Avance Gas Holding Ltd's Successful VLGC Delivery to BW LPG
Avance Gas Holding Ltd, known as Avance Gas, has recently reached a significant milestone by completing the seventh delivery of its Very Large Gas Carrier (VLGC) to BW LPG Ltd. This move is critical as Avance Gas progresses with its planned transition from ownership of these vessels, and it marks another step in a favorable partnership with BW LPG.
Overview of the Transaction
In a notable announcement made on August 15, it was reported that Avance Gas would sell its VLGC fleet to BW LPG for an impressive total of $1,050 million. The completion of this transaction not only constitutes a shift in asset management but also emphasizes Avance Gas's strategy to align with leading players in the maritime gas transport sector.
Details of the Latest Delivery
The vessel recently delivered is the Pampero, constructed in 2015, marking a continued commitment to fleet optimization and resource management. Following this delivery, Avance Gas received 1.350 million shares in BW LPG as part of the deal, alongside an approximate net cash inflow of $7 million post-mortgage repayment. With this latest transaction completed, Avance Gas now holds a total of 10.991 million shares in BW LPG, translating to a 7.28% ownership stake in the company.
Future Operations and Vessels
Looking ahead, the remaining five vessels from Avance Gas’s fleet are scheduled for delivery to BW LPG later this month. This speaks to a well-structured timetable that emphasizes efficiency and strategic planning. Avance Gas intends to keep the market informed with regular updates regarding upcoming deliveries, ensuring transparency and ongoing communication with stakeholders.
Enhanced Partnership with BW LPG
The time charter for the Pampero has been successfully novated to BW LPG, which will continue to operate the vessel under a variable time charter that extends until August 2025. This aspect of the deal reflects a confidence in BW LPG’s capacity to manage the operational needs of this vessel, further solidifying their collaborative relationship.
Contact Information for Investor Relations
For any inquiries or further information, Avance Gas is accessible through their key contacts. - Media contact: Øystein Kalleklev, CEO, reachable at +47 23 11 40 00. - Investor and analyst inquiries can be directed to Randi Navdal Bekkelund, CFO, also available at +47 23 11 40 00.
Frequently Asked Questions
What is the significance of the seventh VLGC delivery for Avance Gas?
The seventh VLGC delivery to BW LPG signifies a strategic shift in Avance Gas's operations, further aligning the company with a key partner in the industry.
How many vessels are left to be delivered to BW LPG?
There are five remaining vessels that are scheduled for delivery to BW LPG later this month.
What percentage of BW LPG does Avance Gas now own?
Following the recent transactions, Avance Gas now owns approximately 7.28% of BW LPG.
Who can be contacted for more information about the transaction?
For details regarding the transaction, Øystein Kalleklev (CEO) and Randi Navdal Bekkelund (CFO) are the primary contacts available for inquiries.
What is the duration of the time charter for the Pampero?
The time charter for the Pampero is variable, set to expire in August 2025, under BW LPG's management.