Friday, November 25, 2011

ITF newsletter on the economic crisis


Posted:
A joint-venture comprising China Merchant Holdings International with a 55 per cent stake, Sri Lanka's Aitken Spence with 30 per cent and Sri Lanka Ports Authority holding 15 per cent, is to develop and operate the Colombo International Container Terminals (CICT) in Sri Lanka. The construction of CICT will start in January 2012 after the selection of the winning bidder.
Finnish corporation Wärstilä is planning to expand into offshore and marine gas business by acquiring the UK-listed Hamworthy Engineering for US$600 million.
Nasdaq-listed Diana Containerships has posted positive results for the first nine months, including a rise increases in average rates, after increasing its fleet.
Ferry operator Stena Lines has commenced services from its new £200 million port at Loch Ryan, near Stranraer, in south-west Scotland.
Singapore-listed offshore group STX OSV Holdings has confirmed a US$536 million contract to build eight LPG vessels for Transpetro, the largest oil and gas transportation company of Brazil and fully owned by Petrobras.
Athens-based Tsakos Energy Navigation (TEN) has secured more than US$1 billion in minimum revenues, but is still in the red for the nine months after posting a third-quarter $24.1 million loss.
Source: International Freighting Weekly; Lloyd's List; 24 November 2011
Posted:
The value of the 222 vessels owned by Maersk Line, the container division of Danish giant AP Møller-Maersk, is worth now US$9.1 billion, after losing a quarter of its value in the last 12 months. However Maersk Line, accounting for just under 16 per cent of the global container market, says it is prepared to face competition over the next four years, when overcapacity may put pressure on the market volatility. Maersk has recently taken delivery of the first series of 7,500 teu vessels from South Korean shipbuilder Daewoo for its services between Asia and South America provided in cooperation with Hamburg Süd. The trade between these two regions is forecast to double over the next five years.
Source: International Freighting Weekly; 23 November 2011
Posted:
German container line Hapag-Lloyd has announced a third quarter profit of €9.6 million, and an operating result of €36.7 million, compared to €251.2 million for the same period of 2010. Despite a programme of savings and cutting costs, Hapag-Lloyd has a cumulative loss of €23.1 million for the first nine months, whilst its revenue declined 4.2 per cent to €4.5 billion. Transport volumes have gone up 3.9 per cent to 3.9 million teu. Tourism group TUI has revealed plans to sell its 38.4 per cent stake in Hapag-Lloyd at the beginning of next year.
Source: Lloyd's List; 23 November 2011
Posted:
Oslo and New York-listed Frontline may be in the position of seeking a financial rescue package by the end of the year, after posting a third-quarter total loss of US$166.2 million. The average third-quarter equivalent earnings were in deficit of $13,200 for very large crude carriers (VLCCs) and $14,100 for suezmaxes. Frontline has to pay $438 million by the end of 2013 for its newbuidling programme. It is expected the investment vehicle Hemen Holdings, the main shareholder of the world's largest crude oil tanker fleet operator, to come up with a set of solutions for the next few months. Restructuring options, an equity issue, selling assets and loans are taken into consideration.
Source: Lloyd's List; 23 November 2011
Posted:
The World Container Index (WCI) freight rate for Shanghai to Rotterdam trade has increased to US$1,053 per feu, still one third lower compared to the peak values recorded in July. WCI rates are on the rise for China to US West Coast routes, which could be explained by the withdrawal of services from several carriers. Meanwhile, the Shanghai Containerised Freight Index (SCFI) for Asia to Europe and transpacific trades is on steady decline. Idle container fleet has recently increased according to Paris-based analyst Alphaliner but of the idled fleet the larger vessels are expected back into service as year-end cargo rates increase.
Source: Lloyd's List; 23 November 2011