S & P

We understand that the two of the three Vogemann Cape sizes have been concluded separately to undisclosed buyers at levels in excess of US$ 19 mill each - namely M/V BULK EUROPE and M/V BULK ASIA (170,000 dwt, 2001 blt Sasebo).

The Korean controlled geared panamax M/V YONG JIN (71,747 dwt 1995 Hitachi) has been sold for US$ 6.75m to Chinese buyers.

A Diamond 53 design resale unit being built at Nam Trieu Shipbuilding in Vietnam M/V OCEAN QUEEN is sold at US$ 15m to Far Eastern interest; the vessel had been ready for delivery at the shipyard for some time pending sale.

The Tess 45’ type handymax M/V KS EXPRESS (45,734 dwt 1994 blt Tsuneishi Zosen) has been sold for US$ 6.4m to Indonesian buyers.

In the Tanker S&P market, the VLCC “SAMCO AMERICA” (304,996 dwt 2003 blt Hyundai) reported sold to Greek interests for US$ 37.5m.

The IMO III MR M/T MOSKALVO (45,999 dwt 1998 blt Daedong) is sold at US$ 11.6m to Chinese.

NEWBUILDING

The Newbuilding market has seen further activity this week with various orders being reported placed across the specialised tanker and dry bulk sectors.

There is no doubt that 2012 has been a challenging year for many of the shipyards ‐ with the global economic environment and its subsequent effect on financial liquidity playing its part to hinder would -be buyers. With this in mind, we have seen many shipyards, including those in China, shift their marketing strategy away from the simple conventional dry bulk markets, into increasingly more diversified or niche product ranges.

In China, this strategy has been highlighted this week with two noteworthy orders. We have finally seen the long mooted order at Hudong Zhonghua being signed with Stolt Tankers B.V. (a subsidiary of Stolt‐Nielsen Limited), who have announced they have placed an order at the yard for five firm units of 38,000dwt Stainless steel chemical tankers. These vessels are due to deliver from Dec 2015 onwards and the deal is understood to include a further three optional units. Pricing is understood to lie in the region of USD 73 Mill per vessel. Another deal in China being reported is that of Jo Tankers order at Nantong Mingde. Jo tankers are reported to have ordered 2+2+2+2 x 33,000dwt Stainless Steel tankers at the yard, which will replace the previous 4 options the owner held from their deal last year for 2 x 30k tankers. These latest units will begin delivering from 1H 2015 onwards. No pricing has been disclosed.

In Japan, the additional challenge that the yards have (until recently) had to face, has been that of a steadily strengthening Yen. Fortunately the past month or so has begun to see this pressure relent somewhat and the yen has depreciated against the dollar to the point where it is trading at its highest level since March this year. With signs that this may continue, against speculation the BOJ will increase stimulus to spur inflation, this will increasingly benefit the yards going forward and hopefully help them to compete on a more level footing with their rival nations. Within this week it has emerged that Tai Chong Cheang, of Hong Kong have placed an order at Imabari for 1+1 units of their 76,000dwt Panamax bulk carrier design. The vessel will deliver in 2014, though no pricing has been disclosed.

Finally and amongst other reported business, it is understood that COSCO Guangdong have won an order from an as yet undisclosed European buyers for a pair of 35.5k Handyszie Bulk carriers at a price of circa USD 20.5 Mill per vessel. These units are provisionally scheduled to deliver from 2H 2014 onwards.