Splash247: Scorpio Tankers boosts coverage with LR2 charter-out deal

Monaco-headquartered product carrier major Scorpio Tankers has secured a five-year charter for one of its LR2 product carriers at a rate of $28,350 per day.

The New York-listed owner said the 2014-built, 110,000 dwt STI Orchard has been fixed to an undisclosed charterer, with the contract starting in the third quarter of 2025.

The deal locks in steady income at a time when Scorpio and other product tanker owners are weighing long-term coverage against strong spot earnings.

Scorpio, led by Emanuele Lauro (pictured), controls a fleet of 99 product tankers, made up of 38 LR2s, 47 MRs and 14 handymax units, with an average age of 9.5 years.

Chartering databases show, the vessel will go to Aramco Trading Fujairah, while two other LR2s have also been secured by different charterers in similar deals. The 2015-built STI Rose has been booked by Swiss-based AB Commodities and the STI Spiga by Gunvor’s Singapore-based Clearlake Shipping.