Scorpio Tankers Merges with Navig8 Product Tankers
Scorpio Tankers has entered into definitive agreements to merge with Navig8 Product Tankers and acquire Navig8’s 27 operating product tankers. Subject to the terms and conditions of these agreements, Scorpio will acquire four LR1 tankers prior to the closing of the Merger (the LR1 Vessel Acquisitions) and the remaining 23 tankers upon the closing of the merger in exchange for the issuance of 55 million shares of Scorpio common stock to the Navig8 shareholders. In connection with the LR1 vessel acquisitions, Scorpio will pay cash consideration of $42.2 million, which is net of assumed debt.
Sungdong Wins Tanker Order
South Korea's Sungdong Shipbuilding won an order for seven mid-sized tankers, including two as an option, from a Greek shipowner, reported Korea Economic Daily. It has been more than one year that the Korean mid-sized shipyard to receive a newbuilding contract. Sungdong Shipbuilding signed a deal with Greece’s Kyklades Maritime to build five 115,000-ton tankers in firm order and two more in option. The per-ship newbuilding price is estimated at US$44 million. The report said…
Odfjell Buys Secondhand Chemical Tanker
Oslo listed shipping firm Odfjell SE said it has purchased a secondhand stainless steel chemical tanker for $25.5 million. The M/T Argent Eyebright, built in 2009 by Kitanihon Shipbuilding in Japan, has 16 stainless steel tanks. On short term time charter to Odfjell Tankers since January 2017, Argent Eyebright will be renamed and put under NIS flag after closing the transaction end of June.
Maran Tankers Chooses Q88VMS
Greek oil tanker shipping company Maran Tankers Management has selected a cloud-based voyage management system to manage its chartering and commercial operations. Q88VMS, the latest product in Q88 LLC’s portfolio, is a web-based platform for managing all voyage related information. It will allow Maran Tankers Management to operate its growing fleet seamlessly across its various offices without disruption or delay, the developer said. “Q88VMS’ integrated approach to managing the voyage chain was a huge factor for our company…
China's Shandong Tanks Are Full, Tankers Await Discharge
Most crude tankers float for less than a week; half of fuel oil tankers are carrying bitumen mixture. More than 20 tankers carrying crude and fuel oil are anchored off the ports of China's eastern Shandong province, as onshore storage tanks are full, according to trade sources and shipping data on Thomson Reuters Eikon. Frenzied buying by independent refiners, most of whom are located in Shandong, and trading companies seeking to re-sell crude to these refineries have filled up tanks, they said. "Oil inventories at storage tanks are very high," a China-based trader said.
VLCC Rates to Fall Further in Well-supplied Market
Freight rates for very large crude carriers (VLCCs) are set to slide further next week, falling below tanker break even costs on routes from the Middle East, as too many ships chase too few cargoes, brokers said on Friday. "In today's market Middle East charter rates are around $15,000 a day. Charter rates are still falling, still sliding. I'm not sure where the bottom is," a European supertanker broker said on Friday. Break even costs for a VLCC are around $22,000 a day, according to leading tanker owner Frontline.
Alphatron Inks Service Deal with Unix Line
Alphatron Marine said it has signed a shore based maintenance contract with Singapore’s Unix Line Pte Ltd, supporting all navigation and communication onboard its fleet of 42 vessels. Unix Line is a ship management company specializing in the operation of chemical tankers. For many decades, it has been a customer of marine electronics producer JRC equipment and through the premium service contract, Alphatron will offer response to unexpected interventions and breakdowns. The chemical…
StealthGas Achieves High Revenue
StealthGas, ship-owning company primarily serving the liquefied petroleum gas (LPG) sector of the international shipping industry, registered an operational utilization of 97.3% in Q1 2017 (91.1% in Q1 2016), best performance since the beginning of 2014. Revenues for the three months ended March 31, 2017 amounted to $38.1 million, an increase of $1.6 million, or 4.4%, compared to revenues of $36.5 million for the three months ended March 31, 2016, due to increased fleet utilization and a slight increase in market rates.
Dryships Adds Second Aframax Tanker
DryShips Inc, a diversified owner of ocean going cargo vessels, announced that it has taken delivery of the previously announced 115,666 deadweight tons Aframax tanker built in 2012, which will be employed in the spot market. "Since the commencement of our acquisition program, in addition to the above, we have successfully taken delivery of a total of three vessels," the company said in a statement. On May 10, 2017, one Kamsarmax drybulk vessel built in 2014 of 81,918 deadweight tons. On May 2, 2017, one Newcastlemax drybulk vessel built in 2014 of 205,855 deadweight tons.
Scorpio to Sell Two MR Product Tankers
Scorpio Tankers, provider of marine transportation of petroleum products, announced that it has reached an agreement with an unrelated third party to sell two of its 2013 built MR product tankers (STI Sapphire and STI Emerald) for approximately $56.4 million in aggregate. The sales are expected to close in June 2017 at which time the Company will repay the outstanding secured debt for these vessels of $27.6 million in aggregate. The Company will record a write-down of approximately $9.3 million during the second quarter of 2017 in connection with the entry into this agreement.
Swiss Fleet Dwindles as State Guarantees End
A dozen ships from the Swiss high seas fleet are being sold off as the global shipping crisis takes its toll on the quirky remnant of landlocked Switzerland's efforts to ensure supplies of essential goods at times of international unrest. Worried about the security of food and energy supplies during wartime, Switzerland launched its high seas fleet in 1941, putting Swiss flags on tankers and freighters it could call on at times of need. But as times changed and supply routes became more stable, Switzerland has limited its support since 1959 to debt guarantees for shipping lines able to reduce borrowing costs in return for pledges to make ships available if Bern needed them.
Canada Rolls Out Oil Tanker Moratorium Act
The transportation system is something Canadians rely on every day, from getting us to work, or bringing us the products we use in our homes. The Government of Canada is working to ensure that goods are transported in a safe and responsible way while protecting our marine environment and clean water. "The Government of Canada is committed to demonstrating a clean environment and a strong economy can go hand-in-hand. Tabling this legislation is another step towards fulfilling our promise to formalize the tanker moratorium on British Columbia's north coast.
Drewry: Scrapping to Accelerate Tanker Recovery
Recovery in the crude tanker shipping market is not expected until 2020 as weak trade growth and a bloated orderbook limit any rate recovery. But the timing of any market upturn will be heavily influenced by the level of scrapping, according to the latest edition of the Tanker Forecaster, published by global shipping consultancy Drewry. The ongoing overcapacity in the tanker market is expected to persist further in 2017 because of a sharp increase in deliveries. Although tonnage deliveries are projected to decline after 2017…
Alaskan Jones Act Tanker to Retire
The Alaskan Frontier, a Suezmax tanker typically used to transport Alaskan North Slope crude to West Coast refineries, is scheduled to retire, according to vessel operator Alaska Tanker Company. The U.S.-flagged vessel is one of a few that comply with the Jones Act, a maritime law that requires shipments between U.S. ports to take place on U.S.-built and manned vessels. A source, who requested anonymity, said the ship would be retired in June, but the company did not confirm the timing. The Alaska Tanker Company fleet is time chartered to transport BP Plc's Alaska North Slope production.
Videotel Debuts Mobile Platform for eLearning
Videotel, a KVH company, launched a new eLearning content delivery platform that is designed to allow users to view its range of maritime training programs on a wide variety of devices, including tablets and mobile phones. According to the company, this paves the way for seafarers to acquire and test knowledge on any device wherever they are on land and sea. The mobile platform harnesses HTML5 responsive-design capabilities, where content can rescale dynamically to any screen size or aspect ratio. Additional features that Videotel has incorporated in its mobile platform include touch navigation, a multi-language capability allowing users to easily switch between languages…
Canada to Ban Tankers off North British Columbia
Canada's Liberal government has introduced legislation for a moratorium on oil tanker traffic along the northern coast of the British Columbia province, the country's transport department said on Friday, delivering on an election promise. Canadian Prime Minister Justin Trudeau ordered the ban soon after the election in 2015, in which he took power on a pledge to balance resource development with protecting the environment. Friday's bill will likely pass because Trudeau's Liberals hold a majority in Parliament.
Newbuild Tonnage: Greece Leads the Way in 2017
Globally 119 new bulkers and tankers have been ordered since the start of 2017, according to data compiled by VesselsValue Deals. Of those orders, 35 come from Greek ship owners (14 bulkers, 21 tankers) – by far the most of any nation. After Greece, the U.S. is second with 14 vessels ordered in 2017, followed by Singapore (10), Noray (8) and the Netherlands (6). The imbalance of supply and demand between the number vessels currently on the water and the amount of cargoes does…
VLCC Rates to Stabilise as Owners' Resolve Stiffens
VLCC's likely to struggle to break even for next two months; three-tier VLCC market weighs on sentiment. Freight rates for very large crude carriers (VLCCs) are likely to become steady around the current levels as owners resist charterers' attempts to pull down hire rates with the emergence of a three-tier market, brokers said on Friday. That came as brokers said South Korean charterers GS Caltex/S-Oil failed to charter a VLCC at below 40 points on the Worldscale measure for a…
Maersk Fluid Technology Sees SEA-Mate Order Influx
Maersk Fluid Technology (MFT) has reported a recent influx of orders for its SEA-Mate Blending-on-Board (BOB) system as confirmation of industry demand for technological solutions that enable ship operators to blend fit-for-purpose cylinder lubricant compositions on board their vessels that match actual engine operating conditions and fuel sulphur levels. The use of this type of technology can reduce cylinder oil consumption and alleviate issues such as cold corrosion and excessive cylinder wear, according to MFT.
Columbia Shipmanagement Receives DNV GL Certification
DNV GL has confirmed that Columbia Shipmanagement complies with the highest standards in energy and safety management. Torsten Schramm, President at DNV GL – Maritime, recently presented the ISO certification for the standards ISO 50001:2011 and OHSAS 18001:2007 to Carsten Sommerhage, Director of Columbia Shipmanagement (Deutschland) GmbH, at the shipping company’s offices in Hamburg. “These certifications highlight our efforts to perform a systematic energy management as well as maintaining the highest levels of health and safety through our company.
Optimarin BWT Retrofit Orders Grow
Optimarin has signed contracts with Wisby Tankers and Hoëgh Autoliners to install its market proven Optimarin Ballast System (OBS) on five existing vessels. The agreement, which comes six months after the Norwegian ballast water treatment (BWT) specialist became the first company to win USCG approval, will see Optimarin fitting units on three bitumen tankers for Wisby and two Hoëgh Autoliners RoRo ships. With a fleet of 19 advanced vessels, Wisby Tankers is a niche leader, utilizing smaller tankers for European trades and its larger vessels…
Samsung Heavy Bags Order for 2 LNG Carriers
South Korea’s Samsung Heavy Industries (SHI) has won a $100 million order to build two liquefied natural gas (LNG) carriers for Korea Line, reports Yohnap. Korea Gas Corp. (KOGAS) has chartered Korea Line to transport LNG from Tongyeong, South Gyeongsang Province (mainland) to Jeju Island for 20 years. Under the deal with Korea Line, SHI will build the ships by December 2019, the company said. One of the two vessels would have LNG bunkering capability. The ships, which can carry up to 7,500 cubic meters of LNG each, will be deployed to transport LNG between local ports, it added.
TEN's 15-Vessel Newbuilding Program Nearing Completion
Greece-based Tsakos Energy Navigation (TEN) said that its 15-vessel newbuilding program is nearing completion with the final three aframax tankers expected to be delivered in the coming months. In the second half of the year, with all vessels delivered and 77% of the fleet on full utilization contracts, TEN's industrial shipping strategy will be at full throttle. In line with the programmed deliveries, in January 2017 the VLCC Hercules I was delivered from Hyundai Heavy Industries in South Korea and was subsequently chartered for a period of up to 18 months.