Scorpio Tankers Inc. Announces Newbuilding Agreements for LPG Tankers; Delivery of Its Ninth MR Newbuilding; And Time Charter

Scorpio Tankers Inc. Announces Newbuilding Agreements for LPG Tankers; Delivery 
of Its Ninth MR Newbuilding; And Time Charter-In
MONACO -- (Marketwired) -- 07/02/13 --  Scorpio Tankers Inc. (NYSE:
STNG) (the "Company") announced today that it has reached agreements
with two yards in Korea to construct a minimum of 5 and up to 10
newbuilding vessels designed for the carriage of liquefied petroleum
gas ("LPG"). Also, the Company announced today that it has taken
delivery of its ninth Newbuilding MR product tanker, STI Le Rocher,
agreed to time charter-in a 2013 built LR2 product tanker and
declared options on two existing time chartered-in vessels. 
Emanuele Lauro, chief executive officer and chairman of the board,
commented, "We are excited about our entry into LPG which we have
long considered an extension of the product market. With common
customers, shipbuilders, and trade lanes, and offsetting seasonal
swings, the product tanker and LPG markets are highly complementary.
Most importantly, LPG, as with refined products, is competitively
priced in the global marketplace and winning new, distant customers,
and this is reflected by accelerating export volumes out of the US
We are pleased with our agreements with two of the most reputable
builders of VLGC vessels. These orders replace a previously announced
order for 4 LR2 vessels, and the structure of the LPG market presents
an array of opportunities for us to build value with our
VLGC Newbuildings 
The Company has reached agreements with Hyundai Samho Heavy
Industries ("HSHI") and Daewoo Shipbuilding and Marine Engineering
Co., Ltd. ("DSME") for the construction of a minimum of five and up
to 10 Very Large Gas Carriers ("VLGC") for approximately $74 million
each. The vessels are 84,000 cubic meter tankers designed for the
carriage of LPG. Of the first five vessels, two will deliver in the
second quarter, one in the third quarter, and two in the fourth
quarter of 2015. These agreements replace the previously announced
agreement to construct four LR2 vessels at Samsung Heavy Industries. 
Delivery of STI Le Rocher 
The Company took delivery of the ninth MR product tanker under its
newbuilding program, STI Le Rocher. Upon delivery, the vessel began a
time charter for up to 120 days at $19,000 per day. 
Time Charter-In Agreements 
The Company agreed to time charter-in a 2013 built, fuel efficient
LR2 product tanker (105,708 dwt) for one year at $16,500 per day. The
Company has an option to extend the charter for an additional year at
$17,550 per day. This vessel is expected to be delivered in September
The Company also declared options extending the time charters on two
LR2 vessels that are currently time chartered-in. The first option is
for a 2012 built LR2 product tanker (99,993 dwt) for six months at
$15,000 per day and the other is for a 2008 built LR2 product tanker
(115,406 dwt) for six months at $16,250 per day. Both extensions
begin in July 2013. 
About Scorpio Tankers Inc. 
Scorpio Tankers Inc. is a provider of marine transportation of
petroleum products worldwide. Scorpio Tankers Inc. currently owns 16
tankers (one LR2 tanker, four LR1 tankers, one Handymax tanker, nine
MR tankers, and one post-Panamax tanker) with an average age of 4.2
years, time charters-in 26 product tankers (eight LR2, three LR1,
eight MR and seven Handymax tankers), and has contracted for 54
newbuilding vessels (25 MR, 12 LR2, and 12 Handymax ice class-1A
product tankers, and 5 VLGC tankers), three of which are expected to
be delivered to the Company by September 2013, 38 within 2014 and the
remaining 13 by the end of 2015. Additional information about the
Company is available at the Company's website,
which is not a part of this press release. 
Forward-Looking Statements 
Matters discussed in this press release may constitute
forward-looking statements. The Private Securities Litigation Reform
Act of 1995 provides safe harbor protections for forward-looking
statements in order to encourage companies to provide prospective
information about their business. Forward-looking statements include
statements concerning plans, objectives, goals, strategies, future
events or performance, and underlying assumptions and other
statements, which are other than statements of historical facts. The
Company desires to take advantage of the safe harbor provisions of
the Private Securities Litigation Reform Act of 1995 and is including
this cautionary statement in connection with this safe harbor
legislation. The words "believe," "anticipate," "intends,"
"estimate," "forecast," "project," "plan," "potential," "may,"
"should," "expect," "pending" and similar expressions identify
forward-looking statements. 
The forward-looking statements in this press release are based upon
various assumptions, many of which are based, in turn, upon further
assumptions, including without limitation, our management's
examination of historical operating trends, data contained in our
records and other data available from third parties. Although we
believe that these assumptions were reasonable when made, because
these assumptions are inherently subject to significant uncertainties
and contingencies which are difficult or impossible to predict and
are beyond our control, we cannot assure you that we will achieve or
accomplish these expectations, beliefs or projections. 
In addition to these important factors, other important factors that,
in our view, could cause actual results to differ materially from
those discussed in the forward-looking statements include the failure
of counterparties to fully perform their contracts with us, the
strength of world economies and currencies, general market
conditions, including fluctuations in charter rates and vessel
values, changes in demand for tanker vessel capacity, changes in our
operating expenses, including bunker prices, drydocking and insurance
costs, the market for our vessels, availability of financing and
refinancing, charter counterparty performance, ability to obtain
financing and comply with covenants in such financing arrangements,
changes in governmental rules and regulations or actions taken by
regulatory authorities, potential liability from pending or future
litigation, general domestic and international political conditions,
potential disruption of shipping routes due to accidents or political
events, vessels breakdowns and instances of off-hires and other
factors. Please see our filings with the Securities and Exchange
Commission for a more complete discussion of these and other risks
and uncertainties. 
Scorpio Tankers Inc.
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