KC Maritime on expansion course
With a crash in ship prices, the company wants to beef up its fleet of cargo vessels through new orders and on the second-hand market
Hong Kong shipowner KC Maritime is aiming to expand its fleet of dry bulk ships to take advantage of a crash in new and second-hand ship prices, which have fallen between 20 and 30 per cent since 2010.
Chief executive Captain Vikrant Bhatia said the firm was looking at different types of dry cargo ships, from 55,000 dwt (deadweight tonne) Supramax vessels up to 170,000 dwt Capesize ships.
Bhatia said all options were being considered, including ordering vessels from shipbuilders, buying modern second-hand ships or acquiring resales - vessels which are put up for sale by shipyards that the original owner ordered but cannot pay for.
KC Maritime was expected to make its first acquisition "within this year", Bhatia said.
He was speaking after the firm named and took delivery of the Darya Radhe, the first of two 82,000 dwt Kamsarmax ships built at Daewoo Mangalia Heavy Industries in Romania. The second ship, Darya Devi, was named at the same ceremony although the vessel is still being built and is due to be delivered in January.
The ships cost less than US$40 million each and are registered in Hong Kong. They were also 10 to 15 per cent cheaper to build at Daewoo's Romanian shipyard compared to its facilities in South Korea, Bhatia said, adding the quality was as good as or better than Korean-built ships. "KC Maritime was the first Far Eastern owner to order at Daewoo Mangalia. The ship has exceeded our expectations," he said.