marks another profitable exit from the 12-ship Avance Gas fleet acquired in August 2024 for $1.05bn in cash, shares and assumed debt.
In July, BW LPG agreed to sell the 2015-built, 83,000 cu m BW Levant, another vessel from the Avance transaction, with expected net cash proceeds of $38m and a book gain of around $17m.
The two deals are set to generate combined book gains of approximately $54m and net cash proceeds of $142m.
The latest sale comes amid a broader fleet renewal drive at BW LPG. Its 52%-owned Indian subsidiary has also been selling older VLGCs, most recently agreeing to dispose of the 2008-built BW Loyalty for a price in the low-$80m range, with an expected gain of $52m.
At the other end of the fleet, BW LPG has committed around $940m to eight 90,000 cu m panamax VLGC newbuildings at HD Hyundai Heavy Industries in South Korea, scheduled for delivery between 2029 and 2030.
Source: Splash247
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