We welcome article submissions from experts in the areas of coal, mining,
shipping, etc.
To Submit your article please click here.
|
|
|
Wednesday, 09 July 14
SHIPPING MARKET INSIGHT - PANOS TSILINGIRIS
 The mini-boom in dry bulker values catapulted ship prices too fast too far over the last one-and-a-half year. The concurrence of historically low prices in both second-hand and newbuilding markets, which approached the post Asian crisis lows in inflation-adjusted terms, offered the perfect background for asset play, but this is much easier said than done.
Most real-world buy-low-sell-higher cases concentrated on the flipping of newbuildings contracted at rock-bottom prices when we witnessed Handysize Newbuildings at sub-20musd levels, Ultramaxes at sub-24musd, Kamsarmaxes at rgn 26musd, and Capes at low-mid 40s. Notably, Cargill penned in May 2013 3x180kdwt Capes at SWS, acknowledging they would not operate these ships forever, and by the end of the same year sold them to Scorpio at 57musd each at a stunning rgn10musd profit per vessel. Oldendorff purchased a Crown-63 resale in late 2012 for mid-24s and after trading her, sold her for rgn31musd to Greeks. The same interests recently sold to Diana, a 180k Capesize resale under construction at Qingdao Beihai, for 58musd and a profit in excess of 10musd.
S&P-wise, the appreciation was spectacular on all dry asset classes last year. Regarding LME Panamaxes, ex-Ocean Planet (‘05 Sasebo) was committed in January 2013 by Chartworld at sub-m$15 while ex-Ocean Lily (’06 Imabari) was sold to Sanko close to 25musd this March, resulting in a 2/3 value appreciation in 14mos. While initial appreciation was substantiated, it went on irrationally (mimicry, artificial liquidity by the speculative funds, fear of ‘losing’ the market or even having money in the bank, taxation considerations, low interest rates, etc). On a few S&P asset play cases, in late 2012 Norwegian interests committed the 2006-built Tsuneishi Kamsarmax ex ‘Mizunagi Maru’ arnd 18.4musd and sold her a year later at 23.5musd to Greek interests enjoying a 5musd profit. Chinese owners also got on the bandwagon, having sold two late 90s Capes (m/v Lian Fu Star and m/v Tai Fu Star) to Ukrainians at mid/high teens recording a profit of rgn/xs 5musd per vessel in less than a year.
The current price correction is evidenced by the sale of the ‘Yusho Spica’ at rgn 20musd marked an abrupt 5musd discount from her same-year built sister ‘Ocean Lily’ 3 months ago. This brings asset values back to May 2013 when the ex-Shoyo (76k ’06 Namura) was sold at 20.25musd to Diana. Most likely, the current correction will not break soon the previous lows, because the costs of creating a new asset, ie, newbuilding prices, are well above previous lows and there are still many buyers/funds getting ready to step in, should a further correction in asset values occurs.
Well-timed acquisitions materialize when the others are fearful, when the banks do not lend money, when speculative money becomes disappointed. Nobody knows where we are heading but the recent past has benchmarked a lower bound for assets. As such, there may be longer-term value in modern S&P deals priced up to a 20% premium above the rock-bottom (e.g. a 2006/7 Japanese built Panamax BC at 18musd) and at a respective 10% premium for newbuildings (e.g., rgn/sub 29-30musd for Kamsa NBs from top Chinese yards). We may be getting close to there, but there are strong resistance forces as well.
Perhaps the wildest scenario would arise if the freight market stays depressed for another year and asset prices deteriorate further. What would then be the reaction of the speculative funds that, having a short-term investment horizon anyway, may massively look for an exit? In case this happens, it may signal the biggest asset play opportunity in the coming years.
By Panos Tsilingiris - SnP Broker
Analysts:
Mr. George Lazaridis
Ms. Eva Tzima
Disclaimer and legal disclosure: For any further queries please do not hesitate to contact our Research & Valuations Department. The information contained in this report has been obtained from various sources, as reported in the market. Intermodal Shipbrokers Co. believes such information to be factual and reliable without making guarantees regarding its accuracy or completeness. Whilst every care has been taken in the production of the above review, no liability can be accepted for any loss or damage incurred in any way whatsoever by any person who may seek to rely on the information and views contained in this material. This report is being produced for the internal use of the intended recipients only and no re-producing is allowed, without the prior written authorization of Intermodal Shipbrokers Co.
Information contained within the website of COALspot.com is intended for informational purposes only and is not intended as professional counsel and should not be used as such.
If you believe an article violates your rights or the rights of others, please contact us.
|
|
Wednesday, 06 August 14
CAPES: BUSINESS INTEREST REMAINS SOFT; CURRENTLY NO SIGNS OF IMPROVEMENT - INTERMODAL
COALspot.com: Despite the considerable pressure witnessed in the freight market for most of the size segments, the Dry Bulk Index was able to note ...
Wednesday, 06 August 14
SHIPPING MARKET INSIGHT - EVA TZIMA
Recent reports that Indonesia’s ban on exports of metal ore concentrates was lifted for the first time in six months for two of its biggest m ...
Wednesday, 06 August 14
SGX SUCCESSFULLY LAUNCHED NEW SGX COAL PRODUCTS
COALspot.com: Singapore Exchange (‘SGX’) has announced that, the exchange has successfully launched its new Coking and Thermal Coal pro ...
Monday, 04 August 14
ANNUAL SECOND HALF SURGE IN BRAZILIAN IRON ORE EXPORTS ABOUT TO BEGIN - JEFFREY LANDSBERG
COALspot.com: Great strength in the capesize market has all along been set to occur during the second half of this year, as that is when Brazilian ...
Monday, 04 August 14
SUB-BIT FOB INDONESIA COAL SWAP INCHES UP DESPITE LOW DEMAND
COALspot.com: Indonesian coal swaps for average Q4’ 2014 increased US$ 0.15 day on day and US$ 0.13 per mt week on week. But, the swap was lo ...
|
|
|
Showing 3561 to 3565 news of total 6871 |
|
 |
|
|
|
|
| |
|
 |
|
|
| |
|
- Eastern Coal Council - USA
- Kapuas Tunggal Persada - Indonesia
- Malabar Cements Ltd - India
- Goldman Sachs - Singapore
- Aditya Birla Group - India
- Sical Logistics Limited - India
- Kartika Selabumi Mining - Indonesia
- Indonesian Coal Mining Association
- Krishnapatnam Port Company Ltd. - India
- Banpu Public Company Limited - Thailand
- The Treasury - Australian Government
- Larsen & Toubro Limited - India
- Electricity Authority, New Zealand
- Uttam Galva Steels Limited - India
- Agrawal Coal Company - India
- Vedanta Resources Plc - India
- Semirara Mining and Power Corporation, Philippines
- Savvy Resources Ltd - HongKong
- Essar Steel Hazira Ltd - India
- Sakthi Sugars Limited - India
- Holcim Trading Pte Ltd - Singapore
- Australian Commodity Traders Exchange
- SMG Consultants - Indonesia
- Vizag Seaport Private Limited - India
- Kaltim Prima Coal - Indonesia
- ICICI Bank Limited - India
- Siam City Cement PLC, Thailand
- Bulk Trading Sa - Switzerland
- Billiton Holdings Pty Ltd - Australia
- Marubeni Corporation - India
- Gujarat Sidhee Cement - India
- GVK Power & Infra Limited - India
- Latin American Coal - Colombia
- Indika Energy - Indonesia
- Deloitte Consulting - India
- Videocon Industries ltd - India
- Indian Oil Corporation Limited
- Edison Trading Spa - Italy
- Straits Asia Resources Limited - Singapore
- International Coal Ventures Pvt Ltd - India
- Bukit Asam (Persero) Tbk - Indonesia
- Directorate Of Revenue Intelligence - India
- Cigading International Bulk Terminal - Indonesia
- The State Trading Corporation of India Ltd
- Orica Australia Pty. Ltd.
- Petrochimia International Co. Ltd.- Taiwan
- Manunggal Multi Energi - Indonesia
- ASAPP Information Group - India
- White Energy Company Limited
- Bayan Resources Tbk. - Indonesia
- Formosa Plastics Group - Taiwan
- Altura Mining Limited, Indonesia
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Pipit Mutiara Jaya. PT, Indonesia
- OPG Power Generation Pvt Ltd - India
- Barasentosa Lestari - Indonesia
- Medco Energi Mining Internasional
- Leighton Contractors Pty Ltd - Australia
- Anglo American - United Kingdom
- Bhoruka Overseas - Indonesia
- Thiess Contractors Indonesia
- Cement Manufacturers Association - India
- Gujarat Mineral Development Corp Ltd - India
- India Bulls Power Limited - India
- Asmin Koalindo Tuhup - Indonesia
- Borneo Indobara - Indonesia
- Kobexindo Tractors - Indoneisa
- Kideco Jaya Agung - Indonesia
- New Zealand Coal & Carbon
- Kepco SPC Power Corporation, Philippines
- Mjunction Services Limited - India
- Australian Coal Association
- Bukit Baiduri Energy - Indonesia
- Maheswari Brothers Coal Limited - India
- Neyveli Lignite Corporation Ltd, - India
- Wilmar Investment Holdings
- Therma Luzon, Inc, Philippines
- Rio Tinto Coal - Australia
- Petron Corporation, Philippines
- Vijayanagar Sugar Pvt Ltd - India
- Iligan Light & Power Inc, Philippines
- Standard Chartered Bank - UAE
- TNB Fuel Sdn Bhd - Malaysia
- Power Finance Corporation Ltd., India
- SMC Global Power, Philippines
- Dalmia Cement Bharat India
- Binh Thuan Hamico - Vietnam
- McConnell Dowell - Australia
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Thai Mozambique Logistica
- Central Java Power - Indonesia
- Chamber of Mines of South Africa
- South Luzon Thermal Energy Corporation
- GMR Energy Limited - India
- Renaissance Capital - South Africa
- Bangladesh Power Developement Board
- Grasim Industreis Ltd - India
- Miang Besar Coal Terminal - Indonesia
- Salva Resources Pvt Ltd - India
- Jindal Steel & Power Ltd - India
- Alfred C Toepfer International GmbH - Germany
- Globalindo Alam Lestari - Indonesia
- LBH Netherlands Bv - Netherlands
- PowerSource Philippines DevCo
- Sarangani Energy Corporation, Philippines
- Parliament of New Zealand
- Kohat Cement Company Ltd. - Pakistan
- Energy Development Corp, Philippines
- CIMB Investment Bank - Malaysia
- Metalloyd Limited - United Kingdom
- Directorate General of MIneral and Coal - Indonesia
- Mercuria Energy - Indonesia
- San Jose City I Power Corp, Philippines
- Karaikal Port Pvt Ltd - India
- GAC Shipping (India) Pvt Ltd
- Posco Energy - South Korea
- Bharathi Cement Corporation - India
- Attock Cement Pakistan Limited
- Meenaskhi Energy Private Limited - India
- Makarim & Taira - Indonesia
- TeaM Sual Corporation - Philippines
- PTC India Limited - India
- Bhatia International Limited - India
- Lanco Infratech Ltd - India
- Jaiprakash Power Ventures ltd
- Global Business Power Corporation, Philippines
- Simpson Spence & Young - Indonesia
- Commonwealth Bank - Australia
- Bahari Cakrawala Sebuku - Indonesia
- Parry Sugars Refinery, India
- Star Paper Mills Limited - India
- Aboitiz Power Corporation - Philippines
- MS Steel International - UAE
- Bukit Makmur.PT - Indonesia
- Bhushan Steel Limited - India
- Mercator Lines Limited - India
- The University of Queensland
- Coastal Gujarat Power Limited - India
- Georgia Ports Authority, United States
- Global Coal Blending Company Limited - Australia
- Singapore Mercantile Exchange
- IHS Mccloskey Coal Group - USA
- Intertek Mineral Services - Indonesia
- Wood Mackenzie - Singapore
- Port Waratah Coal Services - Australia
- Oldendorff Carriers - Singapore
- Central Electricity Authority - India
- IEA Clean Coal Centre - UK
- Energy Link Ltd, New Zealand
- Antam Resourcindo - Indonesia
- Maharashtra Electricity Regulatory Commission - India
- VISA Power Limited - India
- Madhucon Powers Ltd - India
- Riau Bara Harum - Indonesia
- Price Waterhouse Coopers - Russia
- Sojitz Corporation - Japan
- Orica Mining Services - Indonesia
- Electricity Generating Authority of Thailand
- PetroVietnam Power Coal Import and Supply Company
- Jorong Barutama Greston.PT - Indonesia
- Carbofer General Trading SA - India
- Indo Tambangraya Megah - Indonesia
- Sindya Power Generating Company Private Ltd
- Baramulti Group, Indonesia
- Economic Council, Georgia
- Ministry of Mines - Canada
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Tamil Nadu electricity Board
- Africa Commodities Group - South Africa
- Rashtriya Ispat Nigam Limited - India
- Eastern Energy - Thailand
- Merrill Lynch Commodities Europe
- European Bulk Services B.V. - Netherlands
- Interocean Group of Companies - India
- CNBM International Corporation - China
- Siam City Cement - Thailand
- Planning Commission, India
- Timah Investasi Mineral - Indoneisa
- GN Power Mariveles Coal Plant, Philippines
- Romanian Commodities Exchange
- Chettinad Cement Corporation Ltd - India
- Samtan Co., Ltd - South Korea
- Indogreen Group - Indonesia
- SN Aboitiz Power Inc, Philippines
- Toyota Tsusho Corporation, Japan
- Ind-Barath Power Infra Limited - India
- Indian Energy Exchange, India
- Trasteel International SA, Italy
- Heidelberg Cement - Germany
- AsiaOL BioFuels Corp., Philippines
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Bank of Tokyo Mitsubishi UFJ Ltd
- Ceylon Electricity Board - Sri Lanka
- Minerals Council of Australia
- Kalimantan Lumbung Energi - Indonesia
- Sree Jayajothi Cements Limited - India
- Pendopo Energi Batubara - Indonesia
- Tata Chemicals Ltd - India
- Mintek Dendrill Indonesia
- Offshore Bulk Terminal Pte Ltd, Singapore
- Ambuja Cements Ltd - India
- Ministry of Transport, Egypt
- Ministry of Finance - Indonesia
- Coal and Oil Company - UAE
- Kumho Petrochemical, South Korea
- Gujarat Electricity Regulatory Commission - India
- Semirara Mining Corp, Philippines
- Xindia Steels Limited - India
- Coalindo Energy - Indonesia
- Meralco Power Generation, Philippines
- PNOC Exploration Corporation - Philippines
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- Karbindo Abesyapradhi - Indoneisa
- Independent Power Producers Association of India
- Global Green Power PLC Corporation, Philippines
- London Commodity Brokers - England
- Sinarmas Energy and Mining - Indonesia
|
| |
| |
|
