27-August-2024
Taiwan-based shipowner and operator Chinese Maritime Transport (CMT) is planning to expand its dry bulk fleet by acquiring up to four newcastlemax newbuilds from domestic shipyard CSBC Corporation. Taipei-based Chinese Maritime Transport (CMT), which currently owns 14 large bulk carriers in the capsize and newcastlemax categories, has placed an order with CSBC Corporation for two 210K DWT newcastlemax bulk carriers and holds options for an additional two newbuilds. Although delivery dates are still pending, Chinese Maritime Transport (CMT) noted that CSBC Corporation, which has also recently secured a significant container ship contract with Wan Hai Lines, has set the price for each newcastlemax bulk carrier at around $79 million. Chinese Maritime Transport (CMT), which manages its bulker fleet through subsidiaries in Singapore and Hong Kong, last commissioned new bulk carrier builds in 2021.
27-August-2024
Ulrik Andersen has joined the maritime investment arm of Copenhagen-based shipowner and operator J. Lauritzen, Lauritzen NexGen, following his departure as chief executive of the Bermuda-registered and Norway-based dry bulk shipping company Golden Ocean Group (GOGL), backed by John Fredriksen, in 2023. Lauritzen NexGen, a part of J. Lauritzen, currently has three methanol dual-fuel kamsarmax bulk carriers on order at Tsuneishi Shipbuilding in Japan, scheduled for delivery in Q4 2026 and Q1 2027. These carriers, which are capable of running on green methanol and biodiesel, are set to be some of the first zero-emission capable bulk carriers in the world and will be chartered to commodities giant Cargill for at least seven years. In June 2023, Ulrik Andersen announced his decision to step down from Golden Ocean Group (GOGL) but agreed to remain involved with the company until September 2023. Prior to his role at the Nasdaq-and Oslo-listed bulker owner, Andersen held the position of CEO at Avance Gas and had previous engagements with Petredec, Neu Gas Shipping, and as the head of the Maersk VLGC pool. In his new capacity, Andersen will collaborate with J. Lauritzen to explore growth opportunities and strategic partnerships for Lauritzen NexGen. J. Lauritzen has expressed plans to expand its business by further investing in zero-emission capable ships, ideally in collaboration with charterers, shipyards, financiers, and potentially equity partners.
27-August-2024
The subsidiary of Japanese shipowner and operator NYK (Nippon Yusen Kabushiki Kaisha), NYK Bulk & Projects Carriers, has secured a time charter contract with Diana Shipping Inc. (DSX), which is based in Athens and listed in New York, for one of its capesize bulk carriers. NYK Bulk & Projects Carriers has chartered the capesize bulk carrier, the 2014-built 179K DWT MV G. P. Zafirakis, for approximately $26,500 daily for a term ranging from a minimum of 23 months to a maximum of 26 months. The Tokyo-based shipowner and operator NYK (Nippon Yusen Kabushiki Kaisha) through its subsidiary, NYK Bulk & Projects Carriers, announced that the charter for the MV G. P. Zafirakis would commence on September 9, 2024, and the company will pay about $18.5 million for the minimum duration of the charter. Previously, the 2014-built capesize bulk carrier 179K DWT MV G. P. Zafirakis was chartered to Solebay Shipping at a rate of $17,000 per day. Diana Shipping’s (DSX) fleet, under the leadership of Semiramis Paliou, will include 38 dry bulk carriers after this addition. Diana Shipping Inc. (DSX) is also set to receive two methanol dual fuel new-building kamsarmax bulk carriers by the fourth quarter of 2027 and the first quarter of 2028, respectively. Furthermore, in July 2024, NYK Bulk & Projects Carriers agreed to extend the charter for Diana Shipping’s (DSX) 2012-built newcastlemax bulk carrier 206K DWT MV Los Angeles at a higher daily rate.
27-August-2024
Xiamen-based shipowner and operator Amoysailing Maritime has once again emerged as the top bidder at an auction, marking its second significant acquisition in recent months. At an online auction during the usual summer slowdown, Amoysailing Maritime placed a winning bid of $27.8 million for the 2017-built ultramax bulk carrier 64K DWT MV Great Spring, constructed at Dalian COSCO KHI Ship Engineering. Previously, this ultramax bulk carrier was owned by a Chinese lessor. These recent months, specifically Q2 and Q3 of 2024, have been record-breaking for Amoysailing Maritime in the S&P (Sale and Purchase) market, with the company significantly expanding its fleet. This latest acquisition brings Amoysailing Maritime’s fleet to a total of 12 handy and ultramax bulk carriers. With over two decades of operations, Chinese shipowner and operator Amoysailing Maritime, hailing from the coastal city of Xiamen, continues to solidify its presence in the maritime industry.
27-August-2024
UAE-based Shaikh family-controlled shipowner and operator Tomini Shipping has set in motion a broad plan to internalize how Tomini Shipping runs day-to-day commercial activity, positioning the Dubai-based dry bulk shipowner and operator to manage employment decisions more directly and to align chartering choices with Tomini Shipping’s long-term strategy. Tomini Shipping has ended the commercial management arrangement with Denmark’s Alpina Chartering and expects the bulk carrier transition into the new in-house framework to unfold over the next year, a staged approach that suggests Tomini Shipping is prioritizing continuity for charterers, brokers, and counterparties while Tomini Shipping builds out the internal processes needed to handle the full commercial workload. The shift is notable because the Tomini Shipping relationship with Alpina Chartering has extended roughly 40 years, during which Tomini Shipping maintained ownership and technical operations while Alpina Chartering handled the commercial management mandate, meaning Alpina Chartering sat at the center of how Tomini Shipping fixed ships, managed freight exposure, and maintained commercial relationships. By bringing these responsibilities inside Tomini Shipping, UAE-based Shaikh family-controlled shipowner and operator Tomini Shipping is effectively moving to full-scope commercial control across chartering, freight operations, and client relations, with Tomini Shipping now responsible for market coverage, contract execution, voyage planning decisions tied to commercial performance, and the customer-facing side of trade development. Tomini Shipping framed the move as a strategic efficiency step, stating, “This decision reflects Tomini Group’s commitment to further enhancing its operational efficiency in line with its long-term strategic goals,” and the statement signals that Tomini Shipping is treating commercial management as a core capability rather than an outsourced service. Listed on the Norwegian OTC market while remaining privately owned, Tomini Shipping operates a fleet of 24 bulk carriers across handysize, ultramax, kamsarmax, and capesize segments, giving Tomini Shipping the ability to cover multiple cargo profiles and trading patterns while also requiring a sophisticated commercial setup to optimize ship positioning, period cover, and spot exposure through the cycle. With Tomini Shipping taking the lead on commercial management, Tomini Shipping can tighten feedback loops between technical performance and earnings outcomes, standardize chartering practices across the fleet, and potentially improve responsiveness when cargo flows change, while also taking on the workload and responsibility that previously sat with Alpina Chartering. Tomini Shipping also supports operations through crew management centers in Mumbai and Karachi, an infrastructure element that complements Tomini Shipping’s technical management footprint, and Tomini Shipping’s broader business interests include participation in the classic cars business, highlighting that Tomini Shipping operates as part of a wider Tomini Group platform even as Tomini Shipping remains focused on dry bulk shipping activity.
27-August-2024
Continental Kapital Shipping Company recently celebrated its inauguration by hosting a gathering of prominent figures in Chinese shipping. This new venture is a 50:50 partnership between SeaKapital Holdings and Seacon Shipping, based in Hong Kong. The company is dedicated to the acquisition, ownership, chartering, leasing, and management of a diverse fleet, including multipurpose/heavy lift ships, chemical tankers, and dual-fuel car carriers. In addition to the opening ceremony, the company also held a naming ceremony for two 62K DWT multipurpose ships constructed at Huang Hai Shipyard. These 62K DWT multipurpose ships are the initial deliveries in a series of six that were ordered from the shipyard. Sabrina Chao, founder and chairman of SeaKapital and CEO of Wah Kwong Maritime Transport Holdings Limited based in Hong Kong, remarked, “As the largest ship manager in China and one of the top 10 largest ship managers globally, Seacon brings extensive technical management expertise across various vessel types, while SeaKapital provides profound knowledge in international ship financing and leasing.”
26-August-2024
A new long-term slot allocation system will be implemented at the Panama Canal starting in October 2024. The Panama Canal Authority (ACP) announced yesterday that this new system for its larger neopanamax locks aims to enhance transit certainty and flexibility. This system will allow the sale of several transit booking slot packages to different market segments, enabling a single client to secure multiple bookings in a single transaction. The Panama Canal Authority’s (ACP) sealed bidding process for this system will cover the first calendar year from January 5, 2025, to January 3, 2026. After enduring a severe drought from May 2023, the Panama Canal Authority (ACP) has been developing solutions to improve water security. The plans include a $2 billion expansion of one of the canal’s water reservoirs, which, following approval by Panama’s Supreme Court, is expected to take between 18 to 24 months to complete, as disclosed by the Panama Canal Authority (ACP).
25-August-2024
The Chinese steel sector is currently enduring a significant downturn, described by Hu Wangming, chairman of Baowu Steel—the largest steel producer in the world—as enduring a “winter.” This period reflects a substantial and ongoing adjustment within the industry. Analysts have highlighted concerns that this sector, crucial to capesize vessel owners, is on a path to sustained decline. Steel output in July fell by 9% year-on-year to 82.9 million tonnes, marking the lowest production level in 2024, reports the National Bureau of Statistics. So far, 2024 has seen Chinese steel production lagging 2.2% behind 2023 figures. The decline stems from reduced demand, diminished profitability at mills, and governmental directives to halt growth in annual production. At present, a mere 5% of Chinese steel manufacturers are operating profitably, amid significant price drops for steel, with rebar futures at a four-year low. The steep decline in China’s real estate investment, which has fallen by 10.2%, has severely weakened demand for steel. In light of declining domestic demand, Chinese manufacturers are pivoting to new international markets. In the first half of 2024, China boosted its steel exports by 24% year-on-year, and industry experts anticipate a 27% increase in exports for the entire year. Yet, this surge in Chinese steel on the global market has driven down worldwide steel prices by 26% year-on-year, leading various nations to implement protective measures to safeguard their local industries. This situation casts doubt on the long-term viability of China’s elevated export levels. Amid weak domestic demand for steel, high iron ore stockpiles, and uncertainties surrounding the future of steel exports, a correction in iron ore imports may be imminent. Additionally, Citi reported in August that excavator sales in China, which typically precede construction activities and therefore metal demand, are expected to decline by 8% in fiscal year 2024. Despite these challenges within the steel and property sectors in China, capesize bulk carriers have continued to operate profitably, with trading rates over the past month ranging from $19,000 to just over $23,000. While softer steel prices have influenced iron ore prices, the volume of seaborne cargo remains high, partially due to the recent decrease in China’s domestic iron ore production.
23-August-2024
An Indian crewmember aboard a bulk carrier in Argentina who exhibited symptoms akin to mpox has been diagnosed with chicken pox instead. Earlier this week, the entire crew was quarantined due to concerns that the skin lesions found on one sailor were indicative of mpox. The World Health Organization (WHO) recently declared mpox a global public health emergency for the second time in two years following the rapid spread of a new variant in Africa. Just a day after this declaration, a case of the clade 1b variant of mpox was confirmed in Sweden, marking the first instance of its spread outside Africa. Mpox is a viral infection known for causing pus-filled lesions and flu-like symptoms and, while typically mild, it can be fatal. The clade 1b variant has raised international alarm due to its apparent ease of transmission through regular close contact.
21-August-2024
Cosco Shipping Bulk, the dry bulk division of the Chinese maritime giant Cosco Shipping Lines, is expanding its fleet with the addition of eight newcastlemax bulk carrier newbuilds at the domestic shipyard Jiangsu Hantong, in a deal valued at approximately $640 million. Cosco Shipping Bulk, the dry bulk arm of the Chinese behemoth COSCO Shipping, has placed orders for 210K DWT newcastlemax bulk carriers at Jiangsu Hantong, with each vessel priced at $80 million. The newcastlemax bulk carrier newbuilds are scheduled for delivery between Q4 2027 and Q1 2028, further augmenting Cosco Shipping Bulk’s already extensive fleet of around 200 bulk carriers. In January 2024, Cosco Shipping Bulk announced orders for two 325K DWT methanol dual-fuel Very Large Ore Carriers (VLOCs) at its affiliated yard, COSCO Yangzhou. This was followed by market rumors in May 2024 of a newbuilding surge, coinciding with China Merchants Energy Shipping’s own newcastlemax shipbuilding program, which has already seen 12 bulk carriers confirmed in 2024. A noticeable trend in recent months has been the preference among shipowners to supersize their orders, opting for newcastlemax bulk carriers over the traditional 180K DWT standard capesize bulk carriers. This shift is particularly evident despite the overall capesize bulk carrier orderbook remaining low, signaling a strategic move by major players like Cosco Shipping Bulk to enhance their carrying capacity and operational efficiency. Cosco Shipping Bulk, as a key division of COSCO Shipping Lines, plays a pivotal role in the global dry bulk market. The company operates one of the largest dry bulk fleets in the world, with a diverse range of vessels capable of transporting various bulk commodities such as coal, iron ore, and grain. The company’s fleet includes a variety of vessel types, ranging from handysize to capesize and newcastlemax bulk carriers, enabling it to cater to a wide spectrum of shipping demands. As part of COSCO Shipping’s broader strategy, Cosco Shipping Bulk is focused on expanding and modernizing its fleet to maintain its competitive edge in the global market. The addition of these newcastlemax bulk carriers not only reflects the company’s commitment to fleet expansion but also aligns with its efforts to meet stricter environmental regulations. By investing in more fuel-efficient and technologically advanced vessels, Cosco Shipping Bulk is positioning itself to capitalize on the growing demand for sustainable shipping solutions. Cosco Shipping Bulk has also been actively involved in various global initiatives aimed at reducing the carbon footprint of the maritime industry. The company is committed to adopting alternative fuels and enhancing the energy efficiency of its fleet, which is evident in its recent orders for methanol dual-fuel VLOCs. These initiatives are part of Cosco Shipping Bulk’s long-term vision to support China’s leadership in green shipping and contribute to the global push for decarbonization in the maritime sector. The strategic focus on newcastlemax bulk carriers aligns with the global shipping industry’s ongoing efforts to optimize economies of scale and improve fuel efficiency, particularly as environmental regulations become increasingly stringent. By investing in larger and more advanced vessels, Cosco Shipping Bulk is positioning itself to continue its leadership in the dry bulk sector, while also supporting China’s broader goals of enhancing its maritime capabilities and reducing the environmental impact of its shipping activities. Overall, Cosco Shipping Bulk’s aggressive expansion and modernization strategies highlight its determination to remain at the forefront of the dry bulk industry, ensuring it continues to play a critical role in facilitating global trade and supporting the evolving needs of its customers.
21-August-2024
Angeliki Frangou-led shipowner and operator Navios Maritime Partners sold the 2005-built post-Panamax bulk carrier, 87K DWT MV Navios Apollon I, to an undisclosed buyer for approximately $13 million. Navios Maritime Partners had paid a similar price when they acquired the MV Navios Apollon I in March 2018. This sale follows the July disposal of the 2005-built Panamax bulk carrier, 76K DWT MV Navios Taurus, for about $12 million. These transactions are part of Navios Maritime Partners’ recent activities, which include exercising purchase options on four chartered-in kamsarmax bulk carriers built between 2015 and 2017, as well as the sale of 2009-built supramax sister bulk carriers in late April 2024. Navios Maritime Partners, a subsidiary of the Navios Group, is one of the largest US publicly-listed owners and operators of dry cargo vessels. The company is known for its diversified fleet, which includes dry bulk carriers and container vessels, and operates on a global scale. Navios Maritime Partners is strategically focused on maximizing returns through disciplined fleet management, including the acquisition and sale of vessels based on market conditions. Under the leadership of Angeliki Frangou, Navios Maritime Partners has successfully expanded its fleet and operations, establishing a strong presence in the global shipping industry. The company’s approach to fleet renewal and optimization is evident in its recent activities, such as the sale of older vessels like the MV Navios Apollon I and MV Navios Taurus, and the acquisition of newer, more efficient vessels. These strategic moves allow Navios Maritime Partners to maintain a modern and competitive fleet, capable of meeting the evolving demands of the maritime market. With a focus on operational efficiency and financial stability, Navios Maritime Partners continues to be a key player in the dry bulk and container shipping sectors.
21-August-2024
Athens-based shipowner and operator Niovis Shipping Co. S.A. is expanding its fleet with the addition of two new ultramax bulk carriers. The Piraeus-based shipowner and operator Niovis Shipping Co. S.A. has placed an order for two 64K DWT ultramax bulk carriers at Oshima Shipbuilding. Currently, the Mavroleon family-owned Niovis Shipping Co. S.A. operates a fleet of 19 ships across the dry bulk and tanker segments. This latest order from Niovis Shipping Co. S.A. follows the company’s earlier acquisition of two ultramax bulk carriers, contracted at Nantong COSCO KHI Ship Engineering (NACKS) in Q1 2021, after a series of five bulk carriers were constructed at Mitsui Tamano and Mitsui Ichihara in Japan. Once delivered in 2026 and 2027, the newbuilds from Oshima Shipbuilding will increase Niovis Shipping Co. S.A.’s bulk carrier portfolio to 16 vessels on the water. Niovis Shipping Co. S.A., established in 1972 in Piraeus, has a long history of managing a diverse fleet of vessels, specializing in geared ultramax bulk carriers. The company is known for its meticulous approach to fleet management, focusing on the acquisition, operation, and maintenance of vessels that meet the highest standards of efficiency and safety. The fleet managed by Niovis Shipping Co. S.A. includes a mix of dry bulk carriers and tankers, reflecting the company’s strategic commitment to diversifying its operations across different segments of the shipping industry. Under the leadership of the Mavroleon family, Niovis Shipping Co. S.A. has built a reputation for reliability and excellence in the maritime sector. The company has a strong emphasis on long-term relationships with charterers, shipyards, and financial institutions, ensuring the steady growth and sustainability of its operations. This strategic approach has allowed Niovis Shipping Co. S.A. to successfully navigate the cyclical nature of the shipping industry and expand its fleet in a calculated manner. Basil Mavroleon-led London-based Bray Shipping acts as the S&P (Sale and Purchase) shipbroker for Niovis Shipping Co. S.A., while London-based Kinissis Navigation Ltd. serves as the chartering shipbroker. Niovis Shipping Co. S.A.’s focus on geared ultramax bulk carriers is a reflection of its commitment to serving niche markets that require specialized vessels capable of handling a wide range of cargoes. Bray Shipping Co. Ltd, established in 1946 in London, acts as Agents to Owners and has a storied history within the maritime industry. The Mavroleon family has been instrumental in the organization, with their involvement spanning over three generations. The first ships within the organization were Liberty ships purchased after World War II. In 1974, Bray/Niovis took delivery of their first newbuild, an SD 14 from Austin & Pickersgill in the U.K., a shipbuilding company owned by London and Overseas Freighters, whose Chairman and Main Shareholder was their cousin Basil Mavroleon. This legacy of shipbuilding and management continues to influence the growth and strategic decisions of Niovis Shipping Co. S.A. today. Niovis Shipping Co. S.A. has also been active in implementing environmentally friendly practices within its operations, adhering to the latest international regulations on emissions and fuel efficiency. The company’s commitment to sustainability is evident in its recent fleet expansion, where the focus has been on acquiring modern, fuel-efficient vessels that reduce the environmental impact of shipping. This forward-looking approach positions Niovis Shipping Co. S.A. as a leader in responsible maritime operations, ensuring that the company remains competitive in an increasingly regulated and environmentally conscious industry.
21-August-2024
Argentine authorities have placed a dry bulk vessel in the Parana River under quarantine due to a suspected case of mpox onboard. The ship, located near the port of Rosario, notified authorities after a crew member of Indian nationality developed cyst-like skin lesions on the chest and face, according to a statement from the health ministry. The affected crew member has been isolated from the rest of the crew, and the vessel, which was headed to San Lorenzo port, has anchored in the river. The Liberian-flagged ship, whose name has not been disclosed, was en route from Santos, Brazil, to load a cargo of soy. The entire crew will remain in quarantine until the results of tests conducted by health officials are available. This precaution comes after the World Health Organization (WHO) recently declared mpox a global public health emergency for the second time in two years, as a new variant of the virus spread rapidly across Africa. Soon after, a case of the clade 1b variant was confirmed in Sweden, marking its first detection outside of Africa. Mpox is a viral infection that causes pus-filled lesions and flu-like symptoms. While generally mild, the infection can be fatal. The clade 1b variant has sparked global concern due to its apparent ease of transmission through routine close contact, prompting increased vigilance and swift containment efforts.
21-August-2024
More than 200 people have been mobilized to intensify the clean-up efforts following the oil spill from the grounded Panama-flagged general cargo ship, MV Ultra Galaxy. Built in 2008 and managed by Copenhagen-based shipowner and operator Ultrabulk, the vessel encountered further disintegration after recent wintry and stormy weather battered South Africa’s west coast, causing the wreck to break apart even more. The South African Maritime Safety Authority (SAMSA) provided an update yesterday, confirming that the ship, which grounded on July 9, 2024, had suffered substantial damage due to the severe weather and high swells experienced over the weekend. The MV Ultra Galaxy has now broken up further, leading to an oil spill on a nearby beach. The wreck of MV Ultra Galaxy, managed and operated by Ultrabulk, has continued to deteriorate, with the vessel breaking apart and turning over, leaving nearly the entire length of its hull submerged underwater. Meanwhile, in Gqeberha, Eastern Cape, South African Maritime Safety Authority (SAMSA) confirmed that the MV CMA CGM Belem, a Malta-flagged container ship, arrived in Algoa Bay over the weekend and is currently anchored at the Port of Ngqurha. The MV CMA CGM Belem sought refuge in Algoa Bay on Sunday after losing 99 containers at sea in the Indian Ocean on Thursday evening. SAMSA is actively working to secure a berth for the MV CMA CGM Belem as soon as one becomes available. Vessels navigating the affected ocean area, along with the public, are urged to report any sightings of the lost containers to the appropriate authorities. South African Maritime Safety Authority (SAMSA) is experiencing one of its busiest years due to the significant shift in global trading patterns. A large portion of the global merchant fleet is avoiding the war-torn Red Sea on routes between Asia and Europe, opting instead to navigate around the coast of South Africa. This change in trading routes has increased maritime traffic along South Africa’s coastline, adding to SAMSA’s already extensive responsibilities in ensuring maritime safety and managing incidents such as the MV Ultra Galaxy oil spill and the MV CMA CGM Belem container loss.
20-August-2024
There is currently a significant gap in the delivery of Very Large Ore Carriers (VLOCs), which could lead to a spike in freight rates for this largest category of dry bulk carriers in the coming months, according to a new analysis by shipbroker Barry Rogliano Salles (BRS). Cargo volumes carried by VLOCs, which Barry Rogliano Salles (BRS) defines as vessels above 220,000 DWT, have been steadily increasing by 2.2% annually, rising from 281 million tons in 2015 to 335 million tons in 2023. Despite this steady growth, newbuilding orders for VLOCs peaked with 31 orders in 2016 and 39 in 2017, after which the pace of ordering significantly declined. Currently, the global order book for VLOCs consists of just 16 ships, primarily driven by orders from Winning Shipping for its Guinean bauxite project and Shandong Shipping for Brazilian iron ore shipments, with the earliest delivery not expected until 2026, according to Barry Rogliano Salles (BRS) analysis. The analysis suggests that VLOC cargo volumes in 2024 are likely to exceed those of 2023. “Given that no additional vessels will be delivered by year-end, this indicates that freight rates should remain strong as long as demand continues to rise,” Barry Rogliano Salles (BRS) projected in a dry bulk market update. Barry Rogliano Salles (BRS) is one of the world’s oldest and most respected shipbroking firms, with a history dating back to 1856. Headquartered in Paris, BRS has a global presence with offices in key maritime hubs such as London, Singapore, and Shanghai. The firm offers a wide range of services, including shipbroking, market research, and consultancy across various sectors of the maritime industry, such as dry bulk, tanker, container, and offshore. BRS is known for its comprehensive market reports and in-depth analyses, which provide valuable insights into market trends and forecasts. In this particular analysis, BRS highlights that the vacuum in VLOC ordering has not only put upward pressure on freight rates but has also led to the aging of the fleet. The average age of the VLOC fleet, which was 6.5 years in 2021, has now increased to 9.3 years. This aging fleet, combined with the lack of new deliveries, is expected to further support freight rates in the near future.
20-August-2024
Secondhand dry bulk carrier sales are on a strong trajectory to break records this year. According to the latest data from the leading London-based shipbroker Clarksons and its research division, Clarksons Research, a total of 542 vessels with a combined 40.3 million dwt have been sold so far this year. This figure is 17% higher than the 2023 pace and is set to surpass the record levels of Sale and Purchase (S&P) activity observed in 2021. Emphasizing the robustness of current ship prices, Clarksons Research recently reported that a 10-year-old VLCC (Very Large Crude Carrier) or capesize bulk carrier can be sold today for significantly more than it would have fetched as a five-year-old five years ago. For example, a VLCC purchased in July 2019 as a five-year-old for $71 million would now sell for $85 million as a 10-year-old, and would have generated an additional $59 million in spot earnings after operating expenses (opex). This totals a return of $73 million, or 103% of the original asset outlay, according to Clarksons Research calculations. Similarly, a capesize bulk carrier bought as a five-year-old in July 2019 for $37.5 million would now sell for $45 million as a 10-year-old, having earned an additional $27 million in spot earnings after opex. This totals $34.5 million, or 91% of the original investment. The tanker and bulk carrier S&P (Sale and Purchase) markets have not only been highly active but have also provided asset players with opportunities for substantial returns, as highlighted by Clarksons Research.
20-August-2024
Bergen-based shipowner and operator Gearbulk, which specializes in open hatch bulk carriers, has expanded its order book with ammonia and methanol-ready 82K DWT kamsarmax bulk carrier newbuildings at CSSC Huangpu Wenchong Longxue Shipyard. Norwegian open hatch bulker owner Gearbulk’s contract includes two firm kamsarmax bulk carrier newbuildings. Gearbulk is scheduled to take delivery of these kamsarmax bulk carrier newbuildings in Q4 2028 and Q1 2029, in addition to the four newbuilds ordered in Q1 2024. This order for kamsarmax bulk carrier newbuildings marks another significant milestone in Gearbulk’s ongoing efforts to renew its fleet with efficient, high-capacity bulk carriers serving G2 Ocean customers. These bulk carriers will operate alongside newbuild pulpmax sister bulk carriers ordered by Gearbulk’s joint venture partner, Grieg Maritime Group, in 2023. Bergen-based Gearbulk controls a fleet of approximately 65 bulk carriers, which are commercially operated by G2 Ocean, where Gearbulk is the majority owner. In June 2024, Mitsui OSK Lines (MOL) agreed to acquire a controlling interest in Norwegian shipowner and operator Gearbulk, with the deal expected to close by Q1 2025. Japan’s leading shipowner, MOL (Mitsui O.S.K. Lines), which is listed on the Tokyo Stock Exchange, is set to finalize the acquisition of Bergen-based shipowner and operator Gearbulk from Kristian Jebsen, with completion anticipated in the first quarter of 2025. MOL (Mitsui O.S.K. Lines) initially acquired a 40% interest in Gearbulk in 1991 and gradually increased its share to 49%, while Kristian Jebsen retained a 51% majority. Established in 1968, Gearbulk is the world’s leading operator of open-hatch bulk carriers. MOL (Mitsui O.S.K. Lines) has now announced plans to expand its stake to 72% by Q1 2025.
20-August-2024
United Marine Egypt (UME) has formed a strategic partnership with Monaco-based dry bulk pool giant C Transport Maritime (CTM), marking a significant step towards the construction of a new bulk carrier. Cairo-based United Marine Egypt (UME), which was earlier in 2024 associated with a pair of ultramax bulk carrier newbuilds at New Dayang, has signed a technical and commercial agreement with C Transport Maritime (CTM). Although specific details about the ultramax bulk carriers have not been disclosed, United Marine Egypt (UME) stated that the agreement encompasses the entire shipbuilding process, including close supervision to ensure that the highest standards are maintained. In May 2024, United Marine Egypt (UME) ventured into bulk carrier ownership through a deal valued at approximately $70 million, involving the acquisition of Crown 63plus 64K DWT ultramax bulk carriers, with delivery expected in 2027. C Transport Maritime (CTM), which currently manages a fleet of over 110 bulk carriers under both commercial and technical management, ranging from handysize to newcastlemax bulk carriers, recently expanded its fleet by welcoming the 63K DWT newbuild ultramax bulk carrier MV Aquadonna. This vessel, constructed by Imabari-based shipowner Nissen Kaiun Co Ltd (Nissen Kaiun KK), has been integrated into CTM’s supramax RSA pool. Nissen Kaiun Co Ltd (Nissen Kaiun KK) is a prominent Japanese shipping company headquartered in Imabari, Japan, known for its substantial fleet and significant influence in the global shipping industry. Established in 1935, Nissen Kaiun has built a reputation for reliability and innovation, specializing in the ownership and operation of a wide range of vessels, including bulk carriers, tankers, and container ships. The company has a strong focus on building long-term partnerships and maintaining high standards of safety and environmental sustainability. Nissen Kaiun Co Ltd (Nissen Kaiun KK) has been instrumental in advancing Japan’s maritime capabilities, often collaborating with leading shipyards like Imabari Shipbuilding to produce state-of-the-art vessels. The recent delivery of the MV Aquadonna, a 63K DWT newbuild ultramax bulk carrier, to C Transport Maritime (CTM) exemplifies Nissen Kaiun’s commitment to quality and its role in supporting global shipping operations. This collaboration with CTM reflects Nissen Kaiun’s strategic approach to fleet management, ensuring that its vessels are operated under top-tier commercial and technical management, and reinforcing its position as a key player in the global maritime industry. The partnership between United Marine Egypt (UME) and C Transport Maritime (CTM), with the involvement of esteemed shipbuilders like Nissen Kaiun Co Ltd (Nissen Kaiun KK), is expected to bring high-quality, efficient ultramax bulk carriers to the market, meeting the growing demands of the global shipping sector.
20-August-2024
Masahiro Takahashi-led shipowner and operator NYK (Nippon Yusen Kabushiki Kaisha) has finalized a deal to charter a methanol dual-fuel ultramax bulk carrier in 2025. Japanese shipowner and operator NYK’s (Nippon Yusen Kabushiki Kaisha’s) subsidiary, NYK Bulk & Projects Carriers, will charter a newbuild 65K DWT methanol dual-fuel ultramax bulk carrier, which is currently under construction by compatriot shipowner Kambara Kisen at the renowned methanol-fuelled bulk carrier yard, Tsuneishi Shipbuilding. Upon its delivery in Q2 2025, this ultramax bulk carrier will be the first methanol-fuelled bulk carrier operated by NYK Bulk & Projects Carriers. NYK Bulk & Projects Carriers, a key subsidiary of NYK (Nippon Yusen Kabushiki Kaisha), specializes in the transportation of heavy and project cargo, as well as the operation of multipurpose and bulk carriers. The company has a strong presence in global logistics, offering customized shipping solutions that cater to diverse industrial sectors, including construction, energy, and manufacturing. With a focus on innovation and environmental sustainability, NYK Bulk & Projects Carriers has been increasingly investing in eco-friendly shipping technologies, aligning with NYK’s broader commitment to reducing its environmental impact. The introduction of this methanol dual-fuel ultramax bulk carrier into its fleet marks a significant step in NYK Bulk & Projects Carriers’ strategy to enhance its operational efficiency and sustainability. The ultramax bulk carrier is equipped with a dual-fuel main engine capable of using both methanol and fuel oil. The primary fuels are anticipated to be bio-methanol and e-methanol, produced using hydrogen derived from renewable energy sources and recovered carbon dioxide, according to Japanese shipowner and operator NYK (Nippon Yusen Kabushiki Kaisha).
20-August-2024
China has introduced new policies aimed at renewing its domestic fleet, with a particular focus on promoting greener shipping. The latest scrapping policy, announced earlier this month, targets China’s vast coastal and inland fleets. Under this policy, shipowners are eligible for a newbuilding subsidy that predominantly favors vessels powered by alternative fuels. Ships that meet the criteria set by China can earn $140 per gross tonne scrapped. These subsidies are available until the end of 2028. Over the summer, China has also developed similar recycling subsidies for other industries as part of its efforts to reduce emissions and stimulate economic growth. In recent years, China has been at the forefront of developing environmentally friendly vessels for its rivers and domestic trade, having unveiled a variety of pure electric ship types.
14-August-2024
Singapore-based ship operator Paralos Shipping Pte. Ltd. has recently chartered the 2013-built kamsarmax bulk carrier 81K DWT MV Astarte from Diana Shipping (DSX), an Athens-based, New York-listed shipowner and operator, at a daily rate of $14,000. This charter agreement is scheduled to last from a minimum of July 15, 2025, to a maximum of September 15, 2025. Singapore-based ship operator Paralos Shipping Pte. Ltd. expects to initiate the charter on August 18, 2024, and will pay approximately $4.58 million in total for the minimum scheduled period of the time charter. Paralos Shipping Pte. Ltd. is known for its strategic operations in dry bulk shipping, managing a versatile fleet that is active across global shipping routes. Paralos Shipping Pte. Ltd. specializes in transporting a wide range of bulk commodities essential for basic industries, including grains, coal, and iron ore. This recent charter is part of Paralos Shipping Pte. Ltd.’s ongoing efforts to enhance its operational capacity and maintain flexibility in meeting the logistical demands of its clients. Under the leadership of its experienced management team, Paralos Shipping Pte. Ltd. continues to focus on maximizing operational efficiency and cost-effectiveness, which is crucial in the volatile shipping market. This approach not only supports the Singapore-based ship operator Paralos Shipping Pte. Ltd.’s growth but also strengthens its competitive position in the industry. Meanwhile, Diana Shipping Inc.’s (DSX), led by Semiramis Paliou, fleet consists of 38 dry bulk carriers. This includes 4 newcastlemax, 8 capesize, 5 post-panamax, 6 kamsarmax, 6 panamax, and 9 ultramax bulk carriers, positioning it as a significant player in the maritime shipping sector with a robust presence in the dry bulk market.
13-August-2024
Oslo-based dry bulk operator Lighthouse Navigation has undergone a name change to Norwegian Bulk Carriers. The Oslo Stock Exchange-listed Norwegian shipowner and operator Belships acquired a 67% majority stake in Lighthouse Navigation and subsequently divested a similar business that had operations across Asia and Australia in April 2024. Norwegian Bulk Carriers manages approximately 70 bulk carriers primarily in the Atlantic basin and also serves as the commercial manager for both the Belships fleet and the SFL supramax bulk carrier fleet. Norwegian Bulk Carriers announced that the rebranding involves only the name change, ensuring that other aspects of the operation, including the management of Belships’ bulk carriers, will continue as usual in collaboration with the Lighthouse Navigation Pte Ltd office in Bangkok. Following the renaming of Lighthouse Navigation, both the legal entity and its legal relationships will remain intact. Consequently, all agreements executed before the name change will remain in effect, and existing business relationships will be preserved, as stated by Norwegian Bulk Carriers.
13-August-2024
Thai-listed shipowner and operator Precious Shipping, under the leadership of Managing Director Khalid M Hashim, is advancing its fleet renewal strategy by planning to divest additional vintage bulk carriers. Precious Shipping aims to sell several of its older, smaller handysize bulk carriers, along with a few non-eco engine supramax bulk carriers, during Q2 2024. In its earnings report, Precious Shipping disclosed a significant increase in its second-quarter profit, rising to $14.3m from $8.2m in the same period in 2023. The fleet renewal initiative at Precious Shipping began with the disposal of three older bulk carriers in Q1 2024, while the acquisition of six younger handysize bulk carriers occurred between February and July 2024. Precious Shipping currently operates a fleet of 45 bulk carriers with a total capacity of approximately 2m DWT. This figure is expected to adjust within the year as the company continues to phase out older vessels.
13-August-2024
Qingdao-based and Hong Kong-listed shipowner and operator Seacon Shipping Group Ltd recently completed the sale of the 2019-built ultramax bulk carrier 63K DWT MV Seacon Athens for approximately $32 million. The vessel was purchased by Shanghai-based shipowner and operator Henxin Ship Leasing. This sale marks the second bulk carrier Seacon Shipping Group Ltd has sold within a month, as part of its strategy to accumulate cash for future transactions and adjust its fleet portfolio. The company plans to hand over the Nantong Xiangyu-built MV Seacon Athens by the end of 2024. Seacon Shipping Group Ltd reported a net gain of $9 million from the sale, according to a recent filing. The proceeds are intended to fund potential vessel acquisitions and provide general working capital. As part of its strategic diversification, Seacon Shipping Group Ltd is expanding its presence in the tanker sector with new builds and is reducing some of its bulk carriers. In July 2024, the company finalized a deal to sell one of its supramax bulk carriers for a $6 million profit and also arranged a sale and leaseback agreement for a pair of handysize bulk carriers currently under construction in Japan, including purchase options.
13-August-2024
Nasdaq-listed shipowner and operator United Maritime has entered the offshore support sector with an investment in a newbuild ECV (Energy Construction Vessel). This initiative, led by Stamatis Tsantanis, a spinoff of Nasdaq-listed shipowner and operator Seanergy Maritime (SHIP), involves acquiring a minority stake in a Norwegian-based vehicle. This vehicle is designated for an ECV (Energy Construction Vessel) targeting the offshore wind and subsea markets, with delivery scheduled for Q2 2027. In August 2024, the Fincantieri-controlled Norwegian shipbuilder Vard was awarded a contract by compatriot Wind Energy Construction (WEC) to construct up to two 111.5-m-long ECVs (Energy Construction Vessels) in Vietnam. The company, associated with Ålesund-based Norwind Offshore and its founders and owners, retains an option for an additional unit, potentially exercisable in Q4 2024. United Maritime has committed up to $8.5m to this project, with payments spread across five installments over 33 months, aligning with the various stages of the ECV’s (Energy Construction Vessel’s) construction. The offshore sector is undergoing a dynamic period, highlighted by increasing energy demand, aging fleets, and a constrained order book, presenting a clear and structured opportunity for Stamatis Tsantanis-led Nasdaq-listed shipowner and operator United Maritime to branch into a high-potential alternative sector. Moreover, United Maritime has entered a partnership to charter an aframax tanker for up to nine months, managed by a prominent tanker pool operator. United Maritime has allocated $0.3m for the vessel’s working capital and will share in the profits and losses contingent on the charter’s performance. This strategy underscores United Maritime’s dedication to diversifying investments across various shipping sectors to optimize shareholder returns. The company is optimistic about its recent strategic moves. Previously, in July 2022, Nasdaq Stock Exchange-listed United Maritime expanded into the tanker sector by acquiring two 2006-built aframax tankers and two 2008-built LR2s for $79.5m, eventually selling them for a profit of nearly $60m. Currently, Nasdaq-listed shipowner and operator United Maritime manages a fleet of 8 bulk carriers with a total capacity of 922K DWT.
13-August-2024
Nasdaq-listed shipowner and operator Seanergy Maritime (SHIP), led by Stamatis Tsantanis, continues to strategically expand its fleet with the recent acquisition of a second capesize bulk carrier in 2024, bringing its total to 19 vessels. This purchase involves a capesize bulk carrier built in 2012 with a deadweight of 181K DWT. Seanergy Maritime (SHIP) is set to take delivery of this vessel in the third quarter of 2024. Earlier in the year, Seanergy Maritime (SHIP) enhanced its fleet with a 2013-built capesize bulk carrier, the MV Iconship, which was acquired for approximately $33 million. The Athens-based shipowner and operator has successfully chartered out the MV Iconship to Costamare and secured financing through a five-year sale and leaseback agreement with China’s Avic Leasing, which includes a repurchase obligation. Seanergy Maritime (SHIP) is distinguished by its specialized focus on the capesize segment, which primarily transports iron ore and coal across global shipping routes. With a robust strategy geared towards fleet renewal and expansion, Seanergy Maritime (SHIP) aims to capitalize on the cyclical nature of the dry bulk industry by investing in younger, more efficient vessels that promise better operational performance and compliance with international shipping regulations. Seanergy Maritime’s (SHIP) proactive fleet management and strategic vessel acquisitions are bolstered by a strong market presence and a deep understanding of industry dynamics, allowing it to navigate the volatile shipping markets effectively. More than 80 capesize bulk carriers have changed hands in the first seven months of 2024, up from 69 transactions during the same period in 2023, reflecting a vibrant market where Seanergy Maritime (SHIP) continues to be a significant player.
12-August-2024
Mozambique has been making significant strides on the dry bulk shipping scene, with its exports having tripled over the past decade. This surge is largely attributed to the growth in coal exports from the port of Nacala, supplemented by increases in ore and concentrate exports from other terminals. This is highlighted in a recent report by the London-listed shipbroker, Braemar Shipping Services, led by CEO James Gundy. The report notes potential for further growth in coking coal exports from Nacala, driven by rising Indian import demand and enhanced production and export capabilities within Mozambique. Additionally, Botswana recently entered an agreement with Zimbabwe and Mozambique to develop a substantial rail and port project, though funding has yet to be secured. This ambitious project aims to upgrade existing rail lines and construct new links, including a new $1.5 billion deepwater port at Technobanine, located south of Mozambique’s capital, Maputo. This port would potentially also facilitate exports for South Africa and Eswatini.
12-August-2024
Athens-based shipowner and operator Drydel Shipping, previously known as Meadway Shipping and Trading (MST), has been active in the shipping industry, demonstrating a strategic approach to fleet management and asset disposition. Recently, the company sold the 2010-built ultramax bulk carrier MV Dolce Vita (formerly MV Virgo Colossus) for approximately $23.5 million to a Chinese shipowner and operator. This transaction marks Drydel Shipping’s third ultramax disposal in 2024, signaling a shift in their asset management strategy. Under the leadership of Costas Dellaportas, Drydel Shipping acquired the Oshima-built MV Dolce Vita (previously MV Virgo Colossus) in 2021 for around $24 million. Prior to this sale, the company had divested two other ultramax vessels, the 2010-built MV Luna Rossa and the 2018-built MV Velvet, underscoring its ongoing fleet rejuvenation efforts. Currently, Drydel Shipping manages a diversified fleet that includes 12 owned bulk carriers and 18 chartered-in vessels, indicating robust operational capacity and flexibility in managing cargo demands. Furthermore, the company has placed a significant emphasis on expanding its fleet with modern vessels, having placed orders for 9 new bulk carriers scheduled for delivery between 2024 and 2026. This forward-looking investment strategy positions Drydel Shipping well within the competitive landscape of the maritime industry, balancing between operational efficiency and market responsiveness.
12-August-2024
Nasdaq-listed, Athens-based shipowner and operator Icon Energy has expanded its fleet with the acquisition of a 2007 Japanese-built kamsarmax bulk carrier for approximately $17.5 million. This purchase marks Icon Energy’s first significant move since its $5 million IPO in July 2024, demonstrating a strong entry into the maritime market. Established in August 2023, Icon Energy has swiftly moved to increase its operational capacity, beginning with the acquisition of the 2006 Japanese-built 77K DWT panamax bulk carrier MV Alfa from Pavimar SA in exchange for shares. Pavimar, a prominent Athens-based shipowning and operating company, is controlled by Ismini Panagiotidis, who also leads Icon Energy. The newly acquired kamsarmax bulk carrier was bought from an unaffiliated third party, utilizing cash on hand and borrowings for financing. This strategic acquisition aims to double the fleet’s size, aligning with Icon Energy’s growth strategy to enhance shareholder value and solidify its market position. Pavimar SA not only played a role in the initial fleet formation but also oversees the commercial and technical management of Icon Energy’s fleet, ensuring operational efficiency and alignment with industry standards. Ismini Panayotides, the CEO of Icon Energy and sister of Petros Panagiotidis of Castor Maritime Inc. (CTRM), based in Limassol, is at the forefront of steering the company towards its strategic objectives.
12-August-2024
Greek shipowner and ship manager Samos Steamship Co. has re-entered the capesize bulk carrier shipbuilding sector after almost three years by placing an order for two 180K DWT capesize bulk carrier new buildings at Japan Marine United (JMU). The Athens-based shipowner and ship manager Samos Steamship Co. will receive two capesize bulk carrier new buildings in Q3 2026 and each capesize bulk carrier new building is priced at approximately $60.5 million. Controlled by the Inglessis family, Samos Steamship Co. currently operates a diverse fleet of 24 vessels. Additionally, Samos Steamship Co.’s ongoing construction efforts include 7 new ships, all being built at Japanese shipyards, scheduled to join their fleet in 2025 and 2026. Despite a flurry of activity in the secondhand capesize bulk carrier market with numerous vessels being traded in 2024, the high costs have deterred shipowners from investing in newbuilds, resulting in an orderbook that is remarkably low—about 7% of the active fleet—or directing their focus towards newcastlemax bulk carriers.
12-August-2024
Indonesian shipowners have reentered the secondhand S&P (Sale and Purchase) Market after a relatively quiet period throughout most of 2024. This year, they have acquired a total of 31 ships. Recently, Gurita Lintas Samudera was reported to have made its fifth bulk carrier purchase within the year, with shipbrokers suggesting it might acquire the 2006 built supramax bulk carrier MV Captain Karam from Athens-based shipowner and operator LA Maritime, for about $14 million. This acquisition would expand Gurita Lintas Samudera’s fleet to 30 bulk carriers. Additionally, the company has reflagged all its ships to its home registry. In July 2024, Qingdao-based and Hong Kong-listed Seacon Shipping Group Ltd, known for its diversified fleet and strategic dispositions, sold one of its supramax bulk carriers, the 2010-built MV Yantai, to Indonesian shipowner Primatama Energi Mandiri for $13.8 million. This transaction reflects Seacon Shipping Group Ltd’s ongoing strategy to optimize its fleet size and composition, aligning with market trends and operational needs. Furthermore, this sale was part of a broader divestiture plan involving multiple vessels, indicating a reshaping of Seacon’s asset base to enhance its market agility and financial health. The 2010-built supramax bulk carrier 57K DWT MV Seacon Yantai, sold for approximately $14 million to PT Primatama Energi Mandiri, represents Seacon Shipping Group Ltd’s focus on streamlining operations and capitalizing on opportune market conditions.
8-August-2024
Greek shipowner and operator Angelakos (Hellas) S.A. remains committed to delivering top-tier maritime services while prioritizing the welfare of its crew members. With a strong focus on technological advancement and innovation, Angelakos (Hellas) S.A. continues to strengthen its operations and uphold its role as a forward-thinking force in the shipping industry. In a major initiative to upgrade its maritime communications, Stephanos E. Angelakos-led shipowner and operator Angelakos (Hellas) S.A. has partnered with MarPoint to enhance connectivity across its fleet. This strategic partnership includes the implementation of the evo2 router and the fleet-wide installation of Starlink’s high-speed satellite internet service, representing a significant leap in the digital evolution of Athens-based shipowner and operator Angelakos (Hellas) S.A. The deployment of the evo2 router and Starlink has allowed Greek shipowner and operator Angelakos (Hellas) S.A. to efficiently oversee and protect its onboard IT networks. The evo2 router consolidates and manages all communication platforms onboard, including 5G/LTE, VSAT, Starlink, Wi-Fi, and Ethernet, and enables precise control through detailed data insights and application-based rules. Featuring advanced network bonding technology, the system supports the creation of flexible hybrid networks with enhanced performance. All components are operated through secure, cloud-based applications that are user-friendly and space-efficient, contributing to a smooth integration process. These technological upgrades ensure that Greek shipowner and operator Angelakos (Hellas) S.A. sustains a high level of operational integrity and security throughout its fleet. The decision by Angelakos (Hellas) S.A. to implement Starlink’s solution is poised to significantly transform its communication infrastructure at sea. Starlink’s high-speed and low-latency connection has elevated day-to-day business efficiency while simultaneously enriching the lives of crew members by enabling them to remain in contact with loved ones via stable video calls and reliable internet services. As the global shipping sector continues to adopt digital tools, the alliance between Greek shipowner and operator Angelakos (Hellas) S.A. and MarPoint highlights the vital role of innovation in shaping the future of maritime operations. With these state-of-the-art systems in place, Angelakos (Hellas) S.A. is well-equipped to embrace the future of maritime connectivity, ensuring greater efficiency and an improved onboard experience for its fleet and crew. Established in 1968 and headquartered in Athens, Angelakos (Hellas) S.A. is a privately owned, traditional Greek shipping firm that has earned recognition for its consistent presence and reliability in the international dry bulk market. The company operates a modern fleet of bulk carriers with a focus on long-term technical and commercial performance, environmental responsibility, and regulatory compliance. Angelakos (Hellas) S.A. places strong emphasis on crew training, safety, and high standards of maintenance and ship management. Over the decades, it has built enduring relationships with charterers, shipyards, classification societies, and financial institutions. The company’s proactive approach to fleet renewal and digital transformation, as demonstrated by its collaboration with MarPoint and adoption of Starlink technology, reflects its commitment to remaining at the forefront of global shipping.
5-August-2024
2024 may set a new benchmark for vessel transactions as shipowners are prepared to invest significant amounts for secondhand bulk carriers. Sales of dry bulk carriers in the initial seven months reached 37m dwt, nearing the 2021 record when 60.9m dwt was transacted over the entire year, based on information from London-based shipbroker Clarksons and its research division, Clarksons Research. The Sale and Purchase (S&P) Market remains vibrant through the summer of 2024. Any decrease in activity stems from a reduced number of ships available rather than a decline in buyer interest, maintaining robust competition in both dry and wet markets. The disparity between the limited number of ships available and the plethora of buyers keeps the prices elevated. These high prices are further solidified by the soaring costs of new builds. Demonstrating the robustness of current ship prices, London-based shipbroker Clarksons and its research division, Clarksons Research recently reported that a 2014 built VLCC (Very Large Crude Carrier) or capesize bulk carrier (180K DWT) could sell for substantially more than what it might have brought in as a five-year-old in 2019. A VLCC purchased in 2019 as a five-year-old for $71m could currently fetch $85m as a ten-year-old, additionally generating $59m in spot earnings after operational expenses, culminating in a total return of $73m, representing 103% of the initial investment, as per Clarksons Research’s analysis. Similarly, a capesize bulk carrier bought as a five-year-old in 2019 for $37.5m could now be sold for $45m as a ten-year-old, having earned an extra $27m in spot earnings after operational expenses, a total gain of $34.5m, or 91% of the original cost. Both tanker and bulk carrier S&P Markets have not only shown vigorous activity but have also presented asset traders with opportunities for considerable financial returns, as highlighted by London-based shipbroker Clarksons and its research division, Clarksons Research.
5-August-2024
Costamare Bulkers Services, a division of the New York-listed shipowner and operator Costamare Inc. (CMRE), has finalized the sale of a supramax bulk carrier. Additionally, the company led by Konstantinos Konstantakopoulos, Costamare Inc. (CMRE), has secured multiple charter agreements for its containership fleet. In its Q2 2024 earnings report, the New York Stock Exchange-listed Costamare Inc. (CMRE) confirmed the sale of the 2009-built supramax bulk carrier, 58K DWT MV Oracle, for approximately $12.5 million. This transaction, expected to close in Q3 2024, is anticipated to yield about $4 million in net sale proceeds for Costamare Bulkers Services. Concurrently, Costamare Inc. (CMRE) reported a second-quarter profit of $91 million and announced seven new containership charters, with six slated on a forward basis for a minimum duration of two to three years, generating projected revenues of $224 million. The employment rates for Costamare Inc.’s (CMRE) containership fleet stand at 100% for 2024 and 88% for 2025, with total contracted revenues amounting to $2.4 billion and an average remaining time charter duration of 3.5 years. On the dry bulk front, Costamare Inc. (CMRE) has also confirmed that its subsidiary, Costamare Bulkers Services, has added two 2012-built capesize bulk carriers to its fleet. Since entering the dry bulk sector in 2021, Costamare Inc. (CMRE), through Costamare Bulkers Services, now manages a fleet of 38 bulk carriers with a total capacity of approximately 2.83 million DWT.
5-August-2024
Singapore-based shipowner and operator Pacific Rim Shipmanagemet Pte Ltd has acquired a capesize bulk carrier that was previously owned by Copenhagen-based shipowner and operator Dampskibsselskabet DS Norden A/S. This transaction, finalized in May 2024, involved Dampskibsselskabet DS Norden A/S’s first capesize bulk carrier since it entered the segment in March 2023. Pacific Rim Shipmanagemet Pte Ltd has expanded its fleet by adding the 2011 scrubber-fitted capesize bulk carrier 180K DWT MV Nord Ferrum for approximately $34 million. Initially reported in May 2024, the details of the buyer were not disclosed at the time. Presently, Pacific Rim Shipmanagemet Pte Ltd operates a fleet comprising 3 capesize bulk carriers and 2 Wood Chips Carriers.
5-August-2024
Investors guided by JP Morgan Asset Management have purchased the US shipping and logistics company Bold Ocean from the private equity firm Nova Infrastructure for an undisclosed amount. Based in Maryland, shipowner and operator Bold Ocean manages nine vessels that carry goods under a long-term charter with the US government. In 2018, a consortium of companies specializing in US flag shipping, fleet technical management, and marine personnel merged under the parent company Bold Ocean. The subsidiaries of Bold Ocean include Schuyler Line Navigation Company, Schuyler Services, Schuyler Technical, Chesapeake Crewing, and Argent Marine Operations. Schuyler Line Navigation Company, LLC (SLNC) operates both US Flag and Foreign Flag vessels globally, offering a range of liner shipping and logistics services in the North, Central, and South American markets, as well as in the West African and Caribbean regions including Cuba, Guatemala, Belize, Colombia, Haiti, Denmark, and Thule. Schuyler Line Navigation Company, LLC (SLNC) also services Jones Act tonnage to destinations across the continental USA, Puerto Rico, US Virgin Islands, Guam, Hawaii, and Alaska. Under the new strategic ownership, Bold Ocean plans to pursue expansion opportunities to enhance its US flag fleet and logistical services, with Dion Nicely continuing as the chief executive, as announced by Bold Ocean.
5-August-2024
Taiwanese shipowner and operator Wisdom Marine Lines Co Ltd has recently sold one of its handysize bulk carriers, making space for new additions to its fleet. The Taipei-based bulker giant finalized the sale of the 2015-built handysize bulk carrier 37K DWT MV Bunun Glory to Istanbul-based shipowner and operator Manta Denizcilik for approximately $21.5 million. This sale marks the second transaction recorded by Wisdom Marine Lines Co Ltd in 2024, under the leadership of Lan Chun Sheng. Initially acquired in April 2015 as a resale for $22 million, the handysize bulk carrier 37K DWT MV Bunun Glory is expected to yield a profit of just over $10 million. Currently, Wisdom Marine Lines Co Ltd, headquartered in Taipei, maintains a fleet of over 100 bulk carriers with an average age of about six years. Looking ahead, the fleet’s profile is poised for further enhancement over the next two to three years with the anticipated delivery of nearly 20 newly built bulk carriers, including a pair of Imabari-built handysize ships expected to join the fleet in Q4 2024.
4-August-2024
Earlier this month, a significant incident occurred involving the South Korean shipowner and operator H-Line Shipping’s dual-fuel capesize bulk carrier MV HL Eco. On July 16, 2024, the 2020-built dual-fuel capesize bulk carrier MV HL Eco experienced a power loss while attempting to anchor at Hay Point in Queensland. This led to a collision with the nearby capesize bulk carrier MV YM Serenity, owned by Yang Ming. During the accident, the MV YM Serenity struck the port side aft of the MV HL Eco, resulting in substantial damage including the destruction of one LNG fuel tank, with debris scattering across the deck of the MV HL Eco. Additionally, the MV HL Eco managed to snag the starboard anchor of the MV YM Serenity, causing some damage to its forecastle. Both vessels were in ballast at the time, and it appears that the MV HL Eco was operating on traditional bunker fuel rather than gas when the accident occurred. Following the incident, the H-Line Shipping owned and operated capesize bulk carrier MV HL Eco is now en route to China, while the Yang Ming owned and operated capesize bulk carrier MV YM Serenity is headed towards Singapore.
4-August-2024
Shanghai-listed shipowner Highton Development is enhancing its dry bulk fleet by acquiring three (3) kamsarmax bulk carriers from Singapore-based ship operator Raffles Ship Chartering Pte Ltd, a subsidiary of commodity trader Wilmar International. Highton Development announced in a filing that it is finalizing a deal to purchase the 2012-built kamsarmax bulk carriers MV Theresa Jiangsu, MV Theresa Jilin, and MV Theresa Guangdong for a total of $57m from Raffles Ship Chartering Pte Ltd. These Hong Kong-flagged vessels are controlled by Wilmar Ship Holdings along with its ship management subsidiary, Raffles Shipping Group. Raffles Ship Chartering Pte Ltd, operating under the umbrella of Wilmar International, plays a crucial role in Wilmar’s integrated agribusiness model, facilitating the efficient transport of agricultural products. Specializing in dry bulk and chemical tankers, Raffles Ship Chartering optimizes shipping logistics to align with global trade flows and market demand. The company’s strategic operational capabilities allow it to manage a diverse fleet adeptly, ensuring timely and safe delivery of cargoes. This proficiency in fleet management and global logistics underscores its importance within Wilmar International’s broader business strategy. Founded in 2009, Shanghai-listed shipowner Fujian Highton Development Co. Ltd primarily operates in the supramax bulk carrier sector, managing a fleet of approximately 60 bulk carriers. More than half of these are owned by the company, servicing over 200 ports in more than 30 countries and regions, transporting ore, coal, and fertilizers. Fujian Highton Development Co. Ltd has been actively increasing its fleet capacity, which now stands at about 3.4m DWT. This expansion includes the acquisition of 10 ships, eight of which have been delivered. Additionally, Fujian Highton Development Co. Ltd has recently completed a six-year sale and leaseback transaction with ABC Financial Leasing for six of its bulk carriers, releasing approximately $63m in capital. This strategic move included the sale of one of its older supramax bulk carriers, further optimizing its fleet profile.
4-August-2024
Regular heavy rainfall will enable the Panama Canal to handle 36 ship transits per day starting in September 2024, bringing it closer to its maximum operational capacity. At full capacity, the canal can manage 40 ship transits daily, a capability that was reduced last year due to prolonged periods of severe drought. Consequently, canal authorities had to decrease the maximum draft limits for ships using the larger neopanamax locks by nearly 2 meters, a restriction that has been relaxed in recent months with the return of the rains. The number of daily transits will be increased to 35 starting August 5, 2024. Additionally, the Panama Canal Authority (PCA) has set a six-year target to complete a massive new $1.6 billion reservoir on the Indio river, aiming to secure water availability for the future and ensure that the crucial waterway can sustain at least 36 transits per day.
3-August-2024
Shanghai-listed shipowner Fujian Highton Development Co. Ltd is strengthening its dry bulk fleet through the acquisition of three (3) kamsarmax bulk carriers from Singapore-based ship operator Raffles Ship Chartering Pte Ltd, a subsidiary of commodity trading group Wilmar International, as confirmed in a recent filing by Fujian Highton Development Co. Ltd, which is finalizing the purchase of the 2012-built kamsarmax bulk carriers MV Theresa Jiangsu, MV Theresa Jilin, and MV Theresa Guangdong for a total consideration of $57 million. These Hong Kong-flagged ships are controlled by Wilmar Ship Holdings and managed by its ship management subsidiary Raffles Shipping Group. Raffles Ship Chartering Pte Ltd, operating under the Wilmar International umbrella, plays a pivotal role in the group’s integrated agribusiness operations by ensuring the smooth transportation of agricultural products. Specializing in dry bulk and chemical tankers, Raffles Ship Chartering Pte Ltd aligns its shipping operations with global market demands, utilizing its operational expertise to manage a diverse fleet and ensure the reliable and timely delivery of cargoes, thus reinforcing its value within Wilmar International’s overall business model. Founded in 2009, Shanghai-listed shipowner Fujian Highton Development Co. Ltd is primarily focused on the supramax bulk carrier sector and currently operates a fleet of around 60 bulk carriers, with more than half of them owned by the company, serving over 200 ports across more than 30 countries and regions, and transporting commodities such as ore, coal, and fertilizers. Fujian Highton Development Co. Ltd has been actively scaling up its fleet, which has reached approximately 3.4 million DWT, including 10 acquired ships, eight of which have already been delivered. Additionally, Fujian Highton Development Co. Ltd recently completed a six-year sale and leaseback arrangement with ABC Financial Leasing involving six of its bulk carriers, generating approximately $63 million in capital, and also sold one of its older supramax bulk carriers to further streamline and optimize its fleet composition.
3-August-2024
Taiwanese shipping company Wisdom Marine Lines Co Ltd has successfully sold one of its handysize bulk carriers, freeing up space for new vessels. The company, based in Taipei, offloaded the 2015-built handysize bulk carrier, 37K DWT MV Bunun Glory, to Istanbul-based Manta Denizcilik for around $21.5 million. This transaction marks Wisdom Marine Lines Co Ltd’s second vessel sale in 2024, led by Lan Chun Sheng. The MV Bunun Glory, purchased as a resale for $22 million in April 2015, is projected to generate a profit of just over $10 million. Wisdom Marine Lines Co Ltd operates a fleet of more than 100 bulk carriers, averaging around six years in age. The company anticipates further improvements to its fleet profile within the next two to three years as it expects the arrival of nearly 20 new bulk carriers, including two handysize vessels built by Imabari, set to join the fleet in the fourth quarter of 2024. Manta Denizcilik, the buyer of the MV Bunun Glory, is a prominent Istanbul-based shipowner and operator known for its strategic investments in the bulk carrier market. Established over a decade ago, Manta Denizcilik has built a reputation for acquiring high-quality vessels to enhance its operational capabilities. The company’s fleet primarily consists of medium to large bulk carriers, strategically used to capitalize on regional trade routes around the Black Sea and Mediterranean areas. Manta Denizcilik is committed to expanding its fleet and presence in the global shipping market, emphasizing sustainable practices and efficiency in its operations.