Nanshan Group, a Chinese private-run conglomerate, plans to buy second-hand bulk carriers to meet the demand of its electricity producing unit for coal shipping capacity.
The planned acquisitions of second-hand bulkers include two to four Panamaxes, two to three Supramaxes, and two to three Handysizes.
The company prefers second-hand bulkers to newbuildings because second-hand bulker prices are on larger discounts, even though newbuilding prices are at historic lows, FDR Finance Leasing deputy general manager Diao Gang told the Asia Shipping Fortune Forum on 22 May.
FDR Finance Leasing is a financial unit of Nanshan Group. The Group also owns energy companies in Shandong, where it is based.
The Group is eyeing potential increases in asset values of the second-hand bulkers it plans to acquire in the future, Diao said. If the best scenario does not materialise, the bulkers would be deployed to ship the coal that the group’s power plants burn.
In addition, Diao said the group will opt for eco-ships in its future vessel acquisitions.