Maersk to Place $1.7b Container Ship Order

By MarEx 2015-05-11 12:36:23

Maersk Line is currently in talks with South Korea’s Daewoo Shipbuilding & Marine Engineering Co. (DSME) for an order of 11 ultra-large container ships, worth around $1.7 billion.

The Korean company is close to winning an order for some 11 container ships of 20,000 TEU (20-foot equivalent units) from Maersk for about $151 million per vessel or more, South Korean newspaper Korea Economic Daily reported last week, citing unnamed shipbuilding industry sources and foreign media.

British ship broking house Clarkson also confirmed the deal, which is worth $1.66 billion in total. The ships would be delivered in 2017, Clarkson said in a shipping industry report on Friday.

The spokesman for DSME declined to confirm or deny other details, adding that nothing has been decided. “Maersk Line never comments on rumors,” a spokesman from Maersk Line, the container shipping unit in Danish conglomerate A.P. Moller-Maersk, said.

In 2011 DSME won orders from Maersk totaling $3.9 billion for 20 Triple –E container ship, which at the time were the largest container vessels ever ordered. The last two vessels from this order are set to be delivered by July 2015.

After the initial Maersk order in 2011, other major shipping companies soon followed suit by updating their fleet with newer, larger capacity container vessels.

So far this year Costco Holdings announced it would place in order for at least ten 19,000 TEU vessels and Orient Oversees Container Lines similarly placed an order for the largest container vessels, six 21,000TEU newbuildings from Samsung Heavy Industries.

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Scorpio buys newbuilding resales

NYSE-listed Scorpio Tankers is deploying cash raised in a recent share offering to purchase four LR2 product tanker newbuilding resales for USD60 million each.
The newbuildings are being constructed at Sundong Shipbuilding and Marine Engineering and Daehan Shipbuilding. They are due for delivery
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NAT rides rate rise

Nordic American Tankers (NAT) has reported much higher profits for its first quarter as spot rates for its Suezmax fleet surged.
NYSE-listed NAT reported net income of USD30.3 million in 1Q15 compared with USD4 million in 1Q14. Average time charter equivalent rates in the latest quarter averaged
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Crew Satisfaction Still Has Room for Improvement

By MarEx 2015-05-11 11:02:21

A new survey released today by Crewtoo, a social media platform for seafarers, indicates there are still major issues that need to be addressed to ensure overall crew satisfaction. Crewtoo surveyed members of its approximately 110,000 members for a three month period beginning January 2015 and asked them to rate their satisfaction working at sea according to a 10 point scale. The overall result of the seafarer’s surveyed indicated that overall happiness came in at mediocre 6.42, with 10 representing the highest degree of satisfaction.

“It is all well and good to talk about seafarers and the realities of life at sea, but until now there has been very little confirmation as to how seafarers actually feel about their jobs”, says Anneley Pickles, head of Crewtoo business development.

The biggest seafarer complaints included a lack of shore leave and stress and fatigue from increasing workloads. Also, at the forefront for many crew members was access to reliable internet. Seafarers stated that onboard internet “makes life at sea easier”, due mainly to increased communication with family and friends back at home. They also noted concern that the industry might have difficulty attracting new talent if internet connectivity does not become more commonplace aboard vessels.

In article published earlier this year in Alert! 38 Bob Iverson, Project Manager of Seafarer’s Mental Health indicated an alarming trend of depression among seafarers. Among 17,026 reported seafarer’s deaths in the period between 1960-2009 roughly 5.9% of all deaths were a result of suicide. This figure is nearly four times higher than suicide averages of 1.6% in Australia and 1.2% in the United Kingdom for 2011.

According to the Seafarer’s Mental Health website primary causes of depression include separation from family and reduced shore leave – two of the main issues brought up by seafarers in today’s study.

Speaking on the results of the survey Ms. Pickles stated, “Happy people stick around, happy people work well, they embrace challenges, they look to excel and share with others. In short, happiness matters and it needs to be measured, assessed, and understood. The lessons then need to be applied to ensure that we are looking after seafarers properly and responding to their wants and needs”.

The results of the Crewtoo study contrast with findings from a joint BIMCO/ICS survey conducted in April. The previous study indicated that the majority of seafarers were content with life at sea, while today’s study indicates that seafarers have numerous concerns that still need to be addressed.

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