July 2019

30-July-2019

Los Angeles-based investor Oaktree Capital Management acquired $45 million of Eagle Bulk Shipping’s new convertible bond. Eagle Bulk Shipping’s new convertible bond is going to finance the acquisition of six (6) ultramax bulk carriers. Oaktree Capital Management’s overall holding in Nasdaq-listed shipowner and operator Eagle Bulk Shipping (EGLE) increased to 28.7 million shares. Since 2016, Eagle Bulk Shipping (EGLE) acquired 20 ultramax bulk carriers and sold 14 vintage bulk carriers. Eagle Bulk Shipping (EGLE) has succeeded to keep the average age of the fleet around 8 years since 2016. All six (6) ultramax bulk carriers will have scrubbers when the new emissions rules of IMO (International Maritime Organization) 2020 arrive on 1 January 2020. The larger transportation capacity of more modern ultramax bulk carriers and associated longer-haul capabilities support the operational flexibility of Eagle Bulk Shipping (EGLE).

 

30-July-2019

Nasdaq-listed Greek shipowner and operator Seanergy Maritime (SHIP) reported a net loss of $6.9 million in Q2 2019. Seanergy Maritime (SHIP) explained that negative developments impacted the capesize market in Q1 2019. Seanergy Maritime (SHIP) was properly placed to capture the upturn in the capesize market because Seanergy Maritime (SHIP) chartered out the fleet on index-linked employment. Nasdaq-listed Greek shipowner and operator Seanergy Maritime (SHIP) reported a revenue of $18.8 million in Q2 2019. Greek shipowner and operator Seanergy Maritime’s (SHIP) capesize bulk carriers have been installed scrubbers between July and October. Furthermore, Seanergy Maritime’s (SHIP) capesize bulk carriers have been installed BWTS (Ballast Water Treatment Systems).

 

28-July-2019

Taiwan Navigation Company (TNC), a shipowner and operator headquartered in Taipei, has expanded its fleet with the acquisition of a 15-year-old supramax bulk carrier from US-based owner Eagle Bulk. According to information from multiple shipbroking sources, TNC has purchased the MV Kestrel 1, a Japanese-built vessel with a deadweight capacity of 50,300 tons, originally constructed in 2004. This acquisition was finalized at a price of $7.3 million. This move comes shortly after Taiwan Navigation Company’s (TNC) sale of two vessels in its fleet, namely the 2014-built MV Tai Happiness, a 52K DWT supramax bulker, and the MV Tai Progress, a 77K DWT panamax bulker. Currently, Taiwan Navigation Company operates a fleet of 18 bulk carriers, and it has four newbuildings currently under construction at Japanese shipyards, indicating its commitment to fleet expansion and modernization within the maritime industry.

 

28-July-2019

The London-based Union Maritime Limited (UML), a prominent shipowning and operating company, has successfully purchased the 2010-built Japanese MR2 tanker, MT Eagle Express. For this acquisition, Union Maritime Limited (UML) has disbursed approximately $16.5 million to Chiba Shipping of Japan. With this latest addition, Union Maritime Limited (UML)’s collection of MR2 tankers expands to 14, within a broader fleet of 41 tankers. This transaction signifies Chiba Shipping’s departure from the tanker industry, leaving it with a diverse fleet consisting of 20 bulk carriers of various dimensions and a single feeder containership.

 

26-July-2019

China Minsheng Trust anticipates a “calm year” ahead following a unique transaction The formerly assertive purchaser is now taking a pause to analyze the market after the departure of its leader. China Minsheng Trust, headquartered in Beijing, has broken its prolonged hiatus from the buying and selling market with a profitable sale of a capesize bulk carrier to Agricore Shipping ASL, based in Qingdao. However, it is important to note that this deal is considered a one-time occurrence, and the seller from Beijing has become reserved about the company’s plans in light of the departure of its former shipping head. The buyer of the capesize bulk carrier, Hong Kong and Qingdao-based Chinese shipowner and operator Agricore Shipping ASL, and the previous charterer. Fu Rui, the vice general manager of shipping at China Minsheng Trust, described the deal as a private sale for the 2004 built capesize bulk carrier 175K DWT MV ASL Mars (ex MV MSXT Vivienne). Shipbrokers have reported that Agricore Group’s subsidiary Agricore Shipping ASL paid $12.5 million for MV ASL Mars (ex MV MSXT Vivienne). MV MSXT Vivienne was part of an extensive fleet that China Minsheng Trust acquired during its initial rapid expansion in 2017. It was two years ago that the trust purchased the MV MSXT Vivienne from Foremost Maritime Corp for around $11 million. Currently, Agricore Shipping ASL has a fleet of two panamax bulk carriers and a supramax bulk carrier, all acquired within the past 10 months. Agricore Group’s subsidiary Agricore Ship Management Co Ltd manages the fleet of Agricore Shipping ASL. There exist personal connections between China Minsheng Trust’s shipping executives and Agricore Shipping ASL, the buyer. John Su, the CEO of Erasmus Shipinvest, declined to comment on any matters related to China Minsheng Trust. Erasmus Shipinvest has been one of the key chartering partners for the China Minsheng Trust, but sources indicate a falling out between the two parties due to unsuccessful charter renegotiations. Some sources suggest that Erasmus Shipinvest and China Minsheng Trust jointly own the MV MSXT Vivienne and another capesize bulk carrier MV MSXT Capella. China Minsheng Trust intends to observe a quiet period with no further buying and selling activities until the end of the year while closely studying the market. Sources provide conflicting information regarding the current head of the shipping division at the influential Beijing-based equity firm China Minsheng Trust. It is said that President and Vice Chairman Zhang Bo personally took charge of the company’s shipping investments after the departure of the former general manager of shipping, Emma Zhu Yunrong. Emma Zhu Yunrong left China Minsheng Trust in early May following the conclusion of a three-year contract to establish her undisclosed venture. Emma Zhu Yunrong left her prominent shipping position at China Merchants Bank Financial Leasing in 2016 and joined China Minsheng Trust as part of an all-female team hired to oversee its entry into the shipping industry. Within a one-year period beginning in October 2016, Emma Zhu Yunrong assembled a fleet of 20 bulk carriers, ranging from supramax to capesize bulk carriers. After a few months of pause, followed by four sales in late 2018, China Minsheng Trust resumed its acquisitions last December, spending approximately $112 million on a panamax bulk carrier and four ultramax newbuilding bulk carriers resales up until Emma Zhu Yunrong’s departure. During the same timeframe, China Minsheng Trust unexpectedly entered the rig manufacturing and ownership sector through a corporate deal to acquire a 20% stake in the Hong Kong-listed CMIC Ocean En-Tech Holding.

 

26-July-2019

Bjorn Jebsen and Arne Jebsen controlled Norwegian shipowner and operator Kristian Gerhard Jebsen Skipsrederi AS (KGJS) reported a pre-tax loss of NOK 17 million in 2018, against a NOK 15 million loss in 2017. Pre-tax loss of NOK 17 million in 2018 sent Bergen-based private shipowner and operator Kristian Jebsens Rederi into negative equity. Kristian Jebsens Rederi had a negative book equity of NOK 16 million at the end of 2018. Kristian Jebsens Rederi had taken serious steps to decrease the costs. Kristian Jebsens Rederi has established a partnership with MUR Shipping. Kristian Jebsens Rederi and MUR Shipping joint-venture is called JebMur Shipping. Kristian Jebsens Rederi assumes that the bulk carrier market will improve in Q4 2019. Recently, JebMur Shipping has announced a purchase option on the 2014 built kamsarmax bulk carrier 61K DWT MV African Lunde. Exercising the purchase option has significantly reduced Kristian Jebsens Rederi cash break-even. Kristian Jebsens Rederi is essentially a bulk carrier operator.

 

26-July-2019

Singapore based ship operator Omegra Shipping was established in 2013 as a subsidiary of Enerfo Pte Ltd. Omegra Shipping specialized in worldwide chartering and operations within the Handysize, Supramax and Panamax markets for commodity trader Enerfo Pte Ltd. Many years ago Omegra Shipping was seeking to buy several kamsarmax bulk carriers in order to hedge against volatile charter rates. However, Omegra Shipping selected to charter-in bulk carriers, and momentarily the choice is remunerating abundantly.

Omegra Shipping and affiliated commodity trader Enerfo Pte Ltd dropped acquiring kamsarmax projects. Instead of acquiring kamsarmax bulk carriers, Omegra Shipping favored the asset-light company and maintained operating chartered-in bulk carriers. Omegra Shipping’s determination to concentrate solely on charter-in bulk carriers boosted the company revenues.

Thoroughly chartered-in bulk carriers provide flexibleness to Omegra Shipping. Omegra Shipping balance shipping market exposure and maintain optimal position throughout the shipping cycles. In a weak dry bulk market, Omegra Shipping is chartering in bulk carriers according to the demands of Enerfo Pte Ltd.

Omegra Shipping has been endeavoring for the optimum fleet size in accordance with the cargo volume. Omegra Shipping attempts to realize high bulk carrier utilization. In 2018, Omegra Shipping prognosticated that the dry bulk market would be weak during the Q1 2019. Therefore, Omegra Shipping took advantage of the weak market and progressively expanded its time-chartered bulk carriers. As of July 2019, Omegra Shipping has 25 bulk carriers under its commercial control. Panamax and kamsarmax bulk carriers are the principal segment for the business requirements. Omegra Shipping charter-in other size bulk carriers as and when necessitated.

Omegra Shipping solely charter-in modern, Japanese-built bulk carriers from financially stable tonnage providers. Omegra Shipping do not endorse charter chains. Currently, Omegra Shipping is pleased with the asset-light model. Omegra Shipping’s chartering team optimally balances the right ship with the right cargo. Omegra Shipping has reported profit for 2019. Omegra Shipping’s profit was encouraged by the optimization of trading patterns and bulk carriers. Omegra Shipping foresees that dry bulk markets will remain to be volatile in 2019.

In June 2019, dry bulk market rates went beyond market player’s expectations. Panamax bulk carrier rates improved by 65% in just three weeks in June 2019. Panamax bulk carrier freight rates were increased. Panamax bulk carrier freight rates soared to the highest level since December 2013 due to very low fleet growth, healthy South American spot grain cargoes, and scrubber fittings at shipyards.

Omegra Shipping is frequently considered as the shipping division of Singapore based commodity trader Enerfo. Nevertheless, Omegra Shipping asserts that Omegra Shipping is totally separate, stand-alone company. Indonesian business conglomerate FKS Group has been the shareholder of both Omegra Shipping and Enerfo.

Omegra Shipping essentially manages grain cargoes and more modest volumes of coal, minerals, metals, and fertilizers. Besides Enerfo, Omegra Shipping has generated a significant volume of third-party traders. In order to maintain its bulk carriers full on both front-haul and back-haul legs, third-party business is essential to Omegra Shipping’s business approach.

 

25-July-2019

Athens-based New York-listed shipowner and operator Diana Shipping (DSX) plans to sell one of its panamax bulk carriers to an unaffiliated third party. The Simeon Palois-led bulker player Diana Shipping (DSX) has signed an MOA (memorandum of agreement) with the buyer to purchase 2001 built panamax bulk carrier 75K DWT MV Nirefs for around $6.71 million. Diana Shipping (DSX) sold another 2004 built panamax bulk carrier 73K DWT MV Thetis for around $6.41 million. Diana Shipping (DSX) has sold six bulk carriers built in the early 2000s since November last year. In mid-February, Greek shipowner and operator Diana Shipping (DSX) announced plans to sell 2001 built panamax bulk carrier 75K DWT MV Danae and 2001 built panamax bulk carrier 75K DWT MV Dione for $7.2 million each. Athens-based shipowner and operator Diana Shipping (DSX) also signed an agreement in April to sell the 2004 built panamax bulk carrier 74K DWT MV Erato (built 2004) for $7 million. Once this latest sale is complete, Diana Shipping’s (DSX) fleet will consist of 43 dry bulk carriers: 4 newcastlemax bulk carriers, 14 capesize bulk carriers, 5 post-panamax bulk carriers, 5 kamsarmax bulk carriers, and 15 panamax bulk carriers.

 

25-July-2019

Cleaves Securities raised Nasdaq-listed shipowner and operator Eagle Bulk Shipping (EGLE) to buy only a few months after downgrading the company. Eagle Bulk Shipping (EGLE) is planning to issue the new bonds to finance the purchase of six (6) ultramax bulk carriers worth $122 million. Eagle Bulk Shipping (EGLE) will become the first to acquire scrubber-fitted ultramax bulk carriers with the Nautical Bulk Holdings quartet and will also install scrubbers on two ultramax bulk carriers that are acquired simultaneously. Eagle Bulk Shipping (EGLE) is going to pay around $21 million each for scrubber-fitted ultramax bulk carriers in the Nautical Bulk fleet.

 

25-July-2019

Japanese shipowner and operator NYK Bulk (Nippon Yusen Kabushiki Kaisha) goes cashless with a new crew mobile phone application. NYK Bulk (Nippon Yusen Kabushiki Kaisha) cooperates with Accenture, Citi, and TDG for the new crew mobile phone application. Tokyo Stock Exchange-listed shipowner and operator NYK Bulk (Nippon Yusen Kabushiki Kaisha) has started a new joint venture to introduce a mobile phone application that will accomplish away with cash for sailors. Tokyo-based shipowner and operator NYK Bulk (Nippon Yusen Kabushiki Kaisha) cooperated with the Philippines-based Transnational Diversified Group (TDG) to embark electronic money platform MarCoPay. NYK Bulk’s (Nippon Yusen Kabushiki Kaisha) highly-secure platform strives to improve the lives of sailors and their families. NYK Bulk’s (Nippon Yusen Kabushiki Kaisha) new crew mobile phone application is planned to launch in January 2020, with the help of Accenture and Citi Bank. Currently, NYK Bulk’s (Nippon Yusen Kabushiki Kaisha) new crew mobile phone application is developed specifically for sailors hired outside Japan to make digital payments and withdraw cash on a mobile phone. By utilizing MarCoPay, NYK Bulk’s (Nippon Yusen Kabushiki Kaisha) crew members will receive their wages and buy daily supplies on vessels. Furthermore, NYK Bulk’s (Nippon Yusen Kabushiki Kaisha) crew members can go cashless on board and send money to their home nations and withdraw cash from ATMs anywhere in the world. Japanese shipowner and operator NYK Bulk (Nippon Yusen Kabushiki Kaisha) calculated that total cash on fleet around the world amounts to about $800 million every year, and expenses associated with money transfers are very high. The MarCoPay venture will ultimately grow its network to third-party shipowners and ship managers while resuming to add new functions. Japanese shipowner and operator NYK Bulk (Nippon Yusen Kabushiki Kaisha thinks MarCoPay will change into a global platform that will support the lives of sailors and their families around the globe. Furthermore, another company ShipMoney rolled out an electronic payment solution on 90 vessels.

 

24-July-2019

New York-listed shipowner Genco Shipping & Trading sold 2003 built handysize bulk carrier 28K DWT MV Genco Challenger for around $5 million to a Vietnamese shipowner and operator. MV Genco Challenger has a demolition value of $2.3 million. Up to now, Genco Shipping & Trading has sold 15 bulk carriers as part of its fleet renewal programme.

 

23-July-2019

Nasdaq-listed shipowner and operator Eagle Bulk Shipping (EGLE) is plotting to raise $115 million to finance the six (6) ultramax bulk carriers en bloc acquisition. Eagle Bulk Shipping (EGLE) has been renewing the fleet. Hence, Eagle Bulk Shipping (EGLE) has sold 14 bulk carriers since 2016. Eagle Bulk Shipping (EGLE) is going to issue bonds that can be converted into stock and with maturity set for August 2024. Eagle Bulk Shipping (EGLE) is going to acquire six (6) ultramax bulk carriers when bulk carrier price tags have weakened due to a challenging start to the year in the freight market. Eagle Bulk Shipping (EGLE) would become the second New York-listed dry bulk shipowner to achieve a major en bloc acquisition in 2019. In 2017, Eagle Bulk Shipping (EGLE) took nine (9) bulk carriers from Setaf Saget in an en bloc acquisition. Eagle Bulk Shipping (EGLE) has been the foremost adopter of scrubbers in the supramax and ultramax segments.

 

22-July-2019

Tor Olav Troim’s 2020 Bulkers is set to receive five of its eight Newcastlemax newbuildings ahead of schedule, benefiting from the highest ship rates in nearly ten years. The New Times Shipyard in China will expedite the delivery of the 208K DWT MV Bulk Seoul, MV Bulk Shanghai, and MV Bulk Sydney, making them available two months earlier than planned. These ships will be launched in October and November of this year, and January 2020. Additionally, the MV Bulk Santiago and MV Bulk Shenzhen are scheduled for early delivery in September this year and January 2020, respectively. Magnus Halvorsen, CEO of 2020 Bulkers, attributes this accelerated pace to the shipyard’s available resources following a period of low order intake. The company anticipates over 2,600 operational ship-days in 2020, expecting significant cash flow from these ships due to current capesize market rates. Halvorsen highlights that early delivery is a clear advantage for investor cash flow. Three more 208K DWT Newcastlemax bulk carriers are on order, with the MV Bulk Sandefjord set for August this year, and the MV Bulk Sao Paulo and MV Bulk Santos expected in April and May 2020. Halvorsen mentions that while their focus is on dividends for shareholders as trading begins, they remain open to sales or consolidation opportunities. Three newbuildings – the MV Bulk Sandefjord, MV Bulk Santiago, and MV Bulk Seoul – will start time charters with Koch Supply & Trading upon delivery. Earlier this year, 2020 Bulkers raised significant capital and upgraded its listing from Oslo’s over-the-counter market to the Oslo Axess.

 

22-July-2019

A prominent Chinese maritime magnate has taken possession of Anbros Maritime SA’s most venerable bulk carriers. The Grecian shipowner divests a duo, redirecting its gaze towards rejuvenation of its flotilla. As Anbros Maritime SA pivots towards a contemporary fleet, its two most antiquated vessels have been transferred to Chinese affiliations. The esteemed George Angelakis, Principal of Anbros Maritime SA, verified the sale of the 2001-crafted handysize bulk carrier, MV Odigitria, boasting 46K DWT, a mere fortnight past. Maritime intermediaries suggest that the transaction for the Anbros-owned MV Odigitria secured an approximate sum of $5.8 million. Subsequently, MV Odigitria has adopted the moniker MV Xinanjiang. It is noteworthy that the aforementioned vessel recently experienced a minor altercation with a diminutive containership upon the Yangtze waters. This occurrence, however, seemingly bore no influence on the concluded deal. The Athenian maritime magnate, Anbros Maritime SA, characterized the encounter as trivial, further elaborating that the 2001-constructed MV Odigitria incurred merely superficial paint abrasions. Last autumn, Anbros Maritime SA had showcased the Mitsui-fashioned MV Odigitria for prospective purchasers. In a similar vein, Anbros Maritime SA, from its Athenian headquarters, conceded another vessel the previous month - the 2002-constructed supramax bulk carrier MV Aghia Skepi, boasting 52K DWT. This vessel was acquired by another discerning Chinese investor for an approximate $7.2 million. This vessel now sails under the designation MV Chang Min and proudly stands as the solitary vessel under Shanghai’s Fan Stone Marine banner. These transactions underscore the persistent allure of bulk carriers to Chinese magnates, given the nation’s burgeoning coastal commerce. This sphere has witnessed a significant resurgence, granting Greek maritime proprietors the leverage to divest their comparatively seasoned vessels. Post the transactions of MV Odigitria and MV Aghia Skepi, Anbros Maritime SA’s Athenian arm retains a duo of bulkers - a panamax and a handysize, conceived in 2005 and 2004 respectively. These remain unsold. Under the visionary leadership of George Angelakis, Anbros Maritime SA ardently embarks upon the rejuvenation of its fleet, heralding the acquisition of fresher vessels.

 

22-July-2019

The esteemed iron ore colossus, BHP, previously recognized as BHP Billiton, has announced a staggering $400 million endeavor to counteract climate change, setting its sights on achieving net-zero emissions by mid-century. This commitment was further emphasized with the unveiling of their ambitious five-year plan and a nearly $1 billion proposition for as many as 14 LNG-powered newcastlemax newbuildings. BHP, a paragon in iron ore mining, is also partaking in an avant-garde bio-fuels trial for maritime vessels in collaboration with John Fredriksen’s illustrious Golden Ocean. During a profound discourse at the Financial Times’ “Climate for Change” event in London, BHP’s Chief Executive, Andrew Mackenzie, opined that there isn’t a singular panacea to combat the climate crisis. He underscored BHP’s pivotal role in product stewardship, emphasizing the firm’s dedication to collaborating with its entire supply chain, from shippers to end-users, to reduce emissions. “The empirical evidence is irrefutable; the global climate crisis cannot be denied,” proclaimed CEO Mackenzie. As per the blueprint, BHP, a predominant charterer, will delineate a novel intermediate objective grounded in scientific consensus to curtail emissions, resonating with the principles of the Paris Agreement and intensifying the correlation between emission outcomes and executive compensation. Mackenzie highlighted that BHP has been at the vanguard of addressing the climate issue for over twenty years, driven not just by ethical responsibility but also as a strategic imperative to augment long-term shareholder value. In a testament to their commitment, BHP’s emissions in 2017 were notably lower than those recorded in 2006, with an objective to cap 2022 emissions at 2017 benchmarks. BHP’s ultimate vision remains unwavering: to attain a net-zero emission operational footprint. In the ensuing year, BHP aims to chart out an intermediate scientific target to significantly reduce their carbon footprint, mirroring the aspirations of the Paris Agreement.

 

22-July-2019

Nasdaq-listed shipowner and operator Eagle Bulk Shipping (EGLE) is selling 2004 built supramax bulk carrier 50K DWT MV Kestrel I for around $7 million. Eagle Bulk Shipping (EGLE) sold MV Kestrel I to a Chinese shipowner and operator. Eagle Bulk Shipping (EGLE) plans to take advantage of S&P (Sale and Purchase) market to sell vintage bulk carriers. USA-based shipowner and operator Eagle Bulk Shipping (EGLE) is planning to install scrubbers on modern bulk carriers to meet IMO (International Maritime Organization) 2020 regulation. Furthermore, Eagle Bulk Shipping (EGLE) has been investing in a significant number of larger bulk carriers. Currently, Chinese shipowners and operators are the most enthusiastic buyers of bulk carriers like the MV Kestrel I. On the other hand, Greek shipowners and operators have been targeting modern bulk carriers. IMO (International Maritime Organization) 2020 regulation implementation deadline is approaching and with more liquidity in the S&P (Sale and Purchase) market coupled with lower bulk carrier prices.

 

21-July-2019

Lugano-based shipowner and operator Nova Marine Carriers plans to flip some of the ships in its order for up to 18 mini-bulk carriers. In 2018, Nova Marine Carriers signed a $150 million deal with Zhejiang Xinle Shipbuilding to construct 18 bulk carriers. Originally, Zhejiang Xinle Shipbuilding scheduled the delivery of bulk carriers in July 2019, however, that schedule was postponed after Nova Marine Carriers asked for design adjustments. Nova Marine Carriers believe that short voyages, modern bulk carriers designs make scrubbers unnecessary. However, Nova Marine Carriers is keen to receive the new-building bulk carriers ahead of the implementation of the IMO (International Maritime Organization) 2020 regulation. Nova Marine Carriers built or modified 40 bulk carriers at Zhejiang Xinle Shipbuilding since 2005. Therefore, Zhejiang Xinle Shipbuilding offers flexibility to Nova Marine Carriers for the remaining 12 mini-bulk carriers. Currently, Swiss-Italian shipowner and operator Nova Marine Carriers controls a mixed fleet of cement carriers, handysize bulk carriers, and the short-sea (coaster) bulk carriers.

 

21-July-2019

New York-listed shipowner and operator Pangaea Logistics Solutions acquired 2008 built supramax bulk carrier 58K DWT MV Bulk Friendship (ex MV Nantong K) from Japanese shipowner and operator K Line for around $14 million. MV Bulk Friendship (ex MV Nantong K) fits properly into the core fleet and trading activities of Pangaea Logistics Solutions. MV Bulk Friendship (ex MV Nantong K) was built at Nantong COSCO KHI. New York-listed shipowner and operator Pangaea Logistics Solutions provides charterers with best in class service by owned and operated fleet. Pangaea Logistics Solution opted not to fit the fleet with exhaust-gas scrubbers. Instead, Pangaea Logistics Solutions preferred low sulfur fuel consumption. Pangaea Logistics Solutions operates bulk carriers in niche trades. In Q1 2019, Pangaea Logistics Solutions ordered two (2) newbuilding ice-class bulk carriers 95K DWT at Guangzhou Shipyard International. Currently, Pangaea Logistics Solutions owns a fleet of 22 bulk carriers.

 

20-July-2019

Athens-based shipowner and operator Alma Maritime Ltd. sold 2005 built capesize bulk carrier 170K DWT MV Cape Maria for around $14 million to a Greek shipowner. MV Cape Maria shows a sign of a developing buying desire for dry bulk carriers amid a soaring dry bulk freight market. Stamatis Molaris-led shipowner and operator Alma Maritime Ltd has sold the 2005 built capesize bulk carrier 170K DWT MV Cape Maria almost in a week after circulating into the sale and purchase (S&P) market. In May, Greek shipowner and operator Alma Maritime Ltd. sold 2003 built capesize bulk carrier 176K DWT MV Iron Fritz for around $12 million.

 

20-July-2019

Monaco-based Scorpio Bulkers has reported a positive performance for the second quarter, surpassing analysts’ expectations and achieving a significant paper profit from its investment in Scorpio Tankers. The New York-listed shipowner has been actively managing its fleet, adding operated vessels while continuing to divest owned tonnage. In its latest financial statement, Emanuele Lauro-led Scorpio Bulkers announced the time charter of an additional four kamsarmax bulkers, although specifics of the deal were not disclosed. Concurrently, the company has classified two of its ultramax bulk carriers as “held for sale,” though the identities of these ships remain unspecified. During Q2 2019, New York-listed shipowner and operator Scorpio Bulkers completed the sale and leaseback of 16 ships, a move expected to generate $144.5 million in additional liquidity, inclusive of scrubber financing. This strategic decision has bolstered the company’s financial standing, particularly its investment in Scorpio Tankers, which, despite some analysts’ skepticism, has yielded a $53.1 million non-cash gain and cash dividends for Scorpio Bulkers. This contributed to a net profit of $35 million or $0.50 per share for the quarter, a marked improvement from the $0.8 million reported in the same period the previous year. The quarterly net result also includes a $7.7 million write-down related to the two ultramax bulk carriers designated as “held for sale” and write-offs of deferred financing costs connected to the sale of two kamsarmax bulk carriers and the refinancing of Scorpio Bulkers’ existing debt. Excluding these one-off expenses, Scorpio Bulkers, led by Chief Executive Emanuele Lauro, posted an adjusted net income of $40.1 million or $0.58 per share for the quarter. Despite a weaker-than-anticipated guidance for the third quarter, New York-listed Scorpio Bulkers remains optimistic about achieving higher bookings for the remaining days, given recent market developments. The Board of Directors has declared a dividend of $0.02 per share, aligning with analysts’ projections and reflecting the company’s confidence in its operational and financial strategy.

 

20-July-2019

Tor Olav Troim’s company, 2020 Bulkers, is set to receive early delivery of five out of its eight Newcastlemax newbuildings, taking advantage of the highest vessel rates in nearly a decade. The New Times Shipyard in China will expedite the delivery of the 208K DWT MV Bulk Seoul, MV Bulk Shanghai, and MV Bulk Sydney, with their launch dates moved up to October, November of this year, and January 2020, respectively. Additionally, MV Bulk Santiago and MV Bulk Shenzhen are scheduled for early delivery in September of this year and January 2020. Magnus Halvorsen, CEO of 2020 Bulkers Management, attributes the accelerated pace to a lull in yard orders in September 2017, allowing for more resources to be dedicated to these builds. 2020 Bulkers, anticipating over 2,600 operational ship days in 2020, expects substantial cash flows from these vessels given the current capesize market rates. Halvorsen expressed optimism about the early deliveries, foreseeing enhanced cash flow for investors. Besides these, three other 208K DWT Newcastlemax bulk carriers are under construction at the yard. The MV Bulk Sandefjord, scheduled for August this year, will be the first to be delivered, followed by MV Bulk Sao Paulo and MV Bulk Santos in April and May 2020. Halvorsen also mentioned that 2020 Bulkers aims to prioritize shareholder returns through dividends as their ships begin operations, but remains open to asset sales or consolidation for compelling future opportunities. Three of the newbuildings — MV Bulk Sandefjord, MV Bulk Santiago, and MV Bulk Seoul — are set to start time charters with Koch Supply & Trading upon delivery. Earlier this year, 2020 Bulkers raised significant capital and upgraded its listing from Oslo’s over-the-counter market to the Oslo Axess.

 

20-July-2019

Zeaborn Ship Management GmbH & Co. KG’s co-founder relinquishes operational roles. Nevertheless, Ove Meyer will maintain his association as the managing partner of Zeaborn Holding. After six years since the inception of the German shipping conglomerate, Meyer has chosen to distance himself from the active management of Zeaborn Group. He has tendered his resignation from the directorial roles at subsidiaries Zeamarine, overseeing more than 80 heavy-lift MPPs, and Zeaborn Ship Management, effective forthwith. In 2013, the enterprise was established with the collaboration of managing partner Kurt Zech and real estate mogul Jan Hendrik Tobbe. Meyer will continue his affiliation with Zeaborn Holding, the umbrella organization for Zeaborn Group. Reflecting on the journey, Meyer expressed, “Over these tumultuous and exhilarating six years, Zeaborn metamorphosed through acquisitions, amalgamations, and subsequent integrations, evolving into a global powerhouse in commercial and technical management.” The helm of Zeamarine is now under the leadership of Chief Commercial Officer Dominik Stehle, Chief Operations Officer Nicki Schumacher, and Chief Financial Officer Michael Dumas, who will also collectively serve as the managing directors. Zeamarine’s inception in 2018 was a result of a collaborative venture with US-based Intermarine, integrating Zeaborn-owned Rickmers Line into its operations. Stehle integrated into the company’s fabric in November. Zeaborn Ship Management’s executive echelon comprises Chief Executive Rob Grool, Chief Operations Officer Michael Brandhoff, and Chief Financial Officer Erik Cruse. Meyer disclosed his intentions to dedicate some months addressing issues that were overlooked in recent years before embarking on fresh endeavors. He acknowledged the exceptional managerial talent that has been a cornerstone during the company’s extensive expansion phase. Notably, the assimilation of Zeamarine, which Meyer oversaw in a proprietorial capacity, progressed at a commendable velocity. Meyer remarked on the propitious moment to recede from the operational forefront. Jan Hendrik Tobbe and Kurt Zech extended their gratitude to Meyer for his unwavering dedication to both Zeaborn Ship Management GmbH & Co. KG and Zeamarine.

 

19-July-2019

United States-based private equity firm Kelso & Co. backed Delphin Shipping sold eleven (11) bulk carriers to Oaktree Capital Management backed shipowner and operator Star Bulk Carriers.

Sophocles Zoullas led private New York-based shipowner Delphin Shipping has already seen a profit of more than $15 million on its fleet sale to Star Bulk Carriers in May 2019. However, Delphin Shipping has to hold on to shares of Star Bulk Carriers for a while.

During the sale of eleven (11) bulk carriers, Delphin Shipping received 4.5 million new shares and $80 million cash. In May 2019, 4.5 million shares of Star Bulk Carriers was worth around $33.9 million. Currently, in July 2019, 4.5 million shares of Star Bulk Carriers is worth around $49 million. Under the terms of the (11) bulk carriers’ deal, Delphin Shipping can not sell more than half of the shares i.e. 2.25 million shares of NASDAQ listed Star Bulk Carriers before 23 Novemb­er 2019. This seems like a good transaction for all stakeholders.

Star Bulk Carriers have positive sentiments on capesize freights rates through the rest of 2019. Furthermore, most of the fleet of Star Bulk Carriers will be installed scrubbers before IMO (International Maritime Organisation) 2020 scrubber deadline.

Private equity firm Kelso & Co. backed Delphin Shipping is not exiting the dry bulk sector, but merely transforming its interest into a leading New York-listed shipowner and operator Star Bulk Carriers.

Delphin Shipping deal grows Petros Pappas led shipowner and operator Star Bulk Carriers’ fleet to 120 bulk carriers.

After the latest transaction, Delphin Shipping will own about 4.6% of NASDAQ listed shipowner and operator Star Bulk Carriers.

 

19-July-2019

Prominent Greek shipping companies are actively participating in the bustling sale and purchase market for supramax bulk carriers, signaling a robust continuation of fleet renewal initiatives despite the summer period typically experiencing a slowdown. Angeliki Frangou’s Navios Maritime Holdings and Petros Pappas’s Star Bulk Carriers Corp have both proceeded to dispose of older vessels from their fleets this week, underscoring a strategic push towards modernization. Navios Maritime Holdings, listed on the New York Stock Exchange, has recently completed the sale of the 53K DWT supramax bulk carrier MV Navios Primavera, built in 2007, with the transaction reportedly closing at around $10.5 million. This sale came shortly after the company sold another supramax vessel, the 53K DWT MV Navios Arc, built in 2003, to a Chinese shipowner for approximately $7.5 million. With these transactions, Navios Holdings has sold a total of five older bulk carriers this year, while acquiring a modern panamax bulk carrier, highlighting its strategic fleet optimization efforts. Similarly, Star Bulk Carriers Corp, another major player in the dry bulk market, has reportedly sold the 53K DWT supramax bulk carrier MV Star Gamma, constructed in 2002, for $7 million to a Russian buyer. This vessel, originating from Japanese construction, marks the second supramax bulk carrier Star Bulk has sold this year, following its acquisition of Delphin Shipping’s fleet earlier in the spring. This acquisition is part of Star Bulk’s ongoing strategy to consolidate its position in the dry bulk sector, demonstrating its active role on both the buying and selling fronts of the market. The sale and purchase market for supramax bulk carriers remains vibrant, with shipbrokers noting an unusual extension of sales activity into the typically quieter summer months. This sustained market activity is attributed to a resurgence in spot rates, injecting liquidity into the market and diminishing the traditional summer lull. The enhanced connectivity and communication in today’s shipping industry also play a crucial role in maintaining the momentum of transactions during periods that historically saw reduced activity, indicating a significant shift in market dynamics.

 

19-July-2019

Lugano-based shipowner and operator Nova Marine Carriers expands in the grain sector and opened an office in Geneva. Usually, Swiss-Italian shipowner and operator Nova Marine Carriers focus on the steel sector. Nova Marine Carriers’ Geneva office is going to be managed by Cedric Lopresti, a previous trader on the handysize desk of Louis Dreyfus Commodities. Currently, Nova Marine Carriers transport barely 5% of grain. Nova Marine Carriers’ Geneva office be closer to grain charterers. Lugano-based shipowner and operator Nova Marine Carriers holds a partnership with Lugano-based steel trader Duferco. Currently, Nova Marine Carriers is led by Vincenzo Romeo. Vincenzo Romeo’s brother Antonello Romeo and sister Laura Romeo are also managing Nova Marine Carriers. In 2018, Lugano-based shipowner and operator Nova Marine Carriers carried 22 million tonnes of cargo for steel trader Duferco and cement producer Italcementi. Nova Marine Carriers signed partnerships with Algoma Central Corporation and Navesco. Currently, Swiss-Italian shipowner and operator Nova Marine Carriers operates around 100 ships.

 

18-July-2019

Chinese investors are actively participating in the capesize bulk carrier sector, with several new and discreet players acquiring their initial capes in recent days. A notable transaction has taken place involving the fast-growing Hong Kong and Qingdao-based Chinese shipowner and operator Agricore Shipping ASL which has acquired its largest bulk carriers to date. Four-year-old Agricore Shipping ASL has reached an agreement with its compatriot, China Minsheng Trust, to purchase one of their three capesize bulk carriers. Agricore Group’s subsidiary Agricore Shipping ASL acquired 2004 built capesize bulk carrier MV ASL Mars (ex MV MSXT Vivienne) for around $12.5 million. 2004 built capesize bulk carrier MV ASL Mars (ex MV MSXT Vivienne) will join Agricore Shipping ASL’s existing fleet of two panamax bulk carriers and one supramax bulk carrier. Agricore Group’s subsidiary Agricore Ship Management Co Ltd manages the fleet of Agricore Shipping ASL. Agricore Shipping ASL and Agricore Shipping HK Limited have experienced rapid growth in their operations, having acquired two bulk carriers this spring. In addition to Agricore Shipping ASL’s primary focus on grain transportation, Agricore Shipping ASL is also engaged in the shipment of coal, iron ore, and fertilizers, undertaking nearly 200 voyages annually.

 

18-July-2019

Croatian shipowner and operator Atlantska Plovidba declared that two (2) bulker crew members have died and two (2) crew members were injured during tank cleaning on 2015 built handysize bulk carrier 39K DWT MV AP Dubrava off Brazil. Dubrovnik-based shipowner and operator Atlantska Plovidba reported that two (2) injured crew members were taken by helicopter to the hospital. Furthermore, Atlantska Plovidba reported that another crew member who was not directly involved in the incident has also been taken to hospital. Zagreb-listed shipowner and operator Atlantska Plovidba informed that the tragic accident happened while a tank was being rinsed out. Atlantska Plovidba denied media reports that there were a series of explosions on the 2015 built handysize bulk carrier 39K DWT MV AP Dubrava. Atlantska Plovidba informed the families of the crew members. Croatian shipowner and operator Atlantska Plovidba sent an administrator from the company’s headquarters to Brazil as support.

 

18-July-2019

Tidemand family has appealed to the Oslo Stock Exchange resolution regarding their failed bid to take over Belships. Belships has since merged with Frode Teigen's Lighthouse. Frode Teigen takes a $70 million stake in Belships after closing merger with Lighthouse. Tidemand family claims Oslo Stock Exchange's rules on sales of large shareholdings fail to protect the interests of minority shareholders of Belships. Kristin Tidemand explained that Belships case of material importance to all investors in the Norwegian stock market. Belships case addresses the question of how legitimate it is to give certain main shareholders the benefit of being paid above market values prior to a merger transferring control to the new main shareholder, while the minority shareholders are left with no option to exit in a falling market. A few other minority shareholders in Belships have endorsed Tidships’ submission to Oslo Stock Exchange Appeals Committee. Kristin Tidemand, her father Otto Tidemand, and her sister Caroline Tidemand own a 10.6% stake in the Oslo-listed bulk carrier shipowner Belships through Tidships. Tidships launched an unsuccessful takeover bid for Belships in 2018. In February 2018, Tidships’ bid was prompted when Sverre Tidemand and brother of Otto Tidemand hired ABG to undertake a strategic review of his 67.05% Belships stake, which was held by his company Sonata. Sonata rejected Tidships’ offer of NOK 5.50 ($0.64) per share for all Belships’ outstanding shares. Later on, Sonata sold a 30.2% stake at NOK 7.00 ($0.82) per share to Kontrari. Kontrari is an entity that is owned by the investor and shipowner Frode Teigen. In September 2018, Tidships filed a protest with Oslo Stock Exchange. Tidships complained that the deal should have triggered a voluntary offering from Frode Teigen's Kontrari to all other shareholders at the offer price and asked the exchange to request such an offering. Oslo Stock Exchange declined on the basis that voluntary offerings are triggered only when more than 33.3% of an Oslo-listed company is offered for sale. Belships' stock sale to Kontrari, which has a 69.8% shareholding subsequent to the transaction, was subject to Belships merging with Frode Teigen’s dry cargo shipping operation, Lighthouse Shipholding. 10 December 2018, Belships merger with Lighthouse was closed on. Currently, Belships has 8 supramax and 9 ultramax bulk carriers.

 

18-July-2019

Hong Kong and Oslo listed Jinhui Shipping and Transportation CEO Siu Fai Ng has purchased 6,947 shares and raises shareholding. CEO Siu Fai Ng spent around NOK 63,600 ($7,463) for the purchase of 6,947 shares. According to the Oslo Stock Exchange filing, CEO Siu Fai Ng paid an average price of NOK 9.16 each share. The latest transaction raised CEO Siu Fai Ng’s shareholding to 4,788,620 shares, equivalent to around 4.3% of all Jinhui Shipping and Transportation’s outstanding share capital. Besides, CEO Siu Fai Ng holds indirect stakes in Jinhui Shipping and Transportation through his majority shareholding in Jinhui Holdings and in Fairline Consultants. Jinhui Holdings and Fairline Consultants are majority shareholders in Jinhui Shipping and Transportation. Jinhui Shipping and Transportation’s shares were trading at a price of NOK 9.49 each. In early 2017, Oslo-listed Jinhui Shipping and Transportation axed bonus payments for top management following the 2016 crisis. 2017 reaction came from investors caused by the absence of dividends. Currently, Hong Kong and Oslo listed Jinhui Shipping and Transportation has a fleet of 17 supramax and 2 post-panamax bulk carriers.

 

18-July-2019

Norwegian-Swedish owned Ro-Ro behemoth operator Wallenius Wilhelmsen expressed that European Union ship scrapyards must be able to satisfy the continuing recycling requirements of the EU-flagged vessels. In the last decade green-recycling advocate Wallenius Wilhelmsen has demolished 30 ships. Wallenius Wilhelmsen expressed that approved European Union facilities must be fitted for continuing recycling requirements of the EU-flagged ships and extra scrapyards should be introduced on European Union’s list Irresponsible recycling is solely not compatible with Wallenius Wilhelmsen’s own standards. Wallenius Wilhelmsen will proceed to recycle their ships only according to high standards.

 

18-July-2019

Norwegian shipowner and operator Spar Shipping reported an operating profit of $27 million for 2018. Spar Shipping doubled the annual profit in 2018. However, Spar Shipping is not very optimistic about 2019. Currently, Spar Shipping is seeking a spot-oriented charter plan due to predominating weak dry bulk markets. According to Norwegian shipowner and operator Spar Shipping, the lack of significant iron-ore cargo out of Brazil has deeply affected the dry bulk markets at the beginning of 2019. Currently, Spar Shipping’s bulk carriers are either on the spot market or longer charters with index-linked rates. Traditionally, Spar Shipping has chartered out its bulk carriers on a long-term basis, but current margins have made this an ­unattractive solution. Therefore, Spar Shipping has been planning to establish an in-house chartering department for the spot market. Furthermore, Norwegian shipowner and operator Spar Shipping pursue a petition against Grand China Logistics Holding over canceled charters for three (3) supramax bulk carriers. Grand China Logistics Holding has lost in the United Kingdom court, however, the conflict has now moved to a Chinese court. Bergen-based shipowner and operator Spar Shipping is owned by the family of the late Helge Eide Knudsen, who died in July 2015. Today, Helge Eide Knudsen’s sons Tom Knudsen and Iwan Eide Knudsen are controlling the Spar Shipping. Currently, Spar Shipping owns and operates 24 bulk carriers.

 

18-July-2019

Leading Greek shipping firms are actively engaging in the dynamic sale and purchase scene for supramax bulk carriers, demonstrating an ongoing commitment to fleet renewal even during the typically slower summer months. This week, both Angeliki Frangou’s Navios Maritime Holdings and Petros Pappas’s Star Bulk Carriers Corp have made strategic moves to modernize their fleets by selling off older vessels. Navios Maritime Holdings, which is traded on the New York Stock Exchange, finalized the sale of the 53K DWT supramax bulk carrier MV Navios Primavera, constructed in 2007, for an estimated $10.5 million. This transaction follows the company’s sale of the MV Navios Arc, a 53K DWT supramax built in 2003, to a Chinese shipping entity for about $7.5 million. So far this year, Navios Holdings has divested five aging bulk carriers and added a contemporary panamax bulk carrier to its fleet, illustrating a focused strategy on fleet optimization. Star Bulk Carriers Corp, a significant entity in the dry bulk industry, is reported to have sold the 53K DWT supramax bulk carrier MV Star Gamma, built in 2002, to a Russian shipowner for $7 million. This sale, involving a vessel of Japanese origin, represents the second supramax bulk carrier Star Bulk has sold this year and comes after its acquisition of Delphin Shipping’s fleet in the spring. These moves are part of Star Bulk’s strategy to strengthen its presence in the dry bulk market, actively participating in both acquiring and divesting vessels. The market for supramax bulk carriers continues to thrive, with shipbrokers observing continued sales activity into the summer months, which typically see a downturn. This enduring market vibrancy can be attributed to a revival in spot rates, bringing liquidity to the sale and purchase (S&P) market and mitigating the expected summer slowdown. Moreover, today’s shipping industry benefits from improved connectivity and communication, which sustains transaction momentum during traditionally quieter periods, marking a notable transformation in market behavior.

 

18-July-2019

The capesize market is poised for a significant boost as Vale, the Brazilian mining powerhouse, plans to retrofit nearly 50 of its giant ore carriers with scrubbers by the end of the year, according to Braemar ACM. This move is set to reduce the availability of Very Large Ore Carriers (VLOCs) in the market temporarily, thereby supporting the already soaring capesize bulk carrier spot rates, which have reached their highest in five years. Vale’s ambitious plan includes fitting exhaust cleaning systems on all 48 carriers in its third-generation fleet and is considering the same for the 67 bulk carriers from the first and second generations of valemax bulk carriers. Braemar ACM highlighted the strategic timing, noting that the temporary withdrawal of Very Large Ore Carriers (VLOCs) for scrubber installation will positively impact the balance of the cape market. This adjustment comes at a time when iron ore shipment volumes have returned to levels seen in the latter half of the previous year, despite Vale’s production being constrained in its southern system. The capesize bulk carrier sector experienced a sluggish start in 2019, impacted by a slow Chinese economy and a dam collapse at Vale, which significantly cut into the miner’s export capabilities. However, with the Brucutu mine’s return to operation, capesize rates have surged to $32,000 per day, marking a dramatic increase from the $9,000 per day average in Q2 2019 and reaching the highest rates since 2014. Braemar ACM has documented that of the 119 Very Large Ore Carriers (VLOCs) delivered since 2008, which includes 61 valemax bulk carriers, only 19 have been equipped with scrubbers, with 10 of these being valemax bulk carriers. This includes both new buildings and retrofitted trading bulk carriers. The retrofitting process has taken longer than initially expected, averaging 28 days per bulk carrier, indicating that original estimates for downtime were overly optimistic. With a deadline by the end of this year to retrofit the remaining 48 bulk carriers, the industry faces a significant challenge. The estimated 1,200 trading days lost to retrofitting represent 15% of the available operating time, not accounting for additional delays such as diverting to shipyards. However, the impact of this capacity reduction may be somewhat mitigated by the delivery of new valemax bulk carriers and guaibamax bulk carriers, along with a substantial number of cape bulk carriers and newcastlemax bulk carriers still due for delivery this year. Shipowners are likely to be eager to launch these new vessels promptly to capitalize on the favorable market conditions, suggesting a dynamic period ahead for the capesize market as it adjusts to these developments.

 

18-July-2019

Greek shipowner and operator Vrontados SA and Navarone have reported four (4) supramax bulk carriers for sale in the S&P market. Athens based Vrontados SA has been encouraging shipowners to inspect 2003 built  50K DWT supramax bulk carrier sisterships MV Maria L and MV Ero L. Navarone and sister company Canfornav are trying to sell 2011 built supramax bulk carrier 56K DWT MV Pintail and 2012 built supramax bulk carrier 56K DWT MV Scoter.

 

18-July-2019

The esteemed German conglomerate, Zeaborn Ship Management GmbH & Co. KG, has declared the departure of its illustrious co-founder, Ove Meyer, as the chief administrator from all the functional units of Zeaborn Ship Management GmbH & Co. KG and its counterpart, Zeamarine, with immediate repercussion. Nonetheless, Ove Meyer will retain his role as the principal partner of Zeaborn Holding. These past half-dozen years have been a riveting and profound journey, wherein Zeaborn Ship Management GmbH & Co. KG metamorphosed, through a series of acquisitions, amalgamations, and subsequent integrations, into a globally-recognized maritime enterprise adept in both commercial and technical spheres. With stalwarts like Dominik Stehle, Nicki Schumacher, and Frank Fischer at the forefront of Zeamarine, as well as Rob Grool, Michael Brandhoff, and Erik Kruse steering Zeaborn Ship Management GmbH & Co. KG. Zeaborn Ship Management GmbH & Co. KG, a beacon of maritime excellence, was inaugurated in April of 2013 and currently boasts ownership of a fleet comprising 38 vessels. Recently in May, Zeaborn Ship Management GmbH & Co. KG undertook a momentous endeavor, expanding its horizon into the tanker domain by procuring Claus-Peter Offen Tankschiffreederei (CPO Tankers), the distinguished tanker management offshoot of the Offen Group.

 

17-July-2019

Vale’s initiative to equip nearly 50 of its giant ore carriers with scrubbers by year-end is expected to significantly uplift the capesize market. Braemar ACM’s analysis reveals this retrofitting effort will momentarily diminish the availability of Very Large Ore Carriers (VLOCs), further elevating the capesize bulk carrier spot rates to their highest point in five years. This strategic move involves installing exhaust cleaning systems on all 48 carriers in Vale’s third-generation fleet, with considerations to extend this upgrade to the 67 carriers from its first and second generations of Valemax vessels. The timing is pivotal, as the reduction of Very Large Ore Carriers (VLOCs) for scrubber installation aligns with a period where iron ore shipment volumes have rebounded to late previous year levels, despite Vale’s reduced output from its southern system. The capesize sector, which had a slow start in 2019 due to a sluggish Chinese economy and the impact of a Vale dam collapse, has seen a remarkable recovery. The Brucutu mine’s reactivation has propelled capesize rates to $32,000 per day, a stark contrast to the $9,000 per day average in Q2 2019 and marking the highest rates since 2014. Out of the 119 Very Large Ore Carriers (VLOCs) delivered since 2008, including 61 Valemax carriers, only 19 currently have scrubbers installed, with 10 of these being Valemax ships. This encompasses both newly built and retrofitted trading carriers. The retrofitting process, averaging 28 days per carrier, has exceeded initial downtime estimates, posing a challenge as the year-end deadline approaches to outfit the remaining 48 carriers. The resulting 1,200 trading days lost to retrofitting equates to 15% of the fleet’s available operating time, not including potential delays for yard diversions. However, this capacity reduction may be partially offset by the anticipated delivery of new valemax bulk carriers and guaibamax bulk carriers, in addition to a significant number of cape and Newcastlemax carriers slated for launch this year. Shipowners, motivated by the current favorable market conditions, are likely to expedite the launch of these new ships, signaling a dynamic phase for the capesize market as it adapts to these significant industry developments.

 

17-July-2019

Athens-based New York-listed shipowner and operator Diana Shipping (DSX) has recently secured a short-term period contract for one of its panamax bulkers, coinciding with the spot market’s peak performance in nearly six years. The 2010-built panamax bulk carrier, MV Selina, boasting a 75K DWT, has been chartered to Ausca Shipping based in Hong Kong. The contract spans seven to nine months at a gross rate of $11,750 daily. This rate comes after MV Selina’s previous charter to BG Shipping of Hong Kong, which had a gross rate of $12,250 daily. Interestingly, Diana Shipping’s rate is somewhat lower than recent market fixtures for comparable durations. For instance, on 11 July, the MV Irene Madias, a 79,516 DWT vessel constructed in 2012, was chartered to an anonymous Chinese entity at a daily rate of $13,000 for a six to eight-month term. Given the prevailing spot market conditions, Diana Shipping might have achieved higher rates if they had chartered the panamax bulk carriers now. However, under the guidance of Simeon Palios, Greek shipowner and operator Diana Shipping (DSX) consistently adheres to its policy. This policy involves chartering its bulk carriers on period deals that have staggered end dates, ensuring stability and predictability for the firm.

 

17-July-2019

Dionysios Dellaportas, the founder and president of Meadway Shipping & Trading Inc, died at the age of 70. Dionysios Dellaportas established Meadway Shipping & Trading Inc as a ship brokerage in 1988. Dionysios Dellaportas expanded Meadway Shipping & Trading Inc into ship-owning as well. Currently, Meadway Shipping & Trading Inc owns and operates 12 bulk carriers. Furthermore, Meadway Shipping & Trading Inc charters in 40 bulk carriers on a long-term basis. Dionysios Dellaportas is the first shipowner who opened a chartering office in Singapore. Meadway Shipping & Trading Inc will be controlled by his sons Costas Dellaportas and George Dellaportas. In 2009, Dionysios Dellaportas established the Singapore branch. In 2018, Dionysios Dellaportas established the Dubai branch.

 

17-July-2019

Bermuda-registered, Oslo, and New York-listed dry bulk shipping company Golden Ocean Group has registered $400 million worth of shares for potential sale through a prospectus and prospectus supplement filed with the SEC (Security Exchange Commission). John Fredriksen-backed shipowner Golden Ocean Group submitted as a portion of a shelf registration process that provides future sale of common shares, preferred shares, debt securities, and warrants. Currently, Golden Ocean Group has a market capitalization of $969 million. John Fredriksen-backed shipowner Golden Ocean Group’s fleet consists of 46 capesize bulk carriers, 28 panamaxes bulk carriers, and 3 ultramax bulk carriers.

 

17-July-2019

UAE-based Shaikh-family controlled shipowner and operator Tomini Shipping has once again demonstrated how Dubai-based Tomini Shipping uses the S&P (Sale and Purchase) market to create value, banking profits through a well-timed asset play that monetizes secondhand ship price strength after acquiring the ships at much lower levels earlier in the cycle. In the latest round of disposals, Dubai-based Tomini Shipping sold 2012 built supramax bulk carrier 57K DWT MV Tomini Victory for around $10.5 million and also sold 2012 built supramax bulk carrier 57K DWT MV Tomini Sincerity for around $10.8 million, with Shaikh-family controlled shipowner and operator Tomini Shipping reportedly placing both supramax bulk carriers with Chinese shipowners. The sales stand out because Tomini Shipping acquired MV Tomini Victory and MV Tomini Sincerity back in 2016 at substantially cheaper prices, when CEO Nitin Mehta-led Tomini Shipping took advantage of a weaker market to lock in low entry points that later created room for significant upside on resale. On the numbers cited, Tomini Shipping is positioned to generate profits exceeding $7 million from the two supramax bulk carrier disposals, reinforcing the pattern that Tomini Shipping has frequently used: buy ships when asset values are depressed, operate them through improving freight and asset cycles, and then recycle capital by selling when secondhand prices recover. The move also illustrates how UAE-based Shaikh-family controlled shipowner and operator Tomini Shipping balances fleet management with financial discipline, using ship sales not only to crystallize gains but also to refresh fleet composition and redeploy liquidity toward segments that fit Tomini Shipping’s evolving strategy. In practical terms, disposing of 2012 built supramax bulk carrier tonnage can allow Tomini Shipping to reduce average fleet age, concentrate on ship sizes that best match charterer demand, and maintain flexibility to pursue newer, more efficient ships that can perform strongly under modern operational and environmental expectations. These latest transactions also align with the broader profile of Dubai-based Tomini Shipping as an owner-operator that actively manages exposure rather than holding a static fleet, with Tomini Shipping often blending ship acquisitions, ship sales, and chartering decisions to optimize returns through the cycle. By selling MV Tomini Victory and MV Tomini Sincerity at improved price levels and transferring the ships to Chinese shipowners, UAE-based Shaikh-family controlled shipowner and operator Tomini Shipping has underlined that Tomini Shipping’s fleet strategy includes opportunistic capital recycling, and the resulting profit pool can support Tomini Shipping’s next growth steps—whether through additional acquisitions, selective newbuildings, or redeployment into other dry bulk ship sizes that match Tomini Shipping’s long-term employment strategy.

 

16-July-2019

Turbulence at investment bank CLSA is not going to influence the Hong Kong-based shipowner and operator Asia Maritime Pacific (AMP). Chinese state-­controlled investment bank CLSA is one of the main investors at Asia Maritime Pacific (AMP). Chinese state-­controlled investment bank CLSA has witnessed a constant stream of deficiencies in 2019. Citic Securities acquired Hong Kong-based investment bank CLSA in 2013 for around $1.3 billion. Hong Kong-based investment bank CLSA has been the main shareholder in Asia Maritime Pacific (AMP). Two Citic Securities executives who serve on the Asia Maritime Pacific (AMP) board have remained without interruption amid the Hong Kong-based investment bank CLSA turmoil. Hong Kong-based investment bank CLSA was an ­initial supporter of Asia Maritime Pacific (AMP). Currently, Hong Kong-based shipowner and operator Asia Maritime Pacific (AMP) owns and operates a fleet of 40 bulk carriers.

 

16-July-2019

Braemar Shipping Services CEO James Kidwell is retiring after 17 years at the London-based shipbroker company. Chairman Ron Series will become executive chairman on an interim basis. Braemar Shipping Services’ CEO James Kidwell has performed a notable role in the growth of the Braemar Shipping Services. Under his management, Braemar Shipping Services completed the merger with ACM, acquired Naves. Furthermore, Braemar Shipping Services established technical division AqualisBraemar with Aqualis. Braemar Shipping Services CEO James Kidwell concludes that it is now the right time to step down.

 

16-July-2019

Wall Street analysts are suggesting that Monaco-based New York-listed dry bulk shipowner and operator Scorpio Bulkers (SALT) could stand to benefit significantly by selling its $100 million stake in its sister company, Scorpio Tankers. This move is seen as a way to unlock value from what has been described as the company’s “best investment ever,” particularly after the investment faced criticism last fall. Noble Capital Markets analyst Poe Fratt recommended that Scorpio Bulkers could either sell the interest or spin it off to transfer the success of the Scorpio Tankers investment to its shareholders. Since the announcement of the deal, Scorpio Tankers shares have surged by 37%, while Scorpio Bulkers shares have seen a decline of 20.1%. The disparity between the performance of the two stocks highlights a potential opportunity for Scorpio Bulkers to capitalize on its investment, as Deutsche Bank analyst Amit Mehrotra pointed out that Scorpio Bulkers’ equity trades at less than half of net asset value when excluding its stake in Scorpio Tankers. Selling the stake could crystallize an unrealized gain for Scorpio Bulkers, potentially the most significant since the company’s inception in 2010. Such a sale would also increase the availability of Scorpio Tankers shares in the market, which is particularly appealing given the IMO 2020 regulations that are expected to benefit tanker operators. However, the decision to sell is not straightforward. Jefferies analyst Randy Giveans mentioned that selling the Scorpio Tankers position could be seen as a lack of confidence in the further upside of Scorpio Tankers. Robert Bugbee, president of both companies, has emphasized that the investment in Scorpio Tankers is seen as a long-term strategy rather than a short-term trade. A conservative approach to unwinding the position, as suggested by Mehrotra, involves selling a portion of shares over several quarters, using the proceeds for share repurchases and debt repayment by Scorpio Bulkers. This strategy could allow for a methodical divestment without forcing a choice between Scorpio Bulkers or Scorpio Tankers. The debate over the sale of the stake in Scorpio Tankers continues, with mixed opinions nine months after the deal’s announcement. Despite initial criticism, the investment has yielded a 55% return, potentially boosting Scorpio Bulkers’ earnings in the upcoming quarter. This performance reinforces views that the investment was a strategic success, despite ongoing governance and pureplay status concerns from some analysts.

 

16-July-2019

Singapore based ship-manager Poseidon Global Shipping has acquired supramax bulk carrier from Jinhui Shipping and Transportation Limited at the end of December 2018. Oslo and Hong Kong-listed Jinhui Shipping and Transportation Limited announced that it had sold a supramax bulk carrier for around $7 million but did not disclose the identity of the buyer at that time. Jinhui Shipping and Transportation Limited has now confirmed it sold 2001 built supramax bulk carrier 50K DWT MV Jin Zhou. MV Jin Zhou delivered to Singapore based Poseidon Global. Oslo and Hong Kong-listed Jinhui Shipping and Transportation Limited proceeds supramax bulker sales. In 2018, Jinhui Shipping and Transportation Limited sold four (4) supramax bulk carriers and another sold four (4) supramax bulk carries in 2017. Most supramax bulk carriers were built during the 2000s. Currently, Jinhui Shipping and Transportation Limited has a fleet of 18 bulk carriers.

 

16-July-2019

Dionysios Dellaportas, the founder and president of Meadway Shipping & Trading Inc, passed away at the age of 70; he founded Meadway Shipping & Trading Inc as a ship brokerage in 1988 and later expanded it into ship-owning, leading to the current ownership and operation of 12 bulk carriers, in addition to chartering 40 bulk carriers on a long-term basis. Dionysios Dellaportas was the first shipowner to open a chartering office in Singapore, having established the Singapore branch in 2009 and later the Dubai branch in 2018. Meadway Shipping & Trading Inc will now be led by his sons Costas Dellaportas and George Dellaportas.

 

16-July-2019

New York-listed shipowner and operator Safe Bulkers (SB) has installed its first scrubber in 2009 built post-panamax bulk carrier 89K DWT MV Martine. Limassol and Athens-based Safe Bulkers (SB) plans to install scrubbers on half of its fleet. Safe Bulkers (SB) prefers Cosco Guangzhou shipyard for scrubber installation. New York-listed shipowner and operator Safe Bulkers (SB) will instantly use low-sulfur bunkers on the other half of its fleet. Safe Bulkers (SB) foresees an off-hire period of 32 days for installing a scrubber on each bulk carrier. Open-loop scrubbers have been blamed for shifting sulfur pollution from the air to the sea. Furthermore, Open-loop scrubbers have been prohibited in various ports. Limassol and Athens-based Safe Bulkers (SB) preferred open-loop scrubbers.

 

16-July-2019

Guinea will increase bauxite shipping after a brand-new mine was given permission. Guinea’s Kimbo project will generate around 3 million metric tons of bauxite per year and 1.5 million metric tons of alumina per year. Tremendous investments will be harmonized into the development of a refinery, highways, and railways.

Guinea government declared a range of infrastructure and constitutional bills for expansion in the bauxite shipping industry. Guinea’s bauxite producer Societe Miniere de Boke (SMB) is going to contribute $1 billion to build a railway. Societe Miniere de Boke (SMB) is a joint venture between Winning Shipping, Guinea, Shandong Weiqiao Aluminium & Power Co, and UMS International. On the other hand, in order to regulate the transportation of bauxite, Guinea’s government is introducing a national agency. Guinea is base for a quarter (1/4) of the worlds bauxite reserves. In 2018, total Guinea bauxite exports reach to 55 million metric tons which is around half of the world’s bauxite exports.

Kamsarmax bulk carrier (82K DWT) received its title by fitting a 229 meter limit on ship length at the Port of Kamsar, Guinea. Port of Kamsar, Guinea is a significant bauxite shipping port. Capesize bulk carriers require transshipment via barge to load at Guinea bauxite export ports.

In 2019, newcastlemax bulk carriers account for a quarter of Guinea’s bauxite exports. Chinese giant shipowner and operator COSCO Bulk Shipping is planning to order at least 6 newcastlemax bulk carriers to meet 5 million metric tons per year agreement with Chinese aluminum producer Chalco. Bauxite trade is expected to account for around one fifth (1/5) of dry bulk trade growth in terms of tonne-miles in 2019.

 

16-July-2019

Three prominent shipping names Guy Hindley (Howe Robinson), Denis Petropoulos (Braemar Shipping Services), and Andy James (China Navigation) have joined the Baltic Exchange Council. Baltic Exchange Council governs the Baltic Exchange’s strategy and activities. Lambros Varnavides and John Hadjipateras have stepped down from Baltic Exchange Council. John Hadjipateras will remain on the Baltic Membership Council. Baltic Exchange Council is chaired by Duncan Dunn. Baltic Exchange Council governs the Baltic Exchange’s strategy for membership services, social responsibility, charities, and its relationship with its members, governments, regulatory bodies, and the global shipping community.

 

16-July-2019

1997 built 9K DWT MV Paksoy-1 was attacked at the coast of Nigeria and 10 crew members were taken as hostages. Istanbul based Turkish shipowner and operator Kadioglu Maritime’s MV Paksoy-1 was in ballast from Douala to Abidjan in Ivory Coast. No injuries or loss of lives has been reported. Later on, 10 crew members were released by the assistance of the Nigerian government.

 

16-July-2019

Norwegian shipowner and operator JJ Ugland has enjoyed a stronger 2018. After 2016 and 2017 weak dry bulk markets, conditions came closer to a balance of 2018. 2018 has been better for JJ Ugland than the previous two years. Most improvement was the dry cargo market, where stronger rates paved the way for an increase in ship values. Norwegian shipowner and operator JJ Ugland do not have long-term charter commitments and their bulk carriers will be benefited from the rising freight rates. JJ Ugland has offloaded its oldest bulk carrier and is awaiting delivery of a new bulk carrier in January 2019.

 

15-July-2019

Norwegian shipowner 2020 Bulkers has secured period charters for three (3) newcastlemax new-buildings to Koch Supply & Trading for up to 36 months. Norwegian Tor Olav Troim backed 2020 Bulkers has secured new charters for three (3) newcastlemax new-buildings. Koch Supply & Trading and Koch Shipping are subsidiary companies of Koch Industries. Furthermore, this week 2020 Bulkers is set for Oslo Axess listing. Three (3) newcastlemax new-buildings time charters will commence directly after delivery from New Times Shipyard, China. The first delivery of newcastlemax new-building is due in August. Koch Shipping is an active charterer of tankers and bulk carriers.

 

15-July-2019

In January 2019, Japanese shipowner MOL (Mitsui O.S.K. Lines) ordered another bulk carrier newbuilding at Yangzijiang Shipbuilding to its growing bulk carrier fleet. Previously, MOL (Mitsui O.S.K. Lines) ordered 8 kamsarmax 82K DWT newbuilding bulk carriers at Yangzijiang Shipbuilding. Including the latest deal which brings the total number of such ships, it has on order to nine (9) bulk carriers. MOL (Mitsui O.S.K. Lines) latest newbuilding is said to be a sister-ship to the earlier eight (8) kamsarmax 82K DWT newbuilding bulk carriers. International Maritime Organization (IMO) Tier II new-buildings kamsarmax bulk carriers are said to be costing around $27 million each. Yangzijiang Shipbuilding will start delivering all kamsarmax new-buildings in 2020. Mitsui & Co will continue to place more newbuilding orders at Yangzijiang Shipbuilding because Mitsui and Yangzijiang Shipbuilding have entered into a joint venture with Japanese shipyard Mitsui Engineering & Shipbuilding (Mitsui E&S) to create an Asian shipbuilding powerhouse. New joint venture will rent Yangzijiang’s Taicang Shipyard. Mitsui and Yangzijiang joint venture is aiming ­annual sales of $713 million at the Taicang Shipyard within five years. Furthermore, a new joint venture is planning to eventually break into the tanker and LNG markets. Taicang Shipyard does not have a dry dock but a new joint venture is planning to build one.

 

14-July-2019

In its recent offering following a private placement in May, Belships managed to liquidate slightly over a third of the accessible shares. Though the maritime firm, listed in Oslo, anticipated garnering $1.3 million through this repair offering, they amassed approximately $457,000. They proffered up to 1,603,128 fresh shares; however, the subscriptions barely reached 558,541 shares. An additional allotment of 6,876 shares is slated for distribution owing to over-subscription, as noted by Belships. The goal of this ensuing offer was primarily to accommodate shareholders possessing Belships' assets as of 28 May, particularly those who missed out on the private placement shares. With a visionary goal, Belships aspires to dynamically expand its horizons as a comprehensive shipowner and overseer of geared bulk carriers. The confluence of outcomes from both the subsequent offer and private placement means that Belships has accumulated a mere $8.8 million, falling significantly short of the envisioned $16.3 million target. The private placement in May yielded roughly $8.3 million out of a feasible $15 million. Lars Christian Skarsgard, the esteemed CEO of Belships, alongside other prominent insiders of the firm, collectively acquired 237,500 shares during the private placement. Since his inception in mid-March, following his tenure at Fearnleys where he presided over the sales and purchase desk, Skarsgard has significantly emboldened Belships' trajectory. As a testament to their growth, Belships recently declared their acquisition of an ultramax new build on a decade-long bareboat charter, amplifying their operational fleet to an impressive 20 bulk carriers. Their proactive involvement in the Sale and Purchase sector is evident, having acquired two pre-owned supramax and ultramax bulk carriers this year.

 

14-July-2019

US-based commodities giant Cargill’s shipping arm Cargill Ocean Transportation has reported a 20% decline in earnings as shipping markets lagged in 2018. US chartering and trading giant Cargill Ocean Transportation reported net earnings for Q2 2019 of $741 million. Cargill Ocean Transportation reported an operating profit for Q2 2019 of $853 million. Cargill Ocean Transportation reported revenue for Q2 2019 of $28 billion. Jan Dieleman-led Cargill Ocean Transportation exemplified that the ocean transportation business lagged in 2018 as freight markets plunged sharply in reaction to a weakening macroeconomic view. Geneva-based Cargill Ocean Transportation blamed the ambivalent effects of trade conflict on commodity flows and the hesitance of third-party charterers to hire vessels ahead of the implementation of new IMO 2020 rules on sulphur dioxide emissions. Cargill Ocean Transportation aims to prepare businesses for the future with steady progress, monetary discipline, and a disruptive perspective.

 

14-July-2019

Greek shipowner and ship-manager Samos Steamship Co. has successfully acquired 2011 built capesize bulk carrier MV Global Mercator. The shipowner, based in Athens and boasting a rich history spanning over 140 years, has invested a substantial sum of $26 million in procuring this Japanese-built capesize bulk carrier. Remarkably, the purchase price falls significantly below the fair market value of $27.5 million estimated by VesselsValue. Notably, MV Global Mercator stands as the most recent capesize bulk carrier to change hands this year. Currently, Greek shipowner and ship-manager Samos Steamship Co. possesses a fleet of 29 ships, comprising 13 bulkers and 16 tankers. Notably, this acquisition of a capesize bulk carrier represents Samos Steamship’s first venture into the dry bulk market in over two years.

 

12-July-2019

Athens-based New York-listed shipowner and operator Diana Shipping (DSX) has revised its share tender offer in light of its surging stock price. The shipowner increased the tender pricing by 15%, from $3.25 to $3.75 per share. This adjustment comes as Diana Shipping’s shares are trading at $3.73 on the New York Stock Exchange, noticeably higher than the initial tender price. Originally, the tender offer was set to conclude on 16 July 2019. However, it has been extended and is now expected to end on 25 July 2019 at the close of trading in New York. It’s essential to note that share buyback programs, like the one Diana Shipping is conducting, are not direct investments in the firm’s operations. Over the last month, Diana Shipping’s share price has seen an impressive 25% increase. Diana Shipping, a shipowner and operator based in Athens and listed in New York, initiated this tender offer on 14 June 2019. Through this offer, Greek shipowner and operator Diana Shipping (DSX) intends to repurchase two million shares, equivalent to 2% of its outstanding common stock.

 

11-July-2019

South Korean shipowner and operator H-Line Shipping ordered two (2) more LNG-fuelled capesize bulk carriers at Hyundai Samho Heavy Industries. Seoul-based H-Line Shipping will take the delivery of two (2) LNG-fuelled capesize bulk carriers in 2022. H-Line Shipping will operate LNG-fuelled capesize bulk carriers between South Korea and Australia. In October 2018, H-Line Shipping ordered two (2) LNG-fuelled capesize bulk carriers for delivery in 2020. Currently, South Korean shipowner and operator H-Line Shipping owns and operates 36 bulk carriers and LNG carriers.

 

10-July-2019

The Croatian shipping firm Uljanik Plovidba is in the process of divesting its newest vessels as part of a comprehensive financial restructuring plan. According to reports from shipbrokers, the company has put up for sale two of its supramax bulk carriers. Interested parties will have the opportunity to inspect the 52K DWT supramax bulk carrier MV Valovine, constructed in 2016, in Rotterdam starting next week. Its sister ship, the 52K DWT supramax bulk carrier MV Punta, built in 2013, is currently located in Spain. Up until the publication of this information, representatives from Uljanik Plovidba had not provided any comments. The potential sale of the MV Valovine and MV Punta would result in Uljanik Plovidba retaining two supramax bulk carriers and two medium-range tankers within its fleet. This move is seen as a strategic effort by Uljanik Plovidba to navigate its financial restructuring, which gained momentum following a court ruling in May that released its bank accounts from a freeze. This decision also postponed enforcement actions related to debts owed to the Uljanik Group shipyard 3 Maj, where both the Punta and the Valovine were constructed. The restructuring initiative started in June with the sale of the MR tanker, the 53K DWT tanker MT Kastav, built in 2009. Although Uljanik Plovidba did not disclose the sale’s details, shipbrokers indicated that the MT Kastav was sold for approximately $15 million. The new owner of the MT Kastav was revealed last week when Uljanik Plovidba officially transferred it to Ditas Shipping. The vessel, now named MT T Jungfrau, joins the expanding fleet of Ditas Shipping, a Turkish company affiliated with the Koc business group, marking its first tanker acquisitions in five years. Ditas Shipping’s recent acquisitions include the 50K DWT MT High Sun (now MT T Fatma, built in 2014), purchased for about $29 million from a venture partly owned by Italy’s d’Amico International Shipping. Additionally, Ditas Shipping is rumored to have expanded its fleet with the 48K DWT MT T Matterhorn (formerly MT Nord Innovation, built in 2010), bought last November for an estimated $17 million. Following maintenance, the MT T Matterhorn, reflecting Ditas Shipping’s naming convention, was delivered in April and is presently operating within the Norient pool, a collaboration between Norden and Interorient.

 

10-July-2019

US-based commodities giant Cargill’s shipping arm Cargill Ocean Transportation has reported a 67% drop in Q4 net profit. Jan Dieleman-led Cargill Ocean Transportation blamed an extremely difficult international business environment for the figure of $235 million in the three months to 31 May. Cargill Ocean Transportation has reported net earnings decreased by 17% to $2.56 billion for the year. In Q4, Cargill Ocean Transportation reported revenue of $29.9 billion. Cargill Ocean Transportation reported revenue of $113 billion for the full year. One of the world’s biggest ship operators Cargill Ocean Transportation stated that throughout the year, the company encountered extremely difficult international business circumstances that slowed earnings. However, Cargill Ocean Transportation decreased costs company-wide. Chartering giant Cargill Ocean Transportation is concentrated on what the company can best control: moving faster, raising efficiency, and creating innovative solutions for clients.

 

10-July-2019

In the first week of July 2019, Cobelfret Bulk Carriers CLdN and Nissen Kaiun sold two capesize dry bulk carriers. Nevertheless, these transactions don’t necessarily mean a revival for capesize dry bulk carriers in the sale and purchase market. Cobelfret Bulk Carriers CLdN sold 2004 Japanese built capesize dry bulk carrier 177K DWT MV Lowlands Phoenix to Chinese shipowners for about $13 million. Nissen Kaiun sold 2011 Japanese built capesize dry bulk carrier 182K DWT MV Global Mercator to Greek shipowner Samos Steamship for about $26 million. Despite the latest transactions of capesize dry bulk carriers, the sale and purchase market remains relatively stagnant, even though cape spot rates are at the highest level seen in 11 months. According to sale and purchase market experts, capesize bulk carrier book values are still relatively high, that is why Japanese shipowners are trying to sell ships and book a tax loss. Till July 2019, only 9 other capesize bulk carries have been reported sold. Some shipowners are selling their ships in order to free up capital to order new-buildings. Japanese shipowner Nissen Kaiun ordered 10 handysize log carrier new-buildings worth about total $250 million at Japan’s Tsuneishi Shipbuilding. Meantime, Singapore based shipowner Singa Star is trying to sell 2007 built capesize dry bulk carrier 180K DWT MV Nord Steel for around $18 million. MV Nord Steel has been in and out of sale and purchase market since the first week of January 2019. Formerly, Singa Star had expected to achieve a price of over $22 million.

 

10-July-2019

Lauritzen Bulkers is to open a new office in Dubai in August 2019. Lauritzen Bulkers target the Middle Eastern market. Middle East region is an important and growing area for Lauritzen Bulkers. Lauritzen Bulkers will be closer to existing and new customers. CEO Niels Josefsen explained that Lauritzen Bulkers Dubai office is part of the Lauritzen Bulkers’s goal to double its overall short-term trading activity in the Middle East region. Copenhagen headquartered Lauritzen Bulkers already has offices in, Singapore, Stamford USA, and Denmark. Lauritzen Bulkers Dubai office will be led by Simon Fast as of 1 August 2019. Previously, Simon Fast was a chartering manager at MUR Shipping and Ultrabulk. Besides Simon Fast, Christian Elbaek will be transferred to the Dubai office from Copenhagen. In February 2019, Lauritzen Bulkers warned investors that the company is unlikely to return to profitability in 2019. This week Lauritzen Bulkers sold two handysize bulk carriers to Taylor Maritime. Due to the weak bulk market, Lauritzen Bulkers reduced its operated bulk carrier fleet by 15 ships.

 

10-July-2019

The maritime firm based in Qatar, S’hail Shipping and Maritime Services, has integrated two panamax bulk carriers into the Klaveness Baumarine Pool, managed by the Oslo-based Klaveness. This expansion means S’hail Shipping and Maritime Services now contributes five of its seven vessels to the pool managed by Klaveness. The two recent additions to the Klaveness-run Baumarine Pool by S’hail Shipping and Maritime Services are the panamax bulk carriers: the 76K DWT MV S’hail al Rayan (constructed in 2006) and the 74K DWT MV S’hail al Dukhan (constructed in 2005), which joined the pool in June 2019. Founded in December 2016, S’hail Shipping and Maritime Services has, with these additions, five of its fleet of seven in the Klaveness Baumarine Pool. In a transaction completed in late May 2019, valued at roughly $20.6 million in total, S’hail Shipping and Maritime Services acquired these two panamax bulk carriers. The MV S’hail al Rayan, previously named MV Chris, was purchased from the Greek shipowner Chandris, and the MV S’hail al Dukhan, formerly MV Paquis, was bought from the Japanese shipowner Santoku Senpaku. Mohamed Khalifa Al-Sada, the chairman of S’hail Shipping and Maritime Services, and CEO Rajiv Pal have noted the collaboration with the Klaveness Baumarine Pool as being beneficial for both entities, with an openness towards exploring further expansion within this partnership. Hans Næss Olstad, the head of pool management at Klaveness Baumarine Pool, remarked on the successful cooperation and resource optimization achieved with S’hail Shipping and Maritime Services’ entry of its fourth and fifth bulk carriers into the Baumarine Pool. This collaboration aids in streamlining their spot trade operations while mitigating positional and counterpart risk. S’hail Shipping and Maritime Services enjoys several advantages from being part of the Klaveness Baumarine Pool, including access to deal flow and chartering offices located in Oslo, Singapore, and Dubai, a network of first-class charterers, market research, and digital tools provided by Klaveness Baumarine Pool. Furthermore, S’hail Shipping and Maritime Services, through the Klaveness Baumarine Pool, can adjust from floating to fixed rate agreements at mutually agreed levels, thereby capitalizing on market volatility. The Klaveness Baumarine Pool, with over 50 years of experience managing dry bulk pools, currently operates two pools: the Bulkhandling Pool for handymax, supramax, and ultramax bulk carriers, and the Baumarine Pool for panamax, kamsarmax, and post-panamax bulk carriers.

 

10-July-2019

Hong Kong-based shipowner and ship manager Taylor Maritime bought two (2) 2010 built handysize bulk carriers from Copenhagen based J. Lauritzen. Taylor Maritime spent around $9 million each 31K DWT MV Emma Bulker and MV Louise Bulker. MV Emma Bulker and MV Louise Bulker sale price is in line with previously reported Japanese built handysize bulk carriers of a similar age. Similarly, Greek shipowner and operator Oryx Shipping acquired 2010 Japanese built handysize dry bulk carrier 29K DWT MV Trade Star for around $9 million. Hong Kong-based shipowner and ship manager Taylor Maritime acquired 10 secondhand bulk carriers during 2018. Taylor Maritime prefers vintage, well-maintained Japanese built bulk carriers. Up to now, all Taylor Maritime acquisitions were handysize bulk carriers, including five (5) open-hatch bulk carriers and one (1) supramax bulk carrier.

 

10-July-2019

The London-headquartered Union Maritime Limited (UML) has entered into a construction agreement with Cosco Shipping Heavy Industry (CSHI) for the building of up to four aframax tankers, each with a deadweight of 113K DWT. The deal secured by Union Maritime Limited (UML) includes a guaranteed order for two aframax tankers, with the option to commission two additional vessels. These aframax tankers are set to be constructed at the Zhoushan Shipyard, operated by Cosco Shipping Heavy Industry (CSHI), with the inaugural tanker slated for delivery in the fourth quarter of 2020. Presently, Union Maritime Limited (UML) boasts ownership of a diverse fleet of 44 vessels, which encompasses 41 tankers, a single bulker, and two Offshore Support Vessels (OSVs). In addition, Union Maritime Limited (UML) is anticipating the completion of three ultramax bulk carriers, currently under construction at the Yangzhou Shipyard, also managed by Cosco Shipping Heavy Industry (CSHI).

 

9-July-2019

Turkish shipowner and operator Densay Shipping acquired 2015 built handysize bulk carrier 36K DWT MV SSI Reliance (ex MV Alkyon). Previously, MV SSI Reliance (ex MV Alkyon) was owned by Stallion Eight Shipping and managed by Ariston Navigation. MV SSI Reliance (ex MV Alkyon) was acquired by Densay Shipping in an auction in the United Kingdom after a bitter legal row. United Kingdom High Court dismissed the Stallion Eight Shipping’s move to stop the auction. Densay Shipping acquired 2015 built handysize bulk carrier 36K DWT MV SSI Reliance (ex MV Alkyon) for around $12.5 million. Densay Shipping has made profits of around $15 million in asset plays in two years.

 

9-July-2019

Athens-based George Economou-led shipowner and operator DryShips has appointed a committee to consider the non-binding offer of $4.00 per share proposed by George Economou-backed SPII Holdings on 12 June 2019. CEO George Economou strives to obtain the remaining 16.6% of the DryShips he does not already own. Greek shipowner and operator DryShips’ share price jumped 24% to $3.93 on the New York Stock Exchange after the takeover offer was publicized. George Economou’s 83.4% stake in DryShips is worth $278 million at the current share price. Nasdaq-listed shipowner and operator DryShips has been known as a dry bulk shipowner, whereas DryShips has bought six (6) tankers since 2017. Previously, DryShips bought out tanker pool operator Heidmar. In 2005, DryShips was listed on the New York Stock Exchange. Nonetheless, dry bulk shipping markets struggled to bounce back after the 2008 recession.

 

9-July-2019

The Qatar-based S’hail Shipping and Maritime Services has recently incorporated two panamax bulk carriers into the Oslo-based Klaveness Baumarine Pool, thereby increasing its contribution to five out of its total seven vessels to the pool operated by Klaveness. These latest additions by S’hail Shipping and Maritime Services to the Klaveness-managed Baumarine Pool include the 76K DWT MV S’hail al Rayan, built in 2006, and the 74K DWT MV S’hail al Dukhan, built in 2005, which were integrated into the pool in June 2019. Since its establishment in December 2016, S’hail Shipping and Maritime Services has expanded its participation in the Klaveness Baumarine Pool to five out of its fleet of seven ships. The acquisition of these two panamax bulk carriers by S’hail Shipping and Maritime Services was finalized in late May 2019 for an estimated total of $20.6 million. The MV S’hail al Rayan, previously known as MV Chris, was acquired from the Greek shipping entity Chandris, and the MV S’hail al Dukhan, formerly MV Paquis, was purchased from the Japanese shipping company Santoku Senpaku. Both Mohamed Khalifa Al-Sada, chairman of S’hail Shipping and Maritime Services, and CEO Rajiv Pal have highlighted the reciprocal advantages of their association with the Klaveness Baumarine Pool and expressed interest in further expanding this collaborative relationship. Hans Næss Olstad, who leads pool management at Klaveness Baumarine Pool, has commented on the efficient cooperation and optimal utilization of resources resulting from the inclusion of S’hail Shipping and Maritime Services’ fourth and fifth bulk carriers in the Baumarine Pool. This arrangement has facilitated S’hail Shipping and Maritime Services in enhancing their spot trade operations while minimizing positional and counterpart risks. By joining the Klaveness Baumarine Pool, S’hail Shipping and Maritime Services gains access to an extensive flow of deals and chartering offices strategically located in Oslo, Singapore, and Dubai, as well as to Klaveness Baumarine Pool’s network of premier charterers, market insights, and digital resources. Additionally, S’hail Shipping and Maritime Services benefits from the flexibility of converting charter rates from floating to fixed, as mutually agreed upon with Klaveness Baumarine Pool, leveraging market fluctuations to their advantage. Klaveness Baumarine Pool, with a longstanding history of over 50 years in operating dry bulk pools, manages two distinct pools: the Bulkhandling Pool, which caters to handymax, supramax, and ultramax bulk carriers, and the Baumarine Pool, designed for panamax, kamsarmax, and post-panamax bulk carriers.

 

9-July-2019

German shipowner and operator Oldendorff Carriers acquired a 2012 built baby-cape bulk carrier 115K DWT MV Evelyn Schulte for around $15 million from Thomas Schulte. MV Evelyn Schulte was the largest of three bulk carriers in the Thomas Schulte fleet. Currently, Henning Oldendorff led Oldendorff Carriers has around 40 baby-cape bulk carriers in its fleet. Unfortunately, baby-cape bulk carriers have been phasing out. Oldendorff Carriers is an influential player in S&P (Sale and Purchase) market. Oldendorff Carriers recommenced bulk carrier acquisitions in 2019. In 2006, Lubeck-based Oldendorff Carriers moved into the capesize market. Currently, Oldendorff Carriers operates a fleet of approximately 700 bulk carriers.

 

9-July-2019

Taiwanese shipowner and operator Wisdom Marine Lines Co Ltd sold 2014 built handysize bulk carrier 34K DWT MV Daiwan Ace to a Greek shipowner for around $15.3 million. Namura Shipbuilding-built MV Daiwan Ace will be chartered out to the trading giant Cargill for the long-term by the new owners. This seems like an unusually long charter, particularly for a handysize, and it resembles a financing arrangement for the MV Daiwan Ace. Furthermore, Taiwanese shipowner and operator Wisdom Marine Lines Co Ltd sold the sistership 2014 built handysize bulk carrier 34K DWT MV Daiwan Brave to a Greek shipowner for around $15.5 million. Nevertheless, MV Daiwan Brave is not being linked to a long-term charter. Chun-Sheng Lan-led shipowner and operator Wisdom Marine Lines Co Ltd stated last month that the company plans to boost the pace of its sales by offloading 5 to 10 bulk carriers as part of Wisdom Marine Lines Co Ltd’s fleet ­renewal. Taiwan Stock Exchange-listed shipowner and operator Wisdom Marine Lines Co Ltd has a substantial order book in the shipyards. Since January 2018, Wisdom Marine Lines Co Ltd has ordered 15 bulk carriers at Japanese and Chinese yards, including four (4) ultramax bulk carriers, five (5) panamax bulk carriers, and, most recently, a pair of handysize bulk carriers from Imabari Shipbuilding. Wisdom Marine Lines Co Ltd aims to keep a younger fleet. 2014 built handysize bulk carrier 34K DWT MV Daiwan Ace and the sistership 2014 built handysize bulk carrier 34K DWT MV Daiwan Brave are exactly the type of handysize bulk carriers that attract the most interest from the shipowners. Improving dry bulk freight rates are standing in the way of increased activity in the S&P (Sale and Purchase) market.

 

8-July-2019

Over-supply of new building ships, shortage of finance, and IMO (International Maritime Organization) 2020 Regulations are holding back new building orders. Bulk carrier newbuilding orders are running at half of 2018’s level. Low new building orders are quite an optimistic thing. Furthermore, with the iron ore production issues in Brazil, many nations try to lower coal use and the general slowing international economy. In 2019, most bulk carrier newbuilding orders are large bulk carriers booked predominantly by Asian shipowners and contracted against long-term charters or COA (contracts of affreightment). China Shipping Bulk signed up for 20 newcastlemax bulk carriers to fulfill a bauxite agreement with Chalco. South Korean shipowner and operator H-Line Shipping ordered two (2) VLOCs (Very Large Ore Carriers) to carry iron ore for Vale. Furthermore, there is a shortage of capital, as the shipping market has been poor already for many years, so shipowners do not have much extra cash left, and private equity and financial markets do not have much desire to finance more in shipping. IMO (International Maritime Organization) Tier III Regulations also indicate that new ships offer less value for money than those built a few years ago. In 2018, most shipowners were somewhat hopeful about a market recovery 2019.

 

8-July-2019

The maritime firm S’hail Shipping and Maritime Services, located in Qatar, has expanded its collaboration with the Klaveness Baumarine Pool, headquartered in Oslo, by adding two more panamax bulk carriers to the pool, elevating its total contribution to five out of its seven-strong fleet. The newly integrated ships, the MV S’hail al Rayan with a 76K DWT, constructed in 2006, and the MV S’hail al Dukhan with a 74K DWT, constructed in 2005, were officially part of the Klaveness Baumarine Pool as of June 2019. Since its inception in December 2016, S’hail Shipping and Maritime Services has seen significant growth, with a notable portion of its fleet now engaged in the Klaveness Baumarine Pool. In a strategic move made in late May 2019, S’hail Shipping and Maritime Services acquired these two panamax bulk carriers for a combined sum of approximately $20.6 million. The MV S’hail al Rayan, previously referred to as MV Chris, was purchased from the Greek shipping entity Chandris. Meanwhile, the MV S’hail al Dukhan, initially named MV Paquis, was bought from the Japanese shipping firm Santoku Senpaku (Santoku Senpaku KK), highlighting Santoku Senpaku’s role in the global maritime industry as a reputable supplier of high-quality vessels. Santoku Senpaku, known for its efficient and reliable shipping services, has a rich history and a strong presence in the maritime sector, contributing significantly to international maritime commerce through its diverse fleet operations. Mohamed Khalifa Al-Sada, the chairman of S’hail Shipping and Maritime Services, alongside CEO Rajiv Pal, have both acknowledged the mutual benefits derived from their involvement with the Klaveness Baumarine Pool. They are keenly exploring opportunities for further collaboration with Klaveness Baumarine Pool. Hans Næss Olstad, the head of pool management at Klaveness Baumarine Pool, commended the successful partnership and resource optimization achieved with S’hail Shipping and Maritime Services’ latest contributions to the pool. This synergy has enabled S’hail Shipping and Maritime Services to optimize their spot trading activities efficiently, mitigating various risks associated with positioning and counterparties. By participating in the Klaveness Baumarine Pool, S’hail Shipping and Maritime Services avails itself of comprehensive deal flows and access to Klaveness Baumarine Pool’s chartering offices across Oslo, Singapore, and Dubai. Additionally, S’hail Shipping and Maritime Services benefits from the network of top-tier charterers, insightful market research, and advanced digital tools provided by Klaveness Baumarine Pool. This collaboration also offers the flexibility for S’hail Shipping and Maritime Services to adjust charter rates from floating to fixed according to mutually agreed levels, capitalizing on market dynamics. The Klaveness Baumarine Pool, which boasts over 50 years of experience in managing dry bulk pools, currently administers the Bulkhandling Pool for handymax, supramax, and ultramax carriers, as well as the Baumarine Pool for panamax, kamsarmax, and post-panamax vessels, showcasing its extensive expertise and innovative approach to maritime logistics and vessel management.

 

7-July-2019

Tor Olav Troim’s 2020 Bulkers has been approved for a listing on the Oslo Axess, with its stock expected to commence trading on this secondary market within the week. This development follows the company’s successful raise of over $70 million through a private placement in May, which facilitated its progression from Oslo’s over-the-counter market. According to Magnus Halvorsen, CEO of the newcastlemax-specializing firm, the listing is anticipated to heighten public awareness and enhance stock liquidity. In a recent statement, Halvorsen highlighted the unique investment opportunity presented by 2020 Bulkers, emphasizing its fleet of eight fuel-efficient, scrubber-equipped 208,000 DWT newcastlemax dry bulk carriers. Magnus Halvorsen also pointed out the robust earnings potential, referencing current earnings of $26,400 per day on the Baltic 5TC capesize index, which could equate to around $37,000 per day for a newcastlemax on an index-linked charter, inclusive of scrubber benefits. Magnus Halvorsen underscored the company’s strong foundation for returning capital to shareholders via dividends once the entire fleet is operational, citing a low cash break-even point of approximately $14,500 per day. 2020 Bulkers marks Tor Olav Troim’s inaugural venture into pure shipowning, encompassing eight 208K DWT newbuildings from New Times in China. The first ship is set for early delivery next month, with the final vessel expected to enter service by May 2020. Initially conceived as an asset play, Tor Olav Troim shifted strategy to establish operations and proceed with ship deliveries. Earlier plans for a U.S. stock listing were also revised in favor of a more prominent Norwegian listing. The May private placement occurred during a particularly favorable period for shipping in the Norwegian market, coinciding with successful fundraising by other companies like Hunter Group, Epic Gas, and Belships. With the move to the Oslo Axess, 2020 Bulkers enters the market at a time when capesize bulker rates are at their highest for 2019 and panamax bulkers are experiencing significant single-day gains.

 

7-July-2019

In a regrettable occurrence near Zhenjiang this past Saturday, the Chinese river vessel MV Yu Hang 18, accompanied by 160 containers, and the 46,500 DWT handymax bulk carrier MV Odigitria found themselves ensnared in a maritime mishap. The unfortunate event unfurled as MV Yu Hang 18 voyaged from Nantong to Nanjing. Due to inclement weather conditions, MV Yu Hang 18 lost its bearing and collided with the Athens-based shipowner and operator Anbros Maritime SA controlled 46,500 DWT handymax bulk carrier MV Odigitria which was docked gracefully at a terminal belonging to a local power establishment. This accident led to seven vacuous containers from MV Yu Hang 18 finding their way into the watery depths below. Meanwhile, Greek shipowner and operator Anbros Maritime SA controlled 46,500 DWT handymax bulk carrier MV Odigitria bore damages to its portside. Thankfully, the incident did not result in any human casualties. Promptly addressing the situation, the regional maritime safety overseers have put forth traffic regulations in the surrounding aquatic channels, and have commissioned a team to recover the submerged containers. It’s noteworthy to mention that the MV Yu Hang 18 sails under the banner of Nanjing Yuhang Container Shipping, while the MV Odigitria boasts the patronage of the esteemed Greek shipowner Anbros Maritime SA.

 

7-July-2019

In a notable expansion under the aegis of Frode Teigen, the esteemed Norwegian shipowner, Belships—listed on the Oslo Stock Exchange—has augmented its portfolio with the acquisition of an ultramax new-build vessel. Having secured this vessel on a decade-long bareboat charter, Belships will now command a fleet of 20 bulk carriers. This 64,000 DWT ultramax bulk carrier, a paragon of its class, is slated for delivery from a Japanese shipyard in the latter half of 2021. Come the fourth year, and up until the charter's culmination, Belships retains an option to procure the ultramax carrier—a proposition they find particularly alluring. Beyond showcasing Belships' exemplary ship financing prowess, this transaction underscores an astute strategy: an option to acquire an ultramax carrier at prevailing market rates without any immediate cash outlay from Belships until the point of delivery. This vessel, with its impressive 64,000 DWT, represents a pre-existing order at the undisclosed shipyard and will soon fall under the stewardship of Belships. Consequently, by the first semester of 2020, Belships' impressive armada will comprise 20 supramax and ultramax vessels, inclusive of a new addition from Imabari Shipbuilding, Japan. However, intricate details regarding the specific vessel, its proprietor, and the commercial nuances of the bareboat charter remain undisclosed. Since welcoming Lars Christian Skarsgard in mid-March—previously the distinguished head of the S&P desk at Fearnleys—Belships has been notably active in the sales and purchase (S&P) domain. To date, the renowned shipowner Belships has adroitly acquired two pre-owned supramax vessels and one ultramax carrier this year. Earlier in May, in a strategic move, Belships orchestrated a private placement of new shares to amass funds, a portion of which was earmarked for vessel acquisitions. While initial aspirations were pegged at $15 million, the endeavor amassed a commendable sum of approximately $8.3 million.

 

7-July-2019

Lakes-fitted leader shipowner and operator Fednav is pursuing nearly $1.2 million in security as it prepares for arbitration in London concerning a bulk carrier that experienced engine troubles at sea. Last week, the privately-held Canadian bulk carrier operator initiated a lawsuit in a Miami federal court, claiming damages after bulk cargo infiltrated the fuel tanks and damaged engines on the Naviera Ulises-managed, 2005-built handysize bulk carrier 33K DWT MV Gea in 2018. Fednav is attempting to garnish bank accounts held with Spain’s Banco Sabadell in Miami. The legal action identifies the one-time registered owner of the bulk carrier, Allpine Worldwide, linked to Naviera Ulises, as the sole defendant. Fednav alleges that it chartered the MV Gea for two to three laden voyages in September 2018. The carrier, loaded with 31.5K tonnes of sandy calcined metallurgical grade alumina in Thailand on September 30, 2018, was bound for Sept-Iles at the northeastern tip of Quebec. However, a week into the voyage, the MV Gea’s engine failed in the Indian Ocean, rendering the ship adrift for 10 days due to alumina contaminating the fuel tanks via corroded vent pipes in the cargo holds. The MV Gea underwent repairs in South Africa for 51 days before being released in mid-December 2018. Damage was subsequently identified post-discharge of the cargo in Canada in mid-January 2019, forcing Fednav into a loss-making sub-charter that concluded in February 2019 when the ship was redelivered in Poland. According to the charter agreement, disputes are to be resolved under the London Maritime Arbitrators Association (LMAA) rules. Both Fednav and Allpine have appointed their arbitrators, with a third yet to be named. Recently, the MV Gea was sold to Danish company Janchart Shipping for approximately $7 million. Fednav claims in its lawsuit that proceeds from this sale, as well as earnings from a sugar cargo delivery at a Russian port, are or will be deposited in the Banco Sabadell accounts. Fednav is represented by Miami law firm Blanck & Cooper and New York-based Floyd Zadkovich in this legal matter.

 

6-July-2019

S’hail Shipping and Maritime Services, headquartered in Qatar, has recently added two panamax bulk carriers to the Baumarine Pool, which is operated by the Oslo-based company Klaveness. This inclusion boosts the number of vessels S’hail Shipping and Maritime Services contributes to the Klaveness-managed pool to five out of its total fleet of seven. The latest vessels to be part of the Baumarine Pool managed by Klaveness are the panamax bulk carriers, namely the 76K DWT MV S’hail al Rayan, built in 2006, and the 74K DWT MV S’hail al Dukhan, built in 2005, which were integrated into the pool in June 2019. Since its establishment in December 2016, S’hail Shipping and Maritime Services has thus placed five of its seven vessels into the Klaveness Baumarine Pool. The acquisition of these two panamax bulk carriers by S’hail Shipping and Maritime Services was finalized in late May 2019 for an estimated total cost of around $20.6 million. The MV S’hail al Rayan, initially named MV Chris, was acquired from Greek shipping company Chandris, while the MV S’hail al Dukhan, previously known as MV Paquis, was purchased from Japanese shipping firm Santoku Senpaku. Mohamed Khalifa Al-Sada, chairman of S’hail Shipping and Maritime Services, along with CEO Rajiv Pal, have expressed the mutual benefits derived from joining the Klaveness Baumarine Pool, indicating a potential interest in further enhancing their collaborative efforts with the pool. Hans Næss Olstad, who oversees pool management at Klaveness Baumarine Pool, has praised the effective collaboration and the optimization of resources resulting from the inclusion of S’hail Shipping and Maritime Services’ fourth and fifth bulk carriers in the pool. This partnership has streamlined their spot trading activities and reduced risks associated with positioning and counterparts. Being part of the Klaveness Baumarine Pool provides S’hail Shipping and Maritime Services with several benefits, including access to a broad range of deals, chartering offices across Oslo, Singapore, and Dubai, a network of premium charterers, and market intelligence and digital resources offered by Klaveness Baumarine Pool. Additionally, S’hail Shipping and Maritime Services has the flexibility to switch between floating and fixed-rate charters based on mutual agreements, thus leveraging market fluctuations to their advantage. Klaveness Baumarine Pool presently administers two pools: the Bulkhandling Pool, catering to handymax, supramax, and ultramax carriers, and the Baumarine Pool, designed for panamax, kamsarmax, and post-panamax bulk carriers.

 

5-July-2019

Louis Dreyfus Armateurs (LDA), a prominent French shipowner and operator, is taking significant strides towards increasing its use of wind power in an effort to reduce emissions. Paris-based shipowner and operator Louis-Dreyfus Armateurs (LDA) which owns, charters, and operates over 100 ships globally, has been collaborating with its client Airbus to find effective ways to cut down emissions. One notable initiative is the integration of the Airseas kite system. Following positive results from testing, Louis-Dreyfus Armateurs (LDA) has decided to permanently install this system on the 21,500-gt roll-on/roll-off (ro-ro) cargo ship MV Ville de Bordeaux, starting from 2020. This vessel is primarily used for transporting Airbus parts around Europe. Earlier this year, Louis-Dreyfus Armateurs (LDA) also began designing a large transoceanic ro-ro vessel fully integrated with wind-assisted propulsion technology. This project underscores Louis-Dreyfus Armateurs’ (LDA) commitment to innovative solutions in maritime transport and its ongoing efforts to develop this area further. In addition to these initiatives, Louis-Dreyfus Armateurs (LDA) has joined the International Windship Association (IWSA), a not-for-profit organization with over 100 members dedicated to the development of wind propulsion technologies in shipping. Edouard Louis-Dreyfus, the president of Louis-Dreyfus Armateurs (LDA), expressed excitement about the development of wind solutions, viewing them as a crucial response to the challenges of decarbonization facing the shipping industry today. He believes that Louis-Dreyfus Armateurs’ (LDA) involvement with the International Windship Association (IWSA) is a natural progression of their commitment to promoting sustainable maritime practices. Moreover, LDA has been an active advocate for mandatory slow-steaming at the International Maritime Organization (IMO), further demonstrating their dedication to environmental sustainability in the shipping sector. These actions by French shipowner and operator Louis-Dreyfus Armateurs (LDA) illustrate a clear commitment to leading the charge in reducing emissions and promoting greener practices in the maritime industry.

 

5-July-2019

Athens-based shipowner and operator Maran Dry Management (MDM) sold 1989 built VLOC (Very Large Ore Carrier) 246K DWT MV Zhongte for demolition. Angelicoussis family-controlled shipowner and operator Maran Dry Management (MDM) will receive around $14 million. In 2022, Athens-based shipowner and operator Maran Dry Management (MDM) acquired MV Zhongte as a tanker and converted it to VLOC (Very Large Ore Carrier). In 2022, Maran Dry Management (MDM) around $29 million for MV Zhongte. Maran Dry Management (MDM) sold MV Zhongte for demolition with 600 metric tons of fuel. Athens-based shipowner and operator Maran Dry Management (MDM) preferred to sell MV Zhongte for demolition after the vessel have come off a long-term charter. Furthermore, in 2019, Maran Dry Management (MDM) sold 1999 built capesize bulk carrier 172K DWT MV Anangel Destiny and 1999 built capesize bulk carrier 171K DWT MV Anangel Dynasty.

 

5-July-2019

New York-listed shipowner and operator Safe Bulkers (SB) boosts the fleet. Greek-Cypriot shipowner and operator Safe Bulkers (SB) acquired 2009 built panamax bulk carrier 76K DWT MV Crystal Wind for around $13 million. Polys Hajioannou-led shipowner and operator Safe Bulkers (SB) acquired 2009 built panamax bulk carrier from a Japanese shipowner and operator. Polys Hajioannou-led shipowner and operator Safe Bulkers (SB) has a sister company named Safety Management Overseas. Polys Hajioannou has eight (8) dry bulk carriers on the private company named Safety Management Overseas. Furthermore, Hajioannou-family owns another dry bulk carrier company named Alassia NewShips Management. Currently, New York-listed shipowner and operator Safe Bulkers (SB) owns and operates 41 bulk carriers.

 

4-July-2019

Japanese shipowner Nissen Kaiun ordered 10 handysize log carrier new-buildings at Japanese Shipyard Tsuneishi Shipbuilding. 10 handysize log carrier new-buildings will be TESS42 (42K DWT) design and cost total $250 million. Previously, Japanese Kambara family-controlled Tsuneishi Shipbuilding was constructing TESS38 design (38K DWT) handysize log carrier new-buildings. TESS42 design is the upgraded version of TESS38 design. 10 handysize log carrier new-buildings TESS42 (42K DWT) delivery will be beginning in 2021. Tsuneishi Shipbuilding’s subsidiary yards Tsuneishi Zhoushan Shipbuilding and Tsuneishi Heavy Industries will construct 5 handysize log carrier new-buildings each. Japanese shipowner Nissen Kaiun order-book increased to 40 ships. Nissen Kaiun order-book includes:

• 1 ULCC (Ultra Large Crude Carrier 320,000 DWT)
• 5 VLGCs  (Very Large Gas Carriers)
• 4 MR Product Tankers
• 14 Feeder Containerships
• 4 Bulk Carriers
• 2 Chemical Tankers

Newly developed TESS42 (42K DWT) design follows the design concept of TESS38 design (38K DWT) while improving transportation efficiency. TESS42 design deadweight (DWT) capacity increased by approximately 2,000 tons with the same draught. TESS42 new-buildings will be equipped with four deck cranes, wide-opening hatch covers, and semi-box type cargo holds suitable for transporting steel products. TESS42 new-buildings will be built in compliance with International Maritime Organization's NOx Tier III emissions regulations and fitted with scrubbers to comply with SOx emissions restrictions.

 

3-July-2019

In January 2019, Oman Shipping Company’s CEO Tarik Al Junaidi stepped down from his position after working 6 years. Tarik Al Junaidi has been working at Oman Shipping Company for 14 years. Tarik Al Junaidi led the progress of Oman Shipping Company’s performance, productivity, and growth. During Tarik Al Junaidi leadership, Oman Shipping Company’s fleet increased to 50 ships.

 

3-July-2019

Shanghai-based Haiyi Shipping ordered four (4) newbuilding bulk carriers 12K DWT at CSC Jiangdong Shipyard in China. Haiyi Shipping is a subsidiary of Chinese Anhui Conch Cement. Four (4) newbuilding bulk carriers will be delivered in 2020. Currently, Anhui Conch Cement has a fleet of 15 small bulk carriers. Four new building bulk carriers 12K DWT will be the biggest ships in the fleet of Anhui Conch Cement.

 

3-July-2019

Japanese shipbuilding giant Oshima Shipbuilding and class society DNV GL have launched a new design of bulk carrier called Oshima Ultramax 2030. Oshima Ultramax 2030 would use half the energy of conventional bulk carriers and utilizes wind, LNG fuel, battery, and solar power. Oshima Ultramax 2030 bulk carrier design maximizes operational performance while minimizing emissions. Oshima Ultramax 2030 bulk carrier design has an Energy Efficiency Design Index (EEDI) 50% lower than comparable bulk carriers. According to NV GL’s Director Trond Hodne, in order to help the shipping industry to meet the ambitious reduction targets set by International Maritime Organization (IMO) rules, the shipping industry needs to come together to advance ship design. Oshima Ultramax 2030 bulk carrier’s solar panels allow the design to offer ultra-low emissions in port and battery to cover waiting times and port operations. Japanese shipbuilding giant Oshima Shipbuilding and class society DNV GL have signed a long-term strategic cooperation agreement. Oshima Shipbuilding and DNV GL will design according to the International Maritime Organization (IMO)’s zero-emissions scenario in 2030.

 

2-July-2019

Belgian shipowner CMB and subsidiary Bocimar have completed capesize charter-back sale. CMB sold 2004 built capesize dry bulk carrier 170K DWT MV Mineral Noble for about $13 million with a 4-year charter back to subsidiary Bocimar at $13,000 per day. Belgian shipowner CMB is in a fleet renewal process. CMB CCO Benoit Timmermans confirmed sale of South Korean built MV Mineral Noble. MV Mineral Noble deal shows that dry bulk carrier prices are under pressure due to market conditions. In September 2003, CMB acquired capesize dry bulk carrier 170K DWT MV Mineral Noble as an order resale from Metrostar for $44.5 million. CMB chartered out MV Mineral Noble to Israeli National Coal Company for 10 years. In May 2019, MV Mineral Noble’s 2003 built sister-ship MV Mineral China was sold to STX Marine for $14 million with a 3-year charter back to subsidiary Bocimar for $15,000 per day. In May 2018, Belgian shipowner CMB acquired 5 capesize bulk carriers from Oskar Wehr in exchange for 12 handysize bulk carriers and cash payment. In October 2018, Belgian shipowner CMB acquired two 206K DWT new-buildings at Qingdao Beihai Shipbuilding Heavy Industry for delivery 2019-2020 with a price tag of $52 million each. Originally two 206K DWT new-buildings were ordered by Trafigura.

 

2-July-2019

Geneva-based Chinese grain trader COFCO International resumes concentrating on LNG as a marine bunker to carry grains from South America to China. Chinese state-owned food giant Cofco Corporation’s trading arm COFCO International has been examining LNG and other kinds of clean energy as bunker choices for the ships under COFCO International’s management as a consequence of tightening environmental rules. Furthermore, COFCO International has been examining such as wind power and electricity. COFCO International concentrates on LNG-fuelled ships even though it has shied away from signing any firm commitment so far. China state-owned financiers such as ICBC Financial Leasing have demonstrated interest in LNG-fuelled newbuilding ships. Chinese state-owned food giant Cofco Corporation’s trading arm COFCO International normally hires panamax and supramax bulk carriers. COFCO International revealed that it is much more challenging to find bunkering ports for LNG-fuelled ships for panamax and supramax bulk carriers. Bunkering LNG-fuelled ships have stayed limited due to the absence of infrastructure. COFCO International aims to haul grains from the East Coast South America (ECSA) to China, a fixed course where LNG bunkering facilities can be materialized effortlessly. On other routes, chartering arm of COFCO International aims to operate ships at slow speed to decrease GHG (Greenhouse Gas Emissions). Furthermore, Cofco International is optimizing steaming speeds and embracing AI (Artificial Intelligence) to forecast ship positions and enhance operational efficiency. Geneva-based Chinese grain trader COFCO International is one of the world’s biggest charterers. COFCO International hauls around 50 million tonnes of cargo per year.

 

2-July-2019

Lakes-fitted leader shipowner and operator Fednav has been developing next-generation bulk carriers with Japanese shipyards. Canadian shipowner and operator Fednav wants to be a step ahead of rivals. Therefore, Fednav ordered six (6) more new-buildings at Oshima Shipbuilding. CEO Paul Pathy explained that Fednav is taking initiative by developing the next generation of lakes-fitted bulk carriers for its fleet growth. Fednav’s fleet is more efficient than competitors. Furthermore, Fednav has seen the shift towards digitalization and technology. Fednav recognized the impact of digitalization and technology has on shipping. Up to now, Fednav has ordered more than 20 bulk carriers in Japan. Generation four bulk carriers are an optimization of both cargo lift, fuel efficiency, and technology. According to CEO Paul Pathy, Fednav must push on technology and find ways to compete against global bulk carrier operators. Canada based Fednav is a leading lakes-fitted bulk carrier operator in the international trade and in the Canadian Arctic. Fednav manages more than 100 bulk carriers. Out of 100 bulk carriers, Fednav owns 63 of them. Fednav’s focus is on Great Lakes and Atlantic Basin. Montreal based Fednav prefers Japanese-built bulk carriers. According to Fednav, Japan shipbuilders are building the world’s best-quality ships.

 

2-July-2019

Norwegian shipowner and operator Torvald Klaveness has withdrawn from chartering services in China. Torvald Klaveness’s Shanghai office will concentrate on operations and newbuilding supervision. Torvald Klaveness opened the Shanghai office in 2003. There will be no chartering staff at Torvald Klaveness’s Shanghai office. Torvald Klaveness determined to maintain the Chinese chartering market from the Singapore office. The operations department and new-building team will be serving at Torvald Klaveness’s Shanghai office. Torvald Klaveness’s new-building team will be controlling 7 new-building Cleanbu Combination Carriers for spin-off Klaveness Combination Carriers (KCC).

 

2-July-2019

Hong Kong-listed shipowner and operator Pacific Basin Shipping has lowered the company’s bond debt by 98% after bondholders exercised a put option. CEO Mats Berglund-led shipowner and operator Pacific Basin Shipping has redeemed bonds worth $122 million. Hong Kong-based shipowner and operator Pacific Basin Shipping has launched the company’s option to redeem all the remaining bonds by 2 August and cancel them upon settlement. Pacific Basin Shipping has been active in tweaking the company’s financial deals so far this year. In May, Pacific Basin Shipping secured a new $115m revolving credit facility.

 

2-July-2019

Greek shipowner and operator Seastar Chartering Ltd. (Seastar Shipmanagement Ltd.) sold 2002 built supramax dry bulk carrier 52K DWT MV Hector (ex MV FD Laura d’Amato) for around $6 million. Seastar Chartering Ltd. (Seastar Shipmanagement Ltd.) was proposing for $7 million. In March 2006, Seastar Chartering Ltd. (Seastar Shipmanagement Ltd.) acquired MV Hector (ex MV FD Laura d’Amato) from Orient Marine for around $28 million. MV Hector (ex MV FD Laura d’Amato) is due for a special survey (SS) and not fitted with ballast water treatment.

 

2-July-2019

Japanese shipowner and operator K Line’s 2017 built capesize dry bulk carrier 183K MV Cape Taweelah is the first fully-laden capesize bulk carrier to call at Khalifa Port, Abu Dhabi. Emirates Global Aluminium (EGA) long-term chartered in 183K MV Cape Taweelah. MV Cape Taweelah is transporting bauxite from Guinea for Emirates Global Aluminium (EGA)’s new Al Taweelah alumina refinery. Emirates Global Aluminium (EGA) will employ capesize bulk carriers to reduce per tonne transportation costs. Emirates Global Aluminium (EGA) agreed a deal with Abu Dhabi Ports in late December 2017 to dredge and widen channel at Khalifa Port to enable large capesize dry bulk carriers to berth fully-laden. Except for Khalifa Port, at other ports in the region capesize bulk carriers must be partially unloaded offshore before capesize bulk carriers can berth at port safely.

 

 

1-July-2019

Uniper Global Commodities extended panamax bulk carrier charter by around a year. Uniper Global Commodities extended existing time chartered 2014 built panamax bulk carrier 77K DWT MV Atalandi from Diana Shipping at $12,250 per day. Previously, Uniper Global Commodities was paying 10% more per day. MV Atalandi employment is anticipated to generate approximately $4 million of gross revenue to New York-listed Diana Shipping. Panamax bulk carriers time charter spot rates are climbing. In April 2018, Germany based commodity trader Uniper Global Commodities chartered in ice-class panamax bulk carrier 77K DWT MV Atalandi from Diana Shipping for $13,500 per day. Recently, New York-listed Diana Shipping started a tender offer to buy back shares.

 

1-July-2019

Robert Bugbee, President of Monaco-based Nasdaq-listed shipowner and operator Scorpio Bulkers (SALT), has demonstrated his confidence in the dry bulk shipping sector’s resurgence by purchasing 125,000 shares of the company at an average price of $4.58, amounting to an investment of $572,500. This acquisition was disclosed in an SEC filing, and as of March 15, Bugbee held 1.4 million shares, making him a 10% owner of Scorpio Holdings. This strategic investment by Robert Bugbee has coincided with an uptick in Scorpio Bulkers’ share price, which closed at $5.23, up by 3% on the day, valuing his total stake at approximately $7.96 million. Bugbee’s decision to increase his stake in Scorpio Bulkers (SALT), a company he co-founded, comes at a pivotal moment as the dry bulk sector begins to recover from a challenging first half of 2019, marked by low performance and negative market sentiment following the Vale dam disaster on January 25, which significantly impacted iron ore shipments. The Baltic Dry Index, a key indicator of dry bulk shipping rates, has shown significant improvement, climbing to 1446 from a low of 595 in mid-February. This rebound is largely attributable to the reopening of Vale’s Brucutu mine, which has restored 30 million tonnes of iron ore to the market, and eased trade tensions between the US and China. The recent agreement between US President Donald Trump and Chinese President Xi Jinping to halt the escalation of tariffs has been particularly encouraging for the sector, signaling a positive outlook for shipments of soybeans and other grains. Additionally, the reopening of the Brucutu mine has propelled capesize bulk carrier spot rates to $21,760 per day from $3,460 on April 2, further evidencing the sector’s recovery. Bugbee’s investment reflects both a personal commitment to Scorpio Bulkers and a broader optimism for the future of dry bulk shipping, suggesting a belief in the sector’s capacity for resilience and growth amidst fluctuating market conditions.

 

1-July-2019

Camilla Grieg stepping down at Grieg Star Shipping after 20 years managing the company. Grieg Star Shipping new CEO will be Matt Duke and will take his duty in July 2019. New CEO Matt Duke has pledged to build on the Norwegian shipowner Grieg Star Shipping’s expertise while pursuing disruptive innovation. Previously, Matt Duke worked as the IT boss of Odfjell till the end of 2016 and then worked for Kongsberg. New CEO Matt Duke has been in the shipping business for 18 years. New CEO Matt Duke is aiming to take Grieg Star Shipping forward into a more digitized and decarbonized future. Matt Duke added that Grieg Star Shipping has been testing bulk carriers with real-time sensors and try to improve the use of analytics. Grieg Star Shipping has taken the decision not to install scrubbers on its fleet. Grieg Star Shipping will solve the International Maritime Organization (IMO) 2020 regulations by buying low-sulfur fuel oil. Grieg Star Shipping has decarbonization solutions, like its ZEEDS initiative with five other Nordic companies to work towards zero emissions. According to new CEO Matt Duke’s plans, Grieg Star Shipping will focus on better processes onshore and better scheduling of bulk carriers. Norwegian shipowner Grieg Star Shipping reported a loss in 2018. New CEO Matt Duke said it was too soon to talk about profit and loss for 2019 and onwards. Dry bulk market is still challenged and difficult market. Co-owner Camilla Grieg will be chairwoman of Grieg Star Shipping.

 

1-July-2019

United States-based ship operator Hudson Shipping Lines (HSL) will boycott scrubber-fitted ships and will use only ships that burn International Maritime Organization (IMO) 2020 compliant bunkers. Hudson Shipping Lines (HSL) does not want anything to do with exhaust gas scrubbers when the International Maritime Organization (IMO) 2020 new rules comes into effect in 2020. Hudson Shipping Lines (HSL) will not employ scrubber-fitted ships to meet International Maritime Organization (IMO) standard capping ship exhaust’s sulfur content at 0.5% come 1 January 2020.

Hudson Shipping Lines (HSL) fully examined the use and operation of exhaust gas scrubbers and have discovered that scrubbers simply transfer the pollution produced by ships from the air to the ocean. According to Hudson Shipping Lines (HSL), using a scrubber-fitted ship is violating of International Maritime Organization (IMO) 2020’s spirit and intention to protect the environment.

Hudson Shipping Lines (HSL) will charter in bulk carriers that exclusively burn bunkers that comply with International Maritime Organization (IMO) 2020 regulations. Hudson Shipping Lines (HSL) join and support organizations that promote the use of the International Maritime Organization (IMO) 2020 compliant bunkers.

Hudson Shipping Lines (HSL) encourage other shipowners and operators to move away from using ocean-polluting scrubbers. Hudson Shipping Lines (HSL) employs about 70 dry bulk carriers. Hudson Shipping Lines (HSL) employed three bulk carriers from Diana Shipping. Diana Shipping also calls scrubbers an unattractive investment for International Maritime Organization (IMO) 2020 compliance.

 

1-July-2019

Noble Group is planning to sell 2013 built post-panamax dry bulk carrier 93K DWT MV Ocean Topaz. Noble Group continues as an asset-light dry bulk operator as more ship sales are lined up in the near future. After restructuring, New Noble Group gives priority to Singapore-based Noble Chartering instead of ship owning. According to Noble Chartering CEO Michael Nagler, restructured Noble Group offloads bulk carriers as the company exits ship owning. After offloading MV Ocean Topaz, Noble Chartering fleet would be three owned ships. Singapore-based Noble Chartering is the shipping arm of the restructured Noble Group. According to VesselsValue, MV Ocean Topaz worth around $17 million. Recently, Noble Chartering sold 2010 built post-panamax dry bulk carrier 93K DWT MV Ocean Ruby to German dry bulk carrier giant Oldendorff Carriers for $13.2 million. Noble Chartering’s remaining fleet is up for sale. 2010 built post-panamax dry bulk carrier 93K DWT MV Ocean Garnet, 2012 built post-panamax dry bulk carrier 93K DWT MV Ocean Sapphire, 2011 built capesize dry bulk carrier 180K DWT MV Aqua Vision are all on the sales block. In 2017, Noble Chartering decided to sell all ships in the fleet as part of an overall asset-light shipping policy. Noble Group focused on covering shipping requirements through short and long-term chartered tonnage. Since 2017, Noble Chartering sold 11 dry bulk carriers. Noble Chartering CEO Michael Nagler explained that the company will expand time-chartered tonnage. Currently, Noble Chartering operates a fleet of 38 bulk carriers ranging in size from supramax to capesize. In the first five months of 2019, Noble Chartering moved 8 million tonnes of cargo, mainly coal, iron ore, and grain. Noble Chartering has been responsible for moving in-house cargoes. Additionally, Noble Chartering has been building up a third-party cargo portfolio for several years. Omega Management Pte is a ship-management company originally formed to handle the technical management of Noble Group’s owned ships. Omega Management Pte offers a full spectrum of commercial and technical management services for third parties.

 

1-July-2019

Shipping technology alliance One Sea is to cooperate with the European Space Agency (ESA) to develop autonomous ships. MOI (Memorandum of Intent) that includes forthcoming partnership has been signed by One Sea coordinator DIMECC which is a research and innovation organization in Finland. DIMECC’s Jaakonmeri trial zone off western Finland will be utilized for autonomous ships. One Sea members include ABB, Kongsberg Maritime, and Wartsila, who conducted independent autonomous ship trials off the Finnish and Norwegian coasts. In June, Inmarsat and Japanese shipowner and operator NYK Bulk’’s (Nippon Yusen Kabushiki Kaisha) research subsidiary Monohakobi Technology Institute became full partners, and the Royal Institution of Naval Architects (RINA) signed up as an associate member.