South Korean shipbuilder Hanjin Heavy Industries and Construction (HHIC) said on 22 September that it has terminated orders for two Capesize bulkers after the customer defaulted on a payment instalment.
The ships were ordered for KRW116,252,770,000 (USD109.5 million), working out to about USD55 million per ship.
HHIC did not identify the customer but IHS Maritime’s Sea-Web data indicates the ships are two 179,800 dwt bulkers ordered by Golden Union Shipping subsidiaries Jetty Marine and Jetty Shipping.
The ships were to be delivered in November and December this year.
The Baltic Dry Index fell to a historic low in February due overtonnage and a decrease in China’s demand for raw materials.
Freight rates for Capesizes are still barely profitable.