Carrier Market News

Japan's Mitsui O.S.K. Lines,(MOL) has signed a long-term agreement with INEOS Energy Trading, a subsidiary of UK-based INEOS Group Ltd., for the charter of two newbuild LNG carriers. This marks INEOS' entry into the LNG carrier market, and INEOS will use the vessel for the import of LNG into Germany from the United States. "These agreements are a significant milestone for INEOS Energy Trading following the long-term Sales and Purchase Agreement signed with Sempra for 1.4 mtpa of supply out of Port Arthur and the purchase of long-term regasification capacity in Brunsbuttel…

Despite a steady increase in port state control detention rates following the pandemic in all regions, INTERCARGO-entered vessels consistently outdid industry performance indicators in both deficiencies and detentions, as shown by the latest edition of its annual Benchmarking Report.Deficiencies per inspection (DPI) rates remain unchanged and in line with previous years’ Benchmarking Reports, the 11 leading Class Societies (IACS Members), which class over 95% of the bulk carrier market…

Cool Company Ltd. (CoolCo) has agreed to sell the Golar Seal vessel for $184.3 million. The transaction is expected to close on the redelivery of the vessel from its current charter in late March.The unnamed buyer will assume all costs associated with the vessel’s forthcoming dry-dock, increasing the effective economic value to CoolCo to approximately $190 million.Richard Tyrrell, CEO, said: "Through the sale of the Golar Seal, the earliest vessel in our fleet to be built, we are demonstrating our disciplined approach to locking in shareholder value. "The valuation highlights the re-pricing of the LNG carrier market and the strategic value of such LNG infrastructure assets.

BHP has partnered with Pan Pacific Copper (PPC), a member of JX Nippon Mining & Metals group, and Norsepower, provider of auxiliary wind propulsion systems, to reduce greenhouse gas (GHG) emissions from maritime transportation between BHP’s mines in Chile and PPC’s smelters in Japan. The parties are conducting a technical assessment and plan a retrofit installation of wind-assisted propulsion system onboard the M/V Koryu, a combination carrier operated by Nippon Marine – a member of SENKO group (shares held by SENKO 60%, JX Nippon Mining & Metals 40%).

Emissions reductions have been confirmed for the first laker to feature a diesel-electric drive train, after the initial weeks in service of Canada Steamship Lines’ new self-unloader Nukumi. The vessel arrived in Halifax in time to take up duties for the 2022 Great Lakes season complete with patented Direct Drive Electric technology from Berg Propulsion.Built by China’s Chengxi Shipyard, the delivery also marks a bulk carrier market debut for Direct Drive Electric - an integrated solution developed by Berg to make high efficiency electric propulsion easier to adopt.The 26…

In a live-stream presentation from its Copenhagen Research Center, MAN Energy Solutions has demonstrated advanced dual-fuel engine technology for low-cost, fuel-efficient operation of liquefied natural gas (LNG) carriers and other vessels where low capital outlay is a priority. Tom Mulligan, science &and technology correspondent, reports.MAN Energy Solutions has demonstrated its latest low-speed, dual-fuel engine, the MAN B&W ME-GA type, an Otto-cycle variant of the company’s successful ME-GI engine, at a ceremony live-streamed from its Copenhagen Research Center.

MAN Energy Solutions has has demonstrated its latest low-speed, dual-fuel engine—an MAN B&W ME-GA type designed for liquefied natural gas (LNG)/fuel-oil running—at a ceremony live-streamed from its Copenhagen Research Center on Thursday. The new engine is an Otto-cycle variant of the company’s ME-GI engine.As its pre-mixed combustion results in low NOx emissions, the ME-GA engine is inherently Tier II and Tier III compliant in gas-operation mode. To fully utilize its dual-fuel potential in Tier III areas…

When the maritime history books are written, 2020 will be viewed as a year of pivots, re-invention and new paradigms. By February 2020, concerns about marine fuel’s sulfur content quickly shifted to near-term disruptions induced by the COVID-19 pandemic. By mid-year, with demand recovering, the conversation turned to longer term questions surrounding the moves towards reduced maritime carbon emissions and alternative fuels. How will this all impact the current fleet?Perhaps the most extreme reaction to the shifting landscape is the ongoing “pivot” of Scorpio Bulk (NYSE: SALT)…

Höegh LNG has entered into a binding commitment to supply H-Energy with an FSRU in Jaigarh, India from as early as the first quarter of 2021.Jaigarh is south of Mumbai in Maharashtra state, India. The final agreement will be for 10 years with annual termination options after year five, Höegh LNG said.Höegh LNG will allocate one of its available FSRUs currently trading in the LNG carrier market for the project.President and Chief Executive Officer Sveinung J.S. Støhle says: "We are delighted to have entered into a binding commitment with H-Energy for their new LNG import terminal in Jaigarh…

Portugal’s Navalrocha Shipyard is reporting a flurry of activity in 2020 as it navigates the COVID-19 outbreak and prepares for a packed order book in the coming months.Navalrocha commercial director Sergio Rodrigues said the shipyard had recorded several landmarks during a highly memorable period in its history, completing its first multimillion Euro refit for a seismic survey vessel before managing its first ballast water treatment system (BWTS) installation.The projects were accompanied by a series of other deals involving bunker tankers…

COVID-19 has hit the vehicle carrier market hard. The world vehicle demand has dropped by c.35%. Consequently, shipping these vehicles has fallen considerably.The only order to take place earlier this year is one from NYK line for a large LCTC for $95 million.No deals have taken place since the beginning of the year, this is a figure we have not seen historically. A break of five months on the S&P side of things in the Vehicle carrier market. One of the main reasons for this low period and a fall in the values is the drop in rates for the 6…

Japanese shipbuilder Kawasaki Heavy Industries (KHI) has delivered the bulk carrier Market Cooper to an unnamed shipowner.The 61,000DWT vessel was built jointly by Kawasaki and China COSCO Shipping Corporation at Nantong COSCO KHI Ship Engineering (NACKS) which is located in Nantong City, China.Market Cooper has a flush deck with a forecastle and five holds that are designed for optimum transport of grains, coal, ores and steel products, said the company.Four 30-ton deck cranes are installed along the center in between the hatch covers to enable cargo loading and unloading in ports that lack cargo handling facilities.The vessel employs various technologies to achieve maximum fuel economy…

UK-based engineering services company Babcock said that its liquefied gas equipment (LGE) arm has netted 26 orders in the LNG and liquefied petroleum gas (LPG) carrier markets so far this year.Having won 16 contracts in the LPG carrier market, plus a further 10 ecoSMRT contracts for LNG carriers so far in 2019, the company continues to thrive in challenging market conditions.Now contracted to deliver LPG Fuel Gas Supply System (ecoFGSS) on six LPG carriers in a range of sizes, including the world’s first new-build system, Babcock’s LGE business dominates the sector whilst maintaining LPG and LNG carrier market share.Using LPG as a fuel supports shipowners in compliance with global environmental legislation and reduces a ship’s environmental footprint.Neale Campbell, Managing Director of Ba

International accountant and shipping adviser BDO said total operating costs in the shipping industry are expected to rise by 2.5% in 2019 and by 2.7% in 2020.Responses to the firm’s latest annual Future Operating Costs Survey revealed that insurance is the cost category likely to increase most significantly in both 2019 and 2020. In the case of protection and indemnity insurance, the predicted increase is 2.0% for each of the years under review, while hull and machinery insurance…

According to Norway-based ocean freight rate benchmarking and market intelligence specialist Xeneta, long-term contracted ocean freight rates for carriers continued their downward trend this month, however by only 0.1% globally. The company said the decline comes against a backdrop of increasing overcapacity, and that widespread blanked sailings and on-going concern over US-China relations were adding to industry uncertainty.Xeneta said that long-term rates have followed a pattern of decline since the middle of 2018…

The manager of specialized floating assets EXMAR Ship Management and ship management company Anglo Eastern Univan Group formed  a joint venture (JV) dedicated to the newbuilding supervision and vessel management of LNG carriers for third-party owners.The joint venture, AEX LNG Management, brings together two of the leading names in ship management and LNG ship management, with more than 70 years of combined industry experience.Based in Singapore, AEX LNG Management will draw on EXMAR’s niche expertise in the LNG sector, while leveraging the systems, resources and global reach of Anglo-Eastern to provide specialist services for the growing LNG carrier market.Services will include newbuilding planning and supervision…

Lloyd's Register (LR), the technical and business services organization and a maritime classification society, said that it is is collaborating with COSCO Shipping LNG Investment, COSCO Shipping Heavy Industry, Jiangnan Shipyard, MARIC, SSSRI and CCS to develop 220k LNG carrier with Mark III containment system.LR has signed an agreement with COSCO Shipping LNG Investment (Shanghai) Co., COSCO Shipping Heavy Industry Co., Ltd, Jiangnan Shipyard (Group) Co., Ltd. (JN), Marine Design and Research Institute of China (MARIC), Shanghai Ship and Shipping Research Institute (SSSRI) and China Classification Society (CCS) to design and develop the first 220k LNG carrier with a GTT Mark III membrane containment system.The seven parties will use their expertise…

Liquefied natural gas (LNG) shipper Golar announced that it has decided to proceed with a spin-off of its Tri-Fuel Diesel Electric (TFDE) LNG carrier business as well as to focus its activities primarily on floating liquefied natural gas (FLNG) and downstream assets.According to a stock exchange announcement, this will allow LNG shipping investors more direct exposure to the LNG shipping market and reposition Golar's core business toward LNG infrastructure on long-term contracts.Golar are in talks with other owners of similar tonnage to join the new shipping company and have discussed with Golar Power exchanging one of their LNG carriers for the FSRU Golar Tundra.Management of Golar's vessels will remain with Golar Management Norway AS…

South Korea’s shipbuilding giant Daewoo Shipbuilding & Marine Engineering (DSME) has received a contract to build two more liquefied natural gas (LNG) carriers for Greek shipping company Maran Gas Maritime, a unit of Angelicoussis Shipping Group.DSME said that the contract has a value of KRW 419.9 billion (USD 375.2 million).Under the deal with Maran Gas, DSME will build the two 174,000-cubic-meter LNG carriers by the end of 2021, the company said in a statement.Daewoo Shipbuilding has obtained USD1.1 billion worth of orders so far this year to build nine ships, including six oil tankers, it said.Last week, DSME won an order from Maran Gas to build one 174…

The provider of smart port solutions Konecranes’ long relationship with the EUROGATE Group continues with the signing, early this year, of an order for 17 Konecranes Noell Straddle Carriers for EUROGATE Container Terminal Hamburg.According to a press release, this order follows upon the delivery in 2018 of 43 Konecranes Noell Straddle Carrier to EUROGATE Container Terminal Hamburg and Bremerhaven and MSC Gate Bremerhaven.Konecranes’ relationship with the EUROGATE Group extends back to the beginning of containerization 50 years ago. Today, around 250 Konecranes Noell Straddle Carriers are operated by EUROGATE terminals in Northern Germany, and the fleet is growing. Early in 2019, Konecranes received and booked an order from EUROGATE Hamburg for 17 more Konecranes Noell Straddle Carriers.

Now Capture 39 Percent of the Upper Mississippi River Barge Traffic; new data highlights concentration of river terminals, resulting in greater efficiencies and lower costs.The latest data from the U.S. Army Corps of Engineers (USACE) reveals the St. Louis Regional Ports held onto the top ranking as the most efficient inland port district* in the nation in terms of tons moved per river mile during 2017, the most recent year for which final numbers are available. The St. Louis region’s barge industry handled 472,400 tons per mile.

Demolition of dry bulk ships in the first four months of 2019 was 120% higher than in the same period of 2018. Much of this increase comes from demolitions of Capesize ships, up from 1.1m DWT between January and April 2018 to reach 3.4m DWT in the first four months of 2019.Despite the increasing in scrapping, the bulk carrier market, particularly on the large ship side, will remain under pressure for a number of reasons, starting with stagnant demand, from the short term shock and impact of the dam collapse in Brazil and bad weather in Australia…

Maersk Product Tankers A/S said that the product tanker market, which was challenging in 2018  is expected to improve from the end of 2019.The company that transports refined oil products through its product tankers vessel fleet said in a press release that while fleet growth had slowed significantly over the previous two years, the market remained heavily oversupplied.Product trade demand growth was positive, but below historical ranges. As a result, product tanker freight rates fell. This decline, combined with high fuel prices, depressed industry earnings, reaching lows not experienced since the 2008/9 financial crisis.After hitting near record lows in the third quarter of 2018, however, the market rallied in the fourth quarter.