TEEKAY BUYS STATOIL’S TANKER SHIPPING UNIT FOR $800 MILLION

TEEKAY BUYS STATOIL’S TANKER SHIPPING UNIT FOR $800 MILLION    Bahamas-based Teekay Shipping Corporation, the large tanker operator, is acquiring the shipping arm of Norwegian oil major Statoil ASA for about $800 million in cash.
   After the takeover, Teekay will become the largest or second-largest tanker operator in the world, a spokesman for the shipping group said.
   The takeover will expand Teekay’s total fleet from 101 to 147 vessels, representing a total tonnage of 16 million deadweight.
   By acquiring Statoil’s shipping unit Navion ASA, Teekay said that it would become a provider of shuttle tanker services to Statoil and other oil companies, and
increase its presence in the conventional crude oil and product tanker trades.
   In 2001, Navion transported a total of 160 million tons of crude oil and petroleum products. This compares with 135 million tons of crude oil and petroleum products carried by Teekay in that year.
   Navion provides services to Statoil and other oil companies through fixed-rate long-term contracts of affreightment, with a fleet of 26 owned and chartered shuttle tankers. Navion also services the conventional tanker requirements of Statoil and other customers through a chartered fleet of 12 crude oil tankers and 9 product tankers mainly operating in the Atlantic region. In addition, Navion owns another three ships.
   Navion has the right of first refusal on Statoil’s oil transportation requirements at the prevailing market rate.
   Teekay expects the takeover to provide substantial financial benefits. Jan. 1, 2003 will be the effective date of the transaction, which is expected to be closed in the second quarter of 2003, Teekay said.
   Teekay is listed on the New York Stock Exchange.