Scorpio Tankers Inc. has finalized the sale of two 2016‑built LR2 product tankers, the STI Goal and the STI Gallantry, each for $52.3 million. The transactions are slated to close in the first quarter of 2026, with the STI Gallantry’s $23.4 million lease obligation scheduled for full repayment before the end of 2025 and the STI Goal’s $13.8 million debt to be cleared under the company’s 2023 credit facility. In parallel, the company has agreed to purchase two scrubber‑fitted LR2 newbuildings from Dalian Shipbuilding Industry Co., Ltd. for $70.8 million each, with delivery expected in the third quarter of 2027.
The proceeds from the sales will be deployed to reduce operating costs and strengthen the balance sheet. Repaying the lease and debt obligations will lower the company’s maintenance burden and free up capital for future investments. The new vessels, equipped with scrubbers, will enhance fuel efficiency and help Scorpio meet tightening environmental regulations, while the older ships’ higher maintenance costs are eliminated. The transaction is part of a broader fleet‑optimization program that has already reduced net debt by $2.5 billion since 2021 and positions the company with a low cash breakeven of $12,500 per day.
Scorpio’s strategy is to modernize its fleet, replace aging assets, and maintain a competitive charter rate profile. Scrubber‑fitted newbuilds allow the company to operate under stricter emissions standards without incurring costly retrofits, while the newer vessels’ improved fuel efficiency translates into lower operating expenses. By divesting older, higher‑maintenance vessels, Scorpio also reduces its exposure to maintenance‑related disruptions and aligns its fleet composition with market demand for cleaner, more efficient tankers.
CEO Emanuele Lauro said, “These sales offer the dual benefit of capitalizing on cyclically high secondhand vessel values while further strengthening our balance sheet.” The comment underscores the company’s focus on leveraging favorable market conditions to improve financial resilience while pursuing long‑term operational efficiency.
Scorpio currently operates 93 product tankers with an average age of 9.8 years, a fleet composition that includes LR2, MR, and Handymax vessels. The company’s “GOOD” financial health score reflects its disciplined capital management and the ongoing fleet renewal strategy. While no immediate market reaction data are available, the transaction is expected to lower operating costs, improve fuel efficiency, and strengthen regulatory posture, positioning Scorpio to capture future demand while maintaining competitive charter rates.
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