Greece-based Performance Shipping has entered a memorandum of agreement through a separate wholly-owned subsidiary for the acquisition of a 105,525dwt Aframax tanker vessel for $35m.

Named M/T Phoenix Beacon, the Aframax tanker vessel is being purchased from an unaffiliated third party.

Constructed in 2011 by Hyundai Heavy Industries in Ulsan, South Korea, the vessel will be renamed M/T P Monterey.

Expected to be delivered in early December, the vessel’s special survey is not scheduled until 2026.

The Aframax tanker vessel is installed with a ballast water treatment system (BWTS).

Performance Shipping CEO Andreas Michalopoulos: “The acquisition of our latest Aframax tanker, M/T P Monterey, marks yet another important milestone for our company, as we have managed to grow our fleet from five to eight vessels in a short span of six months.

“We intend to fund this acquisition with bank debt of approximately $30m and the rest from available cash, still maintaining a modest overall level of financial leverage fleetwide.

“With the delivery of the two newly acquired Aframax tankers during the fourth quarter of 2022, our fleet will be well positioned to potentially generate significant cashflow moving forward.”

In August, Performance Shipping signed another memorandum of agreement to acquire a 105,304dwt LR2 Aframax oil product tanker, called M/T Alpine Amalia, from an unaffiliated third party for $36.5m.   

Slated to be delivered in November, the vessel will be renamed M/T P Aliki.