Vinashin exit from steel jv another blow to POSCO's international ambitions

The decision by state-run shipbuilder Vinashin to cancel its $1bn stake in a $5bn steel joint venture with South Korea's POSCO, has not gone down well with shareholders in Hanoi.

The decision is part of an effort by the Vietnamese government effort to cut spending spurred by a 25% inflation rate, and is also expected to impact 40 other projects with a total investment of 6.5trillion dong ($395m). Vinashin has stated that it intends to refocus on the group's core shipbuilding businesses. The move comes as an additional blow to POSCO, which has seen a $12bn plan to build steel mill in India delayed by frequent protests. A POSCO spokesman told that the company would proceed with the steel mill plan on its own. In January, Vietnam approved POSCO's proposal to build the steel mill in Van Phong Bay, near the south-central resort town of Nha Trang, raising environmental concerns in one of Vietnam's most beautiful bays. The steel maker said earlier this year that it aimed to start construction of the plant, which will have annual output of 4m tonnes, next April. POSCO has already started building a separate $1.13bn facility in the southern coastal province of Ba Ria-Vung Tau that will produce 1.2m tonnes of hot-rolled steel products annually from next year. However, the group has seen its overseas expansion drive hitting a snag on weakening global economic growth and local protests.

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Sri Lanka national carrier in joint venture with Vardinoyannis shipping dynasty

Ceylon Shipping Corporation, Sri Lanka's national shipping line, has struck a deal with a member of a famous Hellenic shipping dynasty for a joint venture project to transport petroleum products and supply ship fuel.

"We have signed an MoU to see if we can form a joint venture company to go for oil transportation, particularly for CPC (Ceylon Petroleum Corporation) and also to do bunkering in Colombo," a senior company official said. The MoU was signed with Pyrros Vardinoyannis, scion of one of Hellas’ well-known shipping families with interests in shipping as well as petroleum. The joint venture has tentatively been named CSC Kandia. "We have signed a kind of pre-incorporation agreement outlining the objectives of the joint venture," the CSC official said. "The Hellenic party will provide a vessel, either their own or chartered, and invest along with the CSC. We're looking to see whether a joint venture company of both parties can be formed to go into business." The official said the joint venture is aiming to bid for a tender from the Ceylon Petroleum Corporation, the state oil refiner, for a long-term transport contract to ship petroleum products. The CPC is calling tenders for freight. The CPC wants to go for long-term freight contracts to reduce costs and be able to ship bigger parcels, officials said. The CSC official said the joint venture is also eyeing opportunities to do bunkering in Colombo, south Asia's transhipment hub. Bunker prices in Colombo are among the highest in the region and there is scope for more competition, officials said. The Vardinoyannis family network includes shipping and petroleum refining as well as sports. It is one of Greece's close-knit shipping clans that are connected to each other and have considerable influence in the maritime world.
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Navy Christens New Hampshire

The Navy christened its newest Virginia-class nuclear-powered attack submarine "New Hampshire" on June 21, at General Dynamics Electric Boat at Groton, Conn.

This christening marks the fourth time the U.S. Navy named a ship after the Granite State. The service awarded the name to the submarine after third-graders from Garrison Elementary School in Dover, N.H., wrote letters to Congress members, the governor and the Secretary of the Navy. Adm. Kirkland Donald, Naval Nuclear Propulsion director, gave the principal remarks and spoke about the New Hampshire's way ahead. "There still is a lot of hard work to be done," said Donald. "New Hampshire is entering the fleet during a time of conflict. The missions of this new submarine are vital to victory in this war on terrorism." McGuinness added after the ceremony that the New Hampshire symbolizes a new journey of protecting freedom. New Hampshire is scheduled to be commissioned in October at Portsmouth Naval Shipyard in Kittery, Maine. As the Navy's next-generation attack submarine, the Virginia class will provide the U.S. Navy with the capabilities it requires to maintain the nation's undersea supremacy well into the 21st century. New Hampshire will have improved stealth, sophisticated surveillance capabilities and Special Warfare enhancements that will enable it to meet the Navy's multi-mission requirements.
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Maersk Line orders 18 new container vessels

AP Moller-Maersk, Denmark, has signed an agreement with Hyundai Heavy Industries of Korea for the delivery of 18 container vessels in 2011 and 2012.

The vessels will each have a capacity of 4,500 TEU. The ships are designed to meet the highest demands for safe and economic transportation of goods in geographies such as the Eastern Mediterranean, Africa, and Latin America. In addition, each vessel is equipped with a waste heat recovery system. The system reuses excess heat from the exhaust and generates energy for propulsion of the vessel or on-board electricity consumption. The reduction in fuel consumption results in a corresponding reduction of emissions. It is the first time that an Asian yard will install a waste heat recovery system of this size and efficiency. "These vessels are part of our fleet renewal and development program. They will enable us to continue to offer competitive container shipping based on a modern, economical, and environmentally friendly fleet," said Senior Vice President Michel Deleuran, Head of Network and Product in Maersk Line.

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Navios Maritime acquires two ultra handymax vessels

Navios Maritime Holdings has entered into agreements to acquire two ultra handymax vessels for fleet in Greece.

Total consideration for the vessels is approximately US$152.5 million. The first vessel is a 2007-built, 55,728DWT, ultra handymax built in Japan. The vessel is expected to be delivered by October of 2008. The second vessel is a 58,500DWT, ultra handymax under construction at Tsuneishi Shipyard's Cebu facility in the Philippines. The vessel is expected to be delivered in the first quarter of 2009.
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Keppel rolls out FPSO for Ezra

Keppel Shipyard is on track to deliver the Lewek Arunothai floating, production, storage and offloading vessel to Singapore-based marine construction and support group Ezra for a South East Asian client.

The FPSO can store 725,000 barrels and has the capacity to export 175 million cubic feet of gas per day. The vessel, which was named last week, underwent refurbishment at Keppel’s Subic Shipyard in the Philippines while the engineering, procurement and topside fabrication were in progress in Singapore. The ship then sailed to Keppel Offshore & Marine offshoot Keppel Shipyard to complete the remaining conversion and topside works. “With the combined efforts of EOC, Keppel and our contractor partners, this project in our two shipyards, have achieved a total of 1.4 million man-hours worked to date with no reportable loss time incident. I wish to thank everyone involved for contributing to Keppel’s ultimate goal of achieving a yard-wide incident free environment,” Keppel Shipyard’s director Nelson Yeo said. Singapore listed Ezra Holdings holds a 48.9% stake in EOC after selling off half its holding late last year.
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