Diana Shipping Inc., a global shipping transportation company specializing in dry bulk cargoes, today announced that it has agreed to purchase from an unaffiliated third party the MV “Corona”, a 2007 built Panamax dry bulk carrier of 73,593 dwt, for a price of US$29.99 million. The vessel, to be renamed “Arethusa”, is expected to be delivered to the Company by the sellers by the end of June 2011.
Scorpio Tankers has unveiled its first newbuilding order as a public company, understood to be at Hyundai Mipo Dockyard in South Korea, for five medium-range product tankers at a total price of $185m.
If three options attached to the order are confirmed, the total price tag would be $300m.
The Emanuele Lauro-led product and coated tanker specialist simultaneously launched its second follow-on share issue in New York in six months, with estimated proceeds pegged at $60m-$65m.
The company admitted its existing cash firepower and bank loans are insufficient to cover the whole purchase price of its Hyundai Mipo deal — even if the follow-on issue is successful — and the whole deal remains contingent on full financing.
Scorpio said the Hyundai Mipo price tag of $36.5m-$37.5m per 52,000 dwt ship “is 30% below what the same yard would have charged at historically high prices in 2008”.
The five Scorpio newbuildings are scheduled to be delivered in the second half of 2012. They bring the number of owned ships Scorpio has added to its fleet since its flotation to 14. All nine previous acquisitions were secondhands.
The three options would carry the same price tag. If ordered, they are to be delivered in mid-2013.
Star Bulk chairman Petros Pappas has sold on two capesizes to the Nasdaq-listed owner in a deal tipping the scales at more than $50m.
It says both of the ships are attached to long-term contracts which will pile up to $75m in revenue into the quoted company.
Star has not named the ships but they appear to tally with vessels on the books of Pappas’ Oceanbulk.
The first of the pair is a 168,000-dwt Korean built vessel which hit the water in 1996 and is fixed to a mining major until late 2015 at $25,000 daily.
Oceanbulk’s Bigfish was built at Halla Engineering & Heavy Industries and appears the most likely match.
Star says the second cape, built in Japan in 1994, is fixed at $24,500 daily until August 2014.
The 170,000-dwt Megalodon, put together at Mitsubishi Heavy Industries, is the probable candidate.
Star, now led by Spyros Capralos, says it will fund the $51.5m deal with cash and bank debt. It is not clear whether it already has a loan for the ships in the bag.
The deal would leave Oceanbulk with only one bulker in the water, according to data from Clarksons.
Keppel FELS has secured a $772m contract to build four jack-up oil rigs for returning customer S.D. Standard Drilling. Keppel FELS will build its KFELS B Class rigs for the Oslo-listed pure play jack-up company, with the rigs slated for deliveries between the second-half of 2013 and first-half of 2014. Standard Drilling had ordered its first jack-up rig from Keppel FELS in November 2010 with two options.
In just six months, Keppel FELS has won new orders for 19 KFELS B Class series rigs, including these latest contracts. “The newbuild activity that we see in today's market is driven by a need for a global fleet renewal, which is expected to increase in the future. As long as there are rigs available in the market, the high-end units will be preferred over the older and second rated ones,” said Espen Lundaas, cfo of Standard Drilling.
The KFELS B Class rig is capable of operating in water depths of 122 metres, drilling depth of 9,144 metres and accommodate 120 men.
SET-listed Precious Shipping Plc (PSL) has announced plans to buy up to 20 second-hand ships over the next six quarters for US$18-20 million apiece.Khalid Hashim, the managing
director of Thailand's second-largest dry bulk carrier, said the price will be discounted from their market value of $23 million due to oversupply.
Meanwhile, the Japanese situation, the uncertain US economic outlook and declining Chinese imports of iron ore and coal have dampened the outlook for the overall shipping industry, he told a briefing at the Stock Exchange of Thailand yesterday.
"We are targeting the purchase of around 20 second-hand ships with an average age of five years by the end of next year," said Mr Hashim.
PSL has earmarked $180 million in cash for some of the used ships and a $450-million credit facility for the rest along with some new ships including three to be delivered in the second half of this year.
The company now operates a fleet of 21 vessels after selling off 25 ageing ships.
The Baltic Dry Index (BDI), the most closely watched measure of shipping costs, is expected to stay close to the current level over the next six to eight quarters, given the negative outlook, industry analysts believe.
The BDI is now at 1,300 points and is not expected to pass 2,000.
"The situation in Japan will normalise in the next quarter or two before reconstruction work begins three or four quarters later, which is when cargo shipments should see a strong rebound," said Mr Hashim.
The company's first-quarter net profit plunged 72% year-on-year to 109 million baht as revenue slid 9% to 734 million due mainly to lower freight rates and increased interest expense.
Bualuang Securities has revised down its forecast for PSL's 2011 net profit by 13% to 1.14 billion baht after the company's first-quarter earnings fell short of the market consensus.
PSL shares closed unchanged yesterday on the Stock Exchange of Thailand at 18.5 baht in trade worth 20.23 million baht.
D’Amico International Shipping company is trying to resale one of its 40,000-dwt product tanker " Fabrizia d’ Amato” (built 2004) with a contract price $24.5m. The vessel is due for delivery by this June.
It is reported that D’Amico also plans to resale another 5,000-dwt vessel “Maddalena D’Amato ” (built 2001).
D’Amico International Shipping has applied for bankruptcy protection to the court.
Greek tanker owner StealthGas is on the brink of banking $26m from the sale of four LPG carriers.
The Nasdaq-listed gas specialist says the 3,500-cbm Gas Shanghai (built 1999), 6,562-cbm Gas Chios (built 1991), 3,510-cbm Gas Czar (built 1995) and 3,518-cbm Gas Nemesis (built 1996) have been picked up by “unaffiliated third parties” but failed to identify the buyers by name.
The Gas Shanghai, which TradeWinds reported sold in April, has already changed hands while the remaining vessels are expected to join new owners by the end of July.
News of the StealthGas sell-off may not come as a surprise as the company has gradually trimmed its fleet over the past 12 months in preparation for a series of five newbuildings inked at Japan's Kanrei Zosen.
The 5,000-cbm Gas Elixir and Gas Cerberus (both built 2011) hit the water earlier this year while the 5,000-cbm Gas Myth, 7,500-cbm Gas Husky and 7,500-cbm Gas Esco are scheduled for delivery in July 2011, January 2012 and May 2012, respectively.
Based in Athens, StealthGas controls a fleet of 50 LPG, chemical and crude tankers.
Today the company confirmed reports that three of the vessels had secured new contracts but failed to label the charterers with names.
StealthGas told investors that an “international gas trader” had indulged in one-year bareboat extensions for the 5,000-cbm Lyne (built 1996) and Sir Ivor (built 2003). The renewals begin this month. Flopec of Ecuador has been tipped as the mystery patron following a relet led by Petredec.
Additionally, the 3,500-cbm Gas Evoluzione (built 1996) tied up a one-year time charter extension with a “major natural gas company” in a deal that resets in August.
The owner says the average time charter equivalent rate for the trio amounts to approximately $300,000 per calendar month or $10,000 per day.
Recently, China National Aero-Technology Import & Export Xiamen successfully secured four units of 5150bhp AHTS Vessels from a Singapore shipowner, which would be regarded as "a grand inauguration" for the company’s shipbuilding business in 2011.
This new order is its first cooperation with the owner. In accordance with the end-users’ needs, these four vessels will be equipped with two sets of 8 tons Bow Thruster and DP1, adopting the industry widely accepted Khiam Chuan design. Comparing similar model of AHTS with one Bow Thruster in the market, one more standby 8 ton Bow Thruster in our vessels will advantageously reduce operational interruption rate, which will better cater for the needs of end-users in the future.
Olympic Shipping contracts a new multi-purpose platform supply vessel at Kleven Maritime in Norway at a value of 380 million NOK ($69m).
With this contract, Kleven Maritime's order reserve increases to 10 vessels at a combined value of 3.7 billion NOK.
The Olympic Shipping contract manifests Kleven Maritime's position as the country's largest Norwegian-owned shipbuilding group. This is the second contract to be announced in just 14 days.
The vessel is scheduled for delivery in November 2012 and will be the third in a series of three ships, the first two contracted in August 2010 and January 2011. The MT 6015 type vessels are designed by Marin Teknikk and are multi-purpose platform service vessels.
As CEO of Kleven Maritime Ståle Rasmussen has over the past few years relocated an increasing part of the construction to Norway, thus going against the trend.
"I am very pleased that Olympic Shipping chose to build yet another ship at Kleven Maritime. On this contract, we will collaborate extensively with local suppliers such as Hareid Elektriske Teknikk and Rolls-Royce Marine. Working with local top class suppliers is important to succeeding in moving an increasing part of the building process home to Norway," says Ståle Rasmussen.
Including this contract, Stig Remøy and Olympic Shipping has contracted vessels at a value of 1.4 billion NOK at Kleven Maritime.
"The vessel will join one of Norway's most modern fleets of offshore vessels, and represents a new generation of modern vessels, characterised by emphasis on security and environmental impact", says Stig Remøy.
The vessels represent a new generation of reliable and environmentally friendly platform service vessels. Well suited for northern conditions with Ice Class ICE 1B the vessel will be equipped for oil recovery (OIL REC -NOFO), increasing its market appeal. It will have a dead weight of around 4 800 tonnes, length 93,8 meters, beam 20 meters and a deck space of 1 060 m2. Accommodating 60 crew members, the vessel will be constructed in accordance with the new SPS code with facilities which will make it very well suited to ROV and subsea construction work.
Singapore's Keppel FELS Limited has secured contracts worth about US$393 million from returning customer Gulf Drilling International Ltd. of Qatar.
They cover the construction of two high-specification KFELS B Class Bigfoot jack-up rigs. These latest contracts follow closely after Keppel FELS was awarded a newbuild jack-up rig contract by one of GDI's Shareholders, Japan Drilling Company, in March this year.
Scheduled for delivery in the third quarters of 2013 and 2014, the two latest rigs mark GDI's first new orders in six years, and will increase the company's jackup fleet count to seven units.
Mr. Tong Chong Heong, Chief Executive Officer of Keppel Offshore & Marine Ltd (Keppel O&M) said, "We are pleased to work with GDI again, having successfully delivered two KFELS B Class jack-up rigs to them previously. On top of its newbuilding contracts with Keppel FELS, GDI is also upgrading and repairing its rigs at Nakilat-Keppel Offshore & Marine, our joint venture shipyard with Qatar Gas Transport Company.
Customized to GDI's requirements, the new jack-up rigs will be designed to operate in the higher ambient temperature of the Middle East. The KFELS B Class Bigfoot is equipped with larger spud cans for reduced bearing pressure and expands its operational coverage in more places, especially areas where soft soil is predominant. GDI's new rigs also feature an enhanced leg design for added robustness. Each rig will have a full 15,000 psi BOP system, 75-feet cantilever outreach and be able to accommodate 150 persons.