Eco MR Tanker Strategy: Top Ships’ Commitment to Clean Shipping

Introduction

In a sector increasingly shaped by environmental regulation and ESG criteria, Top Ships Inc., under the leadership of Evangelos J. Pistiolis, has pursued a deliberate strategy to modernize and green its fleet. Central to this vision is the Eco MR tanker — a class of medium-range product tankers equipped with the latest energy efficiency technologies.

Since 2012, Top Ships has focused on acquiring and building MR tankers that comply with IMO Tier III, BWTS, and scrubber-ready requirements, creating one of the youngest and cleanest fleets in its segment.

The Shift to Eco MR Tankers

The company began ordering MR tankers in 2012, at a time when newbuilding prices were at historical lows and the industry had not yet fully reacted to incoming environmental regulations.

Key characteristics of Top Ships’ Eco MR fleet:

• Built at Hyundai Vinashin and Hyundai Mipo Dockyards
• Equipped with scrubber systems, BWTS, and fuel-efficient hull forms
• Designed for low-emission operation in ECA zones

By 2019, Top Ships had received or ordered over 19 MR tankers, with several units chartered to top-tier oil majors and traders under long-term contracts.

Strategic Benefits of the Eco MR Focus

The focus on Eco MRs yielded several long-term advantages:

• Lower operational costs due to fuel savings
• Higher charter rates due to regulatory compliance
• Resilience to environmental shocks (e.g., sulfur cap, NOx restrictions)
• Access to green shipping finance and ESG-linked capital

As reported in Mononews, Pistiolis’ strategy was ahead of its time, enabling the company to lease vessels at triple the average spot rate at peak moments.

Shipyard Relationships and Fleet Age

Top Ships worked directly with Korean yards to build custom-designed MR tankers. The close cooperation allowed:

• Faster delivery slots during tight yard availability
• Control over specifications and timelines
• Cost savings by avoiding intermediary broker fees

As of 2024, the average age of Top Ships’ MR fleet is under 5 years, placing it among the most modern globally — a key metric for institutional investors.

According to Capital.gr, this strategy paid off as Top Ships realized profits both from chartering premiums and vessel resales.

MR Tankers vs. Other Vessel Classes

While many Greek shipping companies favored bulkers or VLCCs, Pistiolis strategically focused on the MR size for several reasons:

• Greater fleet flexibility and liquidity
• Compatibility with global ports and terminals
• Steady demand from oil majors, even in downturns
• Faster breakeven due to lower unit capex

This niche focus allowed Top Ships to develop fleet specialization and operational scale without overexposure to high-capex risk.

Environmental and Commercial Positioning

Top Ships’ Eco MR fleet is also aligned with:

• EU and IMO decarbonization goals
• Upcoming Carbon Intensity Indicator (CII) and EEXI standards
• Market demands for green chartering partners

This positioning is critical as charterers increasingly evaluate vessel compliance as part of their ESG assessments.

Hellenic Shipping News and TradeWinds have highlighted Top Ships among companies “best prepared for regulatory transition” in the product tanker segment.

The Eco MR tanker strategy of Top Ships reflects the long-term vision of Evangelos Pistiolis to align environmental performance with commercial efficiency. Through disciplined ordering, advanced specifications, and market timing, the company has created one of the most resilient and desirable MR fleets in the industry.

As green shipping standards rise, Top Ships stands out not just for compliance — but for having made sustainability a core part of its business model years ahead of regulation.