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Fri 24 Jan 2020 01:13 AM

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Abu Dhabi bank provides $80m facility to Oman shipping firm

Oman Shipping Company says it will use funds to buy two new very large crude carriers

Abu Dhabi bank provides $80m facility to Oman shipping firm
(Photo for illustrative purposes only)

Abu Dhabi Islamic Bank (ADIB) has signed an agreement to provide a $80 million Shariah-compliant Ijara facility to Oman Shipping Company, a member of the ASYAD Group.

The facility will be used to finance two VLCC (Very Large Crude Carriers) tankers, a statement said.

Christopher Phillips, head of ship finance at ADIB, said: “Completing this transaction with OSC is a testament to the hard work our team and we are well-positioned to build on our track record in this specialised business in order to assist our clients in 2020 and beyond.”

Michael Jorgensen, chief financial officer and acting CEO at OSC, added: “It was important for us to find a trusted partner for our first Sharia-compliant Ijara facility. ADIB’s team were able to provide a competitive Ijara facility which served our needs, allowing us to finance two VLCC tankers and further support our expansion plans.”

Founded in 2003, OSC has a fleet of 53 vessels.

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