Teekay Offshore Orders two LNG-fueled Aframax at Samsung Heavy Industries

Teekay Offshore GP entered into shipbuilding contracts to construct two LNG-fueled Aframax DP2 shuttle tanker newbuildings from Samsung Heavy Industries for delivery in late-2020 and early-2021, bringing the Partnership’s orderbook to six shuttle tankers.

These newbuildings will be constructed based on Teekay Offshore’s New Shuttle Spirit design which incorporates proven technologies to increase fuel efficiency and reduce emissions, including LNG propulsion technology.

Upon expected delivery in late-2020 through early-2021, these vessels will join the Partnership’s CoA shuttle tanker portfolio in the North Sea to provide needed capacity to meet its customers’ needs.

In August 2018, the Partnership extended the mandatory prepayment date for the Arendal Spirit UMS debt facility to September 30, 2019 in exchange for a principal prepayment of $18 million, which is expected to be paid in the third quarter of 2018.

Amongst other new features, the design concept incorporates several of Wärtsilä’s new technologies. The annual emission reduction potential is estimated at up to 42%, with fuel consumption reduced by up to 22% compared to traditional shuttle tankers.