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Thursday, August 22, 2019

Vesselsvalue News

DP World currently has five terminals in Dubai, three at the flagship Jebel Ali Port. Photo Credit: DP World

UAE Presence Grows in the Maritime World

Over recent years the United Arab Emirates has emerged as an important maritime hub with grand ambitions. Mark Venables visited the region to discover what is driving that growth.When the UAE was elected to the IMO Council as a Category B member, it immediately raised its profile within the maritime community. The Emirates have taken a significant step forward in the maritime world.Despite this success, the region remains a challenging market for shipping and logistics. One of…

Photo: CMA CGM

Shipping Firms Drop UK Flag as Brexit Looms

Companies are leaving Britain's shipping registry due to uncertainty over Britain's departure from the European Union and future commercial arrangements with the bloc, industry officials say.All commercial ships have to be registered, or flagged, with a particular country partly to comply with safety and environmental regulations. Shipping companies in many so-called "flag states" pay corporation tax based on vessel tonnage rather than profit.Britain's ship registry forms part…

The biggest spenders of 2018 (VV.com)

Biggest Spenders of 2018

With less than a week until Christmas and most of our presents bought, we're feeling the pinch. However, that's nothing compared to the amount that some have been spending this year. VesselsValue's Senior Analyst Court Smith gives a rundown on which countries have splashed the most cash on second hand vessel purchases over 2018.USAJP Morgan Global Maritime is the US company who has spent the most on second hand vessels: 308 million USD so far in 2018. However, they have changed their purchasing strategy half way through the year.

(File photo: Hyundai Merchant Marine)

Hyundai Merchant Marine to Spend $2.8 Bln on 20 Containerships

South Korea's largest shipping line Hyundai Merchant Marine (HMM) said it will invest 3.153 trillion won ($2.84 billion) for 20 new large containerships to be delivered by June 2021.In June this year, the company signed letters of intent for ship orders with South Korea's top three shipbuilders Hyundai Heavy Industries, Daewoo Shipbuilding & Marine Engineering (DSME) and Samsung Heavy Industries.DSME and Samsung will build seven and five 23,000 TEU vessels respectively, which are expected to deliver in the second quarter of 2020.

El Coquí, one of the world’s first ConRos powered by LNG (Photo: Crowley)

New Fuel Rules Push Shipowners to Go Green with LNG

Tough new rules on marine fuel are forcing shipowners to explore liquefied natural gas as a cleaner alternative and ports such as Gibraltar are preparing to offer upgraded refueling facilities in the shipping industry's biggest shake-up in decades.From 2020, International Maritime Organization rules will ban ships from using fuels with a sulphur content above 0.5 percent, compared with 3.5 percent now, unless they are equipped to clean up sulphur emissions. This will be enforced…

Thor Enterprise. © Juergen Braker,  Marinetraffic.com

Thoresen Thai Agencies Sells Bulk Carrier

Thoresen Thai Agencies Public Company reported the sale of M.V. Thor Enterprise, a general cargo vessel with a rated capacity of 42,529 deadweight ton (DWT) built in 1995. The Vessel was sold to a company which is not a connected person of the Company by Thoresen Shipping Singapore, a wholly owned subsidiary of the Company. Sources, quoting data provided by VesselsValue said that although Thoresen has not identified the buyer of the vessel, Thor Enterprise, renamed Asian Enterprise, was sold to India’s Hermes Maritime last month.

© Mariusz Niedzwiedzki / Adobe Stock

Newbuild Spending Dropped Sharply in Q2

Enthusiasm for newbuild orders across most shipping markets has started to wane after more than $10 billion dollars were committed in the first quarter of 2018, according to VesselsValue. The total committed to new deliveries is now the lowest since the start of 2016.Ordering trends in the start of the year were highest in the markets that were seeing the highest returns. This includes the dry bulk and liquefied natural gas (LNG) carrier markets, while interest in the low earnings environment tanker markets was softer.

© Mihai Andritoiu / Adobe Stock

Container Fleets & Demand Growing in Step -BIMCO

For 2018, the world containership fleet is expected to grow in step with global demand, according to BIMCO’s latest container shipping market outlook. Having experienced falling freight rates from August to year-end in 2017, most liner companies were successful in pushing rates higher in early January 2018. Most of them managed to hold onto most of the gains they achieved, considering October and November were challenging in terms of very low demand growth. The weak demand came from the Far East to Europe trade, and on the Intra-Asian transport.

Photo: STX Offshore & Shipbuilding

STX Bags Orders for Six Tankers

South Korea’s STX Offshore & Shipbuilding won contracts to build six tankers from Greece and local shippers, reports Korea JoongAng Daily. STX announced that Greek shipper OceanGold Tankers placed an order for four medium-range tankers of 50,000 DWT capacity. Two were order on an option contract, which gives the buyer a right to pay for the ship at a pre-determined price in case ship prices rise. The deal was worth $140 million in total. According to STX,  the ships will be constructed in its Jinhae shipyard in Changwon, South Gyeongsan, and delivered by the first quarter of 2019.

(Photo: Pyxis Tankers)

Murky Waters Persist as Ballast Water Weighs on Shipowners

Ballast Water rules and approvals advanced in 2016. Shipowners, OEM’s and shipyards now have to do the same, as 2017 looks to be even busier. September 2016 was a milestone for the international shipping business. Fully 12 years after the international convention on Ballast Water Treatment (BWT) was agreed by the International Maritime Organization (IMO), the convention was officially ratified, after Flag States for 35 percent of merchant shipping tonnage voted “yes.” One year later…

File photo: UACC

Gulf Bidders Emerge for UASC-linked Shipping Unit

Gulf-based bidders have emerged for the part-owned subsidiary of United Arab Shipping Company (UASC) whose sale is key to finalising the merger between UASC and German container shipping line Hapag Lloyd , sources close to the matter said. Last week, sources told Reuters that Hapag Lloyd was close to completing the 7-8 billion-euro merger after UASC shareholders agreed terms to repay outstanding debt. A sale of United Arab Chemical Carriers (UACC) - in which UASC holds the biggest stake - is also part of the terms of the Hapag Lloyd merger deal.

Rickmers Group fleet value, from March 21, 2016 (Source: VesselsValue)

Rickmer's Group Worth $740 Million

Following last month’s news that Singapore Based Rickmers Maritime Trust is to be wound up, Rickmers Holding AG released a statement on April 19 reporting that an understanding had been reached regarding restructuring of the Rickmers Group. It is understood that sole shareholder Bertram Rickmers will reduce his shareholding to below 25 percent, while the remaining 75 percent will be taken by lenders and bondholders. The value today of the Rickmers Group (a Rickmers Holding AG subsidiary) sits at $740 million, according to VesselsValue.

Source: VesselsValue.com

Top 10 Carriers of Iranian Crude

Spotlight on Iranian Crude VesselsValue senior analyst William Bennett has put together a short report on Iranian Crude, specifically analyzing overall shipment trends (which are on the upswing). With new sanctions looming, what will the future hold? The chart shows the Top 10 companies carrying Iranian Crude in 2016.

(Image: VesselsValue.com)

Top 10 Maritime Nations: Ranked by Value

The March 2017 edition of Maritime Reporter & Engineering News focuses on SINGAPORE, as this maritime powerhouse struggles to maintain balance and influence through the offshore oil and gas downturn. Looking at the "Top 10 Nations" ranked by value from VesselsValue.com, Singapore ranks #5 with 2,662 vessels, comprising 64.03 million GT and a $41.7 billion valuation, just behind the United States at #4 (2,399 vessels, 55.92m GT, $46.5 billion valuation).

Image: VesselsValue.com

Top Five Panamax Bulk Trades

The Panamax bulker trade is mainly a grains trade, especially soybeans, and is very volatile. And while it has previously been dominated by vessels moving cargos from Brazil to China, this route has been on a downtrend from a peak during the last quarter 2015, according to VesselsValue.com, who has tracked the top Panamax bulk shipping trade routes. The evolution of the top trade routes for Panamax bulkers can be measured through the billons of ton miles (laden distance travelled multiplied by the amount of cargo carried for every vessel in the fleet) moved from country to country over time.

© ArchonCodex / Adobe Stock

Asian Bulk Fleet Gains Value in 2016

In what has been a very difficult year for dry bulk, the values of regional fleets have changed quite a bit over 2016. Despite the down market, the Asian fleet is 7 percent more valuable at the end of the year. Since the Baltic Dry Index (BDI) low of 290 points in February this year, the index has recovered to above 1200 points. Asian owners have spent $1.6 billion on secondhand vessels, 27.5 percent of global spending throughout the year. Taking delivery of 303 of the 759 bulkers built this year means their average age has fallen by almost a year.

(Photo: SCPA)

Happy Holidays from Hanjin

Barry Parker dissects one the most disruptive events ever to impact the intermodal supply chain. There is more pain to come, lessons to be learned – and corrections applied. The Hanjin Shipping debacle, brewing over time and seeing a full blown eruption in late August, is still ongoing. The company voluntarily opted to enter ‘receivership,’ followed by a Chapter 15 bankruptcy filing in the States, shortly after the initial bombshell. The move provided a template for Hanjin vessels to dock, and cargo to be discharged.

Bulker Honourable Henry Jackman (Photo: BSM)

BIMCO: Poor Freight Rates Despite Strong Demand Growth from China

The dry bulk commodity imports into and exports out of China we have seen in the first half of 2016 are very positive – and nothing short of extraordinary. But, putting it into perspective, compared to the devastating freight rate levels over the same period, it highlights that something is very wrong in the dry bulk market. The market is nowhere near balanced. BIMCO’s data on seaborne iron ore imports into China, shows a growth of 9.6% for H1-2016 as compared to H1-2015. With seaborne coal volumes shipped into China during H1-2016 being on par with H2-2015…

Miners Lock in Shipping Costs as Freight Market Recovers

Global miners and commodity traders are using multiple strategies to lock in favourable rates for shipping costs, anticipating a freight market recovery after years of turmoil. Ship owners ordered large numbers of vessels between 2007 and 2009, just as the global economy sank into crisis. Prospects have brightened in recent months, with a pickup in global trade helping to absorb the ship glut. Iron ore deliveries to top consumer China are up 21 percent in the first four months…

BIMCO: Greek Shipowners Prefer Bulkers

The buying interest from Greek ship owners is focused on bulkers to an increasing extent, BIMCO said. Data from VesselsValue.com reveal that Greek owners were at the buying end of 43% of all bulker sales completed so far in 2014. As of June 2014, the number of Greek bulker purchases so far is 91, compared to 81 for the full year of 2012. The level of activity seen so far in 2014 would suggest Greek owners are on target to top the 199 bulker purchases completed in 2013. Chief Shipping Analyst at BIMCO…

Image: China Shipping group

Cosco Merger May Change Industry Dynamics

The merger between China Shipping group and the Cosco Group has given rise to a mammoth company that could trigger stability and extended consolidation in the global shipping industry, says a report in the WSJ. The merger will free the two Chinese shipping groups from competing against each other at home and abroad, in an industry swamped with oversupply and depressed freight rates. The new world leader in shipping industry is likely to own 832 ships including containers, dry-bulk vessels and tankers amounting to almost $22 billion.

Image: China COSCO Shipping Corp

China Marine Giant COSCOCS Strategizes Business

China COSCO Shipping Corp Ltd  (COSCOCS), a new company formed by the restructuring of China's top two shipping firms, was officially established on Thursday (February 18). The Chairman Xu Lirong said his company,now the world's largest bulk vessel and oil tanker operator by fleet size,  is planning to deploy more resources to six new businesses. According to a report in China Daily, the shipping major will focus on logistics, industrial equipment manufacturing, financial and shipping services, investment, and operations linked to the country's "Internet Plus" development program.

VesselsValue.com

Maritime Economics: Top Five Shipyards by Market Value

Shown is an infographic courtesy of VesselsValue.com looking at the top five shipyards ranked by the market value of the newbuilding contacts currently on order. According to Senior Data Editor, Craig Jallal, "The current top five shipbuilding groups have seen a significant decline in value of their orderbooks year-on-year since March 2015. Hyundai HI has suffered the largest decline, down by 12%, but fifth-placed Imabari of Japan, enjoyed a 9% increase in the value of its orderbook."

Singapore Maritime Week 2016

Singapore Ranks #1 by Fleet Value per Capita

This week is Singapore Maritime Week 2016, when the city-state celebrates its role as the major hub for shipping in the region, Singapore has good reason to celebrate: according to mapping, ship search and valuation provider, VesselsValue, Singapore owners control just under 2,000 deep-sea going vessels with a total value of UD35.4bn. This equates to over USD 8,000 invested in shipping per person in Singapore. This makes Singapore the leading nation when it comes to vessel ownership in USD terms per head (see ATTACHED image for table).

Proud analysis chart

New DCF Valuations on VV‏

VesselsValue.com is launching Discounted Cash Flow (DCF) valuations to its existing portfolio of daily, automated valuations for the shipping industry. Discounted Cash Flow Valuations is the amount a vessel would be expected to earn as a working vehicle, where value is expressed as the sum of the discounted projected annual earnings over the remaining life of the ship plus the discounted residual (scrap) value. This kind of model depends on a large number of inputs, including anticipated charter rates, operating expenses, utilisation rate, commissions, inflation rates and discount rate.

Photo: Maersk Line

Pressure on Earnings in Container Shipping Industry

The low demand on the high volume trade lanes is surely increasing the pressure on earnings which is already felt in the container shipping industry. This was one of the views that, BIMCO’s Chief Shipping Analyst, Peter Sand shared with the participants at the Maritime Cyprus 2015 Conference as he played an active part as a panellist on the session that focused on the future of the shipping market. “Volume growth on the vital trade lane from Asia to Europe and Asia to US West Coast were down by 4.2% and 2.0% respectively.