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Thursday, January 18, 2018

Crude Carriers News

DryShips Adds Fourth VLGC

File Photo: DryShips Inc

DryShips, a diversified owner of ocean going cargo vessels, announced today that it has taken delivery of its fourth high specification very large gas carrier (VLGC) newbuilding. The VLGC will be employed under a fixed rate time charter with ten years firm duration to an oil major trading company. The Company expects a total gross backlog associated with this time charter of up to $103.8 million. DryShips has now taken delivery of all of the 17 vessels it has  acquired since the beginning of 2017.

China to Roll Out Smart Crude Oil Carrier

Photo: Dalian Shipbuilding Industry

China's Dalian Shipbuilding Industry Co (DSIC) is working on China's first smart crude oil carrier - a special project named "smart ship 1.0 R&D - which will incorporate technology to help the captain operate the ship. The Chinese state media quoted Guan Yinghua, deputy chief engineer of DSIC as saying that the project was assigned by the Ministry of Industry and Information Technology. Guan said that the very large intelligent crude carrier will be the most important result of the project. She said the smart vessels represent the future.

Saudi Aramco Shipyard Joint Venture Appoints CEO

(Photo: Saudi Aramco)

Saudi Aramco and its partners have appointed Fathi K. Al-Saleem as chief executive of a joint venture to build a shipyard on the kingdom’s east coast, part of the Saudi Arabian government’s drive to diversify the economy beyond oil. The state-owned oil giant said in a statement on Friday that International Maritime Industries (IMI) had been officially launched in partnership with National Shipping Co of Saudi Arabia (Bahri), engineering firm Lamprell Plc, and South Korea’s Hyundai Heavy Industries Co.

Delivery of Crude Carriers VLCC

Crude Carriers Corp. (NYSE: CRU) announced that on March 26 it took delivery of the M/T Alexander the Great, a very large crude carrier (VLCC) with carrying capacity of 297,958 mt, from Universal Shipbuilding Corporation at the Ariake Shipyard in Japan. The M/T Alexander the Great is the first of the three vessels comprising the company's initial fleet and was acquired at a purchase price of $96.5m. The remaining two vessels, the M/T Miltiadis M II, a 2006-built high specification Suezmax tanker and the M/T Achilleas, a sister newbuilding VLCC currently under construction at Universal Shipbuilding Corporation in Japan, are expected to be delivered within the next few days and at the end of June 2010, respectively.

GE Shipping Contracts to Buy 2 Suezmax Crude Carriers

The Great Eastern Shipping Company Limited (GE Shipping) has signed contracts to buy 2 Suezmax crude Carriers of about 157,000dwt each. The 2010 and 2011 built vessels are expected to join the company's fleet in Q4 FY17. Last week, the company had inked a pact to buy another Suezmax Crude Carrier of about 1,50,000 dwt. The Company’s current fleet stands at 38 vessels, comprising 24 tankers (7 crude carriers, 15 product tankers, 2 LPG carriers) and 14 dry bulk carriers (1 Capesize, 7 Kamsarmaxes, 6 Supramaxes) with an average age of 9.89 years aggregating 2.94 mn dwt. Additionally, the company has 2 Secondhand Aframaxes, 1 Secondhand Suezmax & 1 Newbuilding Kamsarmax on order. After delivery of these 6 contracted vessels, the company will have a fleet of 44 vessels.

G E Shipping delivers Crude Carrier “Jag Laxmi” to Buyers

Jag Laxmi Photo G E Shipping

The Great Eastern Shipping Company Ltd. (G E Shipping) delivered its 1999 built Aframax Crude Carrier “Jag Laxmi” to the buyers.  The vessel was contracted for sale in April 2016. The Company’s current fleet (excluding “Jag Laxmi”) stands at 31 vessels, comprising 22 tankers (7 crude carriers, 14 product tankers, 1 LPG carrier) and 9 dry bulk carriers (4 Kamsarmax, 5 Supramax) with an average age of 10.1 years aggregating 2.4 mn dwt.  

Iran Rents More Tankers

According to reports, the Norwegian ship brokers confirmed that the National Iranian Tanker Co. has chartered two more very large crude carriers to store unprocessed crude oil. The latest bookings raise NITC's floating storage capacity to 18.4m barrels, sources said Iran already has seven very large crude carriers under contract for use as storage. Source: Big News Network

National Shipping to Buy More Tankers

National Shipping Co. of Saudi Arabia is buying as many as 17 very large crude carriers and chemical tankers. The company plans a five-year acquisition program under which it will buy at least nine VLCCs and eight chemical tankers. All vessels being acquired, whether new or used, will be double-hulled. National Shipping currently has nine double-hulled crude carriers, nine chemical tankers, and four multipurpose roll-on-roll-off ships in service. (Source: UPI)

Crude Carriers Receives M/T Aias, Option on M/T Atlantas

Crude Carriers Corp. (NYSE: CRU) announced that it took delivery of the M/T Waltz to be renamed M/T Aias (150,096 dwt), June 3, 2010. In addition, the 12-month fixed-price option to acquire the M/T Atlantas from Capital Maritime & Trading Corp. commenced on June 1, 2010. The M/T Aias, a modern, high-specification Suezmax-class oil tanker was built in 2008 at Universal Shipbuilding Corporation in Japan, the same yard as its sister ship M/T Amoureux which was delivered to the company on May 10, 2010. The vessel was acquired at a purchase price of $66.2m, a cost significantly below the average 10-year historical values and is the fourth vessel of the Company's fleet to be delivered.

SCI Signs for Two VLCCs

boat2

The Shipping Corporation of India Ltd (SCI), today signed contracts with Daewoo Ship Building and Marine Engineering CoLtd of South Korea for building and delivering two Very Large Crude Carriers (VLCCS). The tankers, to be built at DSME's shipbuilding yard in South Korea, would have a deadweight of about 300,000 tonnes at the design draft of 21.5 metres. The tankers would be built as per the latest and most stringent International Regulations and would be classed with the ABS and IRS Classification Societies.

GE Shipping Buys New Vessel

Photo: The Great Eastern Shipping Co. Ltd

The Great Eastern Shipping Company Limited (G E Shipping) signed a contract to buy a Supramax Dry Bulk Carrier of about 52,450 dwt. The 2006 built vessel is expected to join the Company’s fleet in Q1 FY18. The Company’s current fleet stands at 43 vessels, comprising 28 tankers (11 crude carriers, 15 product tankers, 2 LPG carrier) and 15 dry bulk carriers (1 Capesize, 8 Kamsarmax, 6 Supramax) with an average age of 9.56 years aggregating 3.54 mn dwt. The company has also committed to purchase 1 Secondhand Suezmax Crude Carrier.

Crude Carries Pricing, Initial Public Offering

Crude Carriers Corp. announced that it has priced its initial public offering of 13,500,000 common shares at $19 per share. The underwriters have an option to purchase up to an additional 2,025,000 common shares to cover overallotments. Crude Carriers Corp. will use substantially all the proceeds from the offering, together with a $40m capital contribution from Crude Carriers Investments Corp., to acquire one 2006-built high specification Suezmax vessel from Capital Maritime & Trading Corp. at a price of $71.3m and two newbuilt very large crude carrier (VLCC) tankers for $96.5m each upon their delivery from the yard. The company’s common shares will trade on The New York Stock Exchange under the symbol CRU.

VLCC Owners Paying Clients to Ship Oil

Owners of Very Large Crude Carriers (VLCC) by agreeing to current low rates are effectively paying shippers for the priviledge. Hire costs for the largest oil tankers are so low and the oversupply of the vessels is so acute that shipowners are paying to carry crude for clients, BTPremium was informed by Braemar Seascope. Owners of very large crude carriers (VLCCs) that haul two million barrels are losing US$5,700 daily on a return voyage on the industry's benchmark route to Japan from the Middle East, the London-based shipbroker said in a report e-mailed last week. That rate fails to account for possible speed cuts aimed at reducing cutting use of fuel, owners' biggest expense, known in the industry as slow-steaming.

Crude Carriers Corp. Reports 2Q Resultes

Crude Carriers Corp. (NYSE: CRU), today reported its financial results for the second quarter of 2011. The Company reported a net loss for the quarter of $7.5 million or $0.48 per share, which compares with a $0.37 net income per share from the second quarter of 2010. The Company’s reported net loss for the quarter includes $1.7 million in general and administrative expenses related to the definitive merger agreement with CPLP and the proxy statement on Form F-4 filed with the Securities and Exchange Commission. Revenues for the second quarter 2011 amounted to $9.8 million, which is lower compared to the $20.7 million in the second quarter of 2010. The Company’s drop in revenues reflects primarily the weaker crude tanker spot market, when compared to a year ago.

NSCSA Reports $31M Profit

The National Shipping Company of Saudi Arabia (NSCSA) reported a net profit of 115.7 million riyals ($30.85 million) in the first half of 2001 compared with a net loss of 16.8 million riyals a year earlier. Riyadh-based NSCSA also said in a statement that it would take delivery of four recently bought vessels by October 2002, raising its fleet to nine ships used to transport Saudi Arabian crude to the international market. "NSCSA and Hellespont Shipping Corporation are pleased to announce the purchase by NSCSA from Hellespont for $330 million of four double hull very large crude carriers," the Riyadh-based company said in a statement. Hellespont at Samsung Heavy Industry of South Korea and would be delivered betweenOctober 2001 and October 2002.

Tankship Freight Rates in Swift Freefall

Photo in public domain

The biggest slump in tanker rates since January is signaling weaker U.S. oil imports, and is causing a 15-year low in the shares of one major crude-oil tankship operatore, reports Bloomberg. Rates for the biggest crude carriers tumbled 68 percent in the past two weeks, more than reversing their advance since the end of June, says Bloomberg, citing Clarkson Plc, although earnings had risen after oil cargoes to the U.S., the second-biggest source of demand for supertankers, expanded for three months.

G E Shipping Delivers Single Hull Aframax Tanker

The Great Eastern Shipping Company Ltd. (G E Shipping) delivered its single hull Aframax crude tanker Jag Labh to the buyers. The 1988 Japanese built 96,551 dwt ship was contracted to be sold in September 2007. With the delivery of this vessel, the Company's current fleet stands at 47 vessels, comprising 34 tankers (12 crude carriers, 20 product carriers, 2 LPG carriers) and 13 drybulk carriers (1 Capesize, 2 Panamax, 1 Supramax, 6 Handymax, 3 Handysize) with an average age of 10.7 years aggregating 3.14 mn dwt.

DryShips Sails Back into Tanker Market with Two Modern Vessels

Image: DryShips Inc

Greek owner of drybulk carriers DryShips Inc. has announced that it is re-entering the tanker shipping market as it agreed to purchase an Aframax tanker and a very large crude carrier (VLCC). -  One 113,644 DWT Aframax tanker currently under construction in South Korea. The Company expects to take delivery of this vessel sometime in the second quarter of 2017. The vessel is expected to be employed in the spot market. - One 320,105 DWT Very Large Crude Carrier built in 2011. The Company expects to take delivery of this vessel sometime in the second quarter of 2017.

Capital Product Partners Merger with Crude Carriers

CAPITAL PRODUCT PARTNERS L.P. ATHENS, GREECE, May 5, 2011 -Capital Product Partners L.P. (the "Partnership") (NASDAQ: CPLP), an international owner of modern double-hull tankers, today announces two important transactions, an increase in the investment of our Sponsor, Capital Maritime and Trading Corp. (“Capital Maritime”) in the Partnership and releases its financial results for the first quarter ended March 31, 2011. The Partnership is pleased to announce that on May 5, 2011 it entered into a definitive agreement to merge with Crude Carriers Corp. in a unit for share transaction.

Euronav Chooses Hempasil for Crude Carriers

Euronav will apply Hempasil, Hempel's silicone fouling release system, to its two ultra-large crude carriers, the TI Asia and the TI Europe. The 1,246 ft. tankers, which have a deadweight tonnage of more than 440,000 tons, will drydock for maintenance and survey later this year. Hempel has worked closely with Euronav, an integrated tanker company which owns and manages a fleet of 36 crude oil tankers, to achieve this breakthrough, said a senior official. The Hempasil specification is guaranteed for five years and has a potential lifetime of a further five years. Hempasil is a silicone-based topcoat with outstanding adhesion properties thanks to Nexus tiecoat technology, which ensures a chemical bond between the epoxy anticorrosion layer and the silicone-based topcoat.

OMI Sells Single Hull Vessel

OMI Corporation of Stamford, Connecticut announced that it had agreed to sell the SETTEBELLO, its 1986 built single hull ultra large crude carrier to an affiliate of Petrobras S.A. for use in an offshore project. The Company will recognize a gain of approximately $3.2 million at the time it delivers the vessel, expected to be during the fourth quarter of 2004. The sale leaves the Company with all double hull vessels except for one single hull product carrier and two double sided handysize crude oil carriers.

Knightsbridge Tankers 1Q Profit Falls

Knightsbridge Tankers Ltd. reported a 14 percent decline in first-quarter profit as revenue fell and operating costs rose. The Bermuda-based company reported quarterly net income of $14.2m, or 83 cents per share, compared with $17.1m, or $1 per share, in last year's first quarter. Operating revenue fell to $27.2m from $29.4m. Analysts were expecting a profit of 87 cents per share. Prices for very large crude carriers continued downward early in the quarter, the company said, following a downward trend that began in November. The industry enjoyed a pricing spike in late January and early February, but rates then eased through the rest of the quarter, the company said. The company's total operating expenses grew to $11.8m from $11.4m in last year's first quarter.

Saudi Aramco Charter 3 VLCC's for U.S. Crude Import

The very large crude carriers (VLCC's) will load at Ras Tanura terminal for deliveries to a US Gulf Coast port next month. The very large crude carriers will each load 280,000 metric tons of oil at Saudi's Ras Tanura terminal between April 3 and April 9 for the voyage via the Cape of Good Hope to the Port Arthur, Texas terminal, reports Bloomberg from various sources. Saudi Aramco, as Saudi Arabian Oil Co. is known, and Royal Dutch Shell Plc (RDSA) operate refineries through Motiva Enterprises LLC. The joint venture is bringing its Port Arthur, Texas plant back to full capacity after a series of unplanned shutdowns. The facility will be able to process as much as 600,000 barrels a day and is the nation’s biggest. Source: Bloomberg  

Maritime Reporter Magazine Cover Dec 2017 - The Great Ships of 2017

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