With the dry bulk market still in the doldrums, in terms of the declining trend of the past couple of months, which has seen the BDI (Baltic Dry Index) falling to the 700-point level, it was only natural that ship valuations would follow suit. According to Lion Shipbrokers’ latest weekly report, “the chartering market remains anemic and in combination with the summer holidays in Europe, we expect to see a new historical low this week. Second hand values continue to deteriorate, however there are few keen buyers out there, who are not even willing to pay the current market levels. We noticed several candidates (Elpis, Busan Star, Aristo River, etc…) withdrawn from the market, as the offers received were below Sellers’ original expectations”, the shipbroker noted.
In terms of deals concluded in the dry bulk market, Lion noted that despite the market’s misery, a total of eight bulkers (7 handies, 1 singledecker) changed hands this week (mostly en bloc sales); “Clients of Dalex of Greece continued their handysize fleet expansion by reportedly acquiring 3 private modern units from the Japanese market; GLOBAL HORIZON (33K BLT 2010 SHIN KURUSHIMA/JAPAN) for $19 mill, SEA BONANZA (33K BLT 2012 SHIN KURUSHIMA) for $23.5 mill & OCEAN HARMONY 31.8K BLT 2010 HAKODATE/JAPAN) for $18.5 mill. Some suggest that part of this deal was also handysize unit SCARLETT (33K BLT 2009 SHIN KURUSHIMA) which was sold in excess of $18 mill to Greeks. There is confusion in reports regarding the direction of the last TMT’s handy being auctioned C HANDY (37K BLT 2011 HYUNDAI/SOUTH KOREA) for 18 mill, as some suggest she went to clients of Peachleaf of Greece while others suggest that she went to clients of Vogemann of Germany (who have also purchased exact sisters A HANDY and B HANDY) last week”, Lion said.
Meanwhile, in the newbuilding market this week, Clarkson Hellas reported in its latest weekly report that “Foremost Maritime are understood to have added a further four 180,000 DWT Capesize to their orderbook at Beihai, taking the series to six vessels. Delivery is planned from end 2015 and through 2016. Reuben Brothers have ordered two 82,000 DWT bulk carriers at JMU Yokohama. The vessels are due for delivery in early 2016, and take the buyers total Kamsarmax orderbook to seven, with existing orders for five units at Sungdong. Shih Wei Navigation are understood to have added a further 60k Supramax at Onomichi, taking the total series to six units with delivery of the latest in the third quarter of 2017. China COSCO (Prosperity Investment 2011 Ltd.) have announced an order for four firm 63,800 DWT Ultramax and four firm 38,800 DWT Handysize at Chengxi, plus two firm 38,500 DWT Handysize at Shanhaiguan. Delivery of all the vessels is in 2016 and 2017″.
It added that there were “no new orders to report in tankers, however in the container sector there are two new contracts in the smaller sizes this week. Seatrade Groningen announced an order for two firm 2,200 TEU reefer container carriers at Zhejiang Ouhua, due for delivery in the first quarter of 2016. Ningbo Ocean Shipping have placed an order for two firm 1,100 TEU feeders at Zhejiang Yangfan. Pricing is understood to be in the region USD 17 Mill with delivery in the first half of 2016. In other sectors, COSCO Shipping announced an order for a single 90,000 DWT Semi-Sub / Heavy Lift vessel. Thought to have been concluded at the end of June, the vessel is lined up to deliver in late 2016. Finally Meyer Werft announced two further orders for their ‘Breakaway’ type 164,600 GT Cruise ships from Norwegian Cruise Line (NCL) with delivery due in 2018 and 2019. The additional orders take the total series to six firm vessels”, Clarkson Hellas concluded.
