Nordic American Tankers Ltd (NYSE: NAT) – Sale of two Suezmax tankers and contracting of two newbuildings

Rhea-AI Summary

Nordic American Tankers (NYSE: NAT) entered firm agreements to sell two Suezmax tankers (built 2004 and 2005) for a net price of $50 million total, with delivery to buyers expected in January 2026. Both vessels are debt free and the company expects to record a book profit of about $14 million on the sales, improving cash position.

The company has a preliminary agreement for two newbuildings at a South Korean shipyard, with delivery targeted in the second half of 2028 and a firm contract expected to be signed in January 2026. Management described prospects as good.

Positive

• Net proceeds of $50 million from two Suezmax sales
• Expected book profit of about $14 million
• Both sold vessels are debt free
• Preliminary newbuilds scheduled for delivery in H2 2028

Negative

• Fleet reduced by two Suezmax with delivery in January 2026
• Newbuild contract not yet firm; signing expected January 2026

Key Figures

Sale proceeds $50 million Net price for two Suezmax tankers

Book profit $14 million Expected book profit from sale of two ships

Vessel ages 2004 and 2005-built Build years of the two sold Suezmax tankers

Delivery window (sale) January 2026 Expected delivery of sold vessels to buyers

Newbuilding delivery Second half of 2028 Planned delivery of two new Suezmax newbuildings

Market Reality Check

$3.37 Last Close

Volume Volume 2,191,419 is below the 20-day average 2,875,859 (relative volume 0.76). normal

Technical Price 3.46 is trading above the 200-day MA at 2.97.

Peers on Argus

Peers show mixed moves: TEN -0.7%, while TK +2.06%, NGL +2.19%, PBT +2.4%, and CLCO +0.2%, suggesting stock-specific drivers for NAT.

Historical Context

Date	Event	Sentiment	Move	Catalyst
Dec 12	Market update	Positive	-0.6%	Strong Suezmax spot market with multiple high TCE fixtures reported.
Nov 28	Earnings/dividend	Positive	-3.2%	Quarterly results with $0.13 dividend and solid fleet-level performance.
Nov 21	AGM results	Positive	+3.2%	All AGM resolutions approved and strong market outlook reiterated.
Nov 03	Fleet expansion	Neutral	-1.4%	Letter of intent for two Suezmax newbuildings at $86M each.
Sep 30	Insider buying	Positive	+1.9%	CEO purchased 150,000 shares, increasing total family ownership.

Pattern Detected

Recent positive operational and dividend updates often saw flat-to-negative reactions, while governance and insider buying news were accompanied by gains.

Recent Company History

Over the last few months, Nordic American Tankers highlighted strong Suezmax spot markets with high TCE fixtures and low operating costs on Dec 12, 2025. On Nov 28, 2025, it reported results with a $0.13 dividend and a fleet of 20 Suezmax tankers plus solid EBITDA. Earlier, it announced AGM results with all resolutions approved and a letter of intent for two Suezmax newbuildings for $86M each, and reported insider share purchases lifting the CEO’s holdings to 5.1M shares.

Market Pulse Summary

This announcement details the sale of two older, debt-free Suezmax tankers for $50 million, with an expected book profit of about $14 million, improving the company’s cash position. It also reiterates plans for two newbuildings scheduled for delivery in the second half of 2028. In the context of prior updates on strong markets and fleet expansion, investors may watch how proceeds are deployed, execution on the newbuilding contracts, and future fleet composition and earnings capacity.

Key Terms

suezmax technical

"NAT has today entered into firm agreements to sell two suezmax tankers..."

Suezmax is the classification for the largest oil tanker size that can pass through the Suez Canal fully loaded; think of it as the biggest truck that still fits down a narrow highway. It matters to investors because ship size influences shipping costs, route choices and supply-chain flexibility — factors that affect oil transport expenses, freight rates and the profitability of energy and shipping companies.

newbuildings technical

"we have entered into a preliminary agreement to have two newbuildings constructed..."

Newbuildings are vessels that a shipping company has ordered and that are currently being built or have just been completed; think of them like custom cars on an assembly line that the company will add to its fleet. They matter to investors because newbuildings represent large upfront spending, future cargo or revenue capacity, and timing risk—delivery schedules, construction costs and financing affect a company’s profits, debt levels and ability to grow.

AI-generated analysis. Not financial advice.

 

Thursday, December 18, 2025

 

Dear Shareholders and Investors,

NAT has today entered into firm agreements to sell two suezmax tankers (2004 and 2005-built) at a net price of $50 million for both vessels, improving our cash position correspondingly.

The vessels are expected to be delivered to the buyers during January 2026. Both vessels are debt free. We expect to record a book profit from the sale of the two ships of about $14 million.

As advised you earlier, we have entered into a preliminary agreement to have two newbuildings constructed at a South-Korean shipyard for delivery to us in in the second half of 2028. A firm agreement is expected to be signed in January 2026.

Prospects for our group are good.

 

Sincerely,

Herbjorn Hansson
Founder, Chairman & CEO

Nordic American Tankers Ltd.                                                        www.nat.bm

 

 

 CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS

Matters discussed in this press release may constitute forward-looking statements. The Private Securities Litigation Reform Act of 1995 provides safe harbor protections for forward-looking statements in order to encourage companies to provide prospective information about their business. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements, which are other than statements of historical facts.

The Company desires to take advantage of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and is including this cautionary statement in connection with this safe harbor legislation. The words “believe,” “anticipate,” “intend,” “estimate,” “forecast,” “project,” “plan,” “potential,” “will,” “may,” “should,” “expect,” “pending” and similar expressions identify forward-looking statements.

The forward-looking statements in this press release are based upon various assumptions, many of which are based, in turn, upon further assumptions, including without limitation, our management’s examination of historical operating trends, data contained in our records and other data available from third parties. Although we believe that these assumptions were reasonable when made, because these assumptions are inherently subject to significant uncertainties and contingencies which are difficult or impossible to predict and are beyond our control, we cannot assure you that we will achieve or accomplish these expectations, beliefs or projections. We undertake no obligation to update any forward-looking statement, whether as a result of new information, future events or otherwise.

Important factors that, in our view, could cause actual results to differ materially from those discussed in the forward-looking statements include the strength of world economies and currencies, general market conditions, including fluctuations in charter rates and vessel values, changes in demand in the tanker market, as a result of changes in OPEC’s petroleum production levels and worldwide oil consumption and storage, changes in our operating expenses, including bunker prices, drydocking and insurance costs, the market for our vessels, availability of financing and refinancing, changes in governmental rules and regulations or actions taken by regulatory authorities, potential liability from pending or future litigation, general domestic and international political conditions, potential disruption of shipping routes due to accidents or political events, vessels breakdowns and instances of off-hires and other important factors described from time to time in the reports filed by the Company with the Securities and Exchange Commission, including the prospectus and related prospectus supplement, our Annual Report on Form 20-F, and our reports on Form 6-K.

 

Contacts:       

Bjørn Giæver, CFO                                                             
Nordic American Tankers Ltd                                             
Tel: +1 888 755 8391                                  

Alexander Kihle, Finance Manager
Nordic American Tankers Ltd
Tel: +47 91 724 171    

 

FAQ

What did Nordic American Tankers (NAT) announce on December 18, 2025?

NAT announced firm agreements to sell two Suezmax tankers for $50 million total and a preliminary deal for two newbuilds.

How much cash will NAT receive from the sale of the two Suezmax tankers?

The company stated net proceeds of $50 million for both vessels combined.

What book profit will NAT record from the tanker sales?

NAT expects to record a book profit of about $14 million from the sales.

When will the sold vessels be delivered to buyers according to NAT?

The vessels are expected to be delivered to buyers in January 2026.

What is the timeline for the two newbuildings NAT plans to order?

NAT has a preliminary agreement for two newbuilds with delivery targeted in H2 2028 and a firm contract expected in January 2026.

Are the two sold Suezmax tankers encumbered by debt?

No, the company stated both vessels are debt free.