We take a look at what was said in the market in the past week.
“The fact that I felt I had to be serious rather than fun indicates that we, too, have to work for success.”
Robert Bugbee, president of freshly-listed Scorpio Tankers.
No, Robert, stay away from the light: we need you to keep it real in the yawn-fest that is the corporate shipping world!
(‘No chance of tanker bonanza’.)
“Let’s admit it: we all benefitted from a situation where we had everything going our way from 2005 to 2008. We had come out of a period through 2003 where there wasn’t a lot of newbuilding ordering in any sector.”
Bugbee admits that we all had a sweet thing going there for a few years.
(‘No chance of tanker bonanza’.)
“We had everything in front of us. We had a dry-cargo market fuelled by iron ore to China, a container market driven by the explosion of exports to Asia and Europe and the US and a rig market that was on fire.”
Bugbee seems to have had fiery premonitions of the Deepwater Horizon disaster.
(‘No chance of tanker bonanza’.)
“We can all say we were great and brilliant in what we did but let’s be honest: if you had a ship - any ship - you were going to make money. You could close your eyes and throw a dart. It was really easy for all of us.”
Bugbee on the bull’s eye days of shipping which have now done a 180 turn.
(‘No chance of tanker bonanza’.)
"Our efforts in Asia are being spearheaded by Fred Cheng, who has over 36 years experience in the shipping industry, focused primarily on the Asia-Pacific shipping markets.”
Navios Maritime Acquisition tries to sneak shipping veteran Fred Cheng into the office under the radar.
“Next year will be a good year. People have money but they have been reluctant to spend it. Now, everyone will think it’s a good time to invest.”
Capt Wei Jiafu of Cosco is counting on the possibility that there is a hell of a lot of maritime mattress money out there.
“This market looks set to be the next big mover after seven years of double digit fleet growth.”
Pareto Securities gives the thumbs up to products tankers with Danish giant Torm set for a windfall.
“It’s better to have one loan that is bigger than several loans.”
Lars Solbaken, CEO of Norwegian Car Carriers, which is mulling a bond issue to consolidate all its loans into one easily-manageable super loan.
“Although the potential for scrapping exists within this subsector, it remains an enigma as to when it will actually take place - but it is definitely long overdue.”
A report from DVB warns of the dry-bulk market’s over dependence on China.
(DVB warning over dry market’s China dependence.)
“Our intention is to take much calmer macro views.”
Mark Richardson, leader of SSY’s new hedge fund Bluewave Shipping Fund which is “never going to be moving the market” as it sits back and takes a relaxed approach.
“For anyone to enter the VLCC sector, you must have deep pockets to spend on the newbuildings. Otherwise, based on today’s charter rates and the cost of financing the ships, it isn’t worth the effort.”
A tanker player as sugar daddy Sovcomflot is rumoured to be mulling a debut in VLCCs.
(Russian owner mulling VLCCs.)
“While we share director Bromwich’s commitment to safety, the BOEM must recognise that it cannot continue to shove a square peg into a round hole by treating all offshore-drilling operations the same, disregarding history and geological facts.”
Hercules Offshore vice-president Jim Noe tries to fight the case for a return to pre-Deepwater Horizon shallow-water drilling in the Gulf of Mexico.
“There is no event for which you can’t come up with a plausible explanation in hindsight.”
Norwegian Hull Club actuary Christian Irgen comes out with his very own axiom which could just give owners the perfect excuse for any casualty.
(Tenfold rates gap for VLCC hull cover.)
“This continuing settlement failure, effectively by the Russian ministry in question, is obliging Odfjell to take action these days via Russian courts, most likely in Archangel, a very disappointing turn of events.”
Odfjell is off to Russian with very little love as it prepares to drag shipbuilder Sevmash kicking and screaming through the local courts over non-payment of an arbitration award.
(Odfjell chases Sevmash in court.)
“The pirates don’t seem to realise the danger they put themselves in by not complying with our orders.”
Capt Carsten Fjord-Larsen, commanding officer of the Danish warship Esbern Snare which has been busy busting pirate groups in the Gulf of Aden, gives buccaneers a blunt warning about what to expect.
“The shipping community is warned that [Samho Dream] might be used either to investigate sea states or to conduct mothership operations in vicinity of shipping lanes.”
NATO reckons the hijacked Korean VLCC, which is on the move again, could be used to attack other ships. But, let’s face it, if you manage to get hunted down by this 320,000-dwt beast you never stood a chance off Somalia anyway.
