European Union has granted to extend Cyprus’ tonnage tax regime for 10 more years. 10 more years extension of Cyprus’ tonnage tax regime will boost the registered tonnage in Cyprus. Cyprus has been in lengthy negotiations with European Commission regarding Cyprus’ tonnage tax regime. Cyprus has committed to the sustainable growth of the shipping and the shipping companies will evolve in Cyprus. Cyprus has a reasonable and simple tonnage tax system. Cypriot-flagged ships has been growing steadily. Cyprus ship register has more than 1,000 ships. EU desires to promote ship registration in Europe. Cyprus has also seafarer schemes that allow labor costs such as income tax and social security contributions to be partly or totally reduced on ships flying the flag of any European Union.
Mumbai-listed state-owned company Shipping Corporation of India (SCI) appoints first-ever female Managing Director (MD) Harjeet Kaur Joshi. According to the India Ministry of Shipping, Harjeet Kaur Joshi will be the Managing Director (MD) on a permanent basis until May 2022. Harjeet Kaur Joshi had been managing Shipping Corporation of India (SCI) on a provisional basis after Anoop Sharma. Shipping Corporation of India (SCI) was established in 1961 and since the establishment, the company has been managed by all-male Managing Directors (MD). Harjeet Kaur Joshi takes over at a historic time for Shipping Corporation of India (SCI). In 2015, Harjeet Kaur Joshi joined Shipping Corporation of India (SCI). The Indian government has confirmed the privatization of the Shipping Corporation of India (SCI). Currently, Shipping Corporation of India (SCI) has a diversified fleet of 135 ships.
P&I (Protection and Indemnity) insurer Shipowners’ Club has declared a 5% general raise on ship insurance premiums. Lately, Shipowners’ Club reported a $38 million loss. P&I (Protection and Indemnity) insurer Shipowners’ Club has a method of underwriting to a breakeven position. Up to now, UK P&I Club, the Standard Club, and Steamship Mutual has increased ship insurance premiums 7.5% at renewal in 2020. In 2019, Shipowners’ Club was struck by two major claims. In 2020, Shipowners’ Club anticipates an increase in the number of shipowners and total tonnage.
European Union (EU) appeals to the World Trade Organization (WTO) for the Indonesian government’s nickel ore export restraints. Indonesian nickel export restrictions put various businesses in the EU’s steel industry at risk. Especially, Indonesian export restrictions strike the supramax bulk carrier segment. Indonesian government desires to be export value-added commodities instead of solely exporting raw materials.
Antwerp based ship operator Conti7 appointed Pierre Dincq as new COO (Chief Operating Officer). Conti7 operates 40 bulk carriers. Fundamentally, Conti7 is concentrated on operating handysize, supramax, and ultramax bulk carriers. Conti7 was established in 1923. Conti7 has offices in London and Hong Kong. Family-owned company Conti7 is active in shipowning, ship operating, agency, logistics, forwarding, and warehousing. Moreover, Conti7 cooperates with GMT Hong Kong and Antartic Chartering.
VesselsValue has cooperated with ship inspector Idwal Marine for condition-based appraisals. VesselsValue and Idwal Marine partnership will provide ship value assessments that take into account maintenance and will render estimates representing the condition of a particular vessel. For the first time in the maritime industry, the computerized Condition Adjusted Values (CAV) assistance utilizes the condition of the ship coupled with algorithmically-derived market values. Condition Adjusted Values (CAV) will serve shipowners and operators to perceive value for the extra time, effort, and cost of sustaining quality ships. Shipowners can inquire about a ship’s actual inspection documents throughout the VesselsValue platform. If no permission has been granted by the shipowner, or if no recent inspection reports are available on VesselsValue platform, users can request to commission a new inspection report. VesselsValue and Idwal Marine cooperation will contribute shipowners more transcendent clarity into a vessel’s actual value.
Maritime Department of Malaysia announced that ships, which are adopting open-loop scrubbers for exhaust gas cleaners, are promptly prohibited in Malaysian waters. Malaysia Maritime Department declared that ships calling at the Malaysian ports are recommended to switch to the compliant bunker (VLSFO) or switch over to the closed-loop system before entering Malaysian waters and ports. Besides Malaysia, Singapore and Fujairah (UAE) have already forbidden open-loop scrubbers from their waters. According to International Maritime Organisation (IMO) 2020 regulations, which will be effective on 1 January 2020, ships either must be installed scrubbers or use low sulfur bunkers for low emissions.
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.
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.
International Organisation for Standardisation (ISO) published the International Maritime Organization (IMO) 2020 fuel specifications. International Organisation for Standardisation (ISO) endeavors to prevent the shortage of certainty over low-sulfur bunkers’ viscosity. International Organisation for Standardisation (ISO) broadcasted a paper concerning specs for brand-new IMO 2020-compliant low sulfur fuel. International Organisation for Standardisation (ISO) has published its 23263:2019 Publicly Available Specification (PAS) on its website after cooperating with bunker suppliers, testers, shipowners, class societies, and bunker traders. International Organisation for Standardisation (ISO) document 23263:2019 Publicly Available Specification (PAS) marks quality studies that implement to marine fuels in view of the implementation of a maximum of 0.5% bunkers from 1 January 2020. International Organisation for Standardisation (ISO) document 23263:2019 specifies common provisions that refer to all 0.5% fuels and reinforces the applicability of its previous document.
Switzerland based, British–Swiss multinational commodity trading and mining company, Glencore has joined a group of charterers aiming to digitalize activities world-wide. In October 2018, world’s four largest grain traders: ABCD (Cargill, Louis Dreyfus, Archer Daniels Midland, Bunge) and later on COFCO started a chartering regeneration and associated mutually in order to review current technologies such as blockchain and artificial intelligence to automate grain and oilseed post-trade accomplishment methods, diminishing expenses required to transport agricultural and food products throughout the world.
Glencore has joined the group for a digital shipping ambition. The group is anticipating to start of the modern program in Q2 2020 subjected to administrative permission. ABCD (Cargill, Louis Dreyfus, Archer Daniels Midland, Bunge), COFCO, and Glencore aims to improve a digital program that will leverage the most innovative technologies and has the potential to transform shipping business. This digital program will perform contract fulfilling methods extra effective, more reliable also more simple. Digital program advantages will be observed by corporations of every size with the post-trade chain. A pilot scheme will soon be encompassed to comprise shipments of soybeans from Brazil to China.
Taiwan based shipowner and operator Chinese Maritime Transport (CMT) has appointed James SC Tai as president of the company. Taipei based capesize shipowner and operator Chinese Maritime Transport (CMT) has a modern fleet of ten (10) capesize bulk carriers. Chinese Maritime Transport’s new president James SC Tai graduated from both the National Taiwan Ocean University and the University of Strathclyde in Glasgow. Taiwan based capesize shipowner and operator Chinese Maritime Transport (CMT) has a fleet of ten (10) capesize bulk carriers. The comparatively tiny range of newbuilding projects at Chinese Maritime Transport (CMT). Both Orient Overseas Container Line (OOCL) and Chinese Maritime Transport (CMT) are by-products of the Tung family shipping empire. Former Orient Overseas Container Line (OOCL) chairman Tung Chee-hwa is positively acknowledged as a politician.
Switzerland based shipowner and operator Doris Maritime Services has been intending to exit shipowning by selling its four (4) ultramax bulk carriers:
- MV Naess Absolute (63K 2015 built)
- MV Naess Courageous (63K 2015 built)
- MV Naess Endurance (63K 2015 built)
- MV Naess Intrepid (63K 2015 built)
Doris Maritime Services is preparing to sell ultramax bulk carriers to China Development Bank Leasing. Doris Maritime Services has new investment objectives. Besides bulk carriers, Doris Maritime Services has also invested in container vessels. Doris Maritime Services ordered four (4) ultramax bulk carriers at Cosco Shipyard, China. Sister company Naess Ship Management is also controlled by Doris Maritime Services’ CEO Nicholas Wirth. Naess Ship Management’s name comes from the late Norwegian shipping magnate Erling Dekke Naess. In the 1950s, Erling Dekke Naess owned the world’s third-largest shipping company. In 1994, Erling Dekke Naess sold Naess Ship Management for a symbolic sum to its employees.
Greek shipowner and operator Avin International might fully exit the dry bulk market. Avin International sold one of its two panamax bulk carriers. Athens based Avin International sold 2004 built panamax bulk carrier 76K DWT MV Vamos (ex MV Million Trader) for around $9 million. MV Vamos (ex MV Million Trader) was built at Tsuneishi Shipbuilding, Japan in 2006. MV Vamos (ex MV Million Trader) is not due for a special survey (SS) till February 2024. In May 2015, Vardinoyannis family-controlled Avin International acquired MV Vamos (ex MV Million Trader) from Japanese shipowner Nisshin Shipping for around $9 million. After the sale of MV Vamos (ex MV Million Trader), Avin International’s dry bulk fleet is left with 2000 built panamax bulk carrier 74K MV Evangelia. MV Evangelia was built at Sasebo Heavy Industries, Japan in 2000. In March 2013, Avin International acquired MV Evangelia for around $11 million. Avin International is primarily a tanker owner and has a fleet of 32 tankers.
Singapore’s High Court sold 2012 built handymax bulk carrier 37K DWT MV Long Bright. MV Long Bright was controlled by Highrich Logistics. MV Long Bright was built at Shandong Huahai Shipbuilding, China in 2012. MV Long Bright has spent over a year in lay-up and its certifications have expired. MV Long Bright was arrested in March 2018 by Singapore’s DP Shipbuilding & Engineering over an unpaid repair bill. Later on, a Chinese bank had taken control of MV Long Bright together with a sister ship MV Long Glory. Hong Kong-based Highrich Logistics acquired MV Long Bright and MV Long Glory as part of a deal from Shandong Huahai Shipbuilding, China. MV Long Bright and MV Long Glory had originally been ordered in 2006 by Sider Navi.
World Economic Forum warned about a possible recession and trade uncertainties may worsen. Prominent economists have been predicting that global growth since the 2008 financial crisis is running out of steam. Global economic growth expected to decrease to 3% in 2020. In 2019, global economic growth will be affected by:
- United States trade war with China
- Slowing growth in the European Union
- Increasing political instability in many countries
These connected obstacles will weaken confidence in various sectors of business. But, the shipping business will be affected deeply. Notwithstanding the low newbuilding orders at the shipyards and a developing supply-demand balance.
World Economic Forum summarized that global uncertainties are escalating. The world economy would have to master how to manage the next recession. Today, risks are frequently inter-related and the ability to deal with those risks was diminishing. Slowing growth, increasing debt, trade tensions, and mounting inequality are numerous difficulties that would require a world-wide collaborative scheme to solve. Demands on shipping to slash carbon emissions by financing modern combustibles is merely one portion of the enormous challenges the world faces.
Marshall Islands-registered Hunter Maritime received a warning from Nasdaq. Nasdaq requires Hunter Maritime to hold an annual general meeting. Hunter Maritime has 45 days to present a program for an annual meeting. Hunter Maritime commenced in 2016 with a $152 million IPO (Initial Public Offering) with the purpose of acquiring dry bulk carriers at the bottom of the shipping cycle. Hunter Maritime has failed to acquire bulk carriers as investors seemed to draw their capital out of Hunter Maritime.
Shipping business generated $15 billion to Greeks in the first nine months of 2018. In 2018, the total number of active Greek shipping companies reached 1,400. The number of ships under Greek management companies is around 4,500 ships with a capacity of around 200 million DWT. In Greece, shipping companies employed around 17,000 people.
As trade war has been intensified between the United States and China, shipping stocks plunged. Almost, every single New York-traded shipping stock ended the day in the red. Golar LNG, GasLog, Scorpio Tankers, and Matson were the most unsatisfactory performers. Among all shipping companies, Matson had the worst day on the stock exchange. Tanker stocks have not pummeled like other segments. Because China is not importing any US crude oil and crude is not on the tariff list.
Bergen-based coaster shipowner and operator Misje Rederi AS has been endeavoring to renew its coaster fleet with a series of hybrid-powered new-building bulk carriers. Norwegian family-owned Misje Rederi AS has approached shipyards in Norway, China, and the Netherlands for offers on coaster bulk carriers. Newbuilding coaster eco-bulkers will use batteries at the ports and diesel engines at the sea. Misje Rederi AS has collaborated with Marine Design & Consulting and Norwegian Electric Systems to develop the new ship design. Currently, Misje Rederi AS controls 14 coaster bulk carriers.
Heavylift, project, and break-bulk operator Zeamarine Carrier is very close to its aim of more than 100 multipurpose (MPP) ships after taking delivery of six (6) time-chartered new-buildings from Chinese ship manager New Legend. In January 2019, Zeamarine Carrier took delivery of 2019 newbuilding 13K DWT MV Zea Frontier F-class 900 designs outfitted with two 450 tons cranes. In September 2018, Germany based Zeaborn and Houston based Intermarine merged to establish Zeamarine Carrier. Zeamarine Carrier has also chartered in 2018 build 12K DWT MV Zea Servant outfitted with two 250 tons cranes MPP ship for the long-term. MV Zea Servant was constructed at Chinese shipyard Taizhou Sanfu Shipbuilding. MV Zea Servant was formerly ordered by Nordic Hamburg but has been secured by Chinese ship manager New Legend. In November 2018, MV Industrial Fame and MV Industrial Fusion were taken from CSSC Leasing. MV Industrial Fame and MV Industrial Fusionare are technically managed by Germany based Hammonia Reederei. Zeamarine Carrier chartered in vessels of bankrupt heavy-lift operator Hansa Heavy Lift.
Norwegian-Swedish owned Ro-Ro behemoth operator Wallenius Wilhelmsen expressed that European Union ship scrapyards must be able to satisfy the continuing recycling requirements of the EU-flagged vessels. In the last decade green-recycling advocate Wallenius Wilhelmsen has demolished 30 ships. Wallenius Wilhelmsen expressed that approved European Union facilities must be fitted for continuing recycling requirements of the EU-flagged ships and extra scrapyards should be introduced on European Union’s list Irresponsible recycling is solely not compatible with Wallenius Wilhelmsen’s own standards. Wallenius Wilhelmsen will proceed to recycle their ships only according to high standards.
Guinea will increase bauxite shipping after a brand-new mine was given permission. Guinea’s Kimbo project will generate around 3 million metric tons of bauxite per year and 1.5 million metric tons of alumina per year. Tremendous investments will be harmonized into the development of a refinery, highways, and railways.
Guinea government declared a range of infrastructure and constitutional bills for expansion in the bauxite shipping industry. Guinea’s bauxite producer Societe Miniere de Boke (SMB) is going to contribute $1 billion to build a railway. Societe Miniere de Boke (SMB) is a joint venture between Winning Shipping, Guinea, Shandong Weiqiao Aluminium & Power Co, and UMS International. On the other hand, in order to regulate the transportation of bauxite, Guinea’s government is introducing a national agency. Guinea is base for a quarter (1/4) of the worlds bauxite reserves. In 2018, total Guinea bauxite exports reach to 55 million metric tons which is around half of the world’s bauxite exports.
Kamsarmax bulk carrier (82K DWT) received its title by fitting a 229 meter limit on ship length at the Port of Kamsar, Guinea. Port of Kamsar, Guinea is a significant bauxite shipping port. Capesize bulk carriers require transshipment via barge to load at Guinea bauxite export ports.
In 2019, newcastlemax bulk carriers account for a quarter of Guinea’s bauxite exports. Chinese giant shipowner and operator COSCO Bulk Shipping is planning to order at least 6 newcastlemax bulk carriers to meet 5 million metric tons per year agreement with Chinese aluminum producer Chalco. Bauxite trade is expected to account for around one fifth (1/5) of dry bulk trade growth in terms of tonne-miles in 2019.
Three prominent shipping names Guy Hindley (Howe Robinson), Denis Petropoulos (Braemar Shipping Services), and Andy James (China Navigation) have joined the Baltic Exchange Council. Baltic Exchange Council governs the Baltic Exchange’s strategy and activities. Lambros Varnavides and John Hadjipateras have stepped down from Baltic Exchange Council. John Hadjipateras will remain on the Baltic Membership Council. Baltic Exchange Council is chaired by Duncan Dunn. Baltic Exchange Council governs the Baltic Exchange’s strategy for membership services, social responsibility, charities, and its relationship with its members, governments, regulatory bodies, and the global shipping community.
1997 built 9K DWT MV Paksoy-1 was attacked at the coast of Nigeria and 10 crew members were taken as hostages. Istanbul based Turkish shipowner and operator Kadioglu Maritime’s MV Paksoy-1 was in ballast from Douala to Abidjan in Ivory Coast. No injuries or loss of lives has been reported. Later on, 10 crew members were released by the assistance of the Nigerian government.
Shanghai-based Haiyi Shipping ordered four (4) newbuilding bulk carriers 12K DWT at CSC Jiangdong Shipyard in China. Haiyi Shipping is a subsidiary of Chinese Anhui Conch Cement. Four (4) newbuilding bulk carriers will be delivered in 2020. Currently, Anhui Conch Cement has a fleet of 15 small bulk carriers. Four new building bulk carriers 12K DWT will be the biggest ships in the fleet of Anhui Conch Cement.
Japanese shipowner and operator K Line’s 2017 built capesize dry bulk carrier 183K MV Cape Taweelah is the first fully-laden capesize bulk carrier to call at Khalifa Port, Abu Dhabi. Emirates Global Aluminium (EGA) long-term chartered in 183K MV Cape Taweelah. MV Cape Taweelah is transporting bauxite from Guinea for Emirates Global Aluminium (EGA)’s new Al Taweelah alumina refinery. Emirates Global Aluminium (EGA) will employ capesize bulk carriers to reduce per tonne transportation costs. Emirates Global Aluminium (EGA) agreed a deal with Abu Dhabi Ports in late December 2017 to dredge and widen channel at Khalifa Port to enable large capesize dry bulk carriers to berth fully-laden. Except for Khalifa Port, at other ports in the region capesize bulk carriers must be partially unloaded offshore before capesize bulk carriers can berth at port safely.
Wood Resources International (WRI) published that China imports of logs reached another record high in 2018. This is the third sequential year of year-on-year increases. China log import volumes reached around 40 million cubic meters. New Zealand (44%) is a leading supplier of logs to China. Russia’s log export share has fallen to 18% in 2018.
German ship financing bank Nord/LB withdraws from the maritime sector. German shipping lender Nord/LB is pulling out of ship financing as it looks to restructure with a capital injection of $4 billion. Nord/LB is taking an enormous hit on the remaining $11 billion maritime books. Nord/LB expects a refinancing deal with the German Savings Banks Association (DSGV). Nord/LB has been dropping NPL (Non-Performing Loans) in shipping at a quick rate and has taken tremendous provisions on the maritime book in recent years. Nord/LB will completely withdraw from ship financing and will focus on energy, infrastructure, property, and aircraft.
Panamax P8 Brazil-China soybean route will be introduced for Forward Freight Agreement (FFA) traders. Traders will be able to hedge grain and soybean voyages. Brazil-China soybean route is flourishing with 150 million tonnes of soybean annually. The US-China trade war and uncertainty in the global economy triggers to hedge freight and fuel risk on the booming Panamax P8 Brazil-China soybean route. Demand for soybeans has been highly elastic in China and fuel prices set to rise in 2019. Consequently, the timing is perfect for the introduction of Panamax P8 Brazil-China soybean route on Forward Freight Agreement (FFA). Panamax P8 Brazil-China soybean route means owners, charterers, and traders can manage their risk more accurately than using the existing Panamax 2A Continent-Far East route. Panamax P8 Brazil-China soybean route will bring liquidity in dry FFAs.
In 2015, Malaysia was the biggest bauxite supplier in China. Notwithstanding, in 2016, Malaysia outlawed bauxite mining due to notable pollution. Newly, the Malaysian environment minister published that its mining ban will not be extended after it terminates in March 2019. Malaysia’s bauxite export could damage the weak dry bulk market by lowering ton-miles. Malaysia bauxite was a substitute for Indonesian bauxite. However, in recent years China has invested profoundly in mines and infrastructure in Guinea. In 2018, China increased its bauxite imports to 83 million tons.
Indonesian coal exporters could encounter an unpredictable prospect due to regulative concerns. By 2027, Indonesia’s domestic coal consumption for energy will increase to 157 million tons. Indonesian government aims to preserve coal reserves and this is a potential risk for Indonesian coal exporters. Indonesian coal export laws appear to replace every year. Indonesia’s Domestic Market Obligation (DMO) obliges coal producers to trade 25% of coal production on the domestic market. Indonesian coal is particularly quite known for its low Calorific Value (CV). Australian and Russian coal is not technically feasible because Asian coal importing countries like India and China were building coal-fired plants around Indonesian coal specifications. Any decrease in Indonesian coal export volumes would lead to longer ton-miles which would be positive for the dry bulk shipping market. Coal demand in Asia, particularly in China and India, will soar in the upcoming years as many power plants are currently under construction.
Bankrupted Greek shipowner and operator Toisa Shipping has submitted a bankruptcy reorganization plan to the Southern District of New York bankruptcy court. Bankrupted Greek shipowner and operator Toisa Shipping has been in discussions with moneylenders including ING, Commerzbank, DNB, Citi Bank, and DVB. Southern District of New York bankruptcy court’s scheme presents the Toisa Shipping debtors to sell all assets. An inspector will be designated to liquidate Toisa Shipping‘s assets and wind down. Toisa Shipping filed for bankruptcy in early 2018. Greek Toisa Shipping had $1.7 billion appraised assets, including offshore vessels, tankers, and dry bulk carriers.
Norwegian coaster shipowner and operator Hagland Shipping acquired 2011 built coaster bulk carrier 4K DWT MV Hagland Carrier (ex MV Estime). MV Hagland Carrier (ex MV Estime) will be converted to a self-unloading bulk carrier. Hagland Shipping acquired DWT MV Hagland Carrier (ex MV Estime) from JR Shipping. Norwegian coaster shipowner and operator Hagland Shipping has a fleet of 14 self-unloading bulk carriers. Norwegian Hagland Shipping was established in 1872.
Florida-based World Fuel Services has filed a second lawsuit in Miami federal court on 10 January 2018 and arrested a second MPP carrier of German Hansa Heavy Lift to pay allegedly unpaid fuel bills. Previously, World Fuel Services arrested Hansa Heavy Lift’s other ship 2008 built MV HHL Elbe in France for unpaid bunker bill. After the MV HHL Elbe was seized in France, Hansa Heavy Lift filed an insolvency petition in Hamburg, Germany courts. An extremely challenging operating environment is the cause according to Hansa Heavy Lift’s major shareholder Oaktree Capital Management.
Greek shipowner and operator Dominion International acquired 2011 built kamsarmax 81K DWT MV India Vision (ex MV Trade Vision). 81K DWT MV India Vision (ex MV Trade Vision) was built at Guangzhou Longxue. Ioannis Chandris led Dominion International has not been active in S&P market for several years. Immediately, Dominion International delivered MV India Vision (ex MV Trade Vision) in M2M Management Panamax Pool. Dominion International was established in 1969 in Piraeus under the management of a JD Chandris. 81K DWT MV India Vision (ex MV Trade Vision) was the last vessel from the sale of 26 dry bulk carriers and tankers in the bankrupt Greek Toisa Ltd.
Hong Kong-headquartered Fleet Management has taken over NAESS Ship Management in Amsterdam. NAESS Ship Management was set up in 1973. Fleet Management has over 450 vessels under management. Hong Kong-headquartered Fleet Management has offices in London and Cyprus.
Wood Resource International (WRI) has published that China has imported record volumes of woodchips in Q3 2018. In Q3 2018, Chinese woodchip imports totaled 3.5 million tons, a year-on-year increase of 21%. Vietnam and Australia together account for just over 80% (28% Australia, 52% Vietnam) of Chinese woodchip imports in 2018, with the remainder being supplied by Chile, Thailand, Brazil, South Africa, and Malaysia. Vietnam’s woodchip export has been trending upward for over 15 years and will likely reach a new record high of almost 10 million tons in 2018.
Finland-based coaster and project shipowner Meriaura Logistics has been expanding its fleet by acquiring two dry bulk carriers. Meriaura Maritime Logistics sister company VG Shipping acquired 1998 built 4,200 DWT MV Aava VG (ex MV Nemuna) and 1997 built MV Lotta VG (ex MV Visurgis) from German shipowner and operator Shipcom Bereederungs GmbH. New ships are going to strengthen VG Shipping market position in European coaster size market. VG Shipping has a fleet of 8 coaster bulk carriers and sister company Meriaura Logistics operates a fleet of 20 dry bulk carriers.
Chinese leasing company CSIC Leasing signed capesize new-building bulk carriers at Qingdao Beihai Shipbuilding Heavy Industry against long-term charters from German energy powerhouse RWE. China Shipbuilding Industry Co (CSIC) controlled shipyard has been commissioned to construct four (4) scrubber-fitted IMO Tier II standard capesize dry bulk carriers (180K DWT) for delivery between late 2020 and early 2021. Each capesize dry bulk carrier has a price tag of $54 million. CSIC Leasing deal is the second-largest newbuilding charter contract linked to RWE.
World’s largest scrap ship cash buyer GMS founder Anil Sharma has a positive outlook for Indian shipbreaking. GMS founder Anil Sharma has recently been supporting the Indian subcontinent’s green recycling. Indian, Pakistani, and Bangladeshi shipbreakers are frequently criticized for their beaching methods. Indian, Pakistani, and Bangladeshi shipbreakers can really lessen the environmental impact of beaching by following the IMO’s Hong Kong International Convention for the Safe and Environmentally Sound Recycling of Ships. Furthermore, Indian, Pakistani, and Bangladeshi shipbreakers can use concrete floors to prevent pollutants from entering the subsoil. GMS is scrapping approximately 200 ships per year.
Bremen based MPP (MultiPurpose) ship operator dship Carriers has ordered two (2) MPP ships at Taizhou Sanfu Shipyard in China. dship Carriers picked up F-500 type Eco Traders which will join the fleet in Q1 and Q3 2019. MultiPurpose vessels F-500 type has been developed to reduce fuel consumption and to increase stowage flexibility.
Hong Kong-based shipowner and operator Great Harvest Maeta Group seeking to diversify from its core dry bulk carrier business in order to decrease shipping risk. Great Harvest Maeta Group is planning to enter construction, tourism, and real estate projects. Hong Kong-based shipowner and operator Great Harvest Maeta Group will strictly control operating costs and reduce all unnecessary expenses. Great Harvest Maeta Group is seeking to charter out its fleet to reputable charterers. Currently, Hong Kong-based shipowner and operator Great Harvest Maeta Group has a fleet of four (4) panamax dry bulk carriers.
Great Lakes-St Lawrence Seaway dry bulk trade increased 38% due to the high demand for construction materials like asphalt, cement, and stone this summer. According to Canada’s Chamber of Marine Commerce construction projects increased across the region. Shipping activity at Great Lakes-St Lawrence Seaway increased to a total of 12 million tonnes.
International Maritime Organization (IMO) has invited the International Organization for Standardization (ISO) to introduce standards and to reassure shipowners that an identical type of methanol will be ready at ports. Developing ISO standard is a critical move for methanol to gain broader adoption as a marine fuel. International Maritime Organization (IMO)’s Maritime Safety Committee has been revising guidelines for low flashpoint fuels like methanol and LNG (liquefied natural gas). International Maritime Organization (IMO) already has standards for methanol as a cargo, but not as a marine fuel. Nevertheless, methanol as marine fuel encounters difficulties in terms of sufficient space and commercial availability.
Paris MOU port state organisation banned 33 ships in 2017. In 2016, Paris MOU port state organisation banned 20 ships. Last 3 years, Moldova, Tanzania, and Togo have recorded the highest number of ship bans of Paris MOU port state organisation. In 2017, Paris MOU port state organisation annexed Poland and South Korea to the white flag list. Iran, Kazakhstan, Russia, and the US moved from white to grey list. In 2017, Paris MOU port state organisation blacklisted Ukraine.
Price tags of vintage secondhand dry bulk carriers slumped due to yuan and sluggish Chinese domestic bulk market. Secondhand bulk carriers are unlikely to gain interest from buyers outside China. Shipowners are keen to sell their vintage bulk carriers.
German shipowner and operator MLB Manfred Lauterjung Befrachtung GmbH & Co. KG ordered two (2) dry cargo vessels 2K DWT at Szczecin Shipyard in Poland. MLB Manfred Lauterjung Befrachtung GmbH & Co. KG has not reported price tag for new-building bulk carriers. German shipowner and operator MLB Manfred Lauterjung Befrachtung GmbH & Co. KG has a fleet of 23 ships from capesize dry bulk carriers, boxships and MPPs.
2001 built bulk carrier 51K DWT MV Sirina suffers blaze in Southampton, United Kingdom. British firefighters extinguished the fire. No injuries were reported.
One of the largest Russian foodstuff producer Aston Group is endeavoring to acquire 10 river type dry bulk carriers from Chinese shipyards. 8K DWT river type dry cargo ship design is the largest to enter ports along the River Don. In the first week of April 2018, Aston Group has also started operating 4 handymax dry bulk carriers.
Two (2) Ukrainian crew discovered dead in 2017 built handysize dry bulk carrier 31K DWT MV Atlantic Harmony off Cape Verde. MV Atlantic Harmony is controlled by Turkish shipowner and operator Istanbul Shipping. Further investigations started.
Greek shipowner and operator Arista Group’s affiliate Forward Maritime signed LOI (Letter of Intent) with Jiangsu Yangzijiang Shipbuilding to construct the world’s first truly LNG-powered ships. The world’s first truly LNG-powered ships 84K DWT kamsarmax dry bulk carriers are described as Forward Bulker 84-LNG.
Greek shipowner and operator Vita Management controlled 2001 built panamax dry bulk carrier 74K DWT MV Vitaspirit smashed into historical mansion at the Bosphorus during her Istanbul Strait passage on 7 March 2018. No injuries or pollution have been reported. Fortuitously, an expensive historical mansion was not occupied during the incident. Half of the waterside of the historical mansion was devastated. Authorities closed the Bosphorus Strait traffic for north and southbound after the terrible accident. Malta-flagged MV Vitaspirit was carrying 62K barley cargo from Russia to Saudi Arabia.
Indonesian government determined to postpone new cabotage limitations on coal shipping until 2020. In early 2018, the Indonesian government proposed to limit shipments of coal to Indonesian-flagged ships. However, cabotage restrictions postponed after tremendous objections from coal producers and shipowners. Indonesian Coal Mining Association is eager to assist Indonesian new cabotage regulations if national shipping companies are available. Moreover, Indonesian new cabotage regulations will also affect palm oil cargoes.
China imports approximately 40% of its soybean from the USA. Soybean trade accounts for 5% of total dry bulk ton-mile demand. If South American soybean farmers are able to fill the gap, 5% of total dry bulk ton-mile disappear could be negligible. The US-China trade war timing is terrible for the weak dry bulk shipping market. Tariffs also affect dry bulk shipping companies’ stocks.
Two multipurpose (MPP) and heavy-lift sector giants American Intermarine and German Zeaborn Shipping is in probable consolidation discussions in order to design multipurpose (MPP) company. Intermarine and Zeaborn Shipping are contemporary competitors in the multipurpose sector. Intermarine and Zeaborn Shipping plans to team up, consolidate and grow in the multipurpose (MPP) sector. Currently, multipurpose (MPP) sector top-two players in the heavy-lift sector by deadweight are Cosco Shipping and BBC Chartering respectively. Intermarine and Zeaborn Shipping merger as Zeamarine would be the third-largest player. In 2017, German Zeaborn Shipping acquired operations of Rickmers Linie. In 2018, German Zeaborn Shipping acquired ER Schiffahrt and its shipbroker arm Harper Petersen & Co.
Chinese shipowners have the greatest share with 21 million DWT of dry bulk carriers. Brazilian iron ore giant Vale’s 39 VLOC (Very Large Ore Carrier) newbuilding project is prolonging China’s rising prominence in the dry bulk market. Chinese shipowners’ fleet overall number is increased to 145 million DWT. China is the third-largest bulk carrier shipowner nation behind Greece and Japan. In 2018, Chinese shipowners control 18% of the global dry bulk fleet. In 2008. Chinese shipowners were controlling barely 7% of the global dry bulk fleet.
Briese Schiffahrts controlled MV BBC Neptune collided with Delphis’ container ship MV Delphis Gdansk off Denmark. Both ships MV BBC Neptune and MV Delphis Gdansk have been damaged but no injuries and no pollution has been reported.
Donald Trump is proposing to impose tariffs on $60 billion worth of goods shipped from China. Last year, the USA imported goods around $375 billion more than it exports. Trade war is launching new uncertainties in the world economy. Shipping market stocks were amidst those influenced by potential reciprocity. The largest parts of the USA and China trade are in containerized goods. On the other hand, soybeans remain the second-largest US export to China. Soybean is a major cargo in the dry bulk trade from the USA to China and most apparently will be affected by presumable tariffs and trade wars.
Chinese shipowner and operator Zhejiang Xin Yi Hai Shipping bought six (6) small dry bulk carriers. Before this acquisition Zhejiang Xin Yi Hai Shipping had a fleet of ten (10) dry bulk carriers. Zhejiang Xin Yi Hai Shipping is part of Zhejiang Shipping Group.
Indonesian Asian Bulk Logistics (ABL) is plotting to enter into the dry bulk sector. Asian Bulk Logistics (ABL) is financing in cargo transfer ships and barges. Presently, Jakarta-based Asian Bulk Logistics (ABL) is endeavoring to establish a dry bulk shipping fleet. Asian Bulk Logistics (ABL) aims to develop a ship owning and logistics company. Currently, the Indonesian government restricted coal trade to domestic ships.
President Donald Trump declared raising tariffs 25% on steel and 10% on aluminum. There would be a possible retaliation from China, Europe, and Canada for the US tariffs. Dry bulk shipowners have been following the US tariffs’ repercussions. USA president Donald Trump wants to protect domestic steel and aluminum producers.
Russia’s State Transport Leasing Company (STLC) subsidiary GTLK Europe is opening an office in Ireland. Russian GTLK Europe is going to control aircraft and shipping assets worth more than $1.5 billion.
Fujian Mawei Shipbuilding published that Dubai’s Marine Assets Corporation (MAC) has missed an installment of $18 million on a new mining ship in China. Mining ship is due to be delivered at the end of 2018 and will be chartered out to Canada-listed Nautilus Minerals for 5 years. Mining ship MAC Goliath construction has been almost completed. Canada-listed Nautilus Minerals requires MAC Goliath for the Solawara gold and copper mining project off Papua New Guinea.
Italian tanker and bulk carrier shipowner Rizzo Bottiglieri De Carlini Armatori (RBD Armatori) has declared bankruptcy. Italian judge in the court of Naples, Italy decided for bankruptcy. Rizzo Bottiglieri De Carlini Armatori (RBD Armatori) has failed to reach a settlement with mortgagers. In 2017, Pillarstone acquired debt of $674 million from Italian banks owned by Rizzo Bottiglieri De Carlini Armatori (RBD Armatori). Pillarstone will now possibly chase the ships managed by Rizzo Bottiglieri De Carlini Armatori (RBD Armatori). Italian tanker and bulk carrier shipowner Rizzo Bottiglieri De Carlini Armatori (RBD Armatori) has a debt of around $1 billion. Rizzo Bottiglieri De Carlini Armatori (RBD Armatori) a fleet of 6 tankers and 7 dry bulk carriers. In 2012, compatriot Italian shipowner Deiulemar was also hit by the bankruptcy.
Nova Marine Carriers’ 1992 built cement carrier 9K DWT MV NACC Valbella was attacked by Somali pirates on 21 January 2018. MV NACC Valbella was passing through the Gulf of Aden and was destined to Cebu, Philippines. MV NACC Valbella was attacked by pirates at 100 miles southeast of Mukalla. Special Anti Piracy Unit (SAPU) was onboard of the MV NACC Valbella fired warning shots and pirates escaped. MV NACC Valbella’s crew are reported as safe.
Norwegian tycoon John Fredriksen’s private company Seatankers Group has ordered four 82K DWT kamsarmax dry bulk carries at Chinese Shipyard Dalian Shipbuilding Industry Co (DSIC) around $25 million each. Seatankers Group also plotting to order up to four kamsarmax dry bulk carriers at another Chinese Shipyard Cosco Shipping Heavy Industry. John Fredriksen’s private company Seatankers Group paid a total of $650 million.
In 2017, Dalian Shipbuilding Industry Co (DSIC) and Shanhaiguan Shipbuilding Industry merged. Dalian Shipbuilding Industry Co (DSIC) is going to construct Seatankers Group’s kamsarmax dry bulk carriers according to the old NOx IMO (International Maritime Organization) Tier II emission standards.
Seatankers Group has also ordered firm four newcastlemax dry bulk carriers with two options at New Times Shipbuilding. Norwegian tycoon John Fredriksen’s private Seatankers Group has a fleet of 16 dry bulk carriers and 2 aframax tankers.
Bankrupted Italian shipowner and operator RBD Armatori’s 2010 built panamax dry bulk carrier 87K DWT MV RBD Italia has been detained in Malaysia after authorities accused it of anchoring illegally. Malaysia Maritime Enforcement Agency (MMEA) quoted that MV RBD Italia anchored without the necessary documents.
Japanese shipowner and operator Meiji Shipping Group is expecting to report a $17 million profit in 2017. This profit will be 64% higher than previous predictions. Meiji Shipping Group owns and operates bulk carriers, VLCCs, VLGCs, MRs, PCTCs, and containerships.
IMO’s (International Maritime Organization) global sulphur cap will begin in 2020 but the adoption of scrubbers in ships remains low. As of December 1, 2017 just 240 ships have been installed scrubbers according to Clarkson Research Services (CRS). Passenger vessels make up almost half of these ships comprising 57 ro-ros, as well as 62 cruise and ferry units have been installed scrubbers. Meanwhile, just 25 gas carriers and 23 tankers also ready for IMO’s (International Maritime Organization) global sulphur cap will begin in 2020. Shipowners currently have a number of compliance options to meet the IMO requirements: low sulphur petroleum-based fuels such as marine gasoil (MGO), fuels with a low sulphur content such as LNG, or a scrubber system to ‘clean’ SOx particles from the ship’s exhaust gases. Scrubber-fitted new building fleet looks set to accelerate in near future. Many shipowners appearing to adopt a ‘wait and see’ policy. Shipowners are reluctant to install scrubber systems due to high installation costs. Besides, dual-fuel LNG engines, leading shipowners to remain cautious about installing scrubber system.
World’s largest ore transshipment ship 1993 built 280K MV Ore Fabrica was sold to India scrapyard for around $19 million by Vale. MV Ore Fabrica was employed in Subic Bay, Philippines for transhipments of iron ore. Valemax bulk carriers were outlawed to discharge at Chinese ports.
Maritime Port Authority (MPA) of Singapore has invested around $9 million for the construction of new LNG bunker vessels (LBVs) to facilitate the construction of ship-to-ship LNG bunkering in Singapore Port. Singapore, as the world’s most comprehensive bunkering hub. Financed firms by Singapore Maritime Port Authority (MPA): Keppel SMIT Towage, Maju Maritime, Harley Marine Asia, Sinanju Tankers, and PSA Marine.
German shipowner and operator Reederei Roth sold 2000 built panamax dry bullk carrier 72K DWT MV Silver One for around $8 million to Chinese shipowners. In 2003, GReederei Roth acquired MV Silver One for around $20 million. Reederei Roth is managed by Torsten Meier.
MV Koza’s 13 crew members have been safely rescued from a listing ship that sent a distress signal 100 miles south of Freetown, Sierra Leone on 7 December 2017. 2004 built 9K DWT MV Koza’s captain announced a puncture in the engine room and the crew prepared to abandon ship. MV Koza is operated by Burtrans, Turkey.
Former Hangin Shipping CEO was imprisoned for 18-months for insider trading. Choi Eun-young was accused of trading off her family’s stock in the Hangin Shipping just before it filed for a court-led restructuring in 2016.
Indian shipowner and operator West Asia Maritime sold 1984 built handymax dry bulk carrier 41K DWT MV Gem of Paradip to a Bangladesh scrapyard for 396 per ldt (lightweight displacement tonne) i.e. $3 million.
Bankrupted German shipowner and operator Bertram Rickmers is behind six (6) new-building containership orders in a Chinese Fujian Mawei Shipbuilding. Rickmers Holding filed for bankruptcy. Bertram Rickmers is restoring fleet with his own capital. German Bertram Rickmers’ new company is called Asian Spirit Steamship Co.
Arrested 2011 built handy bulk carrier 35K DWT MV Trading Fabrizia which has been lying in Kingston, Jamaica since 2016, will be sold at auction. Italian dry bulk carrier MV Trading Fabrizia has been left in Kingston, Jamaica.
Norwegian shipowner and operator Fonnes Shipping sold 1993 built coaster size dry bulk carrier 2.3K DWT MV Bon Vivant (ex MV Vestfjord) to Latvian shipowner Bon Vivant SIA.
UK Marine Accident Investigation Branch (MAIB) is examining ECDIS (Electronic Chart Display and Information Systems) of 2008 built coaster dry carrier 5K DWT MV Muros. MV Muros grounded on the coast of England. Numerous different grounding events might be caused by ECDIS (Electronic Chart Display and Information Systems).
Congo-based Lignes Maritimes Congolaises (LMC) chartered in 2011 built multipurpose MPP 8K DWT MV Thorco Reef from Thorco Shipping. Lignes Maritimes Congolaises (LMC) is projecting to develop business in West Africa. Broekman Logistics chartered in MV Thorco Reef on behalf of Lignes Maritimes Congolaises (LMC) which has been serving as an agent since 1975.
Around 13,500 vessels transited the expanded Panama Canal between October 2016 and September 2017. Containerships are the most general transitting vessel that is followed by tankers, bulk carriers respectively.
Orest Alexandrovich Sychenikov died in Russia. Under Orest Alexandrovich Sychenikov’s administration, Novorossiysk Shipping Co (Novoship) became a tanker market leader. In 2007, Novorossiysk Shipping Co (Novoship) was taken over by Sovcomflot (SCF). Orest Alexandrovich Sychenikov (1922-2017) advanced Russia’s port and shipyard infrastructure.
Dubai based shipowner and operator Emerald Shipping controlled 2010 built supramax dry bulk carrier 57K DWT MV Emerald Star sank in the Philippines Sea on 12 October 2017. Two (2) crewmembers have been missing. MV Emerald Star was carrying nickel ore cargo from Indonesia. Densa Shipping’s 2011 built cape size dry bulk carrier 180K MV Densa Cobra rescued 15 crew members of MV Emerald Star. Shagang Steel chartered in MV Emerald Star.
Bangladeshi shipowner and operator Meghna Group bought 2006 built supramax dry bulk carrier 56K DWT MV Santa Phoenix for around $12 million from Sanzo Enterprise of Japan. In 2016, Dakha based shipowner and operator Meghna Group bought sister ship 2006 built supramax dry bulk carrier MV Fleet Phoenix for around $9 million. In March 2017, Bangladeshi shipowner and operator Meghna Group bought MV Honest Spring. In May 2017, Bangladeshi shipowner and operator Meghna Group bought MV Marjatta P. Meghna Group has a fleet of 7 dry bulk carriers and 14 small tankers.
Greek tanker owner and operator Atlas Maritime signifies returning to the dry bulk sector after ten years. Greek shipowner Leon Patitsas led Atlas Maritime acquired kamsarmax dry bulk carrier. Atlas Maritime exited the dry bulk sector in 2007.
Turkey-based Karadeniz Powership sold 1996 built 109K DWT MT Karadeniz Powership Esra Sultan for around $7.5 million to Bangladesh scrapyard. In 2016, Karadeniz Powership bought MT Karadeniz Powership Esra Sultan (ex OBO MT SKS Tana) for around $7 million. In April 2017, Karadeniz Powership sold 1997 built 109K DWT MT Karadeniz Powership Yurdanur Sultan to Bangladesh scrapyard for around $7 million. In 2014, Karadeniz Powership bought MT Karadeniz Powership Yurdanur Sultan for around $15 million.
Corpus Christi Port Authority has been evaluating the devastation after Hurricane Harvey cleared through an area north of the port. Corpus Christi Port Authority will control the bottom of the channel as silt may be accumulated at the entrance at La Quinta. Currently, United States Coast Guards (USCG) prohibits vessels from Houston to Corpus Christi.
Four well-armed pirates boarded in 2008 built handysize dry bulk carrier 33K DWT MV Star Lily in Straits of Malacca off Singapore. MV Star Lily’s crewmembers activated anti-piracy devices on board. Pirates escaped and no crewmembers were injured.
US Navy destroyer USS John S McCain collided with Brave Maritime’s 50K DWT MT Alnic MC off Singapore. Search and rescue efforts continued with local Singapore authorities.
MV Spring Sky’s captain was airlifted by The US Coast Guard (USCG). 2014 built ultramax bulk carrier 61K DWT MV Spring Sky’s captain became sick and was airlifted 200 miles off Port Canaveral.
Erasmus Shipinvest will control three (3) capesize dry bulk carriers owned by Chinese Minsheng Trust. Erasmus Shipinvest will control 2004 built 175K DWT MV Msxt Vivienne, 2012 built 180K DWT MV Msxt Capella, and 2010 built 178K DWT MV Msxt Trinity. Furthermore, Erasmus Shipinvest will take technical and commercial management of 2009 built panamax dry bulk carrier 77K DWT MV Agri Kinsale (ex M/V Santa Celia). Currently, Erasmus Shipinvest is operating 16 dry bulk carriers.
German shipping lender HSH Nordbank sold a $570 million bond. HSH Nordbank commenced the privatization period. HSH Nordbank has been striving with outstanding shipping loans.
Singapore Court manager Yit Chee Wah scraps deal to transfer Mercator Lines’ Singapore stock exchange listing to Nickolaos Mitropoulous and Dimitrios Podaridis. Currently, Mercator Lines’s shares are suspended and the Mercator Lines fleet was sold to repay mortgages.
Sovcomflot (SCF) asked Russian administrators for enhanced Arctic navigation. Sovcomflot (SCF) requires substandard vessels to be forbidden from the Northern Sea Route (NSR). Sovcomflot (SCF) demanding a prohibition on substandard vessels and crews sailing in the Arctic region. Sovcomflot (SCF) shuttle tankers started year-round oil shipments from Novy Port at the beginning of 2017 and Yamal LNG is expected to come onstream in late 2017. Sovcomflot’s (SCF) new-generation vessels for Arctic trade are scheduled for delivery in 2018.
Swedish Alfa Laval Pure Ballast System gains agreement for ballast treatment equipment in the USA. Alfa Laval Pure Ballast System gained an order to retrofit up to 53 ships for US Coast Guard’s standard endorsement for ships steaming in US waters. In the USA, The Ballast Water Management Convention enters into force on 8 September 2017. IMO (International Maritime Organisation) has been attempting to delay the deadline for installing ballast water treatment equipment.
Shipowner and operator Wagenborg controlled 2010 built 14K DWT MV Flevobor grounded in Canada. MV Flevobor’s main engines stopped in St Lawrence. was carrying maize. MV Flevobor was refloated by tugs.
Ecuadorian police detained 25 crew members in 1996 built handysize bulk carrier 27K DWT MV Kraken I. The ship was transporting 5 tonnes of cocaine and controlled by Marshall Islands-registered Dellwood Marine.
Founder of Parakou Shipping CC Liu has passed away. Currently, Parakou Shipping has a fleet of 20 dry bulk carriers and tankers. In 1971, CC Liu began working for Ocean Tramping. Eventually, CC Liu acquired Parakou Shipping from a law firm in 1985.
Chinese Fred Cheng led shipowner and operator Shinyo International acquired two (2) capesize and one (1) panamax dry bulk carriers for around $45 million from distressed Shanghai-based Zhong An Shipping Co. Zhong An Shipping Co is led by Shi Kaicheng. 2003 built capesize dry bulk carrier 177K DWT MV Lin Jie, 2011 built panamax dry bulk carrier 79K DWT MV King Peace and 2002 built 177K DWT MV King Sail.
One of the largest shipping lender Deutsche Bank cut credit impairments by 56% in Q1 2017. German shipping lender Deutsche Bank’s revenues improved due to improved production in the metals, mining, oil, and gas portfolios. Chinese HNA Group owns a stake of 10% in Deutsche Bank.
Hong Kong Stock Exchange (HKSE) listed Courage Marine canceled the sale of bulk carrier in order to sustain company listing at Hong Kong Stock Exchange (HKSE). Courage Marine will be removed from Hong Kong Stock Exchange listing if the shipowner sells the last ship in the fleet. Hong Kong Stock Exchange (HKSE) denounced that Courage Marine would not have satisfactory assets. In February 2017, Courage Marine agreed to sell a 2011 supramax dry bulk carrier 57K DWT MV Zorina for around $7 million. Courage Marine has been communicating with the buyer for permissible termination of the ship sale.
Egypt based Nejem Co Marine managed 1977 built livestock carrier MV Youzar Sif H collided with Russian warship near in the Black Sea off Turkey. Russian warship sank shortly after suffering a hole in the hull.
Singapore is honored as the world’s top maritime city. Singapore is followed by Hamburg, Oslo, Shanghai, and London. Singapore has a large, sophisticated shipping community, world-class services, and a solid, convenient political environment.
Taiwanese dry bulk shipowner and operator Sincere Navigation reported a weaker profit for 2016.
New York-based investment bank Stifel Financial Corp. alerts about the latest dry bulk market rise. The dry bulk market has recovered sooner than anticipated. Dry bulk carriers secondhand prices approximating newbuilding prices. Therefore, shipowners will unavoidably start ordering new vessels.
Jacques de Chateauvieux led Setaf Saget has sold 2010 built supramax dry bulk carriers 58K DWT MV JS Bandol and MV JS Pomerol for total $24 million.
Italian shipowner and operator RBD Armatori sold three (3) panamax bulk carriers: 1999 built 75K DWT MV Giovanni Battista Bottiglieri, 1999 built 75K DWT MB Grazia Bottiglieri, and 2001 built 75K DWT MV Orsolina Bottiglieri.
is sold to Tianjin Dongjiang Shipping Co for $4.37 million. 1999 built 75K DWT M/B Grazia Bottiglieri is sold for $5.1 million for further trading. 2001 built 75K DWT M/V Orsolina Bottiglieri is sold to Ausbulk Pte for $6.5 million.
2015 built panamax dry bulk carrier 81K DWT MV Key Opushas saved the life of a Polish yachtsman on the coast of New Zealand. MV Key Opushas ballasted two (2) days under severe weather conditions and saved the life of yachtsman en-route to Chile.
Singapore became an LNG-capable bunkering port that will serve truck-to-ship LNG bunkering to ships. Singapore commenced the LNG Truck filling equipment at the SLNG Terminal.
Chinese conglomerate shipowner and operator HNA Group offered $1 billion to take over Singapore based logistics company CWT. Furthermore, HNA Group also offered $775 million to acquire majority stake in Glencore’s PPSL business.
2013 built small coaster size dry bulk carrier 3K DWT MV Star 62 destroyed three (3) houses along the Cha River in Thailand due to steering system malfunction. Vietnamese M/V Star 62 is operated by Hung Hung Trade & Transport.
The first license is granted to export Indonesian nickel ore cargo. Aneka Tambang is granted a license to export up to 12 million tons of nickel ore in 2017. Due to liquefaction, 81 seafarers lost their lives between 2010-2013 while shipping nickel ore from Indonesia to China. Indonesian nickel ore is the world’s most dangerous cargo to ship however there is robust demand from China.
Indonesian shipowner and operator Samudera Shipping intends to dispose of 6 uneconomical vintage ships. Samudera Shipping’s earnings dropped to $260 million due to bankrupted Korean shipowner Hanjin Shipping. Currently, Samudera Shipping has a fleet of 37 container ships, tankers, and bulker carriers.
Turkish shipowner and operator Glamour Maritime’s arrested 1985 built handysize bulk carrier 34K DWT MV Infinity will go to public auction in India. Glamour Maritime’s bulk carrier was arrested by mortgager ING Bank and bunker supplier OW Bunker.
Chinese Communist Government ordered coal traders to reject North Korean fully laden ships to discharge in Chinese ports after North Korea tested missiles. Chinese Communist Government distributed official orders to coal traders to block coal from North Korea.
Ohio USA based Interlake Steamship outfitted exhaust gas scrubbers to fit IMO low sulphur 0.5% conditions in January 2020. Exhaust gas scrubbers installed on 1977 built laker ship 61K DWT MV Mesabi Miner and 1981 built 69K DWT Paul Tregurtha.
Singapore listed Rickmers Maritime Trust (RMT) will not be able to cope with challenging market conditions and the company will be terminated. Rickmers Maritime Trust (RMT) can not deal with moneylenders to restructure its debt. Moreover, Rickmers Maritime Trust (RMT) can not raise new equity to resume its services.
Till February 2018, Panama Canal Authority booked more than 60 LNG ships from the enlarged Panama canal. Since the new Panama Canal opening in 2016, more than 100 LNG ships passed.
On 8 April 2017, Oldstone Ship Management’s 1999 built handysize dry bulk carrier 35K DWT MV OS 35 was attacked by pirates off Somalia. M/V OS 35 was en-route to Aden from Malaysia. Pirates had obviously escaped before the navy operation.
German Federal Bureau of Marine Casualty Investigation (BSU) remarked that in December 2015, MV BBC Maple Lea grounded Lake Saint-Louis, Canada due to speed. After grounding, 2007 built 12K DWT MV BBC Maple Lea refloated the next day. Inspectors indicted excessive speed caused the incident.
International Maritime Organization (IMO) adopted the Hong Kong International Convention for the Safe and Environmentally Sound Recycling of Ships (Hong Kong Convention) is signed by Turkey. This moves the Hong Kong Convention a bit closer towards entering into force. Turkey’s ratification is unlikely to shift local shipbreakers’ focus away from complying with a separate set of rules adopted by the European Union (EU). EU-flagged ships have been Turkey’s main source of scrapping business. Other maritime nations signed and ratified Hong Kong Convention are Panama, Norway, France, Belgium, and Congo. According to the International Maritime Organization (IMO) at least 15 countries must ratify the Hong Kong Convention before it can enter into force. Shipbreakers in Turkey craves to captivate EU-flagged tonnage as a green ship demolition destination.
Greek tycoon George Economou led Cardiff Marine bought kamsarmax newbuilding 81K DWT MV BSI Lennox from Berkeley Shipping for around $26 million. MV BSI Lenno will be delivered in June 2017 from Hudong Zhonghua Shipbuilding. In December 2016, Malta-based Berkeley Shipping sold the sistership MV BSI Cadogan for around $20 million.
Dry bulk carriers demolition prices struck $400 per ldt (lightweight displacement tonnage) which would indicate an entire improvement in the demolition market. Recycling market prices utterly sustains as capesize demolition sales struck the $400per ldt (lightweight displacement tonnage). Because of the dry bulk market spike last week, demolition nominees decreased. The latest dry bulk market increase in freight and period charter rates affected secondhand, new building, and now increased demolition prices.
One of the greatest shipping lender ABN AMRO decreases down credits due to tonnage oversupply. ABN AMRO favors not to finance new shipbuilding orders that conclusively affect stability. Oversupply has been a well-known bar on shipping cycle rehabilitations. ABN AMRO decided not to finance any ships even with charter backed contracts. Netherlands based shipping lender ABN AMRO intends to prevent speculative tonnage. ABN With a $12 billion shipping portfolio, ABN AMRO is the third biggest ship lender after Nord/LB $18 billion and DNB $13 billion.
Greenship Bulk Trust sold 5 ultramax bulk carriers for around $17 million each. Crown-63 type ultramax bulk carriers were financed by DVB Bank and HSH Nordbank.
Greenship Bulk Trust’s five ultramax dry bulk carriers were
German HSH Nordbank reported a loss of around EUR 2 billion due to complications in shipping markets. Shipping NPE (Non-Performing Exposure) constituted EUR 9 billion. HSH Nordbank contracted a few contracts with blue-chip international shipping companies. HSH Nordbank shipping portfolio covers more than 1,300 ships.
2000 built multipurpose (MMP) sister ships 8K DWT MV Lady Gloria and MV Lady Gaia were put up for auction by a court. Bankrupt Italian shipowner Navemar was established in 2003.
2010 built small coaster dry bulk cargo ship 3K DWT MV Hai Thanh 26-BLC sank off Vung Tao City. 2 crew members were rescued by another ship and 9 crew members are missing. MV Hai Thanh 26-BLC was carrying clinker cargo and operated by Phuong Thinh Trading.
Dry bulk shipping tycoon George Economou’s Ocean Rig has filed for bankruptcy under Chapter 15 of the US Bankruptcy Code due to $3.69 billion debts and a lengthy drillship market downturn. Dry bulk shipping magnate George Economou’s Ocean Rig has reached a settlement with mortgagers expressing over 72% of its $3.69 billion debt for a financial restructuring. George Economou explained that Ocean Rig will rise as a more powerful corporation after Chapter 15. New York-listed Ocean Rig operations will proceed as usual.
Chinese shipowner and operator Globe Marine sold 1999 built handymax dry bulk carrier 45K DWT MV Seawing 3 for around $4.5 million. Chinese shipowner and operator Tosco Shipping sold 1997 built handy bulk carrier 28K DWT MV Alice to another for around $3 million.
Korea Maritime Transport Co (KMTC) is exiting dry bulk market by selling its last bulk carrier 2003 built supramax bulk carrier 52K MV KMTC Challenge (ex M/V New Navigation) for $6 around million. In 2011, Korea Maritime Transport Co (KMTC) bought MV KMTC Challenge (ex M/V New Navigation) from another Korean shipowner and operator Pan Ocean for around $23 million. Currently, Korea Maritime Transport Co (KMTC) is focusing on container ships and has a fleet of 21 container ships.
Russian based shipowner and operator Anship LLC ordered two (2) coaster size dry bulk carriers at United Shipbuilding Corporation (USC) shipyard for around $17 million. Russian based shipowner and operator Anship LLC ordered Voga Don RSD 49-type coaster bulk carriers which are 140 meters long and can transit the Volga-Don Shipping Canal in Russia through the Caspian Sea. Voga Don RSD 49-type coaster bulk carriers are river type and seagoing ships.
United Ocean Group sold 2014 built panamax dry bulk carrier 81K MV United Prestige for around $22 million to Greek shipowner. Second-hand panamax bulk carriers’ prices increased. In July 2016 similar panamax dry bulk carrier 2014 built 82K MV Ocean Lord was sold for around $18 million.
Hong Kong-listed shipowner and operator Courage Marine sold its last supramax dry bulk carrier 2011 built 57K DWT MV Zorina for around $7 million to Universal Ship Investment Corp. After selling MV Zorina, Courage Marine will be repaying the bank loan for ships. In January 2016, Hong Kong-listed ship owner and operator Courage Marine raised around $12 million to use as general working capital. The preponderance shares of Hong Kong-listed Courage Marine is controlled by Paul Suen Cho Hung.
Tote Maritime’s US-flagged MV El Faro apparently experienced a cargo shift during Hurricane Joaquin in November 2015. Marine survey firm National Cargo Bureau’s chief Philip Anderson boosted attention regarding the lashing of moving cargo on MV El Faro. Cargo shift may have prompted the disturbance that sank MV El Faro.
German-based shipowner and operator Briese Schiffahrts operated 2008 built multipurpose (MPP) ship 6K DWT MV BBC Caribbean’s eight (8) crew members abducted off Nigeria. On 5 February 2017, MV BBC Caribbean was attacked by pirates. Pirates surrounded MV BBC Caribbean and kidnapped the crew members without using guns.
Korea Development Bank (KDB) has been collecting bids for ten (10) bulk carriers and containerships of collapsed Hanjin Shipping by 21 February 2017. Korea Development Bank (KDB) is attempting to rescue some of its loans. In 2016, Korean Woori Bank and EXIM Bank each sold off four (4) ships of Hanjin Shipping.
Otto Gregard Tidemand controlled Norwegian shipowner and operator Z Bulk filed for bankruptcy in Norway. Z Bulk was working with Canpotex of Canada. Z Bulk has been working with Canadian giant Canpotex for 20 years. Eastern Bulk Holdings’ company Eastern Bulk has provided Z Bulk significant capital for a solution. Nonetheless, Z Bulk has filed for bankruptcy.
Greek shipowner and operator Efploia Shipping Co. SA’s 2010 Korea built panamax dry bulk carrier 80K DWT MV Maverick Genesis will be auctioned on 31 January 2017. In 2007, M/V Maverick Genesis was ordered at the peak of the shipping market for $54 million. Credit Suisse has been trying to sell the ships for credit debts. In December 2016, MV Maverick Genesis sister ship MV Maverick Gunner was also sold at auction to Empire Bulkers for around $13 million. In November 2016, 2012 built panamax dry bulk carrier 83K DWT MV Maverick Guardian was sold at auction to Byzantine Maritime for around $15 million.
1991 North Korea built dry bulk carrier 9K DWT MV Chong Gen sank off Japan. MV Chong Gen’s 26 crew members picked up safely near Japan. MV Chong Gen sent distress signals on 11 January 2016 from the Goto Islands of Japan. MV Chong Gen was carrying about 5,000 tonnes of rice from North Korea to Wongsan. North Korean shipping company owns MV Chong Gen.
USA based shipowner and operator Probulk Carriers sued Eregli Shipping and Mr. Levent Karacelik for around $13 million unpaid arbitration award from 2013 against Marvel International Management and Transportation. Eregli Shipping has issued a denial of allegations that the Turkish company is an alter ego of vice-chairman Levent Karacelik’s Marvel International Management and Transportation.
Italian tanker and bulker owner Premuda SpA is in debt restructuring program with Pillarstone. Premuda SpA might be delisted from the Milan Stock Exchange. Private Equity company Pillarstone will be left as the largest shareholder of the shipowner Premuda SpA. Formerly, Premuda SpA controlled by the Duferco, Rosina family, and Generali Insurance. Currently, Italian shipowner Premuda SpA has debts around EUR 335 million. Enormous impairments are likely to wipe-out existing shareholders at Premuda SpA.
On 21 December 2016, 2005 built supramax dry bulk carrier 53K DWT MV Star Harmony grounded at Istanbul Bosporus Strait. MV Star Harmony was loaded with grain cargo. MV Star Harmony was heading from Odessa to Egypt. MV Star Harmony is managed by Greece based Dekoil.
Legendary Greek shipowners are going to flock towards the Portuguese ship registry over the next few weeks. Many renowned Greek shipowners have already accepted to participate in Portugal’s newly-founded International Shipowners’ Association (EISAP). Many Greek shipowners will shift to International Shipowners’ Association (EISAP). International Shipowners’ Association (EISAP) has offices in Hamburg and Rotterdam, Lisbon. International Shipowners’ Association (EISAP) which is established in 2013 has already had extraordinary progress in pulling shipowners, especially from Germany. Up to now, the International Shipowners’ Association (EISAP) has attracted around 300 ships under the Portuguese flag. Presently, Euromar is intending to replicate this success in Greece.
Argentine shipowner and operator Ultrapetrol bought a newbuilding kamsarmax dry bulk carrier while still considering a bankruptcy filing. Argentine shipowner and operator Ultrapetrol bought 2016 built 81K DWT MV BSI Cadogan from Malta-based Berkeley Shipping for around $20 million. 2016 built 81K DWT M/V BSI Cadogan was built at Chinese Shipyard Hudong-Zhonghua Shipbuilding Group a sub-company of state-run China Shipbuilding Group Corp (CSSC). Argentine shipowner and operator Ultrapetrol have been focusing on its core business, river barge, and offshore fleets. In November 2016, Argentine shipowner and operator Ultrapetrol planned to put the river fleet into a pre-packaged Chapter 11 restructuring and would explore an out-of-court restructuring for its offshore supply vessels.
New York-based Med Brokerage & Management Corp. is selling 2003 built supramax dry bulk carrier 53K DWT MV Besiktas M (ex MV Global Galaxy) for around $5.5 million. In 2015, Med Brokerage & Management Corp. bought the MV Besiktas M (ex MV Global Galaxy) for $8 million. New York-based Med Brokerage & Management Corp. co-operates with Turkey-based Iskenderun Ship Management which is listed with a fleet of 9 dry bulk carriers. Last year, Iskenderun Ship Management bought 2007 built supramax dry bulk carrier 55K DWT MV Deniz M (ex M/V Karaagac). Ibrahim Mazman is the owner of both Iskenderun Ship Management and Med Brokerage & Management Corp.
Desperate shipping markets have squeezed Greek shipping companies but big shipowners continue to get bigger. Smaller shipowners have been suffering for many months and have been forced to sell their ships. Large Greek shipowners are becoming larger as they take advantage of low ship prices. Greek shipowners fleet has expanded by 10% to 362 million DWT despite record scrapping in 2016. Greek shipping companies fleet number has increased to 5,230.
2000 built handymax bulk carrier 46K DWT MV Aurora Christine is sold for around $5 million. 1997 built handymax bulk carrier 46K DWT MV Baofeng is sold for around $2.5 million. 2009 built handy bulk carrier 21K DWT MV Qin Feng 180 is sold for around $4 million.
Greek shipowner and operator Adelfia Shipping has been rejecting rumors that the company is selling half of its fleet under order from debt lenders. Greek shipowner and operator Adelfia Shipping insists this is part of a reorganisation programme. Greek shipowner and operator Adelfia Shipping was founded in 1981. After these sales Greek shipowner and operator Adelfia Shipping fleet consist of with three ships: 2004 built panamax dry bulk carrier 76K DWT MV Agios Nikolas for about $36 million, 2002 built panamax dry bulk carrier 75K DWT MV Anna for about $34 million and 2005 built supramax dry bulk carrier 56K DWT MV Galini for $41 million.
Chinese shipowner and operator bought 2009 built handy bulk carrier MV Qin Feng 180 for around $4 million. Furthermore, Amsterdam based shipowner and operator Reederei Nord sold 2001 built panamax bulk carrier 75K DWT MV Nordems to Chinese shipowner for around $5 million.
MV Antaios’ 19 crew members safely picked up after fire 800 miles off Cape Town. 1999 built handy bulk carrier 27K DWT MV Antaios suffered flooding in its engine room after the blaze. MV Antaios was en route from Argentina to Saudi Arabia with a grain cargo. The fire caused some damage to MV Antaios which led to flooding in the engine room. When the flooding became uncontrollable, the captain of MV Antaios decided to make a distress call. In 2013, Greek owner and operator Amalthia Shipping bought MV Antaios for about $10 million from Ellora Sea Carriers.
Russian shipowner and operator Fesco Shipping has made less in the first 9 months of 2016 as tough shipping market conditions, lower time charter rates, and a general lack of demand for container ships. Russian shipowner and operator Fesco Shipping reported an operating profit of $30 million till Q3 2016. Russian shipowner and operator Fesco Shipping planning to sell shares.
Irish shipowner and operator Arklow Shipping ordered four (4) 16K DWT small dry bulk carriers. Arklow Shipping has a fleet of 47 ships.
Chennai based shipowner and operator Sanmar Shipping sold 1985 built handymax bulk carrier 54K MV Sanmar Phoenix to demolition for about $4 million. MV Sanmar Phoenix was the last dry bulk carrier in Sanmar Shipping’s fleet. In August 2016, Chennai based shipowner and operator Sanmar Shipping sold 1996 built panamax bulk carrier 73K DWT MV Sanmar Paragon for demolition. After selling MV Sanmar Phoenix, Chennai based shipowner and operator Sanmar Shipping is temporarily exiting the dry bulk shipping market.
Korean financial institution sold 2010 built supramax bulk carriers 56K DWT MV CS Champ, MV CS Daisy, and MV CS Brave for $7 million each. Furthermore, 2011 built MV Jin Hai Xin was sold for around $8 million. MV Jin Hai Xin was built Jiangsu Yangzijiang Shipbuilding, China.
Greek shipowner and operator Rethymnis & Kulukundis (R&K) sold 2001 built handymax bulk carrier 45K DWT MV Star Capellafor for around $5 million. Greek shipowner and operator Rethymnis & Kulukundis (R&K) also owns a sistership 2002 built MV Star Canopus. After 16 years Rethymnis & Kulukundis (R&K) has started a new-building ship program.
Cyprus reunification would be a significant escalation to Cyprus’s shipping industry. Cyprus reunification would promote the country as an international ship-management hub. Cyprus reunification would have real strong consequences on shipping if Greek and Turkish Cypriot leaders overcome Cyprus’s historical division. Cyprus has been divided since 1974 north as Turkish Cyprus and south as Greek Cyprus. A deal to reunify Cyprus would absolutely lead to an end of Turkey’s prohibit Cyprus-flagged vessels from calling at Turkish ports. Lifting maritime sanctions could bring a paramount boost and might double the size of Cyprus flagged ships. Cyprus’ open register was established in 1960 and has almost 2,000 registered vessels with a total tonnage exceeding 20 million DWT. Cyprus reunification deal could also produce benefits on the ship-management side, where Cyprus is already one of the world’s top ship-management hubs. Cyprus reunification could attract more numerous ship-managers, particularly from Turkey and shipowners that trade with Turkey.
Donald Trump is corresponding to the Iran nuclear treaty that was negotiated with the United States, United Kingdom, France, Germany, Russia, and China. Donald Trump cautioned to shred the Joint Comprehensive Plan of Action (JCPOA) agreement. This might have a major impact on the Iranian shipping industry. Once again the US might restrict foreign shipowners from calling at Iranian ports or loading Iranian cargoes if shipowners want to continue trading to US ports. On the other hand, the Islamic Republic of Iran Shipping Lines (IRISL) and National Iranian Tanker Co (NITC) fleet renewal programmes might be crashed.
Donald Trump’s presidency could have significant impacts on the global shipping industry, especially in terms of foreign trade and security policy, the environment, and world trade. Donald Trump said he will pull the US out of a string of international deals, alliances, processes, and organizations. Currently, the United States is one of the largest single markets outside Europe for shipowners and a more isolationist USA will inevitably have consequences for shipping companies. Donal Trump’s statements about renegotiating existing trade deals and pulling the plug on processes such as the Transatlantic Trade and Investment Partnership (TTIP) and ratifying the Trans-Pacific Partnership (TPP) inescapably have effects for shipping companies.
Indian shipowner and operator Liberty Marine Syndicate went out of shipowning business with the sale of its single ship. Liberty Marine Syndicate sold 2003 built supramax bulk carrier 52K DWT MV Liberty Prudencia (ex MV New Orion) for around $6 million. In 2010Kolkata based shipowner and operator Liberty Marine Syndicate acquired MV Liberty Prudencia (ex MV New Orion) for around $29 million from STX Pan Ocean.
Indonesian shipowner acquired 2006 built kamsarmax bulk carriers 82K DWT MV Sri Prem Varsha and MV Sri Prem Vidya from the bankrupted Singapore Mercator Lines. Sisterships MV Sri Prem Varsha and MV Sri Prem Vidya were acquired for around $9 million each. MV Sri Prem Varsha and MV Sri Prem Vidya were last two ships in the fleet of Singapore Mercator Lines. In 2006, Singapore Mercator Lines bought the kamsarmax bulk carriers as part of an en-bloc deal from Chios Navigation of Greece. In March 2016, the Singapore HSH Nordbank filed a winding-up application in the High Court of Singapore against Mercator Lines’s shipping arm Varsha Vidya Inc.
Capesize freight rates seem short-lived and were at the highest level since mid-2015. In November 2016, capesize freight rates saw spot earnings reached $16,000 per day. Capesize freight rates sparked due to higher commodity prices including iron ore, coking, steam coal, and following a reduction in Chinese stocks. Analysts expect spot rates of capesize bulk carriers to fall back below operating costs in the New Year essentially due to softer iron ore trade in Q1 2017 and more solid Chinese coal production has been narrowing coal import.
Indian Government’s commitment to ship recycling convention ratification which is provoked by compromises with Japan. India and Japan made the commitment to ratify the International Maritime Organization (IMO) Hong Kong International Convention for the Safe and Environmentally Sound Recycling of Ships (HKC). Hong Kong International Convention requires the backing of nations representing a proportion of world shipbreaking capacity to enter into force. Hong Kong International Convention for the Safe and Environmentally Sound Recycling of Ships (HKC)’s shortage of support of recycling nations like India was seen as a possible stumbling block. Indian Government’s ratification will be representing more than 50% of the level required. Japan is encouraging notable overseas development compensation to promote India’s recycling industry.
Italian shipowner and operator D’Amato sold 2011 built handy bulk carrier 35K DWT MV Trading Fabrizia to a Greek shipowner for about $10 million.
Japanese shipowner and operator Daiichi Chuo Kisen sold 2011 built handy bulk carrier 37K DWT MV Ocean Hawk for about $10 million.
Korean shipowner Hanjin Shipping’s tankers, bulkers, and containerships will be sold or refinanced. According to Sale-and-purchase (S&P) market sources $500 million worth ships under the control of 9 banks: Korea Exim Bank, Korea Development Bank (KDB), Woori Bank and Shinhan Financial Group and five European banks. While dry bulk sectors sentiment rising and shipowners eyeing specific candidates in collapsed Hanjin Shipping’s fleet, some lenders may opt to dispose of their tonnage. Around $16 million suggested by Sale-and-purchase (S&P) market players for eco-ship kamsarmax dry bulkers 2012 built 82K DWT MV Hanjin Port Kamsar, MV Hanjin Hadong, MV Hanjin Rosario, MV Hanjin Paradip. Around $19 million suggested by Sale-and-purchase (S&P) market players for capesize bulk carriers 179K MV N Fos (ex MV Hanjin Fos), MV Hanjin Rizhao, MV Hanjin Dangjin, MV Hanjin Esperance.
Bankrupt Taiwanese shipowner Today Makes Tomorrow (TMT) has lodged a lawsuit against JP Morgan Chase over allegations about wrongfully failing to turn over the Today Makes Tomorrow’s cash. US federal court in New York civil complaint alleges that Today Makes Tomorrow (TMT) has been unable to regain access to at least $5.2 million of deposits at Royal Bank of Scotland (RBS) that were transferred to a JP Morgan account. In July 2007, Today Makes Tomorrow (TMT) deposited $5 million into the account and was transferred to a JP Morgan account for the benefit of Today Makes Tomorrow (TMT), according to legal papers filed by lawyers. New York-based lawyers say Today Makes Tomorrow (TMT) has demanded the return of the $5.2 million or, if it is no longer at the JP Morgan Bank, that JP Morgan provides information about its current location. Today Makes Tomorrow (TMT) also has asked for account statements for any cash held in the company’s name by JP Morgan.
Greek shipowner and operator Tri-Marine Shipping sold its last ship in fleet 2000 built panamax bulk carrier 75K DWT MV Capetan Tassos (ex M/V Amalia) for about $4.5 million to another Greek shipowner. In 2012, Tri-Marine Shipping bought MV Capetan Tassos (ex MV Amalia) for about $16 million. Greek shipowner and operator Tri-Marine Shipping sold 1997 built handymax bulk carrier 47K DWT MV Maria TL to a scrapyard for about $2 million.
Donald Trump is well-known antipathy towards trade deals and Iran sanctions may be eased. But the protection of domestic shipping under the Jones Act is expected to remain unchanged. Donald Trump protectionism on trade is more pronounced. Donald Trump’s victory also brings uncertainty to the domestic shipping policy. Donald Trump having a supportive secretary of transportation and maritime administrator is key for the health of the US-flag sector. Donald Trump’s stance on protecting US jobs and defense, the Jones Act is expected to be safe. Jones Act restricts shipping between US ports to vessels that are built-in domestic yards, crewed by Americans, and owned by a US company. Donald Trump campaign pledged to reduce the red tape and bureaucratic hurdles facing oil, natural gas, and coal projects in the US. This development potentially represents more cargoes for tankers and dry bulk ships heading out of the US, and may potentially represent a disruption of current trade flows as the US further reduces its dependence on seaborne oil from other countries. Donald Trump’s stance on fossil fuels could end up as a marginal plus for the US oil sector but it is far too early to draw any conclusions about what his victory will eventually mean to oil prices
Indian Sanmar Shipping sold 1996 built panamax bulk carrier 73K DWT MV Sanmar Paragon to Bangladesh scrapyard for about $3 million.
It is almost impossible for Korean Shipowner and Operator Hanjin Shipping to resurface despite it going under court protection. In the past some Korean dry bulk shipping companies that were protected by the court made a comeback and survive but Hanjin Shipping is a container operator and it will be difficult to come back. Shippers would not want to continue using a liner shipping company Hanjin Shipping that has collapsed. Liner operators like Hanjin Shipping operate differently from bulker operators because Liner operators have more customers, more ports to call and the volumes of cargoes vary. On
the bulker front, an embattled company can rely on long-term COA (contracts of affreightments)to turn things around. A containership company will have difficulty making freight income once it collapses. In 2015, Samsun Logix, Daebo International Shipping and
SW Shipping has also sought court receivership. Hanjin Shipping is the second liner company with Hyundai Merchant Marine and 5th largest Korean Shipping Company which was established in 1977.
Korean Hanjin Shipping filed for court receivership the first week of September 2016. Hanjin Shipping was set for a windup with assets returned to primary lenders, after state-owned secondary lender Korean Development Bank rejected the restructuring proposal devised by Morgan Stanley on the Korean Hanjin Shipping behalf. After the Korean Hanjin Shipping bankruptcy, 30 international banks are said to be exposed to the biggest lenders DVB Bank, ING Bank, DNB Bank, HSH Nordbank, Commerzbank, and Nord/LB. Unfortunately, these banks will have to take their ships back. Korean taxpayer will not support the shipping sector after all the problems with shipbuilding.
NewLead Holdings 2013 built handy bulk carrier 35K M/V NewLead Castellano sold at auction for $7.4 million. USA based MT Maritime Management’s (MTMM) dry bulk carrier arm Strategic Bulk Carriers SBC is the buyer of the vessel. After the auction, plaintiffs in two separate lawsuits that seized the handy dry bulk carrier are fighting over whether their cases should be combined now. DHL Project & Chartering has also filed a separate $14.3 million lawsuit.
Troubled Royal Bank of Scotland has more than $1.50 billion of dry bulk nonperforming loans in the shipping portfolio. According to the Royal Bank of Scotland, dry bulk has been mostly responsible for a near-trebling of the shipping loans and is considered to carry a 100% probability of default. Royal Bank of Scotland more than 15% of its current exposure to shipping debt around $8.7 billion. Royal Bank of Scotland is backed by the United Kingdom government. Royal Bank of Scotland attempted to sell all or parts of its shipping portfolio with help from investment bank Lazard. Royal Bank of Scotland’s current exposure of $8.7 billion, about $7.8 billion is assigned to new building vessels and shipyards.
Singapore based MSI sold 1998 built panamax bulk carrier 75K DWT MV Grand Sky to Chinese shipowners for about $3 million. Greek Kassian Maritime sold 1998 built panamax bulk carrier 75K DWT MV North Prince to Chinese shipowners for about $3.5 million. 1998 built panamax bulk carrier MV Jimei Funao (ex MV Jimei Funao) sold for about $2.5 million to Chinese shipowner Golden Hero Shipping. 1999 built 29K DWT handy bulk carrier MV Golden Lyderhom was sold to Chinese shipowners for about $3.5 million. Greek Sea Justice sold 1999 built panamax bulk carrier 73K MV Dong Jiang Li (ex MV Endless) to Chinese shipowners Tianjin Dong Shipping for about $3 million.
Greek Capital Management Services is trying to sell its last ship 1999 Japanese built panamax dry bulk carrier 74K DWT MV Salandi for around $3 million. MV Salandi is not due for a special survey (SS) until March 2019. Greek Capital Management Services is led by Leonidas Voyazides. In 2003, Capital Management Services acquired MV Salandi (ex MV World Rye) for about $20 million from BW Group. In 2014, Greek Capital Management Services the last ship sale was 1984 built handy bulk carrier 29K DWT MV Cleanthes for about $2.5 million.
Chinese shipowners and operators are showing an appetite for the late 1990s built panamax dry bulk carriers and vintage units. Last week, at least 6 panamax dry bulk carriers have been sold for trading, and 7 could soon follow.
Indian shipowner Mercator Line sold 2007 built panamax bulk carrier 74K MV Ganges (ex MV Gauri Prem) and 2001 built panamax bulk carrier 73K MV Yangtze (ex MV Prem Aparna).
Turkish Ciner Ship Management owned 2013 built ultramax bulk carrier MV Kenya was arrested in Gujarat, India. ING Bank continues to chase shipowners for payments owed to OW Bunker. High Court of Gujarat ordered the arrest of the Ciner Ship Management ship. Ciner Ship Management owned ultramax bulk carrier MV Kenya was fixed to Danish ship operator Copenship. Copenship declared bankruptcy in 2015 and left the bunker bill unpaid to OW Bunker.
Norwegian shipowner Kristian Gerhard Jebsen Skipsrederi sold eight (8) the 1990s built aframax 109K DWT Oil Bulk Ore (OBO) combined carriers. Kristian Gerhard Jebsen Skipsrederi sold 1996 built MV SKS Tyne and MV SKS Tana to Turkish shipowner Kardeniz Energy Group for $7 million each. Norwegian shipowner Kristian Gerhard Jebsen Skipsrederi is looking for ship buyers for other vessels for further trading.
Seoul based Hayne Shipping sold 1997 built panamax bulk carrier 73K DWT MV Evelyn Hayw for demolition in Bangladesh for about $3 million. In 2014, Korean shipowner Hayne Shipping bought MV Evelyn Hayw (ex MV Chang Sheng) for $7 million. Currently, Hayne Shipping has one more 1996 built handy bulk carrier 28K DWT MV Gloria Hayne in its fleet.
Norway DNB Bank is planning to appoint a new shipping chief for DNB Asia Ltd. Christos Tsakonas from Singapore, will take the position of current DNB Asia Ltd manager Vidar Andersen. DNB Asia Ltd has 15 employees in DNB Asia Ltd.
2010 built handy bulk carrier 27K DWT MV Qin Feng 318 was sold for about $2.7 million.
Japanese 1997 built handy bulk carrier 28K DWT MV Castle Island was sold for about $2 million. MV Castle Island is due for SS (special survey) in June 2017.
1997 built bulk carrier 18K DWT MV Moondy Bay sold at auction in Italy last week for about $1.8 million. Greek Antares Ship Management was the manager MV Moondy Bay. M/V Moondy Bay was arrested in December 2015 for financial debts and wages owing to crew members. Italian ship class RINA suspended the ship’s class in June 2015. Greek Antares Ship Management bought M/V Moondy Bay as M/V Bulk Sunset for about $4 million in 2013.
South Korean shipowner and operator Daebo International Shipping continues to reduce its fleet to two kamsarmax bulk carriers. Daebo International Shipping sold supramax 2007 built MV Maemi Pioneer for about $8 million. Daebo International Shipping has been under court protection since December 2015. In January 2016, Daebo International Shipping sold 2002 built 70K M/V Daebo Trader for about $5 million. In 2011, South Korean Daebo International Shipping owned a fleet of 11 bulkers which were acquired at the peak of the shipping market between 2007 and 2009. Daebo International Shipping was established in 1974 and operated a fleet of 35 vessels but currently having financial difficulties.
Singapore based cash ship buyer Wirana Shipping lost top legal advisor Shashank Agrawal. Shashank Agrawal will continue his career to assist shipowners for legal issues involving sale-and-purchase (S&P) and chartering activities. Shashank Agrawal decision might be triggered by the decline in the ship demolition market, due to the fall in demand for steel.
Greenship Bulk sold 2012 build supramax bulk carrier 63K DWT MV JS Meuse for around $12 million. In July 2016, Jacques de Chateauvieux led Greenship Bulk sold sistership supramax bulk carrier M/V JS Rhone for around $12 million. Norwegian Greenship Bulk has a fleet of 16 sister-ships which are operated by French Setaf-Saget.
Another lawsuit filed against 2012 built bulk carrier 25K DWT MV Bulk Rose which is still under arrest in India since last October. Indonesian marine supplier Gamarends has been claiming $55K against MV Bulk Rose. 2012 built bulk carrier 25K DWT MV Bulk Rose is owned by Turkey-based shipowner Deniz Endustrisi. Deniz Endustrisi might abandon the bulk carrier which has a market value of around $6 million. Indian Gujarat Maritime Board set to take under the hammer in the forthcoming weeks.
Netherlands based shipowner and operator Wagenborg sold 1996 built multipurpose (MPP) bulk carrier 9K DWT MV Keizersborg for about $2 million.
Lorentzen Skibs has been expanding its fleet with acquisitions of both dry bulk carriers and containerships in Q12016. Five (5) ships have been bought by KS (limited partnership) companies. Lorentzen Skibs has also bought 2002 built supramax bulk carrier 52K DWT MV Anna. Generally, CEO Nicolai E Lorentzen takes around a 20% stake in the company’s projects. Furthermore, Lorentzen Skibs will acquire three (3) supramax bulker carriers and two (2) containerships.
Oslo Shipbrokers in profit in 2015 despite the slowdown in the newbuilding market. Norwegian privately-owned shipbroker reported a pre-tax profit of $1.8 million in 2015. Oslo Shipbrokers CEO Paal J Norenberg finds the result satisfactory. Paal J Norenberg says that 2016 will be more challenging due to the late payment of commissions. CEO Paal J Norenberg holds 40% Of the shares in the Oslo Shipbrokers. Oslo Shipbrokers was set up in 1987 by 7 shipbrokers. Oslo Shipbrokers specializes in newbuilding and sale-and-purchase (S&P).
Pankaj Khanna led Pioneer Marine in a loss in Q2 2016. Pioneer Marine canceled two (2) new-buildings at Chinese Shipyard. Pioneer Marine. Pioneer Marine reported a loss of $6.7 million in Q2 2016 including cancellation fees at Chinese Yangzhou Guoyu Shipyard. Pioneer Marine looking for more opportunities in the second-hand market for bigger dry bulk carriers. Pioneer Marine total revenue dropped to $7.1 million due to time charter equivalent dropped to $5,070 per day.
Greek shipowner and operator Efploia Shipping’s 2010 built kamsarmax dry bulk carrier 81K MV Maverick Gunner was detained in Singapore due to unpaid services. In 2010, MV Maverick Gunner was built in the Korean STX Shipyard. Greek Shipowner Efploia Shipping has a fleet of modern three kamsarmax bulk carriers M/V Maverick Genesis, M/V Maverick Guardian, and M/V Maverick Gunner.
India Cements Ltd (ICL) sold 1983 built 41K DWT handymax bulk carrier MV Chennai Jayam to Bangladesh Scrapyard for $290 per ldt. In 2007, India Cements Ltd (ICL) bought MV Chennai Jayam (ex M/V Effy N) for $30 million from Greek Shipowner AM Nomikos. India Cements Ltd (ICL) fleet has 2001 built 52K DWT MV Chennai Selvam. India Cements Ltd (ICL) will focus on spot chartering ships to transport coal and limestone to India.
Thailand’s Wong Samut Navigation’s general cargo ship 1980 built 8K DWT MV Bangsrimuang was sold to Bangladesh ship scrapyards. Bangladesh Shipping Corp’s 1980 built 17K DWT MV Banglar Kallol was sold to Bangladesh ship scrapyards. GMZ Ship Management sold 1985 built handy bulk carrier 28K DWT MV Arwad Tower to Pakistan ship scrapyards. RK Shipping & Trading of Singapore’s sold 1990 built 7K DWT MV Jai Krishna to India ship scrapyards.
ACT Shipping started Indian Coastal Shipping with 1997 built handy dry bulk carrier 30K DWT M/V Propel Progress. Due to Indian Government initiatives to promote coastal shipping in India. In April, M/V Propel Progress loaded steel cargo at Paradip India and discharged at Mumbai India. In order to promote Indian Coastal Shipping, Mumbai port has reserved 2 berths exclusively for coastal ships besides a 40% discount on Port DAs.
NewLead Holdings’ 1990 built 135K DWT small capesize bulk carrier M/V NewLead Castellano was arrested off Savannah USA in April 2016. No detentions found and no crew wage complaints on M/V NewLead Castellano. USA based Ray is trying to recover $1.6 million it claims is due on $6 million in convertible promissory notes that it took in 2013 from Tiger Capital. NewLead Holdings is putting up $7 million in security to release M/V NewLead Castellano.
Republic of Iran Shipping Lines (IRISL) orders worth close to $2.5bn at South Korean shipyards. Hyundai Heavy Industries (HHI), Samsung Heavy Industries (SHI) and Daewoo (DSME) top managers recently visited Iran in order to talk with Iranian leaders. Memoranda of Understanding (MOU) signed with Tehran officials for offshore vessels, mega-containerships and handysize bulkers. Republic of Iran Shipping Lines (IRISL) has made an agreement with Hyundai Mipo Dockyard (HMD) to build 10 handysize products tankers and 6 handysize bulkers and 3 pieces 14,500 TEU containerships at Korean Shipyards. Republic of Iran Shipping Lines (IRISL) sister company Iranian Offshore Oil Co ordering 5 jack-up rigs worth more than $200m each at Daewoo (DSME) Shipyard. Republic of Iran Shipping Lines (IRISL) is in talks with medium-size Korean yard SPP Shipbuilding to convert 10 handysize bulker new-buildings into an equal number of medium-range (MR) tankers.
Oaktree Capital Management sold 2006 Chinese built handymax bulk carrier 50K DWT MV Neer for $3.6 million.
Maritime Law firm based in USA, Vedder Price, move into the Far East Singapore. Vedder Price New York partner Ji Woon Kim will lead the new setup and begin recruiting new staff in both maritime and aviation. Vedder Price has grown into the maritime sector as part of a geographical expansion from its home base of Chicago, USA. Vedder Price is active in transport, corporate, and employment law.
Troubled Indonesian shipowner and operator PT Meranti Bahari is losing control of handysize bulk carrier 27K DWT MV Kenanga which will be sold at public auction in Cape Town. MV Kenanga was arrested in January 2016 by STX Marine Services Co for outstanding ship management fees. Indonesian shipowner and operator PT Meranti Bahari operates 3 handysize and 3 panamax bulker carriers. Company’s many ships are under arrest while PT Meranti Bahari was seeking cash to settle debtor claims and crew wages. In December 2015, PT Meranti Bahari filed for bankruptcy protection to survive in Indonesia Jakarta Central Court in January 2016. PT Meranti Bahari was granted protection in Indonesia which is similar to a Chapter 11 filing in the US. PT Meranti Bahari’s other 1995 built panamax bulk carrier 75K DWT MV Kayu Ramin is under arrest in Dubai. PT Meranti Bahari’s 69K DWT MV Kayu Putih and 27K DWT MV Mahoni have been idle in China and waiting for enough money to undergo surveys and drydocking.
Seth Glickenhaus was a believer in the dry bulk shipping story that saw so many owners go public in New York between 2004 and 2007. Seth Glickenhaus was a link to the old days and old ways of Wall Street underpinned by experience that stretched back before the stock market crash of 1929. Seth Glickenhaus was a believer in the dry bulk sector and his dry bulk investments came in New York’s Eagle Bulk Shipping which he placed a $12 million order in 2006. The dry bulk shipping market is full of freshly-minted junior analysts who were new to shipping but Seth Glickenhaus was an experienced gentleman who was a macro guy who looked the world from a different perspective.
Greek Phoenix Energy Navigation sold its two oldest baby cape size bulk carriers to Indian shipowners. Korean Daewoo 2003 built baby cape size bulk carriers 104K DWT MV Phoenix Alpha and MV Phoenix Beta sold for $20 million each. Greek Phoenix Energy Navigation bought both bulk carriers in 2004 for $53 million each as M/V Finesse and M/V Felicity. In January 2016, Greek Phoenix Energy Navigation bought cape size bulk carrier built 2005 176K DWT MV Maritime Power (ex M/V Nord Power) from Dampskibsselskabet NORDEN A/S for $12 million.
Loss-making fixtures causing shipbrokers to work for a discount in a dry bulk market where both shipowners and shipbrokers would be suffering together. In the current depressing market, shipbrokers are still providing the same services and information as in a peak dry bulk market. Shipbrokers comment “fixture below operating expenses is better than no coverage at all”. The discounting for shipbrokers services from 1.25% to 1% is said to be particularly widespread in the Far East. Big players, including Chinese State-Owned Enterprises prefer not to use shipbroker services and deal directly with charterers.
ABYO is a new joint venture between Augustea Bunge, York Capital Management, Oceabulk. New joint venture ABYO bought one (1) panamax and one (1) cape size bulk carrier. ABYO bought 2006 built panamax bulk carrier 82K DWT MV ABYO Oprah and 2011 built cape size bulk carrier 175K DWT MV ABYO Audrey.
Last two remaining Greek shipping companies are leaving the London Stock Exchange. Goldenport Holdings and Hellenic Carriers are planning to take their publicly listed companies to private. Dry bulk shipping markets have been historical deep conditions as the main reason for their leaving. London may be a very big center for shipping services but, unfortunately, not for shipping investment like New York.
Allianz reported that concerns increased in the number of ship losses and casualties likely be caused by the cuts made by shipowners to operating standards due to the financial difficulties. Ship maintenance has already being stretched to the longest possible intervals. Cold layups might cause further unexpected problems when vessels return to the shipping market that has moved on to new technologically. Especially seafarers might confront with many risks.
Japanese Daiichi Chuo Kisencan can repay a fraction of its debt to creditors $1.79 million. Kurushima Dock which is a subsidy of Daiichi Chuo Kisen is also understood to be supporting the rehabilitation plan.
Kristian Gerhard Jebsen Skipsrederi sold OBO (Oil Bulk Ore Carrier) 110K DWT MV SKS Tana built 1996 to Turkish shipowner for $7 million was mainly used as a tanker. OBOs phasing out gradually from the market.
Italian shipowners will soon mass flag-out if Italian laws are imposed restricting the use of cheap foreign crew instead of the Italian and European Union (EU) crew. 600 ships will be forced to leave the Italian registry if the new laws are enacted. 13,000 seafarers will lose their jobs after flagging out.
Panamax bulker sale is evidence of strong buying interest in the sector and a leveling off asset prices after heavy falls. This week some panamax and kamsarmax bulk carriers changed ownership. Ship sale and purchase (S&P) shipbrokers say the unusually high interest in today’s market is due to the fact that some shipowners are simply testing the market. MV FD Isabella, MV Sadan K, MV Zeynep K, MV Tenshin Maru, MV Tensei Mara, and M/V Triple were sold this.
Norway’s KG Jebsen family is selling 2012 built supramax bulk carrier 53K MV Anne Kjersti for around $9 million. MV Anne Kjersti was built in 2012 at Ha Long Shipyard in Vietnam. MV Anne Kjersti is managed by KGJ Cement which is owned by Hans Peter Jebsen. M/V Anne Kjersti was trading as a conventional supramax bulk carrier but converted into a cement carrier.
Greek shipowners have pushed fleet number more than 4,100 ships in 2016 which is representing 16% of the world fleet in Deadweight Tonnes (DWT) terms around 320 million DWT. In 2016, Greek shipowners have 347 new ship orders.
Norwegian war risks mutual Den Norske Krigsforsikring for Skib (DNK) fully covers Iran without the risk of claims going partially unpaid. Oslo based DNK has decided to bridge any gap in cover, so can provide full regular cover for legitimate trade to Iran.
Erasmus Invest chartered out most of its fleet to commodity companies majors for the long term. The next ship to come up for charter renewal will be in 2017. Erasmus Invest fleet consists of 1 ultramax, 7 panamax, and 1 kamsarmax bulk carriers.
From Athens to London, Europe is facing a crisis of confidence in shipping. Athens’ claims that its shipping sector deserves special treatment and tonnage tax policy. The threats of the Union of Greek Shipowners (UGS) that its members will quit Greece and head to Asia if Brussels drives a hard bargain on the tonnage tax will carry some weight.
Australian bulker 1998 built handysize bulk carrier 36K DWT DWT M/V Portland (built 1988) involved in an acrimonious crewing row between unions, employers and the government is sailing into a fresh controversy over where it should be demolished. Environmental recycling lobby group NGO Shipbreaking Platform says that Australia is a signatory to the Basel Convention on Transboundary Movement of Hazardous Waste and that since it is an Australian-flagship operating in the Australian cabotage trades it should be demolished in line with the convention. Under Basel Convention‘s ban amendment, the owner, Alcoa Australia, is obliged to dispose of the bulker at another OECD member country and none of the mainstream ship recycling nations (Bangladesh, India, Pakistan) with the exception of Turkey, are members of the OECD.
M/V El Fara sinking has revealed a potential weakness in the oversight of US programs that delegate the US Coast Guard (USCG)’s authority to carry out flag-state inspections and plan approval.
New Panama Canal Pilots had previously complained of plans for two-way traffic of post-panamax ships of up to 49 meters beam in the Culebra Cut, the narrowest area of the canal. Londor Rankin, who became secretary-general of the Panama Canal Pilots Association in January, says the union still has some concerns, particularly with regard to the prospect of the first LNG carriers to transit the canal.
Top protection and indemnity (P&I Clubs) plan to join forces to create a superclub that would be bigger than the current market leader Gard. Britannia and UK clubs are in merger talks. Britannia and UK clubs confirmed they are in discussions with the aim of creating a world-beating mutual. Currently, there are 13 International Group P&I Clubs.
Hadley Shipping sold 2001 built panamax bulk carrier 73K DWT MV Cymbeline for $3.3 million. The buyer has not been identified. Last month, M/V Cyrnbeline began a six-month charter to Denmark’s Norden Shipping at $5,250 per day. MV Cymbeline sale price is marginally above the panamax bulk carrier’s scrap value.
Dry Bulk Shipping market could even worsen in 2016 as India’s increasing self-sufficiency in coal defies. The oversupply of dry bulk tonnage is well known, with this year seeing the daunting prospect of 173 capesize, 199 panamax, and 554 handymax bulk carrier new-buildings are entering in and trading at all-time lows. The growth predictions for the five main dry bulk cargoes – iron ore, coal, grain, soya beans, and other minerals add up to zero. In 2015, seaborne trade in the five main bulk car-goes aggregated 3.1 billion tonnes. That level is expected to stagnate in 2016. Nor do things look much better for the minor bulk trades, which the broker estimates are expected to grow by just 2% in 2016. All eyes have been on China’s iron ore imports, which are set to fall by 2% this year in line with the country’s declining steel production.
Turkish shipowner Gulnak Shipping has acquired supramax M/V Gulluk (ex M/V Karavadosthe) for $5.5 million from Neda Maritime Agency. Greek shipowner, Neda Maritime Agency sold 2002 built supramax bulk carrier 51K DWT M/V Gulluk (ex M/V Karavadosthe) in December to Gulnak Shipping.
Sale and Purchase Shipbrokers are reporting this week that Hanjin Shipping has sold 2004 built handysize bulk carrier 33K DWT M/V Great Dream to Vietnamese shipowner for $4.8 million. Shipping market sources describe this as a new low for handysize values, with one noting that vessels of a similar size and age fetched higher prices even after the 2008 market collapse. Handysize prices have been in steady decline since January 2015, when the M/V Great Dream would have been worth $13 million. Hanjin Shipping acquired M/V Great Dream from Cido Shipping in 2011 for about $22 million. Market observers expect that values for handysize will continue to decline, as there are few fundamentals that point to any improvement in earnings in the foreseeable future. Dry Bulk Shipping outlook is dire.
1985 built handysize bulk carrier 27K DWT M/V South Star has been severely damaged by an accommodation block fire in Vietnam, at anchorage in Tonkin Bay northeast of Haiphong. M/V South Star is owned by Tuan Huy Shipping. Severely damaged M/V South Star was extinguished after two hours and no injuries were reported.
American TOTE Maritime’s sinking M/V El Faro case claims reached $20 million. M/V El Faro case cargo claims total includes nearly $13.8 million in potential claims that New York law firm Nicoletti Hornig & Sweeney has indicated it will file in the Jacksonville federal court on behalf of Starr Indemnity & Liability, Zurich American Insurance, Pfizer Pharmaceuticals, and others. Settlements with family members of 10 crew members will be adding $5 million. After the loss of the M/V El Faro 5,330 lane meter (built 1975), that sank off Crooked Island, Bahamas, after it lost propulsion and was beset by Hurricane Joaquin in the deadliest US-flag casualty in decades, BMW taking steps to lodge an insurance claim.