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CSCL scraps two old container vesselsCSCL scraps two old container vessels

China Shipping Container Line (CSCL) has sold a pair of old container vessels for a combined scrap value of about RMB33.86m ($5.52m).

Lee Hong Liang, Asia Correspondent

September 19, 2013

1 Min Read
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The shipping line disposed the 996 teu Xiang Hu and 1,020 teu Xiang Kai, both of which were built in 1985.

CIC Digang, the highest bidder amongst all participants of a public tender, paid around $310 per ldt for both vessels.

The container vessels will be delivered to CIC Digang at CIC Digang Dismantling Shipyard no later than 30 September this year.

CSCL said the 28-year-old container vessels have lost their commercial value due to their poor technical conditions, high repairing and maintenance costs.

“The sale will reduce the company's operating cost, optimise the structure of its shipping fleet and strengthen its core competitiveness and ability to enhance sustainable development,” the company said.

The scrapyard is wholly-owned by CSCL's controlling shareholder China Shipping, making the deal a connection transaction of the company.

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About the Author

Lee Hong Liang

Asia Correspondent

Singapore-based Lee Hong Liang provides a significant boost to daily coverage of the Asian shipping markets, as well as bringing with him an in-depth specialist knowledge of the bunkering markets.

Throughout Hong Liang’s 14-year career as a maritime journalist, he has reported ‘live’ news from conferences, conducted one-on-one interviews with top officials, and had the ability to write hard news and featured stories.

 

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