Newbuilding ordering activity picks up
With the first couple of months of 2013 now "under our belt" it seems that ship owners around the world have laid out their investment planning, thus heading out to shipyards for their ordering business. As a result, there is a steady stream of new orders across all sector of the shipping markets.
The reason for this is that, in Clarkson Hellas' words, "they realize that competitively priced opportunities and deliveries are potentially slowly starting to slip from their grasp" it said in its weekly report.
It added that "as with last week the majority of ordering has been in dry, as buyers continue to take advantage of the historically low pricing that yards are still offering whilst they still can.
However, as reported last week there are less and less opportunities for buyer's to focus on as yards fill any remaining 2014 capacity and it will be interesting to see how far yards are able to push pricing up in the coming months especially when rates are not necessarily there to justify any significant premium on newbuild prices at this stage of the cycle.
On the Wet side, as has been the story for most of 2012 and the start of 2013 we have seen more investment in the products side and we see no sign of any significant let up in enquiry levels for this sector, so fully expect Buyers to continue to invest money into this burgeoning order book. Overall, yards must be quietly pleased at how well 2013 has started off, especially when compared to 2012 and they must be crossing their fingers that the year continues in the same positive fashion for the next ten months!", Clarkson Hellas concluded. Meanwhile, in a separate report on newbuilding business, shipbroker Golden Destiny noted that "in the newbuilding market, the fourth and final week of February ends with very soft new volume of business from previous high weekly reported new orders. Interesting news emerged for an important volume of business in the bulk carrier large sized segment, capesize and very large ore capesize.
Commodities trading house Cargill is said to have signed a letter of intent for the construction of up to six fuel efficient capesize newbuildings with China’s Shanghai Waigaoqiao Shipbuilding. Sources suggest that the letter of intent includes three firm newbuildings and additional three options at an estimated newbuilding price of $46mil per vessel.
In the very large ore capesize segment, Chinese newcomer owner, Shandong Shipping Corp is said to be planning a massive order between four and ten ore carriers of 250,000dwt after securing a long term charter contract from Australian mining giant BHP.
Sources suggest that the newbuilding deal inked in the final quarter of 2012, but no details were disclosed", the Piraeus-based shipbrokers said. It added that "overall, the week closed with 15 fresh orders reported worldwide at a total deadweight of 1,380,200 tons, posting 50% week-on-week decline from previous week with significant lower volume of contracts in the bulk carrier and tanker segments, down by 400% and 100% respectively week-on-week, and no new orders reported in the gas tanker and container segments.
This week’s total newbuilding business almost at similar levels from similar week’s closing in 2012, when 16 fresh orders had been reported, 2 for bulkers, 5 for tankers, 2 for gas tankers and 7 for liners. In terms of invested capital, the total amount of money invested is estimated in the region of about $928mil.
A hefty amount of money was invested once more in the offshore segment. Energy Drilling of Singapore will pay about $200mil for the construction of a semi-submersible rig at Cosco Guangdong of China with delivery in 2015, while SembMarine of Singapore won the construction of a jack up rig from a Malaysian player at a newbuilding cost of about $208million", the report concluded.
With the first couple of months of 2013 now "under our belt" it seems that ship owners around the world have laid out their investment planning, thus heading out to shipyards for their ordering business. As a result, there is a steady stream of new orders across all sector of the shipping markets.
The reason for this is that, in Clarkson Hellas' words, "they realize that competitively priced opportunities and deliveries are potentially slowly starting to slip from their grasp" it said in its weekly report.
It added that "as with last week the majority of ordering has been in dry, as buyers continue to take advantage of the historically low pricing that yards are still offering whilst they still can.
However, as reported last week there are less and less opportunities for buyer's to focus on as yards fill any remaining 2014 capacity and it will be interesting to see how far yards are able to push pricing up in the coming months especially when rates are not necessarily there to justify any significant premium on newbuild prices at this stage of the cycle.
On the Wet side, as has been the story for most of 2012 and the start of 2013 we have seen more investment in the products side and we see no sign of any significant let up in enquiry levels for this sector, so fully expect Buyers to continue to invest money into this burgeoning order book. Overall, yards must be quietly pleased at how well 2013 has started off, especially when compared to 2012 and they must be crossing their fingers that the year continues in the same positive fashion for the next ten months!", Clarkson Hellas concluded. Meanwhile, in a separate report on newbuilding business, shipbroker Golden Destiny noted that "in the newbuilding market, the fourth and final week of February ends with very soft new volume of business from previous high weekly reported new orders. Interesting news emerged for an important volume of business in the bulk carrier large sized segment, capesize and very large ore capesize.
Commodities trading house Cargill is said to have signed a letter of intent for the construction of up to six fuel efficient capesize newbuildings with China’s Shanghai Waigaoqiao Shipbuilding. Sources suggest that the letter of intent includes three firm newbuildings and additional three options at an estimated newbuilding price of $46mil per vessel.
In the very large ore capesize segment, Chinese newcomer owner, Shandong Shipping Corp is said to be planning a massive order between four and ten ore carriers of 250,000dwt after securing a long term charter contract from Australian mining giant BHP.
Sources suggest that the newbuilding deal inked in the final quarter of 2012, but no details were disclosed", the Piraeus-based shipbrokers said. It added that "overall, the week closed with 15 fresh orders reported worldwide at a total deadweight of 1,380,200 tons, posting 50% week-on-week decline from previous week with significant lower volume of contracts in the bulk carrier and tanker segments, down by 400% and 100% respectively week-on-week, and no new orders reported in the gas tanker and container segments.
This week’s total newbuilding business almost at similar levels from similar week’s closing in 2012, when 16 fresh orders had been reported, 2 for bulkers, 5 for tankers, 2 for gas tankers and 7 for liners. In terms of invested capital, the total amount of money invested is estimated in the region of about $928mil.
A hefty amount of money was invested once more in the offshore segment. Energy Drilling of Singapore will pay about $200mil for the construction of a semi-submersible rig at Cosco Guangdong of China with delivery in 2015, while SembMarine of Singapore won the construction of a jack up rig from a Malaysian player at a newbuilding cost of about $208million", the report concluded.