COSCO subsidiary bags $256m in contracts

Singapore: COSCO Corp, through 51% owned Cosco Shipyard Group (CSG) - has won newbuilding and conversion contracts worth $256.2m.

'We are glad to receive further votes of confidence from our repeat and new customers from across the globe despite the current economic uncertainties,' said vice-chairman and president Jiang Lijun. ‘In light of high input costs, our group will continue to sharpen our focus on getting more high-value jobs to better optimize the returns from our expanding capacities.’ The newbuilding contracts, its first new orders since July, were awarded by a German customer to CSG's subsidiary, Cosco Dalian Shipyard, which will build two 80,000 dwt Kamsarmax bulk carriers for a total contract value of $108m. The contracts were awarded by various customers from the US, China, Hong Kong, India and Italy. Cosco said the first 30% instalment payments for the contracts have been received, and the two vessels are scheduled for delivery in 2010 and 2011 respectively. The other orders were nine conversion contracts valued at $148.2m, which CSG secured through subsidiaries Cosco Nantong Shipyard, Cosco Dalian Shipyard, Cosco Zhoushan Shipyard and Cosco Guangdong Shipyard.

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