Smaller Bulkers and Product Tankers in High Demand

Smaller Bulkers and Product Tankers in High Demand

in Dry Bulk Market,Hellenic Shipping News 26/03/2019

Most ship owners are refraining from committing funds in long-term projects, with newbuilding orders taking a back seat. The high volatility of the shipping markets, coupled with the additional uncertainty created by the trade wars, is causing more and more owners to look for investment opportunities in the S&P market. As such, smaller dry bulk classes and product tankers like MRs. In its latest weekly report, shipbroker Intermodal said that “activity in dry bulk S&P market remains stable whereas values appear to have bottomed out and buyers are now willing to pay today’s market levels in anticipation of improved prices in the future. This week we noted increased activity in the Panamax sector with a couple of reported sales and with more ships inviting offers in the next couple of weeks”.

According to Mr. Vassilis Moiris, SnP Broker, “the Kamsarmax ‘YATTAWONGA’ (82,624dwt-blt ’08, Tsuneishi) has been inspected by around ten buyers in China, which is evidence of strong interest in the sector. In terms of concluded sales we are hearing subjects have been lifted on the Panamax ‘ROSALI’ (76,728dwt-blt ’05, Sasebo), which is sold to Greek buyers at $9.85m, being in line with the recent sale of ‘CALHOUN’(76,801dwt-blt ’06, Sasebo) at $10,6mill to Ukrainian buyers a few weeks ago”, he said.

According to Mr. Moiris, “there is also decent activity in the Supramax sector with two TESS 58 Supramax bulkers reported sold. Following the acquisition of two Ultramax bulkers last week, c/o Pacific Basin are tipped to have bought the ‘GHENT’ (58,110dwt-blt ‘11, Tsuneishi Zhoushan) for about $14.35 – $14.5m. The ‘NORD EXPRESS’ (58,785dwt-blt ’07, Tsuneishi Cebu), has obtained $11.5m from European buyers, with both prices falling within market expectations today”.

Intermodal’s analyst added that “in the tanker sector activity is focusing on the MR sector although interest for crude tankers remains firm. In view of healthy freight rates in recent months there is additional confidence in the sector and as a result vessels’ values remain robust. The Greek controlled ‘MR SIRIUS’ (46,846dwt-blt ’07, Sungdong), has been committed on two weeks subjects to European owners for a price in the region of mid-$14.0m. The older ‘STAVANGER BREEZE’ (46,780dwt-blt ’04, STX) has been sold at $8.65m to c/o Wilmar with SS/DD & BWTS due in May this year. The price appears to be in line with the sale of the sister vessel ‘SEAWAYS ALCEMAR’ (46,248dwt-blt ’04, STX), which was sold last November at region $8,25m to Greek buyers also basis surveys due”, Moiris concluded.
Nikos Roussanoglou, Hellenic Shipping News Worldwide