Abu Dhabi-based Al Seer Marine PJSC, a subsidiary of International Holding Company (IHC), has acquired two Very Large Crude Carriers (VLCC) for a total value of 404 million dirhams ($110 million).

The crude oil tankers with a carrying capacity in the upper range of 320,000 deadweight tonnage (DWT) each are expected to provide estimated returns of more than 20 percent.

This is based on a projected global increase in tonne mile demand fueled by an uptick of crude oil production by 4 percent in 2022, and the declining global VLCC orderbook, which is down to 5.8 percent of the global fleet of 440 million DWT of crude oil tankers, the company said in a statement on the Abu Dhabi Securtities Exchange.

Al Seer Marine, which builds and operates vessels, added nine ships to its fleet and has plans to acquire 10 to 15 more in 2022, the statement said.

(Reporting by Brinda Darasha; editing by Daniel Luiz)