Vale Very Large Ore Carriers Sold, Chartered Back

SinoShipNews
Wednesday, September 05, 2012
Vale VLOC: Photo credit Wikipedia CCL

Brazil's mining giant Vale sells 10 VLOCs for US$600-million to Turkey’s Polaris Shipping.

The Brazilian company said that the transaction would improve cash flow while still maintaining its maritime ore shipping capacity. The ships will be chartered back to Vale.

“In addition to unlocking capital, the transaction preserves Vale's capacity of maritime transportation of iron ore, since the vessels will be available but without the ownership and operational risks,” Vale said in a statement.

“This transaction is part of our continuous effort to optimize the asset portfolio, improving capital allocation and further strengthening of the balance sheet.”

“At $600m Vale is taking a very big loss on these ships, losing up to 50% on the prices paid just four years ago,” one broker told SinoShip News.

Vale’s mammoth VLOC fleet build up has faltered as the Chinese have moved to make calls along the Chinese coastline impossible.



 

Maritime Reporter September 2014 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

People & Company News

Caterpillar: Q3 Results Show Improvement

Caterpillar Inc. today announced its third-quarter results, in which it reported profit per share of $1.63 for the third quarter of 2014, an increase from third-quarter 2013 profit per share of $1.

Wärtsilä Expects 5% Sales Growth

Wärtsilä announced its third quarter results, reporting that it sees good development in order intake and profitability. According to Wärtsilä, third quarter

MacGregor Reorganizes into 7 Operative Divisions

MacGregor, part of Cargotec, announces changes in its operative structure and starts a reorganization into seven operative divisions which will become effective on January 1, 2015.

Bulk Carrier Trends

Great Lakes Coal up More Than 12% in September

Lake Carriers’ Association reported that coal shipments on the Great Lakes totaled 3 million tons in September, an increase of more than 12 percent compared to a year ago.

Containers, Cruises Help Boost Marseilles Fos

Container throughput at French port Marseilles Fos reached 876,711 teu for the period January to September, an increase of 6% on the first nine months last year.

Maritime Reporter @ 75: The Daily Cartoon

Maritime Reporter & Engineering News was founded by John J. O'Malley (1905-1980) in 1939, and today ranks as the world's largest audited trade publication in the world serving the maritime industry,

 
 
Maritime Careers / Shipboard Positions Maritime Standards Navigation Pod Propulsion Port Authority Ship Repair Ship Simulators Shipbuilding / Vessel Construction Sonar Winch
rss | archive | history | articles | privacy | terms and conditions | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.2490 sec (4 req/sec)