Golden Ocean Group : GOGL - Acquisition of two ice class Panamax vessels
Golden Ocean Group Limited ("Golden Ocean" or the "Company") is pleased to
announce that the Company has entered into an agreement to buy two ice class
Panamax vessel resales built at Pipavav Defence & Offshore Engineering Company
("Pipavav"). Golden Ocean will take delivery of the vessels ex yard, the first
vessel at the start of June and the second vessel during second half of 2013.
In connection with the purchase the seller has provided a 30% seller's credit
towards Golden Ocean for each vessel. The seller's credit will be repaid over
three years in equal installments every January, but the first installment is
at earliest 6 months after delivery of the vessel. The vessels will be named
Golden Pearl and Golden Diamond. The vessels have not been part of the
Company's construction program at the yard and are bought from third parties.
Golden Ocean has at the same time obtained regular bank financing of 65% of
the contract price. Thus the initial cash payment for the Company in 2013 is
limited to 5% of the purchase price for each of the vessels.
The price of the vessels reflects the current market price, bearing in mind
the additional requirements for an ice class vessel. The Company will in total
have 9 fairly identical ice class vessels once these are delivered and see
this as an attractive niche. The Company has over time gained experience in
how to utilize this type of vessels both commercially and technically. Since
the first ice class vessel was delivered to Golden Ocean 5 years ago we have
been able to achieve a premium compared to the prevailing spot market during
the winter season and we are serving some of our most important clients to
May 27, 2013
The Board of Directors
Golden Ocean Group Limited
Herman Billung: CEO, Golden Ocean Management AS
+47 22 01 73 41
Birgitte Ringstad Vartdal: CFO, Golden Ocean Management AS
+47 22 01 73 53
This information is subject of the disclosure requirements pursuant to section
5-12 of the Norwegian Securities Trading Act.
This announcement is distributed by Thomson Reuters on behalf of Thomson
The owner of this announcement warrants that:
(i) the releases contained herein are protected by copyright and other
applicable laws; and
(ii) they are solely responsible for the content, accuracy and originality of
information contained therein.
Source: Golden Ocean Group via Thomson Reuters ONE
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