Srab cancels three tanker orders

Stockholm-based SRAB Shipping AB has cancelled an order for three small products tankers at Eregli Shipyard in Turkey. The company is taking an SEK 32m ($3.83m) hit from the move, as the yard retains the deposits on the 8,400DWT vessels. All three were due for delivery this year.

After vessel values fell in the credit crunch, Srab said the ships would have been over-priced by between SEK 150m and SEK 200m if it had gone ahead with the contracts.

Srab is however talking to the yard about buying or disposing of the tankers at the current market price.

The owner has another 8,500DWT tanker on order at Usmed Shipyard in Turkey for 2009 delivery, plus five ships on the water.