SFL Corp Ltd. has made a significant move in the maritime logistics sector by announcing the order of two Very Large Ammonia Carriers. This decision is expected to bolster the company’s fleet and enhance its market position.
The new vessels, which will be capable of carrying a wide range of petrochemical gases, are set to be delivered in the second quarter of 2028. The total construction cost for the newbuilds is projected to be around $216 million. This investment reflects SFL's commitment to modernizing its fleet with advanced technology for fuel efficiency and cargo optimization.
In conjunction with the newbuild order, SFL has secured long-term time charters with a major oil company, which will contribute an estimated $162 million to its fixed-rate charter backlog. The initial duration of these charters will be determined within the next six months, with options for extension of up to four years.
Ole B. Hjertaker, CEO of SFL Management AS, stated, “The gas carrier project marks another accretive milestone investment for SFL, adding assets in a new segment. The charterer is a European-based investment-grade oil major, underlining SFL's standing as a high-quality provider of maritime logistics assets. Including acquisitions and charter extensions announced so far this year, we have added more than $1.3 billion to our fixed-rate charter backlog in 2026.”
SFL Corp Ltd. operates in the deep sea foreign transportation of freight, a sector that is experiencing growth due to increasing demand for specialized shipping services. The company is listed on the New York Stock Exchange under the ticker symbol SFL.
This latest development is part of SFL's ongoing strategy to expand its fleet and enhance its operational capabilities. The filing does not specify what happens next, but the company is likely to continue seeking opportunities to strengthen its market presence.