More signs of recovery continue to emerge from the offshore sector with Malaysian offshore supply vessel (OSV) player Nam Cheong finally emerging from debt and returning to profitability in the first half.
Despite challenging market conditons, subsea and seismic specialist GC Rieber Shipping has managed to achieve fleet utilisation for its subsea and ice/support vessels of 92% in the first half, with a contract backlog of NOK515m ($60.8m) as at July 1, 2018.
Despite the apparent shows of strength in recent months, there are clearly signs of concern in the container market in several areas.
Like Hokusai’s Great Wave, the freight market has its ups and downs, and this week we are seeing a downside – perhaps before another upsurge. As such, the Baltic Dry Index (BDI) fully captured the market sentiment and fell to 1,222 points on Wednesday after hitting a four-month peak reading of 1,266 on Monday.
The dry bulk shipping market is projected to enjoy an uptick in charter rates on the back of a tightening demand-supply equilibrium, according to Uni-Asia Group, which saw its shipping business returned to profit in the first six months of this year.
Scorpio Bulkers has reduced its loss for the first quarter compared to the year-ago deficit, thanks to a surge in revenue from higher charter rates under improving operating conditions in the dry bulk shipping market.
Dry bulk shipowner Pacific Basin has proposed an issuance of new shares in exchange for a reduction in 10 existing time-charter rates, allowing the company to save $12.56m over a 24-month period starting 1 November 2016.
Navios Maritime Partners (Navios Partners) has accepted rate cuts of 20% on five boxships chartered out to Hyundai Merchant Marine (HMM), in exchange for getting senior unsecured notes and shares in the Korean shipowner.
Havila Shipping has accepted a rate cut on the chartering contract of a subsea vessel on hire to DeepOcean, in exchange for a contract extension.