CMES eyes clearout

China Merchants Energy Shipping (CMES) has announced plans to continue a clearout of elderly ships from its fleet.

The Shanghai-listed shipowner says it plans to sell or scrap eight elderly bulk carriers over the next twelve months.

The vessels selected for disposal would be 20 years of age or older, CMES said in a regulatory disclosure.

Data from Clarksons shows that CMES owns six handymax bulkers built in 1992 or 1993 and two panamaxes built in 1993 which look to be the most likely sales candidates.

Earlier this month CMES sold the 279,200-dwt tanker Kai Yong (built 1992) to Jiangmen Xinhui for demolition for CNY 84m ($13.4m).

CMES has a substantial newbuilding programme at yards in China including of ten VLCCs and sixteen ultramaxes.

Five VLCCs are on order at each of Shanghai Waigaoqiao Shipbuilding and Dalian Shipbuilding Industry Co respectively.

CMES has ten 64,000-dwt bulkers on order at Chengxi Shipbuilding and a further six 61,000-dwt bulkers split between Nantong Cosco KHI Ship Engineering and Dalian Cosco KHI Ship Engineering Co.