Oldendorff’s bulker orders surface in Japan and China

Oldendorff ordered the ships before newbuilding prices increased

Oldendorff Carriers' expansion of its owned fleet continues as it emerges that the German bulker operator has booked newbuildings in China and Japan.

The company has commissioned China-based Nantong Cosco KHI Shipbuilding (Nacks) to construct three 61,000-dwt geared bulkers, according to market sources.

The price of the ultramax ships is not disclosed but shipbuilding players say the vessels cost around $24.8m apiece. Nacks is slated to deliver the trio in 2019.

One source with knowledge of the deal says the outfit signed up for the vessels some time ago but the deal was not reported.

Oldendorff’s order is believed to have ended an order drought for Nacks. According to Clarksons’ Shipping Intelligence Network (SIN), the Sino-Japanese shipyard's last done deal was in end-2015 when Japan’s K Line booked an order for two VLCC newbuildings. The yard is scheduled to deliver one ship this month and the other in May next year.

It also came to light that Oldendorff has three geared 62,000-dwt bulkers under construction at Japan’s Oshima Shipbuilding.

The vessels are estimated to cost more than $25m each. The trio is slated for delivery in 2020. Japanese trading house Sumitomo Corp is said to have arranged the deal.

However, sources with knowledge of the transactions say Oldendorff's ships at Oshima are not newly contracted. The outfit booked them more than a year ago.

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TradeWinds reported in June that Oldendorff had booked two 82,000-dwt kamsarmaxes at China’s Hantong Ship Heavy Industry, where they are scheduled for delivery between end-2018 and first half of 2019. The reported price was $23.5m each.

One source with knowledge of the company says Oldendorff sold one of the kamsarmaxes to Oslo-based investment company Atlantica Shipping in August for $24m in an off-market deal. The sale translated to a quick profit of $500,000 for Oldendorff.

Tier II compliant

TradeWinds understands all of Oldendorff's newbuildings will meet the IMO’s Tier II standards.

Oldendorff ordered the vessels while shipbuilding prices were at their bottom. Shipbuilding players say Far East yards are now increasing their prices by at least 5%, due to rising material costs and improved market sentiment.

Oldendorff has also been purchasing secondhand vessels. According to VesselsValue, the outfit acquired seven ships ranging from handysize to capesize. It also sold the same number of bulkers this year.

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