M&G in RM32mil vessel disposal

PETALING JAYA: Marine & General Bhd (M&G) has completed the disposal of its vessel JM Sutera 6 for RM31.54mil to Thailand’s Lion Great Energy Co Ltd.

In a filing with Bursa Malaysia, M&G said the disposal was in line with M&G’s fleet optimisation strategy to dispose of its older vessels, as well as the group’s strategic initiative to reduce the average age of its tankers.

“This, in turn, will help reduce maintenance costs, which essentially increase as vessels age.”

M&G said the disposal reduces the overall average age of the downstream division’s owned tanker fleet to 11.1 years down from 11.8 years prior to the disposal.

“The disposal also reduces the owned fleet size of the downstream division to four vessels, consisting of four chemical tankers. Moving forward, the downstream division will continue to evaluate options to refresh its tanker fleet with tankers that meet requirements,” it said.