Bermuda-based chemical tanker owner and operator Team Tankers International has fully executed its previously announced exit from the deep sea stainless steel vessel class during the second quarter of 2016.

Namely, during the quarter, the company completed the sale of the Sichem Contester, a 19,822dwt stainless steel ship and agreed to sell the Sichem Edinburgh, a 13,153dwt coated ship, with expected delivery in the third quarter. A net loss US$0.9m was recognized from ship transactions in the quarter.

In addition, Team Tankers took delivery of the North Contender, a 19,925dwt stainless steel ship, which was previously on bareboat charter to the company. Subsequent to the quarter, the company entered into an agreement to sell the vessel.

"With an orderbook approaching 30% of the existing fleet, large stainless steel vessels may face the greatest supply-driven pressure in the chemical tanker fleet. Team was a subscale participant in this market and we are pleased to have executed on our announced exit," said Team CEO Hans Feringa.

Team Tankers International recorded a net loss of US$4.4m in the second quarter of 2016, compared with net profit of US$4.5m in the previous quarter.

The average time charter equivalent rate for the fleet was US$13,242 per day in the quarter, compared with US$14,000 in the first quarter of 2016.

What's more, Team Tankers completed the transition of the finance, accounting and corporate functions from Oslo to Westport, CT, during the quarter and expects to close its Oslo office as of the end of August.

The company said that the weaker market conditions that prevailed in the latter half of the second quarter are expected to continue in the third quarter of 2016.