Emarat Maritime expands tanker fleet with six LR1 newbuildings

Dubai-based Emarat Maritime has expanded its tanker orderbook with a contract for six 74,000 dwt LR1 product carriers in China, Asia Shipping Media reported. The vessels are set to be constructed at Jiangsu New Hantong Ship Heavy Industry. According to the company’s fleet register, the first two ships are scheduled for delivery in 2029, with the final four arriving in 2030. While the contract value remains undisclosed, market benchmarks for similar Chinese-built LR1 tonnage have recently been estimated at approximately $55m per vessel.

This latest order significantly increases the owner's exposure to the LR1 sector. Emarat currently operates three older vessels of a similar size, specifically the 2007-built Dubai Diamond and Dubai Gold, alongside the 2005-built Dubai Green. The addition of these six newbuildings will effectively triple the company's LR1 fleet capacity. The investment coincides with a period of high secondhand values for LR1 tankers, with recent market reports indicating that nine-year-old vessels have been trading at price levels comparable to newbuilding contracts signed this year.

The new LR1 contract brings the company’s total newbuilding pipeline to 22 vessels across multiple segments. This broader programme includes six 114,000 dwt LR2 tankers currently under construction at Hengli Heavy Industries, with deliveries scheduled between this year and 2027. Market sources have previously valued the LR2 programme at approximately $429m. The expansion reflects a strategic growth phase for the Sharaf Group-backed owner, which is concurrently diversifying its fleet beyond traditional product tankers.

Emarat has also established a presence in the gas shipping market, with four 93,000 cu m very large ammonia carriers on order at Hengli. These vessels are expected to deliver in 2027 and 2028, with market reports suggesting individual pricing in the $105m to $110m range. Furthermore, the company is expanding its container footprint, with six feeder containerships currently listed in its newbuilding pipeline. These feeder units are scheduled for delivery in 2028 and 2029.

In total, the company’s current newbuilding commitments encompass 12 product tankers, four large gas carriers, and six feeder containerships. This represents a substantial expansion for an organisation whose existing operating fleet consists of 19 vessels. By securing these new assets, Emarat continues to modernise its fleet composition while diversifying its commercial activities across the tanker, gas, and container shipping sectors.