Cosco Shipping Energy Transportation is currently on a ordering spree, by announcing to order seven new tankers from Guangzhou Shipyard International for $323.7m.
The seven orders comprise of two pairs each of Panamaxes and LR2/aframaxes. The company has also placed an order for a set of three aframax crude tankers, will be managed by China Shipbuilding Trading Company. All the seven vessels are expected to be delivered at the end of 2019.
The company plans to fund the newbuildings from internal funds, either through a restricted share issue or through other financial instruments including bank borrowings.
Delivery dates:
The company in its statement announced that the expected delivery dates for the two 64,900 dwt panamax crude tankers are on or before 29 February 2020 and 31 May 2020 and two 109,900 dwt LR2/Aframax clean products/crude oil carriers of 109,900 dead have expected delivery dates of on or before 31 October 2020 and 31 January 2021, respectively.
Penalty to be levied if standards not met:
The company has assured that will be no exceptions for penalties and the vessels will conform to the performance benchmarks such as speed, fuel consumption rate and tonnage. If these standards are not met they makers will be penalized.
China Shipping Energy said, “We are optimistic of the demand in the import crude oil transportation market and its persistent growth in the coming years. Building and owning the vessels would enable the Group to take advantage of the business opportunities in the shipping market, enjoy economies of scale, optimize its overall route arrangements and improve its operating efficiency and profitability”.
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Source: World Maritime News
