Yangzijiang Financial Expands Fleet with Multi-Million-Dollar Tanker Order in China!

In a strategic move to enhance its shipowning portfolio, Singapore-listed Yangzijiang Financial Holding has placed an impressive order for a quartet of medium-range (MR) tankers at Jingjiang Nanyang Shipbuilding, a notable Chinese shipyard. This exciting development signals the firm’s commitment to growing its maritime assets and responding to the increasing global demand for efficient shipping solutions.

Details of the Order

Under the leadership of Ren Yuanlin, Yangzijiang Financial has contracted the shipyard to construct four 50,000-deadweight ton (dwt) product tankers. Remarkably, this contract is reported to be an exclusive deal without any optional vessels attached. Although insiders indicated that negotiations began in anticipation last year, the details were kept under wraps until now.

Delivery Timeline and Financial Aspects

The timeline for the delivery of these vessels is quite impressive: Jingjiang Nanyang slated the completion of three tankers in 2026, with the final tanker expected to be delivered in the first quarter of 2027. While the exact financial terms are yet to be disclosed, sources suggest that Yangzijiang Financial is likely spending around $45 million per ship — a competitive price in today’s shipbuilding industry.

Sustainable Design Features

Designed with cutting-edge technology, each tanker will consist of 12 cargo tanks and two slop tanks, built to meet the stringent International Maritime Organization (IMO) Tier III emissions standards for nitrogen oxides (NOx) and Phase 3 of the Energy Efficiency Design Index regulations. This commitment to environmental responsibility is critical as the maritime industry increasingly focuses on sustainability.

Collaboration with Scorpio Group

In an exciting collaboration, Yangzijiang Financial has partnered with Monaco-based Scorpio Group, which will oversee the construction process of these state-of-the-art product carriers. This partnership marks the second newbuilding project between the two companies, following an earlier order for two MR tankers from Yangzijiang’s parent company in 2023. The vessels from the previous order were sold to Thenamaris of Greece for an impressive $53 million each, indicating strong market demand.

About Jingjiang Nanyang Shipbuilding

Jingjiang Nanyang Shipbuilding, established in 1995 and located in Taizhou, is a medium-sized shipyard with a single dry dock and four slipways. Historically focused on constructing platform supply vessels and tug supply units, the shipyard has transitioned into building cargo vessels over the years. Notably, their largest deliveries have been handymax bulkers, showcasing their expanding capabilities. According to Clarksons’ Shipping Intelligence Network, the shipyard currently has 19 newbuildings on its orderbook, highlighting its growing influence in the maritime sector.

Conclusion

Interestingly, this order marks Jingjiang Nanyang's first venture into constructing MR tankers, solidifying its position in a competitive market. As Yangzijiang Financial continues to explore opportunities in the shipping industry, this deal not only expands its fleet but also contributes to the operational diversification of Jingjiang Nanyang Shipbuilding. Keep an eye on Yangzijiang Financial as they navigate the waters of shipowning, watch for more marine partnerships, and discover how this order transforms the landscape for newbuildings in the maritime industry!