Orient Overseas Orders 14 Container Vessels From COSCO Shipping
Hong Kong-listed Orient Overseas (International) said on Tuesday that its units have ordered the construction of 14 container vessels from China COSCO Shipping Corp totaling $3.08 billion in value.
The container transport and logistics firms said that the vessels, equipped with methanol dual-fuel engines, will boost competitiveness and lower costs in both traditional and emerging markets.
Under the deal, a unit of state-owned China COSCO Shipping Corp will construct nine vessels, while an associate will build the remaining vessels.
China COSCO Shipping Corp also owns the Chinese container shipping company COSCO Shipping Holdings.
Orient Overseas plans to tap into loans and external debt to finance 60% of the cost of each vessel, while the rest will be funded through internal resources, it said.
The vessels will be delivered between the third quarter of 2028 and the third quarter of 2029.
(Reuters)