We welcome article submissions from experts in the areas of coal, mining,
shipping, etc.
To Submit your article please click here.
|
|
|
Friday, 19 September 14
PRICES FOR DRY BULK CARRIERS HAVEN'T CORRECTED ENOUGH, DESPITE LOWER THAN EXPECTED FREIGHT RATES - NIKOS ROUSSANOGLOU, HELLENIC SHIPPING
 A lot has been said and written about the looming dry bulk market recovery over the past few months. However, even if this hasn’t been materialized, at least not yet, prices for dry bulk carriers haven’t abated that much. According to the latest report from shipbroker Intermodal this is due to a number of reasons, namely the overabundance of financing, given the rapid emergence of private equity funds, as well as the sellers’ expectations.
According to Intermodal’s weekly report, “cince the onslaught of 2013 the rising tide of asset prices had been primarily driven by the increasing freight market conditions and the improving sentiment as to the future prospects of the Dry Bulk markets. Having put behind them the “lean” years of 2011 and 2012, owners were starting to feel more confident about the conditions they would face moving forward. Many saw a more balanced market were the ore reasonable delivery schedule of newbuildings (compared to that of 2012) would be met with the equal demand growth that they had been accustomed to during the period post the 2008 crisis”.
Intermodal’s Research Analyst, Mr. George Lazaridis noted that, “this was a fairly reasonable assumption as there seemed to be nothing in sight that could stop the insatiable appetite from the developing economies for further growth and higher consumption of raw materials. This all proved the more reasonable when just at the start of the final quarter of 2013 a major rally in the freight markets started to take place, bringing earnings to levels that were long forgotten”.
Yet, as he noted “this rosy picture painted by many in their mind was already breaking at the seams. The freight market started to plummet back down to the levels seen in early 2013 and whispers started to emerge of an imminent slowdown in growth by the dry bulk’s major driving economy, namely China. Yet this did not seem to have the strong impact many would have anticipated in the secondhand market. Prices continued to climb at an extraordinary rate peaking late April early May, despite the fact that a promise of a strong spring market never materialized. Yet even after this, the correction was only marginal”.
So why is there still such optimism amongst buyers? and more specifically why still for the larger Capesize vessels? These are the questions posed rightfully so by the shipbroker’s analyst. According to Mr. Lazaridis, “many may be still convinced that appetite will still be there going forward for both iron ore and coal by the world’s second largest economy. In all truth there may well be a new stimulus plan just around the corner and things may well get back on track with regards to demand. But it seems there is a more indirect cause at play here.
While the continual increase in asset prices may be seen as a reflection of a more bullish approach by investors, it seems to be more the excess of financing and the high price ideas held by the few available sellers in the market. With regards to the former, one must not forget that finance was not easily available during 2011-2012, especially for secondhand purchases and as a consequence the large influx of cash has made most buyers willing to splash out more in order to fuel their expansion plans. This will inevitably have some consequences going forward as most of this readily available cash comes at a much higher cost then what the traditional bank driven finance would have”, he noted.
Lazaridis concluded that “as to the side of the sellers, there are few out there willing to part with their assets at lower prices than they have been used to seeing over the past couple of months, and holding a more optimistic view themselves, they are only truly willing sellers at the currently prevailing prices. The question that holds is how long will this new price reality hold? And will freight rates eventually show the recovery all these prospective buyers are hoping for?”, he wondered.
Source: Nikos Roussanoglou, Hellenic Shipping News
If you believe an article violates your rights or the rights of others, please contact us.
|
|
Friday, 10 October 14
INDONESIA TO DEVELOP DOWNSTREAM COAL INDUSTRY - JP
The government is planning to launch a program to develop the downstream coal industry to increase the commodity’s added value, an official h ...
Friday, 10 October 14
U.S. PRODUCED 83.2 MMST OF COAL IN SEPTEMBER, SAYS EIA
COALspot.com – United States the world's one of largest coal producers, produced approximately 18.6 million short tons (mmst) of coal in ...
Thursday, 09 October 14
CAPESIZE MARKET HAS CONTINUED TO SHOW WEAKNESS - FEARNLEYS
Handy
We mentioned last week that after several weeks of rate increase for the Supras, the bigger Panamaxes started to snap up better paying Supr ...
Thursday, 09 October 14
SHIPPING REMAINS CHALLENGED AS GLOBAL GROWTH DISAPPOINTS - BIMCO
The global shipping industry finds no grace from much stronger economic activity going forward, as the global recovery remains fragile and uneven. ...
Wednesday, 08 October 14
CAPES RATE FOR THE W. AUSTRALIA TO CHINA VOYAGE MOVED TO BELOW $8/MT - INTERMODAL
The Dry Bulk market remained under pressure last week, with rates for Capes remaining on the red while those for Panamaxes managed to outperform th ...
|
|
|
Showing 3441 to 3445 news of total 6871 |
|
 |
|
|
|
|
| |
|
 |
|
|
| |
|
- Ceylon Electricity Board - Sri Lanka
- Thiess Contractors Indonesia
- Directorate Of Revenue Intelligence - India
- Toyota Tsusho Corporation, Japan
- Riau Bara Harum - Indonesia
- Barasentosa Lestari - Indonesia
- PowerSource Philippines DevCo
- Kideco Jaya Agung - Indonesia
- Bank of Tokyo Mitsubishi UFJ Ltd
- Larsen & Toubro Limited - India
- Gujarat Sidhee Cement - India
- Vijayanagar Sugar Pvt Ltd - India
- Parry Sugars Refinery, India
- Mintek Dendrill Indonesia
- MS Steel International - UAE
- Parliament of New Zealand
- Africa Commodities Group - South Africa
- Tamil Nadu electricity Board
- Edison Trading Spa - Italy
- International Coal Ventures Pvt Ltd - India
- Energy Development Corp, Philippines
- Bulk Trading Sa - Switzerland
- Chettinad Cement Corporation Ltd - India
- Binh Thuan Hamico - Vietnam
- Maheswari Brothers Coal Limited - India
- Borneo Indobara - Indonesia
- Sinarmas Energy and Mining - Indonesia
- Intertek Mineral Services - Indonesia
- CNBM International Corporation - China
- Posco Energy - South Korea
- Metalloyd Limited - United Kingdom
- Holcim Trading Pte Ltd - Singapore
- Oldendorff Carriers - Singapore
- Price Waterhouse Coopers - Russia
- Grasim Industreis Ltd - India
- Kalimantan Lumbung Energi - Indonesia
- Electricity Authority, New Zealand
- AsiaOL BioFuels Corp., Philippines
- Sarangani Energy Corporation, Philippines
- Global Green Power PLC Corporation, Philippines
- PetroVietnam Power Coal Import and Supply Company
- Indonesian Coal Mining Association
- VISA Power Limited - India
- Power Finance Corporation Ltd., India
- Merrill Lynch Commodities Europe
- Renaissance Capital - South Africa
- Altura Mining Limited, Indonesia
- South Luzon Thermal Energy Corporation
- Heidelberg Cement - Germany
- Straits Asia Resources Limited - Singapore
- Xindia Steels Limited - India
- Aboitiz Power Corporation - Philippines
- Ministry of Transport, Egypt
- Energy Link Ltd, New Zealand
- Dalmia Cement Bharat India
- SMG Consultants - Indonesia
- Mercator Lines Limited - India
- Georgia Ports Authority, United States
- Directorate General of MIneral and Coal - Indonesia
- Ministry of Mines - Canada
- GN Power Mariveles Coal Plant, Philippines
- Maharashtra Electricity Regulatory Commission - India
- Meenaskhi Energy Private Limited - India
- Deloitte Consulting - India
- Baramulti Group, Indonesia
- Australian Commodity Traders Exchange
- Global Business Power Corporation, Philippines
- Global Coal Blending Company Limited - Australia
- Karaikal Port Pvt Ltd - India
- ASAPP Information Group - India
- Wilmar Investment Holdings
- CIMB Investment Bank - Malaysia
- Eastern Energy - Thailand
- Indo Tambangraya Megah - Indonesia
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- TeaM Sual Corporation - Philippines
- Semirara Mining Corp, Philippines
- Asmin Koalindo Tuhup - Indonesia
- Gujarat Mineral Development Corp Ltd - India
- Pendopo Energi Batubara - Indonesia
- Neyveli Lignite Corporation Ltd, - India
- Uttam Galva Steels Limited - India
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Cigading International Bulk Terminal - Indonesia
- Therma Luzon, Inc, Philippines
- Bharathi Cement Corporation - India
- Videocon Industries ltd - India
- GAC Shipping (India) Pvt Ltd
- Mercuria Energy - Indonesia
- Savvy Resources Ltd - HongKong
- Jindal Steel & Power Ltd - India
- Antam Resourcindo - Indonesia
- Minerals Council of Australia
- Bayan Resources Tbk. - Indonesia
- Ministry of Finance - Indonesia
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Eastern Coal Council - USA
- IHS Mccloskey Coal Group - USA
- Ind-Barath Power Infra Limited - India
- Rashtriya Ispat Nigam Limited - India
- Wood Mackenzie - Singapore
- Sical Logistics Limited - India
- Sakthi Sugars Limited - India
- Karbindo Abesyapradhi - Indoneisa
- McConnell Dowell - Australia
- Interocean Group of Companies - India
- Kartika Selabumi Mining - Indonesia
- Independent Power Producers Association of India
- Coal and Oil Company - UAE
- Pipit Mutiara Jaya. PT, Indonesia
- Romanian Commodities Exchange
- Siam City Cement - Thailand
- Kohat Cement Company Ltd. - Pakistan
- Petron Corporation, Philippines
- Ambuja Cements Ltd - India
- Jaiprakash Power Ventures ltd
- Offshore Bulk Terminal Pte Ltd, Singapore
- Salva Resources Pvt Ltd - India
- Aditya Birla Group - India
- White Energy Company Limited
- Semirara Mining and Power Corporation, Philippines
- Samtan Co., Ltd - South Korea
- Malabar Cements Ltd - India
- Bangladesh Power Developement Board
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Chamber of Mines of South Africa
- Makarim & Taira - Indonesia
- Anglo American - United Kingdom
- Bukit Makmur.PT - Indonesia
- Banpu Public Company Limited - Thailand
- Sindya Power Generating Company Private Ltd
- Alfred C Toepfer International GmbH - Germany
- Bhushan Steel Limited - India
- PNOC Exploration Corporation - Philippines
- Star Paper Mills Limited - India
- Kaltim Prima Coal - Indonesia
- New Zealand Coal & Carbon
- Kapuas Tunggal Persada - Indonesia
- London Commodity Brokers - England
- Standard Chartered Bank - UAE
- Orica Australia Pty. Ltd.
- Billiton Holdings Pty Ltd - Australia
- Formosa Plastics Group - Taiwan
- GVK Power & Infra Limited - India
- Central Electricity Authority - India
- Bahari Cakrawala Sebuku - Indonesia
- Manunggal Multi Energi - Indonesia
- Rio Tinto Coal - Australia
- Gujarat Electricity Regulatory Commission - India
- Tata Chemicals Ltd - India
- Bhoruka Overseas - Indonesia
- Coastal Gujarat Power Limited - India
- Simpson Spence & Young - Indonesia
- Leighton Contractors Pty Ltd - Australia
- Commonwealth Bank - Australia
- Singapore Mercantile Exchange
- Indian Oil Corporation Limited
- Coalindo Energy - Indonesia
- PTC India Limited - India
- Bukit Asam (Persero) Tbk - Indonesia
- Indika Energy - Indonesia
- Meralco Power Generation, Philippines
- Agrawal Coal Company - India
- Lanco Infratech Ltd - India
- European Bulk Services B.V. - Netherlands
- Globalindo Alam Lestari - Indonesia
- The State Trading Corporation of India Ltd
- Timah Investasi Mineral - Indoneisa
- Vizag Seaport Private Limited - India
- Thai Mozambique Logistica
- GMR Energy Limited - India
- SMC Global Power, Philippines
- Miang Besar Coal Terminal - Indonesia
- ICICI Bank Limited - India
- Indian Energy Exchange, India
- OPG Power Generation Pvt Ltd - India
- Goldman Sachs - Singapore
- Attock Cement Pakistan Limited
- Iligan Light & Power Inc, Philippines
- The Treasury - Australian Government
- Sojitz Corporation - Japan
- TNB Fuel Sdn Bhd - Malaysia
- Orica Mining Services - Indonesia
- Latin American Coal - Colombia
- Vedanta Resources Plc - India
- The University of Queensland
- Central Java Power - Indonesia
- Bukit Baiduri Energy - Indonesia
- Medco Energi Mining Internasional
- Kumho Petrochemical, South Korea
- Siam City Cement PLC, Thailand
- Economic Council, Georgia
- Kepco SPC Power Corporation, Philippines
- Jorong Barutama Greston.PT - Indonesia
- Sree Jayajothi Cements Limited - India
- Trasteel International SA, Italy
- India Bulls Power Limited - India
- Mjunction Services Limited - India
- SN Aboitiz Power Inc, Philippines
- Carbofer General Trading SA - India
- San Jose City I Power Corp, Philippines
- IEA Clean Coal Centre - UK
- Madhucon Powers Ltd - India
- Krishnapatnam Port Company Ltd. - India
- Cement Manufacturers Association - India
- Bhatia International Limited - India
- Essar Steel Hazira Ltd - India
- Planning Commission, India
- Indogreen Group - Indonesia
- Australian Coal Association
- LBH Netherlands Bv - Netherlands
- Kobexindo Tractors - Indoneisa
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- Marubeni Corporation - India
- Electricity Generating Authority of Thailand
- Petrochimia International Co. Ltd.- Taiwan
- Port Waratah Coal Services - Australia
|
| |
| |
|
