Guernsey States tankers will turn profit in 2010
Two tankers bought by the States of Guernsey to protect fuel supplies for the island are expected to turn a profit in 2010.
The States had only expected to see a positive return from the company that manages the vessels over a 20-year period. In 2010 the vessels were expected to lose £1.3m and break even in 2011. However, JamesCo750 Limited is expecting to make a profit of £60,000 in 2010 and £500,000 in 2011. The Sarnia Cherie and Sarnia Liberty were bought for 16.9m euros (£15.2m) in December 2008 after their owner went into administration and there were fears over future deliveries of fuel to the island. At the time there were only seven vessels in the world capable of off-loading at St Sampson's Harbour because of size restrictions. The Treasury and Resources Department said the reasons for the improvement were that the business case they had used had been prudent and no income has been expected from one of the vessels. It had been thought the Sarnia Liberty would remain in dry dock for a year after purchase as there was no work for her. This changed in September 2009 when a contract was secured for her. Both vessels currently have contracts that will run until at least 2014.