Friday 14 September 2012

U.A.E.’s FAL Oil Faces Forced Tanker Sale to Repay DVB Loan - Bloomberg

FAL Oil Co., a United Arab Emirates-based energy trader that’s under U.S. financial restrictions for links to Iran, faces the forced sale of a fuel tanker held in Singapore to repay $57.6 million to DVB Bank SE. (DVB)
U.A.E.-based Horizon Energy LLC intends to buy the vessel for $34.5 million, Gina Tan, the attorney representing FAL, said today at a hearing of the Singapore Supreme Court. A judge in the city state, where authorities have detained the ship since July, gave lawyers one week to arrange the sale.
Frankfurt-based DVB, which loaned $62.4 million to FAL Oil in July 2010 to refinance the construction of two tankers, sued the trader and sought the seizure of one of the tankers after telling FAL it had defaulted. The allowance financed the Khorfakkan, currently held in Singapore, and the Al Buhaira, according to publicly available documents at the Court. Both are Aframax tankers capable of transporting about 80,000 to 100,000 metric tons of oil.

No comments:

Post a Comment