Odfjell will scrap its 1982-built parcel tanker MT Bow Maaslot by the end of the month.
The Norwegian chemical tanker giant said it has agreed to sell the 38,039dwt vessel for recycling in India.
Odfjell said the vessel has a green passport and that the demolition yard will submit a working plan corresponding to IMO guidelines for ship recycling.
The company reported a net loss of $6m in the third quarter of 2009, after posting net profit of $11m in Q2 2009, and a net loss of $8m in Q1 of the same year.
The figures represent a net loss of $3m for the first nine months of the year compared to net profit of $82m for the first nine months of 2008.