Mercator sells Prem Pride FSO to reduce debt

India’s Mercator Limited sold one of its floating storage and offloading (FSO) vessels earlier this month.

Mercator said that the board of directors had approved the sale of the Prem Pride FSO via a postal ballot on November 11, 2019.

The company added that the vessel was sold on January 16, 2020, for a consideration of Rs. 49.54 Crore ($6.96 million).

According to Mercator, the proceeds of the sale of the vessel will be used to reduce the debt of the company.

The Prem Pride FSO was converted from a double-hulled Aframax-sized tanker at Drydocks World in Dubai in 2010.

It was converted as part of a five-year charter Mercator secured from BG to store crude oil at Panna field, off India. The FSO Prem Pride’s charter with BG expired on December 21, 2019. As for the initial tanker, it was built in 1999.

Offshore Energy Today Staff

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