Asyad Shipping, the majority state-owned Omani maritime transportation company, has signed contracts worth approximately $308 million for the construction of six medium-range (MR) product tankers with South Korean shipbuilding giant Hyundai Heavy Industries, marking another major milestone in its long-term fleet expansion strategy.
The company, part of Asyad Group and listed on the Muscat Stock Exchange (MSX), disclosed the investment in a market filing on July 9. Alongside the shipbuilding contracts, Asyad Shipping also announced that all six vessels have been secured under five-year time-charter agreements with a leading global energy company, providing long-term employment for the newbuilds from the time of their delivery starting from 2029.
Commenting on the investment, Chief Executive Officer Dr Ibrahim Al-Nadhairi said: “We are delighted to partner with Hyundai on the construction of six MR tankers, with advanced eco-design specifications and enhanced fuel efficiency. Supported by long-term charter arrangements with a leading global energy Company, this investment reflects our disciplined approach to capital allocation and our confidence in the long-term fundamentals of the product tanker market.”
Each vessel will have a deadweight capacity of approximately 49,999 tonnes and will incorporate the latest generation of fuel-efficient shipbuilding technologies and environmentally advanced designs.
Medium Range product tankers are primarily employed in the transportation of refined petroleum products, including gasoline, diesel, jet fuel, naphtha and other clean petroleum products, between refineries, storage terminals and end markets. Typically ranging from 45,000 to 55,000 deadweight tonnes, the vessels are valued for their flexibility in serving a wide range of ports while supporting regional and international fuel supply chains through reliable and cost-effective transportation.
The latest order forms part of Asyad Shipping's ambitious fleet renewal and expansion programme, which targets between $2.3 billion and $2.7 billion in new investments through 2029.
The company has significantly accelerated fleet growth over the past year. In May, it celebrated the naming of two new liquefied natural gas (LNG) carriers - Muscat LNG and Musandam LNG - alongside the inauguration of the oil tanker Bidbid. Built at Hyundai Samho shipyard, the LNG carriers feature dual-fuel propulsion systems, advanced boil-off gas management technologies and enhanced environmental performance.
Earlier in April, the company added three Newcastlemax dry bulk carriers - Ain Garziz, Ain Razat and Ain Athum - acquired for RO 80.5 million (approximately $209 million). Each vessel has a carrying capacity of 208,000 deadweight tonnes and is equipped with Exhaust Gas Cleaning Systems (EGCS), Ballast Water Treatment Systems (BWTS) and energy-efficient hull and engine designs that comply with International Maritime Organization environmental standards.
The company has also committed to expanding its crude oil transportation fleet. Earlier this year, it signed an agreement with South Korean shipbuilder Hanwha Ocean for the construction of three 300,000-deadweight-tonne Very Large Crude Carriers (VLCCs) valued at RO 149.6 million (around $388.5 million). All three vessels will be dual-fuel ready, allowing future conversion to lower-carbon marine fuels.
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