China Cosco Shipping Group has inked a contract with China State Shipbuilding Corp to build 10 valemaxes. The contract was signed on Thursday.
The giant bulk carriers will all be constructed at CSSC’s flagship yard, Shanghai Waigaoqiao Shipbuilding, CCSG said in a press release.
A report in Xinhua says that all 10 very large ore carriers (VLOC) will be 400,000-tonnes. The order is to meet a long-term transportation service agreement that COSCO signed with Brazilian miner Vale on March 18.
According to the agreement, COSCO's subsidiary China Ore Shipping will ship around 16 million tonnes of iron ore for Vale annually for the next 27 years.
China COSCO Shipping Corporation is a new company formed by the restructuring of China's top two shipping firms, officially established in February.