International Seaways, led by Lois Zabrocky, has returned to the newbuild market after a two-year hiatus and has secured orders in South Korea for 2+2 LNG-ready LR1 product tankers.
According to market reports, International Shipping has signed a contract with K Shipbuilding, a mid-sized South Korean shipyard, for the construction of 2+2 74,000 DWT LNG-ready product tankers. The construction cost per vessel is approximately $62 million, bringing the confirmed order value to about $124 million. The first two vessels are expected to be delivered in 2028. Including the option vessels, the total construction cost for the four new vessels is approximately $248 million.
The announcement of this new shipbuilding project marks a further strengthening of the partnership between International Shipping and K Shipbuilding in the newbuild market. Their previous collaboration dates back to the first half of 2024, when they signed a contract for two 75,000 DWT LNG-ready LR1 product tankers. With this latest order, the shipowner has placed orders for at least 10 product tankers (including options) with K Shipbuilding.
Earlier this year, K Shipbuilding delivered two newbuilds to International Seaways and plans to deliver two more in the third quarter of 2026.
It is understood that this newbuilding project is a key initiative in International Seaways’ ongoing strategy to optimize its overall fleet. In the first quarter of 2026, the shipping company sold a total of seven vessels, generating net proceeds of approximately $216 million after deducting fees and commissions. The sale included five MR-class product tankers with an average age of 18 years and two Very Large Crude Carriers (VLCCs) with an average age of 15 years.
Although International Seaways is actively pursuing plans to sell vessels, this latest move to expand its presence in the LR1 product tanker market demonstrates that the company remains committed to the product tanker sector. Upon delivery, this batch of newbuilds—which feature LNG-ready designs—will further advance the company’s transition to a fleet of younger, more fuel-efficient vessels.