Ship operator Eagle Bulk plans to continue expanding and renewing its fleet, CEO Gary Vogel tells ShippingWatch following the acquisition of a number of ships. A record-low order book, caused by environmental regulations and the prospects of a prolonged upward cycle, makes the CEO optimistic.
Major dry bulk carriers such as Star Bulk, Oldendorff and Golden Ocean have for months had ships loaded with Australian coal idled off China. The situation is completely unprecedented, Star Bulk president tells ShippingWatch, while Golden Ocean is now able to change the crew on board a single vessel.
Dry bulk operators can now look forward to several golden years that are set to begin already now, projects Cleaves Securities. This is driven by a combination of few new ships and a large Chinese appetite for iron ore, the investment bank tells ShippingWatch.
The conflict between China and Australia, which prevents dry bulkers from offloading their Australian coal cargoes in China, continues unabated with no solution in sight. At present, 71 vessels are stranded while crews are calling on authorities to intervene. Things have gone from bad to worse, says Bimco.
A large number of ship deliveries will create challenges for the dry bulk market in the next nine months, projects Danish Ship Finance in its biannual market review. But the shipping bank sees positive signs from mid-2021.
New ship tonnage entering the dry bulk market this year reached the highest level since 2016. For one segment in particular, 2020 has been a very turbulent year, resulting in rates far below operating costs right now.
Strained dry bulk shipping company Lauritzen Bulkers now expects to book a profit in 2021. This would be the first one since 2010. Despite increased activity, the company expects to book red figures for this year, CEO Niels Josefsen tells ShippingWatch.
CEO Robert Bugbee tells ShippingWatch that Scorpio Bulkers' recent vessel sales are part of a strategy that will entail a full exit from the dry bulk industry within a few months. Revenue will be directed towards a new wind venture.
In a challenging dry bulk market, Norden has managed to earn more money than expected. The reason for that is its focus on the operator model, which the company's head of dry cargo views as a de facto growth engine going forward.
Cleaves Securities still expects high activity levels from China for the remainder of the year, which will benefit dry bulk shipping companies. "We think dry bulk spot rates will increase into the fourth quarter," says analyst.
Shipowner Claus-Peter Offen sells his stake in dry bulk business, report several media. This happens in an effort to focus shipping activities toward one area. Offen has already sold its tanker business to Zeaborn.
Belships books a deficit in the second quarter after the coronavirus pandemic "eliminated" the seasonal recovery that usually characterizes spring. The dry bulk operator has otherwise recently booked a series of profits.
Shipping company Norden delivers an adjusted profit of USD 29 million in the second quarter of the year, compared to a deficit in the same quarter last year. The tanker business in particular drove the improvement with a profit of USD 22 million.
Ulrik Andersen just finished a horrible second quarter at the helm of Golden Ocean, but the dry bulk market has already taken a drastic turn for the better in the third quarter. "Now we need to maximize our earnings," he tells ShippingWatch.
Half-year reports from the first five pace-setting dry bulk shipping companies show a combined deficit of USD 600 million, thus reflecting a depressed market in the spring. Now a significant turnaround is needed to ensure the sector even a decent 2020.
For the first time since 2009, the global dry bulk market is on track for a drop in 2020 due to the downturn created by the coronavirus pandemic, projects analysts at Arrow Shipbroking. But 2021 could develop in a completely different direction.