Frontline buys Suezmax newbuildings

Bermuda-based Frontline has entered into a contract with Jiangsu Rongsheng Heavy Industries Group in China for delivery of two 153.000 dwt Suezmax newbuildings. The vessels will be delivered in November 2008 and February 2009 and Frontline has also secured options for further 2 + 2 similar Suezmax newbuildings. The contract price for the newbuildings is in excess of $15 million lower than indicated price level for 2006 delivered tonnage.

The ordering of the tonnage has been done as a combination of a wish to renew the fleet, and opportunistic investment approach with great flexibility.