Scorpio Tankers announces time charter-out agreements and update on its Securities Repurchase Program
Scorpio Tankers Inc. (NYSE: STNG) (the "Company") announced today that it has entered into time charter-out agreements for two ice class 1A Handymax product tankers and an update on its Securities Repurchase Program, the Company said in a press release.
Time Charter-Out Agreements
The Company has entered into time charter-out agreements with an unrelated third party on two ice class 1A Handymax product tankers.
The term of each agreement is for three years at $18,000 per day, with each charter scheduled to commence by the end of January 2016.
$250 Million Securities Repurchase Program
Since the Company's previous announcement on November 4, 2015, the Company has purchased 2,696,365 of its common shares in the open market at an average price of $8.38 per share. As of December 22, 2015, there were 175,335,400 shares outstanding.
The Company has $178.3 million remaining under its Securities Repurchase Program as of the date of this press release. The acquired common shares are being held as treasury shares. The Company expects to repurchase any securities in the open market, at times and prices that are considered to be appropriate by the Company, but is not obligated under the terms of the program to repurchase any securities.
About Scorpio Tankers Inc.
Scorpio Tankers Inc. is a provider of marine transportation of petroleum products worldwide. Scorpio Tankers Inc. currently owns 79 product tankers (18 LR2, 14 Handymax, and 47 MR tankers) with an average age of 1.2 years and time or bareboat charters-in 12 product tankers (three LR2, two LR1, four MR and three Handymax tankers). The Company has contracted for 12 newbuilding product tankers (eight MR and four LR2 tankers). The four LR2s are expected to be delivered in 2016 (one per quarter), and the eight MRs are expected to be delivered throughout 2017.