We take a look at what was said in the market in the past week.
Evercore analyst Jonathan Chappell explains why OSG is now a sell although he thinks the company will survive the worst tanker market of modern times.
(Tanker companies will survive after more pain)
“To give that up is kind of throwing in the towel. It’s a concession that you’re never going to be big. And while they may say it’s voluntary, it’s really the market forcing it because they don’t have the size or liquidity to do anything. Companies that use capital markets wisely are in relatively good position compared to those who can’t.”
Jonathan Chappell again, this time giving his take on B+H Ocean Carriers retreat from the NYSE to the pink sheets market.
(B+H Ocean gives up New York listing and predicts others will soon follow its lead)
“For them to get $28,000 per day in that first year is almost a three-year rate for one year and there are significant step-ups in the second and third years.”
And this time Jonathan Chappell is encouraged by the rate Evangelos Marinakis’ private company is paying to charter a VLCC from his quoted venture which is Evercore’s top tanker pick.
(Praise after Capital puts public first)
“I think that the market is not that poor but time will tell.”
Richard Du Moulin is more optimistic than some about tanker prices but appears to still harbour a few doubts.
(No pressure on Intrepid, says Du Moulin)
“If we take delivery we will trade them. We have contracts of affreightment and so on, or we may fix them to one of our clients for long periods.”
Bob Katsamas of SeaTask Corp sees the merit of keeping ships trading.
(SeaTask on alert as yards boil over)
“We decided to reassign our vessels to the pool with the best performance in the last 12 months, thus helping the consolidation of the chemical market a bit further.”
“We offer no rose garden, only dedicated work 24/7 by highly motivated and experienced professionals.”
Lets just hope its shipping rather than horticultural experience on offer from Tore Haagensen.
(Haagensen gets back on his feet)
“Relative to pre-financial crisis steel/newbuilding price correlations, a $100m order price actually represents an attractive discount.”
Charles Weber believes a recent order at Hyundai Heavy Industries is the bottom of the trough for tanker values.
“Shipping markets are experiencing a period of progressive weakness which has affected group performance.”
So tough times also affects shipbrokers reveals Braemar chairman Sir Graham Hearne.
“Our top priority is resolving this difficult situation. We are very hopeful the club will survive. We developed the South of England from the beginning and believe it has a useful role to play in the international P&I market.”
Neil Bell battles to save the P&I club he founded.
(Hopes fade for mutual in crisis)
“I have been part of the gang that basically brought Skuld back from near bankruptcy to where it is today. It’s been a very interesting ride and I’ve learned a lot. But I want other challenges and to see where that takes me. I’m always going to have my heart in Skuld. It has been a really good place to be.”
Seems that Eric Jacobs has left his heart in Ruselokkvn rather than San Francisco.
(Skuld man aims for new pastures at Wilhelmsen)
ITF chairman David Heindel wants to see the military chasing Somali pirates ashore.
“Chinese yards are very professional, the quality of steel plates used and the painting is good. And, significantly, they deliver in time.”
Indian offshore vessel owner Mohan Samant is impressed by what you can buy in China.
