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Friday, 06 April 12
DRY BULK MARKET SWIFT TO HALT FALL ON RENEWED DEMAND FOR CAPESIZES - NIKOS ROUSSANOGLOU, HELLENIC SHIPPING
 The dry bulk managed to put a stop to the recent falls, which came as a result of a lacklustre demand for smaller vessel sizes. Although this trend has remained the same, the return of Chinese charterers from their three-day holidays marked a stronger demand for Capesizes yesterday, which in turn was enough to offset the lack of interest for smaller vessels and lead the market to higher ground. The Baltic Dry Index (BDI) was up by 0..22% to 928 points yesterday, with Capesizes gaining 2.17% on the day and reaching 1,507 points. By contrast, the demise of the Supramax market was again evident, with the relative index losing 1.66%, while Panamaxes were also down by 0.67%.
Detailing the oversupply issues which have caused the dry bulk market to retreat to such low levels since the start of the year, Intermodal’s Theodore Ntalakos said that “the freight market and other circumstances were quite convenient for many shipowners who while acting independently and rationally consulting their own self-interest, ordered new buildings even when it was clear that in the long-term the excessive tonnage would eventually suffocate the freight market. It is a real-life example of game theory that shows why two or more individuals might not cooperate, even if it is in their best interest to do so” said Mr. Ntalakos.
He went on to give an example to make his case. “Say we have one shipowner ( Shipowner A) and all the rest shipowners (Shipowner B). Each of their strategy is either to expand by ordering the new fuel efficient vessels or not to order and buy a vessel from the second hand market. We have four possible scenarios:
I. If Shipowner A orders and no one else does then he will get the benefit of new designs, and earn say $10, B stays behind and earns $1
II. If both A and B order then they lose the advantage and they earn very little - $2,
III. If no one orders then they earn moderately from their existing fleet - $5 each, and
IV. If shipowner A does not order but 'B' orders then 'A' will earn very little because the charterers will prefer B's ECO ships – A earns $1, B earns $10.
Here, regardless of what the other decides, each shipowner gets a higher pay-off by ordering new vessels:
I. If B does not order, the payoffs for A are $5 or $10 so he will always chose $10 i.e to order.
II. If B orders, the payoffs for A are $1 or $2 so he will always chose $2 i.e to order
The game is symmetric so Shipower B would always act the same way which means that both shipowers would order new vessels. Since both rational owners decide to order new vessels each receives a lower reward than if both were not to order!! So, rational decision-making results being worse off than if each chose not to order and accept to earn less. As the two shipowners can’t see what the others are doing and cannot play a cooperative game, they will decide to maximize their pay-off and always proceed with orders” said Mr. Ntalakos in a rather interesting undertaking.
He concluded his analysis by stating “we need however to point out that the new ECO ships especially with the current restrain on finance, will only be a small part of the total fleet and orderbook and it will take years to play a substantial part and drive the older vessels out of the market, so we expect owners who order such vessels with today's new builiding and bunker prices to have the competitive advantage for the years to come.
So, there you have it, Shipping is a non-cooperative game. Then why do pools exist? Even in pools if each member's interest to put the next (and succeeding) vessel he acquires into the pool and the demand is limited then the quality of the common is damaged for everybody. So like everything else in life one needs to find the proper equilibrium between cooperating and looking after one's self-interest” he said.
Source: Nikos Roussanoglou, Hellenic Shipping
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Tuesday, 14 August 12
SAKARI SIGNS HEADS OF AGREEMENT TO ACQUIRE SIX COAL CONCESSIONS IN INDONESIA
COALspot.com - Sakari has signed a Heads of Agreement (HOA) to acquire a 100% interest in up to six IUPs, covering an area of over 29,000 hectares, ...
Tuesday, 14 August 12
UNCERTAIN FUTURE FOR DRY BULK PANAMAX SHIPS - DREWRY / HELLENIC SHIPPING
The dry bulk shipping market is in a poor state, with the Capesize segment the worst of all. Unfortunately, the latest analysis from Drewry Maritime ...
Monday, 13 August 12
5TH VIETNAM PORTS AND LOGISTICS 2012
Press Release - Co-hosted by VINAMARINE, the 5th Vietnam Ports and Logistics2012 will feature dedicated sessions on port and transport infrastructur ...
Monday, 13 August 12
ACTIVE DRY BULK FLEET INCREASES BY 8% SO FAR IN 2012 IN TERMS OF TONNAGE CAPACITY - NIKOS ROUSSANOGLOU, HELLENIC SHIPPING
It’s no wonder that the dry bulk market has been tethering since the start of the year. the overflow of tonnage has been so enormous, that eve ...
Sunday, 12 August 12
COAL FREIGHT RATES FALL FLAT TO SOFT ON OVERSUPPLY, WEAK DEMAND - VISTAAR SINGAPROE
COALspot.com - The BDI continued its fall 10th August.
This week all segments were down including BDI down by 9.15 pct closing at 774 points .The ...
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Showing 4616 to 4620 news of total 6871 |
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- Kobexindo Tractors - Indoneisa
- Kalimantan Lumbung Energi - Indonesia
- Bulk Trading Sa - Switzerland
- Globalindo Alam Lestari - Indonesia
- Thiess Contractors Indonesia
- Gujarat Sidhee Cement - India
- TeaM Sual Corporation - Philippines
- Bank of Tokyo Mitsubishi UFJ Ltd
- Orica Australia Pty. Ltd.
- OPG Power Generation Pvt Ltd - India
- SMG Consultants - Indonesia
- Jaiprakash Power Ventures ltd
- Oldendorff Carriers - Singapore
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- MS Steel International - UAE
- PNOC Exploration Corporation - Philippines
- Tata Chemicals Ltd - India
- Electricity Generating Authority of Thailand
- Meralco Power Generation, Philippines
- Barasentosa Lestari - Indonesia
- Offshore Bulk Terminal Pte Ltd, Singapore
- Samtan Co., Ltd - South Korea
- Aditya Birla Group - India
- Semirara Mining and Power Corporation, Philippines
- Billiton Holdings Pty Ltd - Australia
- Power Finance Corporation Ltd., India
- Kumho Petrochemical, South Korea
- Goldman Sachs - Singapore
- Sree Jayajothi Cements Limited - India
- Kepco SPC Power Corporation, Philippines
- Anglo American - United Kingdom
- Sindya Power Generating Company Private Ltd
- Orica Mining Services - Indonesia
- Mintek Dendrill Indonesia
- Parry Sugars Refinery, India
- Bukit Makmur.PT - Indonesia
- Toyota Tsusho Corporation, Japan
- Independent Power Producers Association of India
- Deloitte Consulting - India
- TNB Fuel Sdn Bhd - Malaysia
- Iligan Light & Power Inc, Philippines
- Binh Thuan Hamico - Vietnam
- Krishnapatnam Port Company Ltd. - India
- Jorong Barutama Greston.PT - Indonesia
- Essar Steel Hazira Ltd - India
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Dalmia Cement Bharat India
- Ind-Barath Power Infra Limited - India
- Ministry of Mines - Canada
- Minerals Council of Australia
- Port Waratah Coal Services - Australia
- Cigading International Bulk Terminal - Indonesia
- Indian Energy Exchange, India
- Mercuria Energy - Indonesia
- PTC India Limited - India
- Siam City Cement - Thailand
- Georgia Ports Authority, United States
- Ceylon Electricity Board - Sri Lanka
- Bhushan Steel Limited - India
- Kideco Jaya Agung - Indonesia
- Grasim Industreis Ltd - India
- Chettinad Cement Corporation Ltd - India
- San Jose City I Power Corp, Philippines
- GMR Energy Limited - India
- Kapuas Tunggal Persada - Indonesia
- Miang Besar Coal Terminal - Indonesia
- Sarangani Energy Corporation, Philippines
- VISA Power Limited - India
- Star Paper Mills Limited - India
- Carbofer General Trading SA - India
- Straits Asia Resources Limited - Singapore
- Maheswari Brothers Coal Limited - India
- Borneo Indobara - Indonesia
- CIMB Investment Bank - Malaysia
- Leighton Contractors Pty Ltd - Australia
- Economic Council, Georgia
- Formosa Plastics Group - Taiwan
- Riau Bara Harum - Indonesia
- Petrochimia International Co. Ltd.- Taiwan
- Gujarat Electricity Regulatory Commission - India
- Planning Commission, India
- Indonesian Coal Mining Association
- Renaissance Capital - South Africa
- Lanco Infratech Ltd - India
- Karaikal Port Pvt Ltd - India
- Standard Chartered Bank - UAE
- Bhatia International Limited - India
- Electricity Authority, New Zealand
- Coal and Oil Company - UAE
- Banpu Public Company Limited - Thailand
- Indo Tambangraya Megah - Indonesia
- White Energy Company Limited
- Indika Energy - Indonesia
- Vedanta Resources Plc - India
- Thai Mozambique Logistica
- Baramulti Group, Indonesia
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- Medco Energi Mining Internasional
- Australian Coal Association
- The State Trading Corporation of India Ltd
- McConnell Dowell - Australia
- Bharathi Cement Corporation - India
- Neyveli Lignite Corporation Ltd, - India
- Bhoruka Overseas - Indonesia
- Bayan Resources Tbk. - Indonesia
- Chamber of Mines of South Africa
- Jindal Steel & Power Ltd - India
- Sinarmas Energy and Mining - Indonesia
- The University of Queensland
- Central Electricity Authority - India
- Therma Luzon, Inc, Philippines
- Marubeni Corporation - India
- Holcim Trading Pte Ltd - Singapore
- Metalloyd Limited - United Kingdom
- Mercator Lines Limited - India
- Altura Mining Limited, Indonesia
- Sojitz Corporation - Japan
- Intertek Mineral Services - Indonesia
- Alfred C Toepfer International GmbH - Germany
- Directorate Of Revenue Intelligence - India
- Heidelberg Cement - Germany
- Tamil Nadu electricity Board
- Merrill Lynch Commodities Europe
- Romanian Commodities Exchange
- Madhucon Powers Ltd - India
- Interocean Group of Companies - India
- European Bulk Services B.V. - Netherlands
- Global Business Power Corporation, Philippines
- Simpson Spence & Young - Indonesia
- Maharashtra Electricity Regulatory Commission - India
- Eastern Energy - Thailand
- Rio Tinto Coal - Australia
- South Luzon Thermal Energy Corporation
- Petron Corporation, Philippines
- Posco Energy - South Korea
- Semirara Mining Corp, Philippines
- Rashtriya Ispat Nigam Limited - India
- Meenaskhi Energy Private Limited - India
- Vizag Seaport Private Limited - India
- Coalindo Energy - Indonesia
- Wood Mackenzie - Singapore
- Bangladesh Power Developement Board
- Sical Logistics Limited - India
- Kaltim Prima Coal - Indonesia
- Kohat Cement Company Ltd. - Pakistan
- GVK Power & Infra Limited - India
- Asmin Koalindo Tuhup - Indonesia
- Directorate General of MIneral and Coal - Indonesia
- ASAPP Information Group - India
- Central Java Power - Indonesia
- Eastern Coal Council - USA
- IEA Clean Coal Centre - UK
- ICICI Bank Limited - India
- Uttam Galva Steels Limited - India
- PetroVietnam Power Coal Import and Supply Company
- Commonwealth Bank - Australia
- Siam City Cement PLC, Thailand
- Singapore Mercantile Exchange
- PowerSource Philippines DevCo
- India Bulls Power Limited - India
- Sakthi Sugars Limited - India
- SN Aboitiz Power Inc, Philippines
- IHS Mccloskey Coal Group - USA
- Gujarat Mineral Development Corp Ltd - India
- Savvy Resources Ltd - HongKong
- Trasteel International SA, Italy
- Australian Commodity Traders Exchange
- Price Waterhouse Coopers - Russia
- Makarim & Taira - Indonesia
- London Commodity Brokers - England
- Antam Resourcindo - Indonesia
- Kartika Selabumi Mining - Indonesia
- Parliament of New Zealand
- Larsen & Toubro Limited - India
- Indian Oil Corporation Limited
- Ambuja Cements Ltd - India
- Global Coal Blending Company Limited - Australia
- Pendopo Energi Batubara - Indonesia
- Aboitiz Power Corporation - Philippines
- GN Power Mariveles Coal Plant, Philippines
- Cement Manufacturers Association - India
- SMC Global Power, Philippines
- CNBM International Corporation - China
- GAC Shipping (India) Pvt Ltd
- Timah Investasi Mineral - Indoneisa
- Wilmar Investment Holdings
- The Treasury - Australian Government
- Global Green Power PLC Corporation, Philippines
- AsiaOL BioFuels Corp., Philippines
- Africa Commodities Group - South Africa
- Mjunction Services Limited - India
- New Zealand Coal & Carbon
- Coastal Gujarat Power Limited - India
- Indogreen Group - Indonesia
- International Coal Ventures Pvt Ltd - India
- Agrawal Coal Company - India
- Latin American Coal - Colombia
- Bukit Asam (Persero) Tbk - Indonesia
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Ministry of Transport, Egypt
- Videocon Industries ltd - India
- Energy Link Ltd, New Zealand
- Energy Development Corp, Philippines
- Edison Trading Spa - Italy
- Xindia Steels Limited - India
- Bahari Cakrawala Sebuku - Indonesia
- Malabar Cements Ltd - India
- Bukit Baiduri Energy - Indonesia
- LBH Netherlands Bv - Netherlands
- Salva Resources Pvt Ltd - India
- Vijayanagar Sugar Pvt Ltd - India
- Attock Cement Pakistan Limited
- Karbindo Abesyapradhi - Indoneisa
- Pipit Mutiara Jaya. PT, Indonesia
- Ministry of Finance - Indonesia
- Manunggal Multi Energi - Indonesia
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