30-October-2019
New York-listed shipowner and operator Grindrod Shipping (GRIN) approves the third-handysize sale and leaseback agreement with Japanese shipowners. On the other hand, Grindrod Shipping (GRIN) reduced the length of the charter for the chartered-in supramax bulk carrier. Grindrod Shipping (GRIN) signed the third-handysize sale and leaseback agreement for 2011 built handysize bulk carrier 28K DWT MV IVS Magpie for around $10.3 million with a Japanese shipowner. 2011 built handysize bulk carrier 28K DWT MV IVS Magpie is controlled by sister company Singapore-based shipowner and operator IVS Bulk (Island View Shipping). New York-listed shipowner and operator Grindrod Shipping (GRIN) will then take the MV IVS Magpie back on a bareboat charter of up to 12 years at an undisclosed rate. Singapore-based tanker and bulker owner Grindrod Shipping (GRIN) will have the right, but not the obligation, to buy 2011 built handysize bulk carrier 28K DWT MV IVS Magpie from the end of the second year of the charter. Likewise, the Japanese shipowner will have the right, but not the obligation, to sell 2011 built handysize bulk carrier 28K DWT MV IVS Magpie back to Grindrod Shipping (GRIN) at the end of the charter period. 2011 built handysize bulk carrier 28K DWT MV IVS Magpie constitutes part of Grindrod Shipping’s (GRIN) security package for its $100 million senior secured credit facility. MV IVS Magpie will be released from the security package in association with the closing of the sale and leaseback transaction. The sale of MV IVS Magpie is anticipated to yield around $5.4 million of cash for Grindrod Shipping (GRIN) after recompensing the debt associated with the MV IVS Magpie. MV IVS Magpie is controlled by Grindrod Shipping’s (GRIN) sister company Singapore-based shipowner and operator IVS Bulk Pte. Ltd. Furthermore, Singapore-based tanker and bulker owner Grindrod Shipping (GRIN) has recently completed similar deals in respect of 2010 built handysize bulk carrier 33K DWT MV IVS Knot and 2011 built handysize bulk carrier 33K DWT MV IVS Kingle. MV IVS Knot and MV IVS Kingle are also managed by Grindrod Shipping’s (GRIN) sister company Singapore-based shipowner and operator IVS Bulk Pte. Ltd. Grindrod Shipping (GRIN) also confirmed that the company had shortened the charter period on the chartered-in eco supramax MV IVS Crimson Creek from sister company IVS Bulk (Island View Shipping). MV IVS Crimson Creek’s charter contract incorporated a fixed period ending December 2019, with extension options covering a further two years at pre-determined charter rates. New York-listed shipowner and operator Grindrod Shipping (GRIN) owns and operates a mixed fleet of owned and long-term and short-term chartered-in bulkers and product tankers. Grindrod Shipping’s (GRIN) bulker arm, which operates under the brand IVS Bulk (Island View Shipping), possesses a fleet of 17 handysize bulk carriers and 15 supramax-ultramax bulk carriers on the water with 2 chartered-in ultramax bulk carriers under construction in Japan due be delivered in 2020. Grindrod Shipping’s (GRIN) tanker business, which operates under the Unicorn Shipping brand, incorporates 7 MR tankers and 2 small tankers.
30-October-2019
Navios Maritime Partners (NMM), a key player in the global shipping industry, is strategizing for growth and enhanced shareholder value following the final repayment of a significant loan. With the $418.5 million Term Loan B fully repaid earlier this month, Navios Maritime Partners (NMM), under the leadership of Angeliki Frangou, is exploring opportunities for fleet expansion and possibly increasing returns to shareholders. The company’s immediate focus is on the dissolution of Navios Europe 1, a special-purpose vehicle in which Navios Maritime Partners (NMM) has a 5% stake. This dissolution could see Navios Maritime Partners (NMM) acquiring five containerships from the SPV, alongside cash, converting the $48.2 million owed to Navios Maritime Partners (NMM) into tangible assets. Navios Europe 1’s portfolio also includes five product tankers, but Navios Maritime Partners’ (NMM’s) interest seems primarily oriented toward the container sector and expanding its dry bulk carrier fleet. Navios Maritime Partners (NMM) is considering the acquisition of two kamsarmax bulk carriers on a ten-year bareboat charter with purchase options, indicative of its long-term strategic planning. The potential $29.1 million investment per ship, mostly financed, underscores Navios Maritime Partners’ (NMM’s) commitment to growth in the dry bulk sector. The repayment of Term Loan B has been facilitated through a combination of new bank loans and cash, providing Navios Maritime Partners (NMM) with financial flexibility and no immediate debt maturities until the third quarter of the next year. This newfound liquidity has already translated into increased distributions to shareholders, with recent payments rising significantly from previous levels. Moreover, Navios Maritime Partners (NMM) has initiated a unit repurchase program, further signaling its strong financial position and commitment to enhancing shareholder value. However, alongside these strategic expansions and financial maneuvers, Navios Maritime Partners (NMM) has announced a 3% increase in ship management fees paid to Navios Shipmanagement Inc. This adjustment, fixed for two years, reflects the ongoing costs of commercial and technical management services, affecting the operational expenses of Navios Maritime Partners’ (NMM’s) diverse fleet. Angeliki Frangou’s leadership has steered Navios Maritime Partners (NMM) through a robust third quarter, with reported net income and Time Charter Equivalent (TCE) earnings showing notable improvements year-on-year. The focus on maintaining operational efficiency, with almost all vessels actively generating revenue, positions Navios Maritime Partners (NMM) advantageously in a competitive charter market. The strategic decisions made by Navios Maritime Partners (NMM), from fleet expansion to financial restructuring, reflect a comprehensive approach to navigating the complex dynamics of the global shipping industry, aiming for sustainable growth and shareholder value enhancement.
30-October-2019
German shipowner and operator Oldendorff Carriers’ 2015 built newcastlemax bulk carrier 207K DWT MV Lydia Oldendorff became the biggest bulk carrier to load coal at Puerto Bolivar, Colombia. Henning Oldendorff led Oldendorff Carriers could encourage Colombia to sell more coal. Exports of Colombian coal could about to become more competitive. Currently, Lubeck-based shipowner and operator Oldendorff Carriers has around 65 newcastlemax bulk carriers in its fleet. Oldendorff Carriers loaded coal at Puerto Bolivar, Colombia on a trial cargo draft of 17.5 meters. 207K DWT MV Lydia Oldendorff is destined for Antwerp, Belgium, where newcastlemax bulk carrier will again be the biggest ship to enter the port. Puerto Bolivar, Colombia is well known as a capesize bulk carrier coal loading port. Puerto Bolivar, Colombia will be able to accommodate coal to customers more competitively, with more generous newcastlemax bulk carriers. Puerto Bolivar, Colombia has been operated by Cerrejon Coal. Puerto Bolivar, Colombia is one of South America’s main coal export facilities exporting over 30 million tonnes per year. CMC Coal Marketing is the exclusive marketer of the Cerrejon Coal Company. The Cerrejon Coal Company is proportionately owned by subsidiaries of BHP Billiton, Anglo American, and Glencore. Colombia exporting coal to Brazil, Chile, Guatemala, Mexico, Puerto Rico, and the US. Colombia exports coal to Turkey and Israel on capesize bulk carriers. However, Colombia exports coal to South America frequently on panamax or supramax bulk carriers. The principal obstacle for Colombia is that the country exports to the Americas and the Mediterranean, however these regions are experiencing weakening coal demand. Coal demand has been increasing principally in India, China, Vietnam, and Thailand. However, Colombia is striving to be competitive against Indonesian and Australian coal exports. Oldendorff Carriers’ newcastlemax bulk carriers might serve the economies of scale to support Colombian coal to be slightly more competitive against Indonesian and Australian coal exports.
29-October-2019
One of the world’s biggest ship operators Cargill Ocean Transportation urges IMO (International Maritime Organization) to act quickly on carbon emissions. US chartering and trading giant Cargill Ocean Transportation has called IMO (International Maritime Organization) for immediate action to enforce a clear legal framework around the decarbonization of shipping. Jan Dieleman-led Cargill Ocean Transportation warned IMO (International Maritime Organization) that without clarity the globe could slide into a patchwork of contradicting national and regional rules which would slow and complicate the cleaning up of the shipping industry. The shipping industry required the IMO (International Maritime Organization) to act fast to put in place clear purposes and international regulations. US-based commodities giant Cargill’s shipping arm Cargill Ocean Transportation operates around 670 bulk carriers annually. IMO (International Maritime Organization) has set an initial target of a 50% decrease in shipping’s carbon emissions by 2050 on the 2008 level, to set firm targets by 2023. Currently, the shipping industry’s emissions are estimated to be approximately 2.2% of the international total. According to US-based commodities giant Cargill’s shipping arm Cargill Ocean Transportation, increasing nationalism and protectionist trade approaches from several prominent governments have strained the system of multi-lateral policy-making. Furthermore, according to United Nations Conference on Trade and Development (UNCTAD), the shipping companies should not wait for IMO (International Maritime Organization) but instead, be proactive and take the lead with their coordinated strategy.
29-October-2019
Seacor Holdings has reported a decline in its Q3 profit, particularly in its ocean shipping division, contributing to lower-than-expected earnings for the company as a whole. In the ocean transportation and logistics services segment, Seacor Holdings saw a profit of $17.1 million, marking a significant 46.8% drop from the $32.2 million earned in the same period in 2018. Operating income also decreased, slipping to $17.4 million from $19.5 million. The ocean shipping sector, which includes car carriers, dry cargo, tankers, and rail ferry operations, experienced a decrease in revenue, falling to nearly $103 million from approximately $110 million in the previous year. The bulk transportation business within Seacor Holdings’ shipping portfolio also faced challenges, with a decline of $8 million in operating revenue during the quarter. This was attributed to the return of a leased tanker, the dry docking of another tanker, and lower spot and time-charter rates. Additionally, the logistics services business suffered a $1.5 million decrease due to declines in both military and commercial cargoes. Despite the drop in profits, Seacor Holdings emphasized its $238 million contract backlog after gaining full control of its Sea-Vista tanker joint venture in August. Seacor Holdings currently controls 73 vessels, including tankers, bulkers, oceangoing barges, car carriers, roll-on/roll-off (ro-ro) vessels, and rail ferries. Inland barge business also faced challenges, reporting a $2.26 million loss compared to a $2.74 million profit in the same period in 2018. Operating income dropped to $600,000 from $4.3 million in the previous year, largely due to difficult conditions in the inland transportation and logistics services segment, as well as the lingering effects of extreme flooding and trade restrictions. The US-China trade tensions and competition from cheaper South American grain were additional challenges mentioned by Seacor Holdings. While Seacor Holdings’ earnings fell slightly short of expectations, it was noted that Ebitda (Earnings Before Interest, Taxes, Depreciation, and Amortization) performed somewhat better than anticipated, according to Stifel analyst Ben Nolan. The primary discrepancy was a smaller gain from marketable securities than expected.
29-October-2019
Taiwanese shipowner and operator Wisdom Marine Lines Co Ltd ordered two (2) kamsarmax bulk carrier new-buildings at Tsuneishi Zhoushan Shipbuilding. Chun-Sheng Lan-led shipowner and operator Wisdom Marine Lines Co Ltd expressed to be attracted by Tsuneishi Zhoushan Shipbuilding’s reasonable price and shipbuilding quality. Wisdom Marine Lines Co Ltd’s BOD (Board of Directors) has approved a proposal to order the two (2) 82K DWT kamsarmax bulk carrier new-buildings at Tsuneishi Zhoushan Shipbuilding for $33 million each. Taiwan Stock Exchange-listed shipowner and operator Wisdom Marine Lines Co Ltd has been in a fleet expansion and renewal programme. This will be the second new building contract that Taipei-based shipowner and operator Wisdom Marine Lines Co Ltd has awarded this year to Tsuneishi Zhoushan Shipbuilding. Tsuneishi Zhoushan Shipbuilding is a China-based shipyard controlled by Japan’s Tsuneishi Group. In March, Wisdom Marine Lines Co Ltd commissioned the Tsuneishi Zhoushan Shipbuilding to build one (1) 63K DWT ultramax bulk carrier new building. Wisdom Marine Lines Co Ltd will take the delivery of the ultramax bulk carrier new building in March 2021. Taiwanese shipowner and operator Wisdom Marine Lines Co Ltd will pay around $31 million for the ultramax bulk carrier new building. Wisdom Group’s subsidiary company Wisdom Marine Lines Co Ltd has 15 bulk carriers under construction at Japanese-owned yards including Japan Marine United (JMU), Imabari Shipbuilding, Namura Shipbuilding, and Kawasaki Heavy Industries (KHI). Wisdom Marine Lines Co Ltd will take delivery of two (2) 61K DWT ultramax bulk carrier new buildings from Kawasaki Heavy Industries (KHI) in Q4 2019 and the remaining bulk carrier new buildings between 2020 and 2021. Wisdom Marine Lines Co Ltd has sold four (4) Japanese-built handysize bulk carriers this year. Currently, Wisdom Marine Group is the largest dry bulk shipowner in Taiwan by the number of ships. Wisdom Marine Lines Co Ltd has a fleet of 133 bulk carriers. Wisdom Marine Lines Co Ltd’s fleet comprises small handysize to capesize bulk carriers. Furthermore, Wisdom Marine Group has a handful of container ships, single-deckers, ro-ro, and a small LPG carrier.
28-October-2019
Tokyo Stock Exchange-listed shipowner and operator K Line Bulk (Kawasaki Kisen Kaisha) has ordered a new Woodchip Carrier for a biomass transportation charter. Tokyo-based shipowner and operator K Line Bulk (Kawasaki Kisen Kaisha) will take the delivery of Woodchip Carrier in Q1 2022. Yukikazu Myochin-led shipowner and operator K Line Bulk (Kawasaki Kisen Kaisha) will charter out the new Woodchip Carrier to Nippon Paper Industries on a long-term consecutive voyage agreement. K Line Bulk’s (Kawasaki Kisen Kaisha) new Woodchip Carrier will carry around 3.67 million-cbf paper and biomass woodchips per voyage. Japanese shipowner and operator K Line Bulk (Kawasaki Kisen Kaisha) has ordered the new Woodchip Carrier with a funnel scrubber. K Line Bulk (Kawasaki Kisen Kaisha) did not reveal the price tag of new Woodchip Carrier.
28-October-2019
Evercore, Stifel, and Jefferies have tempered their outlooks on New York-listed shipowner and operator Safe Bulkers (SB) following the shipowner’s Q3 earnings miss. Limassol and Athens-based Safe Bulkers (SB) has reported $0.03 adjusted earnings per share. Evercore has lowered the Q4 earnings per share outlook to $0.06 from $0.10 while reducing the full-year take to $0.29 from $0.32. Polys Hajioannou-led shipowner and operator Safe Bulkers (SB) prepares to install 14 scrubber installations which will be generating 490 off-hire days. Jefferies has lowered the Q4 earnings per share outlook to $0.05 from $0.06 and to $0.09 from $0.13 for the entire year. Furthermore, Jefferies holds a buy rating as New York-listed shipowner and operator Safe Bulkers’ (SB) shares resume to trade at a steep discount to NAV (net asset value) despite a more pleasing dry bulk market. Stifel has lowered the Q4 earnings per share outlook to $0.11 from $0.17 for full-year 2019.
28-October-2019
The MTM Group, headquartered in Singapore and specializing in shipowning and operating, has completed the purchase of two product tankers from the London-based Union Maritime Limited (UML) through a block deal. The MTM Group has taken ownership of the two vessels, the 2004-built 51K DWT tankers MT Lincoln and MT Chase, each at a cost of $11 million. This transaction comes on the heels of the MTM Group’s previous acquisition of the 51K DWT tanker MT Energy Protector from Enterprises Shipping and Trading in September. Presently, the MTM Group boasts a diverse fleet of 37 ships, comprising 14 bulkers and 23 tankers, with an additional two vessels under construction at Shin Kurushima.
27-October-2019
Vale, the Brazilian mining giant, has finalized the sale of the MV Ore Bayovar, a veteran ore carrier constructed in 1998, for scrapping, fetching $8.15 million. This sale highlights the current downtrend in recycling prices, with the vessel achieving $372 per light displacement ton (lwt) for its 179K DWT. Scheduled for dismantling at a site compliant with the Hong Kong International Convention for the Safe and Environmentally Sound Recycling of Ships, this move underscores Vale’s dedication to eco-friendly recycling practices. The sale proceeds of the MV Ore Bayovar, which Vale acquired back in April 2009 for $36.5 million, closely matched initial estimates of around $8 million. This deal emerges against the backdrop of a volatile scrap metal market, as evidenced by Berge Bulk’s recent sale of the Berge Bureya, a 289,000-dwt vessel from 1993, for $410 per long ton deadweight (ldt) or $15.3 million, marking its third VLOC scrap transaction of the year. These transactions occur within a challenging market environment, pressured by domestic mills and re-rolling plants finding heavy melting scrap from abroad at prices undercutting those demanded by recyclers, prompting a reevaluation of buying strategies. Ed McIlvaney, a scrap shipbroker, pointed out the transient nature of the recent spike in scrap prices, attributing the downturn to a steady drop in domestic market offers to end receivers. This trend, exacerbated by the influx of cheaper foreign imports, injects sustained uncertainty into the market, expected to continue until such imports cease. McIlvaney also commented on the speculative aspect of Berge Bulk’s sale price and noted that the recent market slump has been unfavorable for cash buyers. Factoring in the premium for environmentally responsible recycling in Hong Kong, Vale’s deal reflects a delivered price well under $400 per lwt, shedding light on the current strains facing the recycling market.
27-October-2019
Simeon Palios’ progeny, Semiramis Paliou, is poised to ascend the ranks of Athens-based New York-listed shipowner and operator Diana Shipping (DSX). In a strategic move aimed at ensuring a smooth leadership transition, Greek shipowner and operator Diana Shipping (DSX) has instituted the position of Deputy Chief Executive with immediate effect. Semiramis Paliou, an esteemed executive and the scion of Simeon Palios, has gracefully accepted this mantle, whilst maintaining her directorial position since 2015 and her operational command from 2018 onwards. The New York-listed Diana Shipping (DSX) envisions Mr. Simeon Palios persistently embodying his role as the corporate luminary. The Board of Directors of Diana Shipping (DSX), in a harmonious consensus, endorsed Semiramis Paliou for the deputy berth, following the sagacious counsel of the company’s independent Nominating Committee. This committee holds the conviction that Semiramis Paliou’s prowess positions her to potentially inherit the Chief Executive’s chamber, furthering the legacy and meticulous expansion piloted by the present Chairman and Chief Executive, Mr. Simeon Palios. As a member of the board and a pivotal officer, Semiramis Paliou’s insights into the maritime sector and her formidable leadership within Diana Shipping (DSX) are indisputable. The committee, whilst envisaging a prolonged tenure for Simeon Palios in his esteemed role, acknowledges today’s decree as emblematic of the significance of a fluid leadership metamorphosis for all vested parties. This seminal moment, with the appointment of Semiramis Paliou, heralds the dawn of a renewed era of executive stewardship for the venerable institution of Diana Shipping (DSX), founded in 2005.
27-October-2019
New York-listed shipowner and operator Genco Shipping & Trading foresees that the entire capesize fleet will be scrubber-fitted ahead of the IMO (International Maritime Organization) 2020 deadline. Up to now, Genco Shipping & Trading had fitted scrubbers on 11 of its 17 capesize bulk carriers. Genco Shipping & Trading aims to meet the IMO (International Maritime Organization) 2020 deadline. Furthermore, the early fitting of scrubbers will give experience in operating the system. Up to now, Genco Shipping & Trading’s 22 bulk carriers had entered the shipyards for scrubber installations, BWTS (Ballast Water Treatment System) fittings, scheduled SS (Special Surveys), and other ship repairs. Genco Shipping & Trading’s remaining fleet of minor bulk carriers will consume ultra-low sulfur compliant fuel following implementation of the IMO (International Maritime Organization) regulations. Genco Shipping & Trading’s fleet is managed by Genco Ship Management LLC. Currently, John Wobensmith-led Genco Shipping & Trading’s fleet consists of 17 capesize, 2 panamax, 6 ultramax, 20 supramax, and 11 handysize bulk carriers.
27-October-2019
The Brazilian mining corporation Vale has recently completed the sale of an aging ore carrier, the MV Ore Bayovar, built in 1998, for scrap, securing $8.15 million in a transaction that reflects a downturn in recycling prices. Shipbrokers have reported that Vale achieved a price of $372 per light displacement ton (lwt) for the 179K DWT vessel. The MV Ore Bayovar is scheduled for delivery to a facility that complies with the Hong Kong International Convention for the Safe and Environmentally Sound Recycling of Ships, indicating Vale’s commitment to responsible recycling practices. The sale price for the MV Ore Bayovar, which Vale acquired in April 2009 for $36.5 million, was initially estimated to be around $8 million. This transaction comes amid a fluctuating market for scrap metal, highlighted by Berge Bulk’s recent disposal of the Berge Bureya, a 289,000-dwt vessel built in 1993, for $410 per long ton deadweight (ldt) or $15.3 million, marking its third VLOC scrap sale of the year. However, these sales have occurred in a challenging market environment where domestic mills and re-rolling plants have been able to source heavy melting scrap from international suppliers at costs below what recyclers have been demanding, leading to a reevaluation of purchasing strategies. Scrap shipbroker Ed McIlvaney noted that the initial surge in scrap prices was short-lived due to a steady decline in domestic market offers to end receivers. The availability of cheaper foreign imports has introduced ongoing uncertainty in the market, which is expected to persist until such imports are no longer accessible. McIlvaney also remarked on the speculative nature of the price achieved by Berge Bulk and observed that the recent downturn has disadvantaged cash buyers. Even when considering the premium for green recycling in Hong Kong, the Vale transaction underscores a delivered price significantly below $400 per lwt, illustrating the current pressures within the recycling market.
27-October-2019
Shipowner Pal Woxen Caspersen died at the age of 81, and his path through Norwegian shipping remains closely linked to the story that later shaped Norwegian bulker operator Western Bulk Chartering (WBC). Pal Woxen Caspersen and John Hatleskog began their shipping careers with P Meyer in the early 1970s, and although Pal Woxen Caspersen and John Hatleskog had limited experience at the outset, Pal Woxen Caspersen and John Hatleskog negotiated directly with leading creditor ABN Amro when P Meyer was on the verge of collapse in 1975. ABN Amro ultimately granted Pal Woxen Caspersen and John Hatleskog control, and the assets were transferred into the newly established Havtor, which Pal Woxen Caspersen and John Hatleskog developed into an LPG carrier shipowner before selling Havtor to Bergesen and later splitting their stakes. Pal Woxen Caspersen’s company Sjoinvest invested in Western Bulk in the 1990s, and in 1997 Pal Woxen Caspersen took control of the bulker operator Western Bulk despite opposition from brothers Sverre Jorgen and Otto Tidemand and the Lorentzen family, an episode that helped define the ownership direction of the platform that would later evolve into Norwegian bulker operator Western Bulk Chartering (WBC). Pal Woxen Caspersen later sold Western Bulk to Christen Sveaas, and the Western Bulk legacy is strongly connected to the chartering franchise that operates as Western Bulk Chartering (WBC), a Norwegian bulker operator known for running an asset-light model where value is created through chartering execution, cargo coverage, and day-to-day trading decisions rather than relying purely on owned tonnage. Western Bulk Chartering (WBC) has been associated with a large operating footprint in the supramax-focused and wider dry bulk space, building a commercial platform that links ship supply with cargo demand across multiple routes and counterparties, and Western Bulk Chartering (WBC) has long been recognised for utilising market volatility through short- to medium-duration commitments, structured coverage, and active employment management to protect utilisation and capture trading opportunities. In that context, the Western Bulk history that Pal Woxen Caspersen helped shape is still part of the institutional memory across the organisation and the wider Norwegian shipping community, which is why tributes often extend not only to Pal Woxen Caspersen’ family members but also to colleagues connected to Norwegian bulker operator Western Bulk Chartering (WBC). HandyBulk sent condolences to colleagues at Norwegian bulker operator Western Bulk Chartering (WBC) and conveyed condolences to the family members of Pal Woxen Caspersen, and HandyBulk’s thoughts and prayers are with Pal Woxen Caspersen’ family members during this difficult time.
26-October-2019
German shipowner and operator Oldendorff Carriers’ manager Christian Oldendorff has teamed up with a Zurich Science University to study emissions-free shipping. Lubeck-based Oldendorff Carriers and Zurich Science University collaborates and investigates ship movements in Europe and the expense of modern fuels and storage options. Oldendorff Carriers and Zurich Science University examine artificial fuels for a CO2-neutral option for the shipping industry. Electric propulsion systems have been applied for short-sea voyages. For long voyages, Oldendorff Carriers and Zurich Science University report that ammonia would be a proper option. However, due to its toxicity, ammonia as a fuel is not currently permitted. The report is part of an initiative by Reederei Nord co-owner Oldendorff. According to Henning Oldendorff led Oldendorff Carriers, it’s time to seek alternative fuels.
25-October-2019
Bulgarian shipowner and operator Navibulgar (Navigation Maritime Bulgare) ordered six (6) Great Lakes-fitted handy bulk carrier new-buildings at Yangzijiang Shipbuilding. Furthermore, Navibulgar (Navigation Maritime Bulgare) has two (2) options for Great Lakes-fitted handy bulk carrier new-buildings. Navibulgar (Navigation Maritime Bulgare) is going into the US Great Lakes trades with 31K DWT Great Lakes-fitted handy bulk carrier new-buildings. Yangzijiang Shipbuilding has added recently added Great Lakes-fitted handy bulk carrier new-buildings to the dry bulk carrier portfolio. Previously, Navibulgar (Navigation Maritime Bulgare) ordered six (6) handymax bulk carriers at Yangzijiang Shipbuilding.
24-October-2019
Greek shipowner and operator Carras Hellas S.A. chartered out 2009 built capesize bulk carrier 182K DWT MV Aquaprincess to Koch Industries Commodities Group shipping arm Koch Shipping for around $18,000 per day for two years. In 2009, Greek shipowner and operator Carras Hellas S.A. acquired MV Aquaprincess for around $110 million. MV Aquaprincess is probably the most expensive capesize bulk carrier ever built. Carras Hellas S.A. has also sistership 2010 built capesize bulk carrier 182K DWT MV Aquadiva in its fleet. To make a reasonable return on equity, MV Aquaprincess and MV Aquadiva would each have required to collect approximately $50,000 per day. Greek shipowner and operator Carras Hellas S.A. paid cash to acquire MV Aquaprincess and MV Aquadiva. Therefore, there are no finance costs, all revenues over and above operating costs of $8,000 per day per ship are profits. Greek shipowner and operator Carras Hellas S.A. charters out most of its bulk carriers on period charters. In March 2016, MV Aquaprincess and MV Aquadiva were chartered out to Rio Tinto for one year at $5,250 per day per vessel. Carras Hellas S.A. did not order the MV Aquaprincess and MV Aquadiva with scrubbers. In 2016 and 2017, Greek shipowner and operator Carras Hellas S.A. took delivery of three (3) ultramax new-building bulk carriers from Japan Marine United. Currently, Athens-based Carras Hellas S.A. owns and operates twelve (12) large bulk carriers.
24-October-2019
Norway-headquartered shipbroker Fearnleys eyes Asia expansion as the company marks its 150th anniversary. Fearnleys expands the company’s footprint in Singapore. Fearnleys Asia (Singapore) Pte. Ltd set up LNG Advisory Services and grow the shipbroking activities of Fearnley Offshore in Singapore. Oslo-based shipbroker Fearnleys descended on Singapore for the latest in the company’s string of 150th-anniversary celebrations. Fearnleys developed considerably over the past 150 years. A significant contributor to that development is Fearnleys Asia (Singapore) Pte. Ltd’s presence in the Asian region. Fearnleys Asia (Singapore) Pte. Ltd. has for many years been the prime hub for the shipbroking business in the Asia region. Fearnleys Asia (Singapore) Pte. Ltd. has been serving in Singapore for more than 30 years. Fearnleys Asia (Singapore) Pte. Ltd. is the largest Fearnleys hub outside Norway. Fearnleys Asia (Singapore) Pte. Ltd. covers all segments within the ship and offshore shipbroking. Norway-headquartered shipbroker Fearnleys has been expanding the company’s presence and investments in Singapore.
24-October-2019
Nasdaq-listed dry bulk shipowner and operator Pangaea Logistics Solutions loaded 42K metric tons of cargo from the world’s northernmost Arctic Circle port in remote Greenland. United States-based Ed Coll-led Pangaea Logistics Solutions find solutions for tough trades and projects that other shipowners would not even consider. Pangaea Logistics Solutions loaded 1995 built 1A ice-class handymax bulk carrier 43K DWT MV Nordic Barents from Bluejay Mining. Pangaea Logistics Solutions used a barge and set-up a conveyor system to load MV Nordic Barents. Pangaea Logistics Solutions loaded MV Nordic Barents in August which is a very narrow shipping window that far north port. Bluejay Mining has already identified up to 730 million tonnes of iron ore at the Moriusaq site. Pangaea Logistics Solutions’ subsidiary Nordic Bulk Carriers has carried iron ore from the isolated Canadian Arctic territory of Baffin Island. Previously, Pangaea Logistics Solutions carried ilmenite sand which is used in manufacturing titanium to Quebec. Pangaea Logistics Solutions’ other subsidiary is Phoenix Bulk Carriers. Phoenix Bulk Carriers also carry cargoes from ports that are remote and completely lacking in infrastructure. Most ilmenite cargoes come from Africa. However, the Greenland ilmenite deposits are closer to Europe and the US. Bluejay Mining is the largest licence holder in Greenland.
24-October-2019
New York-listed shipowner and operator Safe Bulkers (SB) has reported a $5.87 million adjusted profit for Q3 2019. In Q3 2018, Safe Bulkers (SB) has reported an $8.19 million profit. Polys Hajioannou-led shipowner and operator Safe Bulkers (SB) has reported an adjusted EPS (earnings per share) of $0.03. Limassol and Athens-based Safe Bulkers (SB) reported $50 million in revenue. New York-listed shipowner and operator Safe Bulkers (SB) was still pleased to be on the profit side due to higher charter rates. Currently, shipowner and operator Safe Bulkers (SB) has a fleet of 4 capesize bulk carriers, 13 post-panamax bulk carriers, 10 kamsarmax bulk carriers, and 14 panamax bulk carriers.
24-October-2019
NASDAQ listed Star Bulk Carriers sold 2001 built supramax bulk carrier 52K DWT MV Star Epsilon and 2005 built supramax bulk carrier 52K DWT MV Star Cosmo. Star Bulk Carriers circulated MV Star Epsilon and MV Star Cosmo in the sale and purchase (S&P) market for two weeks and sold two of its oldest supramax bulk carriers. 2001 built supramax bulk carrier 52K DWT MV Star Epsilon was sold for about $6.5 million. 2005 built supramax bulk carrier 52K DWT MV Star Cosmo was sold for about $6.8 million to Middle Eastern shipowners. During the 2007-2008 shipping boom, Star Bulk Carriers acquired MV Star Epsilon and MV Star Cosmo at the top of the market with huge price tags. Petros Pappas led Star Bulk Carriers is the world’s largest scrubber fitted shipowner. Currently, Star Bulk Carriers has a fleet of 118 bulk carriers and almost the entire fleet is scrubber fitted. Oaktree Capital Management backed Star Bulk Carriers have been circulating MV Star Epsilon and MV Star Cosmo in the second-hand market since August 2019. In 2019, Star Bulk Carriers sold or scrapped three (3) bulk carriers and took delivery of three (3) new-building newcastlemax bulk carriers. In 2019, Star Bulk Carriers acquired an entire fleet of Delphin Shipping i.e. eleven (11) supramax bulk carriers. In 2019, Star Bulk Carriers has already installed exhaust gas cleaning systems (scrubber) on about 80 bulk carriers. Currently, Star Bulk Carriers is ranking first in a list of estimated top scrubber shipowners. Star Bulk Carriers targeted to increase the size of its scrubber-fitted fleet to more than 100 bulk carriers by the beginning of 2020. Furthermore, Star Bulk Carriers has secured $150 million in debt financing to finance the scrubber installations. In 2020, only Scorpio Bulkers will eventually surpass Star Bulk Carriers’ scrubber-fitted fleet, if Scorpio Bulkers install scrubbers on 140 bulk carriers.
23-October-2019
Scorpio Bulkers, under the leadership of Chief Executive Emanuele Lauro, is engaging the market with a sense of mystery regarding its future strategy, particularly in relation to Scorpio Tankers. During its Q3 earnings call, the company hinted at a bullish outlook for Scorpio Tankers’ (STNG) stock but left analysts guessing about detailed plans. Robert Bugbee, the president of Scorpio Bulkers, emphasized the strategic ambiguity by stating, “We have to keep everyone guessing.” The decision to declare a special dividend of shares in Scorpio Tankers took many by surprise, reflecting Scorpio Bulkers’ confidence in the stock’s potential. Bugbee highlighted a substantial overlap in the investor bases of Scorpio Bulkers (SALT) and Scorpio Tankers (STNG), estimating that 65-70% of Scorpio Bulkers’ investors, including insiders and major shareholders, also invest in Scorpio Tankers. Analysts are curious about the possibility of Scorpio Bulkers declaring additional special dividends of STNG stock, especially given the stock’s approximately 20% increase over the past three months. While Bugbee anticipates “significant gains” in STNG’s stock and mentions the potential to further monetize Scorpio Bulkers’ stake for shareholder benefit, specific plans remain undisclosed. Robert Bugbee’s comments suggest a strong preference among Scorpio Bulkers shareholders for receiving STNG stock as dividends, potentially more valued than cash. This strategy aligns with Scorpio Bulkers’ commitment to creating value and flexibility for its shareholders, as evidenced by its sale-and-leaseback transactions and efforts to reduce expensive debt. Nasdaq-listed shipowner and operator Scorpio Bulkers (SALT) has recently sold two ultramax bulk carriers and paid down significant debt, positioning itself advantageously regardless of the ongoing US-China trade tensions. Scorpio Bulkers (SALT) operates with a strategy that assumes the trade war’s continuation, ensuring resilience and performance even amid global economic uncertainties. The potential for a trade truce between the US and China is acknowledged as beneficial, yet Scorpio Bulkers’ current operations and strategies are designed to succeed regardless of geopolitical outcomes, emphasizing a prudent and adaptable approach to navigating the complexities of international trade and shipping markets.
22-October-2019
Castor Maritime has acquired a panamax bulk carrier from Pavimar SA, led by Ismini Panayiotides, as part of its fleet expansion strategy. A 14-year-old panamax bulk carrier has been transferred to the closely associated Greek shipping company Castor Maritime, two years after Pavimar SA originally purchased the vessel. The 76,000-dwt panamax, MV Magic Moon (formerly MV Double Happiness), constructed by Imabari in 2005, was sold for $10.2 million, slightly above the price Pavimar SA paid to a Japanese seller in April 2017. The MV Magic Moon is scheduled for a special survey in August of the following year. Previously, Pavimar SA completed the sale of the 53,000-dwt, 2005-built supramax bulk carrier MV Ribbon to an unnamed buyer for approximately $9 million. This supramax, now recognized as MV Hai Nam 81, has been confirmed sold to Hai Nam of Vietnam. Pavimar SA’s current fleet includes three supramax bulk carriers, nine panamax bulk carriers, and one capesize bulk carrier, with an average age of nine years. This year, Pavimar SA expanded its fleet by purchasing the 78,000-dwt panamax bulk carrier MV Lake Dahlia (built in 2009) from a Japanese entity for $13.8 million in May. On the other hand, Castor Maritime, listed on Nasdaq and headquartered in Limassol, Cyprus, under the leadership of Petros Panagiotidis, has a specialized fleet of three panamax bulk carriers, with MV Magic Moon now being the latest addition. In July, Castor Maritime Inc. (CTRM) announced the purchase of the 75,000-dwt MV Magic Sun (previously MV Nirefs), built in 2001, from Diana Shipping. Although the acquisition price was roughly $10.25 million, the seller’s details were not fully disclosed, other than noting the seller was a company with ties to a family member of CEO Petros Panagiotidis. In a statement, Panagiotidis emphasized Castor Maritime’s continuous ambition to grow its fleet strategically, aiming to enhance both earnings and cash flows.
21-October-2019
Seoul-based shipowner and operator Polaris Shipping postpones Oslo Stock Exchange’s initial public offering (IPO) to 2020. South Korean shipowner and operator Polaris Shipping will wait until a Seoul trial into the loss of the 1993 built VLOC (Very Large Ore Carrier) 266K DWT MV Stellar Daisy is completed and the case will be resolved. Furthermore, weak dry bulk markets have delayed Polaris Shipping Oslo Stock Exchange’s initial public offering (IPO). Initial public offering (IPO). Polaris Shipping plans to use the funds to finance new-buildings and replace several of its converted VLOCs (Very Large Ore Carriers). South Korean ship owner and operator Polaris Shipping has been working on the Oslo Stock Exchange listing plan for more than a year. Polaris Shipping has encountered interrogations since the 1993 built Very Large Ore Carrier (VLOC) 266K DWT MV Stellar Daisy sank on 31 March 2017 while transporting iron ore from Brazil to China. MV Stellar Daisy’s loss was most likely due to a catastrophic structural failure of the converted Very Large Ore Carrier’s (VLOC’s) hull. Hearings in the Seoul court case over Polaris Shipping’ compliance with ship safety rules have now been concluded. It was a positive trial for Polaris Shipping. Bookrunners for the Polaris Shipping Oslo Stock Exchange’s initial public offering (IPO) are Arctic Securities and ABG Sundal Collier. Norwegian shipping market players remain skeptical of the Polaris Shipping Oslo Stock Exchange’s initial public offering (IPO) because of the company’s old converted Very Large Ore Carriers (VLOCs). Currently, South Korean ship owner and operator Polaris Shipping has a fleet of 26 Very Large Ore Carriers (VLOCs), 7 capesize bulk carriers, and 2 aframax tankers. Additionally, Polaris Shipping 16 new-building bulk carrier orders.
20-October-2019
London-listed shipbroker Braemar Shipping Services attempts to maximize its shipbroking services. Braemar Shipping Services sold Technical Services Division sold to Aqualis. Furthermore, Braemar Shipping Services appointed new chairman Ronald Series. Braemar Shipping Services plans a three-year strategy for the company. Braemar Shipping Services anticipates growth through acquisitions. Braemar Shipping Services want to be a one-stop-shop for maritime services. Braemar Shipping Services’ shipbroking division Braemar ACM is led by James Gundy. According to Braemar Shipping Services’ shipbroking division Braemar ACM, financing in new businesses and expanding present markets is the appropriate method to proceed. Braemar Shipping Services invested in the LNG business which is performing strong. Braemar Shipping Services’ financial department is increasingly vital to the business and transactions have emerged from the finance side. In Q2 2019, Braemar Shipping Services has reduced the loss to $2.69 million. Braemar Shipping Services reported a strong performance from shipbroking services in Q2 2109. Braemar Shipping Services look forward to Q3 and Q4 with determination Full financial year of 2019 remains in line with Braemar Shipping Services’ expectations. In Q2 2019, Braemar Shipping Services’ tanker and newbuilding desks had a strong period of revenue increase. According to Braemar Shipping Services, the shipping market is currently subject to volatility due to IMO (International Maritime Organization) bunker regulations and shifting trading models.
19-October-2019
Alpha Adriatic d.d. was established on 1 September 1986 as a fully owned subsidiary of the Uljanik Group, originally named Uljanik Plovidba. Initially, the company focused on owning and managing a fleet of multipurpose and bulk carriers. The move towards privatization started in 1994, unfolding in several stages and concluding in 1998, which saw Alpha Adriatic d.d. transition into an independent entity, no longer part of the Uljanik Group, and owned by over 5,000 individual shareholders. Between 1994 and 2002, the company maintained a representative office in London to handle commercial, banking, insurance, and legal affairs. In 1997, the company broadened its services to include third-party ship management, starting with the cruise ship “Dalmacija,” which was later incorporated into its own fleet. Alpha Adriatic d.d. saw its shares listed on the Zagreb Stock Exchange in 2003, marking the beginning of a significant investment phase. Over the next eight years, the company invested approximately USD 500 million in modernizing and renewing its dry cargo and tanker fleet, supported by five capital increases between 2005 and 2019. Since 2004, the company ventured into liquid cargo transportation by investing in a fleet of oil and chemical tankers and expanded its technical management services for third parties in the tanker sector from 2012. In 2014, Alpha Adriatic established a management subsidiary in Singapore, Alpha Adriatic Shipmanagement Pte. Ltd., extending its ship management services to include two ro-pax ships. The company underwent a rebranding in October 2019, changing its name from Uljanik Plovidba to Alpha Adriatic, symbolizing a desire for modernization and a stronger international market presence. In 2021, Alpha DCM Investments LLC was formed as a joint venture between Alpha Adriatic Group and DC Maritime Partners B.V., acquiring the second-hand bulk carriers MV Punta and MV Valovine in August 2021. Another joint venture, ASP Adriatic d.o.o., was established in 2021 with ASP Group and Mr. Eduard Hibšer, aiming to enhance crewing services and human resource management, crucial aspects of the ship management industry. Today, Alpha Adriatic stands as a contemporary and forward-thinking group, diversifying its operations to navigate the evolving maritime market effectively.
18-October-2019
Hong Kong-based shipowner and operator Chellaram Shipping (Hong Kong) Ltd. (Chellship) sold 2008 built supramax bulk carrier 56K DWT MV Darya Mahesh for around $12.5 million. MV Darya Mahesh was built at Mitsui Engineering & Shipbuilding. A plethora of transactions executed by CEO Vishal Khurana-led shipowner and operator Chellaram Shipping seemingly remain concealed from public purview. Notably, both the 2008 built supramax bulk carrier 56K DWT MV Darya Mahesh and sister ship 2009 built supramax bulk carrier 56K DWT MV Darya Lakshemi were acquired by Chellaram through discreet, off-market negotiations. Chellaram Shipping (Hong Kong) Ltd. (Chellship) boasts a fleet of 13 bulk carriers, varying in magnitude from handysize to kamsarmax, boasting a median age of merely five years. This transaction materialized subsequent to Chellaram Shipping (Hong Kong) Ltd.’s (Chellship) divestment of the 2006 built supramax bulk carrier 56K DWT MV Darya Brahma to Bahtera Adhiguna of Indonesia, in exchange for $10.8 million.
17-October-2019
Led by Petros Panagiotidis, the shipowning and operating company Castor Maritime (CTRM) has finalized a deal to purchase a Japanese panamax bulk carrier built in 2005 for $10.2 million. While the specific name of the vessel and the seller were not disclosed, Castor Maritime (CTRM) indicated that the sale involves a third party connected to Petros Panagiotidis. It is speculated that the vessel in question is the Imabari-constructed panamax bulk carrier MV Real Happiness, owned by Pavimar SA, a company directed by Ismini Panagiotidi, the sister of Petros Panagiotidis. The MV Real Happiness has an estimated value of $10.28 million, according to VesselsValue. Petros Panagiotidis, who serves as the chairman, CEO, and CFO of Castor Maritime (CTRM), expressed satisfaction with this new addition to their fleet, marking it as the third dry bulk carrier and the second acquisition since the company went public on NASDAQ in the first quarter of 2019. He emphasized the company’s commitment to an aggressive growth strategy, aiming to identify and seize additional opportunities to enhance the fleet in ways that boost earnings and cash flow. The completion of the MV Real Happiness purchase is anticipated by the end of this month.
17-October-2019
Under the leadership of Petros Panagiotidis, Castor Maritime (CTRM), a company engaged in ship ownership and operations, has successfully negotiated the purchase of a panamax bulk carrier built in Japan in 2005 for a sum of $10.2 million. The identity of the vessel and the seller has not been publicly disclosed, but Castor Maritime (CTRM) has mentioned that the transaction involves a third-party entity with ties to Petros Panagiotidis. There is speculation that the vessel is the MV Real Happiness, a panamax bulk carrier built by Imabari and currently under the ownership of Pavimar SA, which is led by Ismini Panagiotidi, Petros Panagiotidis’ sister. VesselsValue estimates the value of the MV Real Happiness at $10.28 million. Petros Panagiotidis, holding the positions of chairman, CEO, and CFO at Castor Maritime (CTRM), shared his enthusiasm about acquiring what is now the company’s third dry bulk carrier, and the second purchase since its NASDAQ debut in the first quarter of 2019. He reiterated the firm’s dedication to aggressive expansion, with a focus on acquiring assets that will positively impact the company’s profitability and cash flow. The acquisition of the MV Real Happiness is expected to be finalized by the end of the current month.
17-October-2019
Petros Pappas led shipowner and operator Star Bulk Carriers could stockpile $300 million surplus cash flow from its scrubber programme. Current bunker spread between LSFO (Low Sulphur Fuel Oil) and IFO (Intermediate Fuel Oil) means Star Bulk Carriers could achieve zero debt and target consolidation. According to analysts’ estimates, Star Bulk Carriers’ fleet burns 1.2 million tons of fuel per year which is around $300 million savings per year. Currently, there is a $240 per ton spread between low and high sulfur bunkers. New York-listed Star Bulk Carriers could pay the savings to shareholders as dividends. Remarkable dividends should allow for shares to continue moving higher relative to net asset value (NAV). Star Bulk Carriers will earn a perpetual capital base to deleverage from today’s very manageable 50% level to zero (LTV) net debt and will bring down breakeven levels which is currently at $11,200 per day including debt repayment. Petros Pappas led shipowner and operator Star Bulk Carriers could consolidate the stock market via highly attractive ship-for-share deals. Market analysts remain bullish on the outlook for Star Bulk Carriers’ (SBLK) shares. Particularly, market analysts believe that Star Bulk Carriers’ management will choose to allocate surplus cash flow towards dividends within a structure that is sustainable. According to market analysts’ estimations, this will be achieved in the Q3 2020. Star Bulk Carriers will maintain profitable and sustainable growth in shipping markets.
16-October-2019
The Belships firm, prominently listed on the Oslo Stock Exchange, persists in its ambitious expansion endeavors, epitomized by its recent Japanese ultramax transaction. In under two months, Belships has astutely secured its third 61,000 DWT ultramax bulk carrier. This Norwegian maritime giant, under the esteemed leadership of Lars Christian Skarsgard, has not only sustained its growth trajectory but also augmented its fleet with another exquisite Japanese-crafted ultramax vessel. The company has reached a consensus on a seven-year bareboat charter for this impending vessel, which is slated for delivery from an undisclosed Japanese shipyard in the early months of 2020. The financial projections suggest that the vessel's cash breakeven, inclusive of operational costs, hovers around $11,000 daily. Intriguingly, this agreement embeds purchase options, which are reportedly beneath the prevailing market valuations. These can be invoked post the fourth year and sustained till the charter culminates. Belships, exuding confidence, and pride, accentuates its acquisition of another Japanese ultramax as an emblematic representation of unparalleled quality and optimized fuel efficiency. This strategic acquisition not only bolsters Belships' stature in the maritime realm but also augments the returns for its esteemed shareholders, thereby highlighting its advantageous position concerning maritime financing. In the preceding month of August, a similar agreement was inked by Belships for two 61,000 DWT ultramax bulk carriers, accompanied by seven-year bareboat charters and purchase options. Preceding this, Belships had procured a 64,000 DWT ultramax bulk carrier, encompassing a 10-year bareboat charter, with the vessel's anticipated arrival in the latter half of 2021. Concurrently, in its bid to rejuvenate its fleet, the Oslo-headquartered Belships has been judiciously divesting its antiquated vessels, as evidenced by the recent sale of the 2006 built supramax bulk carrier 50,000 DWT MV Beleast to the Turkish maritime entity, Marti Shipping & Ship Management.
16-October-2019
Singapore based shipowner and operator Berge Bulk sold 1993 built VLOC (Very Large Ore Carrier) 289K DWT MV Berge Burey for demolition for around $410 per ldt (Light Displacement Tonnage). MV Berge Burey is the third VLOC (Very Large Ore Carrier) that James Marshall led Berge Bulk sold to scrap. Berge Bulk has been in the fleet renewal programme. MV Berge Burey has been out of its long-term charter deal. MV Berge Burey is not due for SS (Special Survey) until 2021. Previously, Berge Bulk sold 1992 built VLOC (Very Large Ore Carrier) 263K DWT MV Berge Manuslo for around $448 per ldt (Light Displacement Tonnage) and 1992 built VLOC (Very Large Ore Carrier) 289K DWT MV Berge Denali for around $465 per ldt (Light Displacement Tonnage). In September 2019, Singapore-based shipowner and operator Berge Bulk acquired a 2014 built capesize bulk carrier 176K DWT MV Berge Orizaba (ex MV Bulk Success) for around $24 million. Furthermore, Berge Bulk has four (4) newcastlemax new-building orders at Bohai Shipyard. Berge Bulk is a leading player in the capesize segment. Currently, Berge Bulk has a fleet of 50 large bulk carriers.
16-October-2019
Singapore and Copenhagen based diversified shipowner BW Group subsidiary company BW Dry Cargo sold 2013 built kamsarmax bulk carrier 81K DWT MV BW Hazel (ex MV Antonis) to Malta-based Sterling Shipping for a around $22 million. In December 2016, BW Dry Cargo acquired 2013 built kamsarmax bulk carrier 81K DWT MV BW Hazel (ex MV Antonis) for about $16 million. Currently, BW Dry Cargo has a fleet of nine (9) bulk carriers and eleven (11) new-building bulk carrier orders at Japanese shipyards. BW Dry Cargo is led by Christian Bonfils who previously established Nordic Bulk Carriers (NBC). In September 2017, BW Dry Cargo acquired 2004 built capesize bulk carrier 171K DWT MV Berge Weisshorn (ex MV Chambesy) for around $15 million. In September 2018, BW Dry Cargo acquired 2010 built capesize bulk carrier 180K DWT MV Berge Nyangani (ex MV Tenshu Maru) for around $30 million. In 2003, BW Dry Cargo’s capesize fleet was acquired by Berge Bulk. Berge Bulk is led by James Marshall, a brother-in-law to BW Group chairman Andreas Sohmen-Pao.
16-October-2019
Limassol based Nasdaq-listed shipowner and operator Castor Maritime acquired 2005 built panamax bulk carrier 76K DWT MV Magic Moon for around $10 million. MV Magic Moon was built in Japan. Castor Maritime increased the fleet size with panamax acquisition. This is the second bulk carrier acquisition since Castor Maritime listed on Nasdaq in February 2019. Petros Panagiotidis-led Cypriot shipowner and operator Castor Maritime has an aggressive growth plan. Castor Maritime is looking for future opportunities to expand the fleet. Before the acquisition of MV Magic Moon, Castor Maritime has two panamax bulk carriers in the fleet MV Magic P and MV Magic Sun. Currently, Castor Maritime chartered out MV Magic P and MV Magic Sun to Oldendorff.
16-October-2019
Athens-based Lou and George Kollakis-led shipowner and operator Chartworld Shipping Corporation and its affiliated company, Nederland Shipping, have admitted culpability in federal court in Wilmington, Delaware, for their failure to apprise the U.S. Coast Guard of a perilous condition aboard one of their ships and for violating the Act to Prevent Pollution from Ships (APPS) by submitting false documentation to the Coast Guard to conceal ship oil pollution. As part of the plea agreement, Chartworld Shipping Corporation and its affiliated company, Nederland Shipping will be subjected to a $1.8 million criminal penalty. According to an official statement from the DOJ (Department of Justice), the Coast Guard initiated investigations into Greek shipowner and operator Chartworld Shipping Corporation controlled 1991 built reefer ship 13K DWT MV Nederland Reefer in February. The investigation revealed that the ship’s chief engineer had been deceptively tampering with the oil content monitoring device on the MV Nederland Reefer’s oily water separator, discharging untreated oily bilge water overboard at sea by substituting it with fresh water. Furthermore, the chief engineer falsified MV Nederland Reefer’s oil record book to conceal these illegal discharges from the Coast Guard. MV Nederland Reefer’s chief engineer pleaded guilty in court earlier this month. During the investigation, it was also discovered that the company had failed to report a hazardous condition, where seawater infiltrated the vessel below the waterline through a hole in the ship’s bilge holding tank. As part of the sentence, Greek shipowner and operator Chartworld Shipping Corporation and its affiliated company, Nederland Shipping will be placed on a four-year probationary period, which includes the implementation of a comprehensive environmental compliance plan. The plan aims to ensure that all ships operated by the Chartworld Shipping Corporation and its affiliated company Nederland Shipping upon entering the United States, fully adhere to all applicable national and international marine environmental protection laws.
16-October-2019
Norwegian maritime investor Ocean Yield signed a sale and bareboat charter back deal with Tor Olav Troim-backed shipowner 2020 Bulkers. Norwegian maritime investor Ocean Yield has increased its exposure to the newcastlemax segment. Oslo-listed leasing company Ocean Yield signed a sale and bareboat charter back deal for $42 million per scrubber-fitted newcastlemax bulk carrier, net of a $5 million sellers’ credit. Norwegian maritime investor Ocean Yield added 2020 Bulkers to client list with scrubber-fitted newcastlemax bulk carrier deal. Ocean Yield acquired scrubber-fitted newcastlemax bulk carriers with a 13-year bareboat charter back to 2020 Bulkers. Oslo-listed shipowner 2020 Bulkers will have certain options to either sell or buy the scrubber-fitted newcastlemax bulk carriers during the 13-year charter period, as well as a purchase obligation at the end of the 13-year charter period. Norwegian maritime investor Ocean Yield is led by Lars Solbakken. According to Oslo-listed leasing company Ocean Yield, 2020 Bulkers scrubber-fitted newcastlemax bulk carrier deal is a highly attractive risk reward. The deal is anticipated to boost 2020 Bulkers’ liquidity by about $21 million upon closing. Furthermore, MV Bulk Seoul and MV Bulk Shanghai will increase Ocean Yield’s newcastlemax fleet to three (3) bulk carriers. Previously, Norwegian maritime investor Ocean Yield had another scrubber-fitted newcastlemax bulk carrier arranged to join the fleet from CMB. Recently, Norwegian maritime investor Ocean Yield acquired a dual-fuel liquid ethylene gas (LEG) carrier from Navigator Gas with a 13-year bareboat charter back to Navigator Gas.
16-October-2019
Hong Kong-listed shipowner and operator Pacific Basin Shipping declared September witnessed freight rates reach multi-year highs across all segments. CEO Mats Berglund-led shipowner and operator Pacific Basin Shipping will report a strong Q4 performance as Pacific Basin Shipping’s fleet took advantage of the recent uptick in dry bulk freight rates. CEO Mats Berglund-led shipowner and operator Pacific Basin Shipping’s handysize and supramax bulkers earned average daily TCE (Time Charter Equivalent) earnings of $9,480 and $11,580 per day net in Q3. Pacific Basin Shipping expressed that the much-improved freight rates in September will predominantly affect Pacific Basin Shipping’s Q4 earnings due to the time lag between spot market fixtures and voyage execution. Hong Kong-listed shipowner and operator Pacific Basin Shipping has secured 67% of the company’s available handysize bulk carrier days in Q4 at around $11,450 per day and 74% of its available supramax bulk carrier days for the same period at around $13,660 per day. Pacific Basin Shipping expressed that following the boost in market freight rates in August freight rates have moderated as Chinese import activity wound down for the recent holidays. Pacific Basin Shipping anticipates witnessing the continuance of normally tight freight market conditions in Q4, with freight rates benefitting from what is normally the peak demand season as well as global fleet inefficiencies as many larger vessels are off-hire for several weeks for dry-docking in the run-up to IMO (International Maritime Organization) 2020 regulations. Pacific Basin Shipping is optimistic about the minor bulk market despite the resumed tensions regarding the US-China trade war.
15-October-2019
China has approved to more than double its annual buys of US farming by-products to as much as $50 billion. China expected that sanctions against shipping giant Cosco Shipping’s tanker subsidiaries might be lifted. However, this failed to materialize. After the US-China trade war, China is expected to commence purchasing enormous quantities of US agricultural products. In return, China is declared to have persuaded the US to hold off another round of tariff increases. The Chinese reply to the phase one trade agreement signed with the US on Friday was skeptical but welcoming. China is buying time for its companies such as Cosco Shipping to adapt to shifts in demand and the supply chain.
14-October-2019
Norwegian shipowner 2020 Bulkers chartered out 2019 built scrubber-fitted newcastlemax bulk carrier 208K DWT MV Bulk Shanghai for a year to Glencore’s shipping arm ST Shipping & Transport. Tor Olav Troim-backed 2020 Bulkers expects to obtain an index-linked rate, indicating a notable premium to the Baltic 5TC index. 2020 Bulkers charter deal includes profit-sharing of any economic benefit derived from operating the MV Bulk Shangha’s scrubber. In July 2019, Norwegian shipowner 2020 Bulkers chartered out 2019 built scrubber-fitted newcastlemax bulk carrier 208K DWT MV Bulk Sandefjord for three-years to Koch Industries’ shipping arm Koch Shipping at an index-linked rate. Currently, Norwegian shipowner 2020 Bulkers has eight (8) scrubber-fitted newcastlemax bulk carriers under construction at the Chinese yard.
14-October-2019
Athens-based Vafias family-controlled shipowner and operator Brave Maritime Corporation Inc. is selling 2005 built capesize bulk carrier 176K DWT MV Cape Aria (ex MV Maritime Power). Vafias Group’s dry bulk shipping arm Brave Maritime Corporation Inc. is poised to repeat another profitable asset play. Brave Maritime Corporation Inc. acquired 2005 built capesize bulk carrier 176K DWT MV Cape Aria (ex MV Maritime Power) just a few months ago. In May, Nikolaos Vafias-led shipowner and operator Brave Maritime Corporation Inc. acquired MV Cape Aria (ex MV Maritime Power) from Athens-based shipowner and operator Phoenix Energy Navigation for around $12.5 million. Cyprus-registered Universal Tankers Management is listed as the ship managers of MV Cape Aria (ex MV Maritime Power). Cyprus-registered Universal Tankers Management is listed as a commercial or technical manager of six bulk carriers. Most bulk carriers were previously linked with Vafias Group’s dry bulk shipping arm Brave Maritime Corporation Inc. Athens-based Vafias family-controlled shipowner and operator Brave Maritime Corporation Inc. is known for the countercyclical asset plays. In 2016, Nikolaos Vafias is calculated to have made a net profit of more than $5 million by flipping two capesize bulk carriers just five months after Nikolaos Vafias purchased them.
14-October-2019
Limassol based Nasdaq-listed shipowner and operator Castor Maritime has settled dividend obligation with preferred shareholders. Cyprus-based shipowner and operator Castor Maritime is to issue 300K common shares to holders of its 9.75% Series A cumulative redeemable perpetual preferred shares to settle a dividend obligation. Castor Maritime shareholders will receive the new shares in exchange for the waiver of about $4.3 million worth of dividends accumulated on the preferred shares since issuance in June 2019. Castor Maritime’s series A preferred shareholders have also agreed to waive all dividend obligations for the period from 1 July 2019 until Q4 2021.
14-October-2019
Diana Shipping’s (DSX) equity repurchase initiative encountered an overwhelming reception, far exceeding the anticipated commitment. Athen-based New York-listed shipowner and operator Diana Shipping (DSX), ready to acquire a sizable portion of its own shares, was met with an offering twice as large as anticipated. Investors eagerly tendered a substantial 6.085 million of their shares in contrast to the 2.82 million Diana Shipping (DSX) intended to buy back. At a rate of $3.55 per share, the company has allocated $10 million for this venture, disbursed on a pro-rata basis. This significant commitment was notably a twofold increase from an initial $5 million proposition. On Monday, in the bustling hub of New York’s trading arena, Diana Shipping’s (DSX) shares marked a slight decline, closing at $3.43, a decrease of 0.29%. The maritime transport giant opined that this strategic move aligns favorably with its robust financial position, boasting an impressive $121.4 million in reserves as reflected in their Q3 filings, juxtaposed with the prevailing share price. Rewinding to mid-June, Diana Shipping (DSX) unveiled a tender offer, targeting the acquisition of 2 million shares at $3.25 each. However, by 11 July 2019, the firm elevated its offer to an enticing $3.75 per share. This culminated in the tendering of 2.6 million shares, prompting Diana Shipping (DSX) to invest a considerable $7.5 million in total.
14-October-2019
Nasdaq-listed shipowner and operator Scorpio Bulkers’ (SALT) President, Robert Bugbee, has highlighted the advantageous position of shipowners who have proactively installed scrubbers on their vessels in anticipation of the International Maritime Organization’s (IMO) 2020 sulfur cap regulations. The IMO 2020 regulation, which reduces the sulfur content limit in ship exhaust from 3.5% to 0.5%, comes into effect at the start of the new year, compelling shipowners to either install exhaust gas cleaning systems, known as scrubbers, or switch to IMO 2020-compliant fuel. Nasdaq-listed shipowner and operator Scorpio Bulkers’ (SALT) President, Robert Bugbee compares shipowners equipped with scrubber-fitted ships before the International Maritime Organization (IMO) 2020 deadline to early birds at a congested airport, having the benefit of moving through the chaos more efficiently. In contrast, those without scrubbers are likened to being stuck in a stationary queue, facing delays and potential operational challenges as the industry adjusts to the new regulations. The backlog for installing scrubbers is expected to grow, extending the advantage for ships already equipped with this technology. These ships are poised to capitalize on the disparity in operational costs between using lower-cost high-sulfur fuel oil with scrubbers and the more expensive IMO-compliant low-sulfur fuel. This scenario sets the stage for scrubber-fitted ships to “grab their luggage and leave the airport” first, metaphorically speaking, allowing them to seize market opportunities more readily than their counterparts still waiting to comply with the new sulfur emission standards. Chief Executive Emanuele Lauro-led Scorpio Bulkers has taken significant steps to ensure its fleet is prepared for International Maritime Organization (IMO) 2020 by fitting scrubbers on all of its kamsarmax and ultramax bulk carriers. This strategic decision positions the Nasdaq-listed shipowner and operator to benefit from the regulatory changes, emphasizing the foresight and adaptability of Scorpio Bulkers in navigating the evolving maritime regulatory landscape.
14-October-2019
Under a scheme unveiled on Tuesday, a Tokyo-listed Japanese shipping giant MOL (Mitsui O.S.K. Lines) controlled bulk coal carrier might pioneer the inaugural implementation of a hard sail, known as the Wind Challenger, by 2022. This bold move, a joint venture between the Japanese shipowner MOL (Mitsui O.S.K. Lines) and Tohoku Electric Power, follows the success of preliminary investigations regarding the device’s feasibility. An affirmation has been issued stating that a ship equipped with a Wind Challenger is compatible with port facilities owned by Tohoku, according to the partnering firms. MOL (Mitsui O.S.K. Lines) and Tohoku Electric Power intend to assess the system’s influence on offloading procedures and its effect on greenhouse gas emissions during the ship’s transit. The goal is to commission the world’s first ship equipped with this device post-2022. The Wind Challenger, a retractable hard sail designed to transmute wind energy into propulsive force, has been in development for nearly a decade. A conglomerate of Japanese firms, inclusive of MOL (Mitsui O.S.K. Lines) and Oshima Shipbuilding, has been diligently crafting the technology. Commenced in 2009, the Wind Challenger Project began as a collaborative initiative between industry and academia, helmed by The University of Tokyo. It was selected in 2013 to receive a grant for research in next-generation marine environment-related technology from Japan’s Ministry of Land, Infrastructure, Transport, and Tourism (MILT). MOL (Mitsui O.S.K. Lines) and Oshima Shipbuilding took the reins of the project in January 2018, subsequently assuming a pivotal role. Earlier this month, the concept received approval in principle (AIP) from the ClassNK Japanese classification society. Projections suggest that the hard sail could potentially curtail a ship’s greenhouse gas emissions by approximately 5% on a Japan-Australia journey, and around 8% on a voyage between Japan and the western coast of North America.
13-October-2019
London-based shipowner Anglo International Shipping Operations Ltd has acquired 2012 built post-panamax bulk carrier 98K DWT MV Jo Jin Maru from Fukuyama-based shipowner Kambara Kisen Co Ltd for around $20 million. MV Jo Jin Maru was built at Tsuneishi Group’s Zhoushan Shipbuilding in 2012. MV Jo Jin Maru is due for a special survey (SS) in June 2022. Anglo International Shipping Operations Ltd has been expending fleet. In 2018, Anglo International Shipping Operations Ltd bought sister ship 2011 built post-panamax bulk carrier 98K DWT MV Anglo Marimar (ex MV Ten Jin Maru) from Kambara Kisen Co Ltd for around $21 million. Anglo International Shipping Operations fleet comprises kamsarmax and post-panamax bulk carriers. In October 2017, Anglo International Shipping Operations Ltd bought 2013 built panamax bulk carriers 81K DWT MV Orient Fortune and MV Orient Hope for about $33 million en-bloc from Hong Kong-based shipowner and operator GrandFame Ship Management. Steven Davies-led Anglo International Shipping Operations Ltd was established in 2017 and financed by private and institutional investors.
13-October-2019
Navios Maritime Partners has successfully eliminated a significant debt, repaying a $419 million loan through a blend of cash, bank loans, and the sale of ships. The company, listed in New York as Navios Maritime Partners, has settled the full amount of a loan due this month. CEO Angeliki Frangou highlighted in a statement, “By leveraging cash, commercial bank loans, and sale-and-leaseback deals, we’ve significantly lowered our financing costs and bolstered our financial foundation.” As of December 31, 2018, the outstanding balance of Term Loan B was $418.5 million, with a repayment scheduled for September 2020, according to Navios Maritime Partners. Following the refinancing, the company has postponed its debt repayments until 2029, with the initial installment expected in the fourth quarter of 2021. The refinancing was financed with a $301.3 million loan from commercial banks, featuring an average repayment schedule of 7.1 years and an interest rate of Libor plus 290 basis points. Additionally, $49.5 million was obtained through sale and leaseback agreements, boasting an average term of 9.4 years, an effective interest rate of 6.3%, and devoid of financial obligations. The remaining amount was covered with $67.7 million in cash reserves. In July, the shipping company also announced the sale of a capesize and a panamax bulk carrier to two Japanese entities, subsequently leasing them back. The capesize vessel Navios Ace, built in 2011 with a deadweight of 179K, was sold to Toyo Kaiun for approximately $22 million, and the panamax vessel MV Navios Sagittarius, built in 2006, was sold to Tachibanaya Co for $7.5 million.
12-October-2019
Athens-based George Economou-led shipowner and operator DryShips shareholders support program to go private. DryShips’ investors have demonstrated substantial backing for George Economou’s strategy to take the diversified shipowner off the Nasdaq Capital Market. DryShips’ investors have approved the plant by an overwhelming preponderance. 90% of all DryShips’ stakeholders on Wednesday endorsed the formerly declared plan of merger. George Economou-led SPII Holdings and Sileo Acquisition will purchase the remaining outstanding common shares at $5.25 each. Sileo Acquisition will be merged with and into Athens-based George Economou-led shipowner and operator DryShips, which will continue as the surviving company and evolve a wholly-owned subsidiary of SPII Holdings. George Economou-led shipowner and operator DryShips will evolve into a privately controlled company. DryShips’s shares will no longer be listed on the Nasdaq Capital Market. Furthermore, George Economou owns commercial tanker pool operator Heidmar. Currently, Athens-based shipowner and operator DryShips owns and operates 20 dry bulk vessels.
12-October-2019
Chicago based ship operator Hudson Shipping Lines (HSL) announced that the company is going to avoid scrubber-fitted ships because scrubbers shift exhaust dirt into the ocean. Furthermore, Hudson Shipping Lines (HSL) has joined Trident Alliance that focused on assuring full implementation of pending IMO 2020 (International Maritime Organisation) rules.
Hudson Shipping Lines (HSL) believes that the current form of IMO 2020 (International Maritime Organisation) rules contains a major loophole that is being abused by irresponsible shipowners to allow the continued use of high sulfur fuel oil (HSFO). Therefore, Hudson Shipping Lines (HSL) will operate with and within the Trident Alliance to ensure robust enforcement of all maritime sulfur regulations and develop new technologies to monitor ships’ compliance with the regulations.
Hudson Shipping Lines (HSL) will be supporting organizations that lobby maritime nations, charterers, shipowners, traders, and ports to prevent exhaust gas scrubber systems, and encourage shipowners and the banks and financiers who finance their operation to discontinue scrubber use and installations.
11-October-2019
Athens-based New York-listed shipowner and operator Diana Shipping (DSX) charters out post-panamax bulk carrier to Al Ghurair Resources for a year at a rate in line with the market. The Simeon Palios-led shipowner Diana Shipping (DSX) has entered into a time charter contract with the UAE-based Al Ghurair Resources for 98,704 DWT post-panamax bulk carrier MV Polymnia (built 2012) at $14,500 per day, for 12 to 14 months. MV Polymnia charter is expected to make about $5.2 million of gross revenue for the minimum scheduled period of the time charter. Currently, Greek shipowner and operator Diana Shipping’s (DSX) fleet consists of four newcastlemax bulk carriers, 14 capesize bulk carriers, five post-panamax bulk carriers, five kamsarmax bulk carriers, and 15 panamax bulk carriers.
10-October-2019
New York-listed bulk owner stocks rise due to China’s openness to a small trade deal with the United States. Bulker stocks climbed upwards amid news that China may be open to a trade deal if the United States stops implementing more tariffs. China would accept a partial deal if the United States ceases the taxes on Chinese imports. Since the US-China trade war started in early 2018, United States has imposed tariffs on $550 billion in Chinese imports, on the other hand, China has imposed tariffs on $180 billion on imports from the United States. 20 New York-listed bulk shipowners’ stocks have seen gains. Golden Ocean Group’s stocks increased by 7% to $6.06 per share. In shipping markets, there is a significant correlation in trade deal optimism and dry bulk equities. Freight rates have started to improve, so bulk carrier shipowners’ stocks have also started to climb. New York-listed dry bulk shipowners Scorpio Bulkers’ stocks have climbed to $7.28 per share on Friday.
9-October-2019
Eagle Bulk Shipping (EGLE) is going to take delivery of all six (6) scrubber-fitted ultramax bulk carriers that are acquired in a July deal by the 1 January IMO (International Maritime Organization) 2020 regulation deadline. Nasdaq-listed shipowner and operator Eagle Bulk Shipping took delivery of four (4) ultramax bulk carriers Nautical Bulk Holdings. Eagle Bulk Shipping renamed the ultramax bulk carriers as 2015 built ultramax bulk carrier 63K DWT MV Santos Eagle, 2015 built ultramax bulk carrier 63K DWT MV Copenhagen Eagle, 2015 built ultramax bulk carrier 63K DWT MV Dublin Eagle, and 2015 built ultramax bulk carrier 63K DWT MV Sydney Eagle. All the ultramax bulk carriers are scrubber-fitted. The remaining ultramax bulk carriers delivery is still expected to take place within Q4 2019. Eagle Bulk Shipping has now acquired a total of 18 ultramax bulk carriers in six separate transactions. New York-listed Eagle Bulk Shipping has been a major adopter of scrubber technology even though it operates ultramax and supramax bulk carriers. Shipping market players think that ultramax and supramax bulk carriers are too small to obtain the full advantages of bunker-cost savings. Currently, Eagle Bulk Shipping owns and operates a fleet of 50 ultramax and supramax bulk carriers.
9-October-2019
Athens based shipowner and operator Pavimar SA is selling the oldest supramax bulk carrier in fleet renewal move. Pavimar SA is selling 2005 built supramax dry bulk carrier 53K DWT MV Ribbon for about $9 million. Deal has not yet been concluded. Ismini Panayiotidies led Pavimar will lower the age profile of its fleet. Imabari Shipbuilding constructed MV Ribbon is due for a special survey in 2020. In May 2019, Pavimar SA acquired 2009 built panamax bulk carrier 78K DWT MV May (ex MV Lake Dahlia) from Triton Navigation for $13.8 million. Ismini Panayiotidies established Pavimar in 2014. MV Ribbon was earlier in the fleet of Maryville Maritime which is controlled by Ismini Panayiotidies’ father Villy Panayotides. Pavimar SA has a fleet of four (4) supramax, ten (10) panamax, one (1) capesize bulk carriers.
9-October-2019
United States sanctions are prompting congestion in Iranian ports. More than 20 bulk carriers have been stuck in Iranian ports for over a month. The delays in Iranian ports are triggered by bank payment lags. United States sanctions discouraged abroad banks from doing business in Iran. Bulk carriers are being lingered at BIK (Bandar Imam Khomeini) and Bandar Abbas ports due to delayed payments.
9-October-2019
Zeamarine has appointed Chad Call as a new CFO (Chief Financial Officer). Michael Dumas, who was CFO at Intermarine for more than 20 years, resigned after supervising the establishment of Zeamarine by parent company Zeaborn. Zeamarine is created by merging Intermarine, Zeaborn Chartering, and Rickmers Line. Zeamarine and Zeaborn has a fleet of about 90 multipurpose heavy-lift ships.
8-October-2019
Oslo-listed shipowner and operator Belships sold supramax bulk carrier as bareboat-sale deal. Belships bareboat charter 2006 built supramax bulk carrier 50K DWT MV Beleast and then sold to the same counter-party, Istanbul based Marti Shipping & Ship Management. Marti Shipping & Ship Management has agreed to take MV Beleast on charter with an obligation to buy the ship within two (2) years. Lars Christian Skarsgard led Belships stated that bareboat charter is due to begin in Q4 2019 and will write a gain of about $4 million. Net cash flow during the period will be approximately $3.5 million after the repayment of outstanding loans. After the sale of MV Beleast, Norwegian shipowner and operator Belships left with a fleet of 22 supramax and ultramax bulk carriers including new-buildings.
8-October-2019
Montreal based Canada Steamship Lines (CSL) controlled bulk carrier 35K DWT MV Rt Hon Paul J Martin grounded at the coast of Cardinal, Ontario, Canada. MV Rt Hon Paul J Martin was transporting iron ore to Quebec City. Currently, St Lawrence Seaway traffic is moving freely. According to Canada Steamship Lines (CSL), MV Rt Hon Paul J Martin’s grounding is under probe. No damage has been reported. Canada Steamship Lines (CSL) has been assessing the circumstances and adjusting a salvage plan for the disabled MV Rt Hon Paul J Martin. Montreal based shipowner and operator Canada Steamship Lines (CSL) stated regrets for any inconvenience prompted by the incident.
8-October-2019
Greek bulker operator Medmar Inc has ceased operations. Medmar Inc left various ships at sea with unpaid charter hire. Besides Greek and Scandinavian shipowners, giant charterers like RWE are assumed to be affected by the collapse of Medmar Inc.
Athens based ship operator Medmar Inc was a victim of a mistimed intervention in dry cargo markets. According to veteran shipbrokers, Medmar Inc fixed too many cargoes at an awkward time. Medmar Inc attempted to fix more cargoes from the west coast of South America and believed for more solid markets later which didn’t materialize.
Medmar Inc chartered in dozen of supramax and kamsarmax bulk carriers for long period in 2018. Konkar Shipping Agencies and Western Bulk Carriers are among the companies caught up in the Medmar Inc activity. Medmar Inc’s abandoned bulk carriers are taken control by shipowners.
Numerous Medmar Inc’s charter arrangements have been performed off-market. Therefore, approximately a dozen bulk carriers are recorded on the Baltic Exchange’s fixtures list.
German energy supplier RWE (Rheinisch-Westfälisches Elektrizitätswerk AG) has had three (3) bulk carriers which were abandoned by Medmar Inc. Other charterers like Bunge, Glencore, Oldendorff Carriers and Oetker are all affected by the collapsed Greek operator Medmar Inc. Medmar Inc was established in 1969 by John McTaggart.
8-October-2019
Coal remains the most significant major cargo for Southeast Asian countries. Currently, Vietnam is the main driver of the coal trade. Vietnam turned from coal exporter to importer country on increasing industrial growth. In Vietnam, there is no political will to invest in greener fuels means that coal will be around for an unforeseeable future. Lately, Japanese giant shipowner and operator NYK Bulk (Nippon Yusen Kabushiki Kaisha) signed a 25-year bulker contract in Vietnam to carry coal.
In the last decades, the use of coal has significantly declined in western countries, but coal continues to be a major component of power generation in Southeast Asia. Especially in power generation, coal will continue to be the dominant fuel source in Southeast Asia. Coal usage will be peaking in 2027. In order to meet the rapidly increasing power demand, Southeast Asia will have to invest an average of $17 billion annually in power capacity. More than 60% of Vietnam’s coal imports are carried on supramax bulk carriers. Coal still has a role to play over the next 20 years in Southeast Asia, despite all environmental concerns. Coal is still the cheapest and easiest source of energy, and especially in developing countries like Vietnam, there is still not enough political will to heavily invest in environmentally friends but more expensive alternatives like LNG (Liquefied Natural Gas). In 2015, Vietnam was a net coal exporting country. Vietnam turned from being a net coal exporter to a coal importing country in a couple of years.
In 2018, Vietnam imported more than 23 million metric tonnes of coal. Vietnam has a population of 97 million with GDP growth around 7%. Vietnam estimates that power generation will need to rise:
- 47 gigawatts in 2019
- 60 gigawatts in 2020
- 130 gigawatts in 2030
Currently, Vietnam imports coal from:
- Indonesia and Australia 72%
- Russia 16%
- South Africa 7%
8-October-2019
Simpson Spence Young (SSY) published a new office in Dubai. Simpson Spence Young (SSY) recruited Maersk Broker’s Dubai chief for the new chartering office. Simpson Spence Young’s (SSY) new Dubai office will be led by Manish Pamecha. Currently, the leading shipbroker company Simpson Spence Young (SSY) is one of the top ten (10) shipbrokers in the world has 21 international offices. Dubai became a maritime business hub for many shipbrokers. The London-headquartered Simpson Spence Young (SSY) could make additional hires in the future.
7-October-2019
Louis-Dreyfus Armateurs (LDA), a French shipowner and operator, is actively advocating for measures to reduce the maritime industry’s environmental impact. Based in Paris, LDA is urging the International Maritime Organization (IMO) to legislate slow steaming as a method to cut down emissions. LDA believes that with the shipping industry ready to take significant steps towards sustainability, the International Maritime Organization (IMO) must move in this direction. Louis-Dreyfus Armateurs’ (LDA) stance is in line with the growing attention from the European Commission and various governments on environmental issues related to shipping. Philippe Louis-Dreyfus, the chairman of Louis-Dreyfus Armateurs (LDA), has been a prominent supporter of these measures, echoing sentiments shared by the French government. In a recent development, BIMCO (Baltic and International Maritime Council), a shipowners association, submitted a proposal to the International Maritime Organization (IMO) suggesting the enforcement of ship engine-power limits. This proposal supports the decarbonization efforts initiated by slow-steaming practices. Louis-Dreyfus Armateurs (LDA) acknowledges that reducing speed or power in shipping is just one aspect of a larger journey toward decarbonizing maritime activities. However, the company emphasizes the importance of this step as a demonstration of the industry’s commitment to reducing its environmental footprint and being a leader in addressing critical ecological issues. By advocating for these changes, Louis-Dreyfus Armateurs (LDA) positions itself as a proactive and environmentally conscious player in the global shipping industry.
7-October-2019
Taiwan’s leading bulk shipping company, Shih Wei Navigation, has reinstated its founder, J.D. Lan, as president. Lan had previously relinquished his position as president in 2017 due to health concerns, at which time Chang Ying-lung was appointed to oversee the company’s operations. Following the resignations of Chang Ying-lung and general manager Chou Ying-lang last month, J.D. Lan has taken up the mantle once again. Established by J.D. Lan in 1985, Shih Wei Navigation is part of a notable maritime lineage, with Lan’s brother, James Lan, serving as the founder and chairman of Wisdom Marine. Currently, Shih Wei Navigation boasts ownership of a fleet comprising 53 bulk carriers.
2-October-2019
In an era where environmental concerns dominate the maritime regulatory discourse, the ascent of Claes Berglund to the presidency of the European Community Shipowners’ Associations (ECSA) seems most fitting. The esteemed director of public affairs and sustainability from Stena was endorsed to transition from the role of vice president to the paramount position within European Community Shipowners’ Associations (ECSA) during the recent general assembly in Athens. Mr. Claes Berglund, succeeding Panos Laskaridis, will helm the role for a biennial tenure – overseeing the implementation of the sulphur cap, alongside additional eco-centric mandates. Subsequently, it is anticipated that Philippos Philis of Cyprus, the visionary founder and director of Limassol-based shipowner and operator Lemissoler Navigation, having been elected as vice president, will assume the presidency.
1-October-2019
The Croatian shipowner Uljanik Plovidba has initiated “pre-bankruptcy” proceedings after its banking partners, led by Credit Suisse, ceased refinancing discussions unexpectedly and proceeded to arrest one of its tankers. This drastic step was taken by the consortium of international lenders without prior notification, according to the tanker and bulker operator. Despite ongoing negotiations, the banks’ sudden decision enabled them to detain the 53K DWT supramax bulk carrier MV Pomer (constructed in 2011) in Singapore as a measure to secure the repayment of the outstanding debt, stated the company. Igor Budisavljevic, director of Uljanik Plovidba, remarked that this move came in spite of a nearly complete consensus on settling all financial obligations with both domestic and international lenders, undermining a 33-year business relationship and contradicting standard business ethics. Despite the setback, Uljanik Plovidba was still in “very intensive and advanced discussions” with the lenders for a settlement plan right before the incident. The company had even received a term sheet for refinancing from a new international lender, with a final agreement expected to be signed on 4 October. In response, Uljanik Plovidba has sought the guidance of legal and financial experts to address the tanker’s arrest and safeguard its interests, including exploring the possibility of claiming damages for the abrupt actions taken by the banks. To protect its operations, nearly 400 employees, creditors, and shareholders, the company’s leadership has opted to commence pre-bankruptcy proceedings featuring a restructuring plan that aligns with previously agreed settlement terms with creditors. Budisavljevic expressed gratitude towards domestic banks and creditors for their ongoing support, emphasizing that the restructuring plan will not involve write-offs affecting employees, seafarers, and suppliers. The goal of the pre-bankruptcy proceedings is to finalize ongoing negotiations and implement the settlement plan, ensuring the company’s uninterrupted operation. Uljanik Plovidba, owner of two tankers and four bulkers constructed between 2010 and 2016, has been adversely affected by the financial distress of its former parent company, Uljanik Group, which has declared bankruptcy. In an effort to dissociate from its troubled predecessor and clarify its independent status, Uljanik Plovidba announced a rebranding to Alpha Adriatic. This change aims to eliminate any potential confusion with Uljanik Group, from which it had separated in the 1990s. The company has faced challenges, including the resignation of two executives linked to an investigation into financial misconduct at Uljanik Group and the need to dispel misleading news reports connecting it to the shipbuilder’s crisis. As part of its financial restructuring, Uljanik Plovidba sold an MR tanker and listed two supramax bulkers for sale, leading to a reported net loss of $2.36 million as of 30 June.
1-October-2019
Diana Shipping (DSX), an Athens-based shipowner and operator listed in New York, has increased its share buyback plan to $10 million. Initially, Diana Shipping (DSX) aimed to repurchase 1.4 million shares at $3.55 each. This target has now been revised to 2.81 million shares. Despite the shares closing at $3.38 on Monday, the deadline for this offer has been extended from 4 October to 11 October. Diana Shipping (DSX) mentioned that this decision aligns with its best interests, considering its cash reserves of $121.4 million as reported in its Q3 filings, and the prevailing share price. Notably, Diana Shipping (DSX) previously launched a tender in mid-June, intending to buy back 2 million shares at $3.25 each. However, on 11 July, they adjusted this offer price to $3.75. Ultimately, Diana Shipping (DSX) repurchased 2.6 million shares, incurring a total expense of $7.5 million.
1-October-2019
The U.S. Department of Transportation is actively supporting the Chao family amidst allegations. In a recent letter, the Department refuted all accusations against the Chao family. Adam Sullivan, the Department’s Assistant Secretary, responded to the House of Representatives’ oversight committee’s investigation of Transportation Secretary Elaine Chao. Sullivan asserted that Chao did not use her position to advantage the Foremost Group, a dry bulk company founded by her father, James Chao, and currently led by her sister, Angela Chao. Sullivan clarified that Secretary Chao is not involved in Foremost Group’s management or operations and holds no financial interest in the company. He also emphasized that the Department of Transportation neither regulates nor financially benefits the company. This response comes following a request from the oversight committee’s chairman, Representative Elijah Cummings, for documents related to a 2017 trip planned by Chao. A New York Times report alleged that Chao intended to include family members in meetings with Chinese officials during this trip, which was eventually canceled. The letter addressed additional allegations, including Chao’s purported efforts to reduce funding for the Maritime Security Program and neglect of regulations concerning the transportation of federally-funded cargo on U.S.-flag ships. Sullivan defended Chao, stating that the Foremost Group does not operate U.S.-flagged ships and thus falls outside the Department’s jurisdiction. He also noted the Chao family’s support for the U.S.-flagged fleet and the domestic Jones Act. Regarding Chao’s interviews with Chinese-language media, Sullivan stated that her prominence as a role model for Asian immigrants made such interview requests expected and routine. He dismissed concerns raised about these interviews, suggesting xenophobic motivations behind the criticisms. Chao’s and her family’s ties to China have been a focal point due to the Foremost Group’s significant business dealings in the country. Elaine Chao was born in Taiwan, her father in Shanghai, and Angela Chao in the United States.
1-October-2019
Hyundai Glovis chartered in bulk carriers from South Korean shipowner and operator H-Line Shipping. Charter details have not yet been disclosed. Hyundai Glovis chartered in for LNG-fuelled bulk carriers to ship iron ore for Posco and BHP Billiton. Hyundai Glovis chartered in two (2) LNG-fuelled capesize bulk carriers that compatriot H-Line Shipping ordered at Hyundai Samho Heavy Industries in June 2019. Seoul-based H-Line Shipping’s two (2) 180K DWT LNG-fuelled capesize bulk carriers will carry iron ore from Australia to South Korea. Seoul-based Hyundai Steel had granted COA (contracts of affreightment) to compatriot ship operator Hyundai Glovis. Both Hyundai Glovis and Hyundai Steel are subsidiaries of Hyundai Motor Group. In turn, Hyundai Glovis chartered two (2) 180K DWT LNG-fuelled capesize bulk carriers from H-Line Shipping.South Korean shipowner and operator H-Line Shipping usually does not comment on market reports. In 2018, H-Line Shipping ordered similar two (2) 180K DWT LNG-fuelled capesize bulk carriers at Hyundai Samho Heavy Industries. Two (2) 180K DWT LNG-fuelled capesize bulk carriers chartered out on long-term employment to Posco. South Korean shipowner and operator H-Line Shipping will obtain between 3.5%-5% of the new building LNG-fuelled capesize bulk carrier price from South Korea’s Ministry of Oceans and Fisheries’ Green Fund, to support the company meet IMO (International Maritime Organization) 2020 fuel requirements. Australian mining giant BHP lately initiated a tender to charter LNG-fuelled bulk carriers.
1-October-2019
Norwegian shipowner and operator Torvald Klaveness and mining behemoth BHP have joined forces to unveil a novel digital maritime platform aimed at enhancing the exchange of information. Mining behemoth BHP’s esteemed team specializing in maritime and supply chain excellence, in collaboration with Torvald Klaveness’ technological division Klaveness Digital, is actively working on the development of the CargoValue system for vessels and logistics. Real-time access to scheduling and shipping information will empower users to calculate its impact on their inventory and production. The revolutionary CargoValue solution, crafted by Klaveness Digital, offers a secure means of sharing cargo and vessel information with the company’s esteemed global clientele, revolutionizing the company’s interaction with its clients. Mining behemoth BHP has extended an invitation to a prominent global steel producer to partake in a trial of the platform, providing live updates on unforeseen deviations to the schedule. This enables the producer to better anticipate inventory, manage safety buffers, and streamline production. Solutions like CargoValue will facilitate seamless, real-time collaboration among stakeholders, including suppliers, agents, brokers, and various transportation modes.
1-October-2019
Korea Western Power (KWP) has signed an MOU (Memorandum of Understanding) with South Korean shipowners SK Shipping and H-Line Shipping to install scrubbers on its chartered bulk carriers. Korea Western Power (KWP) is going to a premium freight rate in order to compensate South Korean shipowners SK Shipping and H-Line Shipping scrubber installation costs and shipyard expenses. South Korean shipowner and operator SK Shipping has two (2) long-term contracts of affreightment (COA) with Korea Western Power (KWP). On the other hand, H-Line Shipping has three (3) long-term contracts of affreightment (COA) with Korea Western Power (KWP). Korea Western Power (KWP) has aimed to reduce carbon emissions and comply with IMO’s 2020 regulations.