KNOT Shuttle Tankers will acquire the shuttle tanker Live Knutsen from Knutsen NYK and sell its Dan Sabia shuttle tanker in exchange. (Source: Shutterstock)
KNOT Offshore Partners LP subsidiary KNOT Shuttle Tanker AS is trading assets with Knutsen NYK Offshore Tankers AS, the company said Feb. 27.
KNOT Shuttle Tankers will acquire the shuttle tanker Live Knutsen from Knutsen NYK and sell its Dan Sabia shuttle tanker in exchange.
Live Knutsen is a 153,000-deadweight ton DP2 Suezmax class shuttle tanker that was built by COSCO Shipping Heavy Industry and delivered in 2021. It is currently operating in Brazil on a charter contract with Galp Sinopec until November 2026, after which the charterer holds options for another six years.
“We are pleased to have once again agreed a vessel swap that grows and concentrates our fleet in the most in-demand shuttle tanker class, reduces our average fleet age, and improves our long-term charter pipeline, all without a requirement for new funding,” said KNOT Offshore Partners CEO Derek Lowe.
Live Knutsen’s purchase price is $100 million less $73.39 million of outstanding debt plus 350,000 of capitalized fees related to the credit facility secured by the Live Knutsen.
Knutsen NYK will pay $25.75 million for the Dan Sabia tanker. The purchase and sale prices will be set off for a net payment of $1.21 million paid by KNOT Offshore Partners to Knutsen NYK Offshore Tankers.
The deal is expected to be complete on Feb. 28.
KNOT Offshore Partners owns, operates and acquires shuttle tankers under long-term charters offshore Brazil and the North Sea.
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