Polish state-owned bulker giant Polish Steamship Polsteam has reported cargo volume increase in cargo in Q2 2019. Szczecin based Polish Steamship Polsteam carried about 8 million tonnes of bulk cargo in the first six (6) months of 2019, against about 7 million tonnes of bulk cargo in the first six (6) months of 2018. Even though the bulk cargo market remains tough, Polish Steamship Polsteam logs big cargo volume increase.
Pawel Brzezicki led Polish Steamship Polsteam reported net profit PLN 194 million ($49 million) in Q2 2019, against PLN 117 million in Q2 2018. In February 2017, Pawel Brzezicki was brought by the Polish government in order to stabilize Polish Steamship Polsteam. According to CEO Pawel Brzezicki, the dry bulk market remains difficult and hampered by the United States-China trade war.
In 2016 under the previous management, Polish Steamship Polsteam reported loss of PLN 741 million. Polish Steamship Polsteam’s current CEO Pawel Brzezicki, was GM (General Manager) between 1998 and 2005. In February 2017, Pawel Brzezicki returned to Polish Steamship Polsteam and he renegotiated delivery of several bulk carriers abandoned at Chinese shipyards by the previous management. With the latest addition of 2019 built bulk carriers, 39K DWT MV Karlino, and MV Sopot, the Polish Steamship Polsteam fleet has increased to 62 bulk carriers. During current CEO Pawel Brzezicki’s tenure, Polish Steamship Polsteam has not sold any bulk carriers.
In 2018, Polish Steamship Polsteam has received five (5) new-building bulk carriers from Chinese shipyards:
- MV Drawno (39K DWT 2018 built)
- MV Solidarnosc (39K DWT 2018 built)
- MV Gardno (36K DWT 2018 built Lake Fitted Bulk Carrier)
- MV Jamno (36K DWT 2018 built Lake Fitted Bulk Carrier)
- MV Narie (36K DWT 2018 built Lake Fitted Bulk Carrier)
In Q2 2019, state-owned Polish Steamship Polsteam has reported a 14% rise in overall cargo volume:
- Grains 2,200,000 tons (35% increase against Q2 2018)
- Fertilizers 840,000 tons (51% increase against Q2 2018)
- Steel Products 333,000 tons (130% increase against Q2 2018)
- Phosphates 326,000 tons (41% decrease against Q2 2018)
Increase in Steel Products and Grains, reflect Polish Steamship Polsteam’s strength in the Great Lakes market. Furthermore, as Time Charter Trips (TCT), Polish Steamship Polsteam has transported 3,800,00 tons of cargo till the end of Q2 2019.
One of Europe’s largest bulk carrier operator Szczecin-based Polish Steamship Polsteam is undergoing a restructuring programme. Polish Steamship Polsteam is looking to order more new-buildings. In 2019, Polish Steamship Polsteam will take delivery of the final four (4) bulk carriers in an earlier newbuilding programme. Delivery will include several bulk carriers abandoned at Chinese Shipyards by the previous Polish Steamship Polsteam’s board. Abandoned bulk carriers’ price tags were since renegotiated. In 2017, the Polish government appointed Pawel Brzezicki as the new CEO for a state-owned company Polish Steamship Polsteam. Pawel Brzezicki will try to stabilize Polish Steamship Polsteam. Polish Steamship Polsteam is Poland’s largest shipping company which is headquartered at Szczecin, Poland.
Polish Steamship Polsteam has a mixed fleet of 61 ships of 2.2 million DWT. Polish Steamship Polsteam fleet comprises of 8 panamax, 48 handysize bulk carriers, 1 sulphur carrier and 4 ferries. Polish Steamship Polsteam CEO Pawel Brzezicki will seek opportunities to build more bulk carriers at Chinese Shipyards. Previously, Pawel Brzezicki was working as GM (General Manager) of Polish Steamship Polsteam between 1998 and 2005. According to Pawel Brzezicki, Polish Steamship Polsteam lost about $60 million in advance payments which had been recovered in the course of renegotiating cancelled orders at China’s Yangzijiang Shipbuilding and Yangfan Shipyard. $60 million has been used to finish some of those bulk carriers at the shipyards. 70% of new-buildings from the earlier investment programme will be completed. 12 bulk carriers (38K DWT) were booked at Yangfan Shipyard and 6 lake fitted handysize bulk carriers (36K DWT) at Yangzijiang Shipyard.
Polish Steamship Polsteam’s earlier programme involved 38 bulk carriers in Chinese Shipyards. According to Polish Steamship Polsteam’s CEO Pawel Brzezicki many of the previous Polish Steamship Polsteam’s managers were responsible for newbuilding cancellations in 2016. These managers quit with the threat of bankruptcy looming. Polish Ministry of Maritime Economy and Inland Navigation appointed Pawel Brzezicki to take charge as CEO of Polish Steamship Polsteam. After Pawel Brzezicki was appointed as new CEO in 2017, Polish Steamship Polsteam turned into profit.
At the beginning of 2019, two (2) of the latest abandoned bulk carriers to be delivered were lake-fitted sisterships 36K DWT MV Jamno and MV Narie from Yangzijiang Shipyard. In total, five (5) newbuilding bulk carriers were delivered in 2018. Szczecin based Polish Steamship Polsteam is now in the position where it can restart ordering new-buildings. Polish Steamship Polsteam has no intention to sell any bulk carriers.
Polish Steamship Polsteam’s fleet is relatively young, with an average age of eight (8) years. During Polish Steamship Polsteam CEO Pawel Brzezicki’s tenure, no ships were sold and ships that were circulated for sale by Pawel Brzezicki’s predecessors have been pulled from the S&P (sale-and-purchase) market and continued trading in Polish Steamship Polsteam’s fleet. According to CEO Pawel Brzezicki, challenge ahead of Polish Steamship Polsteam is finding reputable shipyards in China which are willing to build specialist lake-fitted bulk carriers with a high DWT. In the past Polish Steamship Polsteam worked with Chinese Shipyards like Yangfan Shipyard, Yangzijiang Shipyard, Taizhou Sanfu Ship Engineering and Tianjin Xingang Shipbuilding Heavy Industry.
Great Lakes is an important market for Polish Steamship Polsteam and serious volumes of cargoes, mainly agricultural products, are moving out of the Great Lakes. Furthermore, Fednav, Canfornav and Navibulgar have lake-fitted bulk carriers which are competing at Great Lakes. Lake-fitted fleet is ageing and will have to be replaced. Polish Steamship Polsteam has been restructured and now fully financed profitable company.
Polish Steamship Polsteam is selling panamax dry bulk carries 2010 built 79K DWT MV Giewont and 2011 built MV Rysy. Both panamax dry bulk carriers were built in China and will shortly be open for inspection. MV Rysy is worth around $14.5 million and MV Giewont is worth around $13.8 million. MV Rysy and MV Giewont were built at New Century Shipbuilding in China.
In February 2017, Polish Steamship Polsteam is reportedly put MV Giewont up for sale. In February 2017, MV Giewont would likely have fetched $10 million. In 2007, Polish Steamship Polsteam ordered sister ships for $45 million each. Szczecin-based Polish Steamship Polsteam is the biggest shipowner in Poland.
The state-owned Polish Steamship Polsteam has a fleet of 61 dry bulk carriers. CEO Pawel Brzezicki explained that Polish Steamship Polsteam needs 7 newbuilding ships every year. Polish Steamship Polsteam has no intention to sell any ships and dry bulk carriers circulated for sale have been pulled from S&P market and continued trading in feet of Polish Steamship Polsteam.
Pioneer Marine’s 2008 built handysize dry bulk carrier 28K DWT MV Eden Bay and Polish Steamship Polsteam’s 2005 built handysize dry bulk carrier 39K DWT MV Mazury collided off Macapa, Brazil on 11 October 2017. The high tide of the Amazon river may have played a part in the collision. MV Eden Bay was carrying wheat and MV Mazury was carrying fertilizer. No pollution or injuries were reported.