Scorpio Exercises Purchase Options on Six Tankers

Scorpio Tankers announced Monday it has exercised the purchase options on six ships.

The company said it has given notice to exercise its purchase options on 2016-built LR2 product tankers STI Grace and STI Jermyn, 2019-built LR2 product tanker STI Lavender, 2019-built MR product tankers STI Magnetic and STI Marshall and 2020-built MR product tanker STI Miracle. 

The leases bear interest at LIBOR plus a margin of 3.5% per annum, Scorpio said.

The purchase, which is expected to occur in May 2023, will result in a debt reduction of $149.8 million for the company.

Scorpio Tankers currently owns, finance leases or bareboat charters-in 113 product tankers, including 39 LR2 tankers, 60 MR tankers and 14 Handymax tankers, with an average age of 7.1 years.