Market insight

By George Iliopoulos

SnP Broker

The first four months of 2015 are now behind us and they make up for a decent amount of time to look back and assess how the year is evolving so far and what could be possible ahead. January kicked off very quietly as far as SnP activity is concerned especially for dry bulk sale candidates, a big part of which remained for sale for quite some time or was withdrawn altogether from the market. In this environment, second hand prices remained under pressure for quite a while but not as long as some were actually waiting for.

As a matter of fact, as q1 came to an end we started seeing a rebound in activity with a number of prominent Greek owners once again inspecting modern Panamax/Kamsarmax/Supramax and it seems that we could now be at a turning point as far as dry bulk asset values are concerned.

A representative sale of this recent trend is the “TORM ISLAND” (82kdwt blt 10 Japan), which gathered a lot of interest and was eventually sold at levels in xs of USD 18.0m, which is around 7% higher than what her sister vessel “TORM TRADER” (82kdwt blt 10 Japan) managed to fetch about a month earlier. In addition the “TORM ISLAND” was rumored to be inspected by more than 10 owners, most of which were Greek who were sitting on the sidelines during the past couple of years and now seem to have turned their interest in modern tonnage that seems to be on a substantial discount.

Looking at the latest sales one could be reservedly optimistic that prices appear to be stabilizing, while the most recent sales are definitely not below the respective last dones, which is pretty much what we were seeing during the past six months. This is without a doubt a positive sign as the free fall of dry bulk asset prices had caused a mini panic all around, and while it is still uncertain how things will evolve it is currently proving a much needed breather to the market. At the same time we are noticing that as far as mod-ern sale candidates are concerned, competition between Buyers seems strong, which is resulting in higher prices in the last two Kamsarmax sales that took place. Nonetheless if one compares these prices with Sellers ideas for similar tonnage in spring last year, it is evident why current prices appear attractive.

For example a 5-yr old Japanese Kamsarmax was sold at around USD 28.0m in April 2014, which is a hefty 55% higher than the levels for similar tonnage with SS/DD passed today. At the same time it is also interesting to see that the number of up to 10-yr old Supramax up to Panamax Japanese candi-dates on the market is exceptionally small which is resulting to even higher competition for these ships. Saying that, when it comes to Chinese tonnage, the last six sales that took place during the past month were indeed low, with a couple of representative examples being the “HUI AN HAI”(32kdwt blt 10 China) which was sold at USD 6.8m and the “NEW SAILING STAR” (32kdwt blt10 China) which was sold for even less at around USD 6.5m.

Given the pressure the freight market remains under, it seems that prices are showing some sort of resistance for now. The million dollar question remains whether this is the bottom or if there is more downside. But if one looks at recent sales together with Buyers’ behavior on the SnP side lately, these are both hinting that market belief is that a bottom has been reached or is about to be reached. The sales that will take place next will obviously clear up any doubt.

.

Chartering (Wet: Stable - / Dry: Soft - )

The Dry Bulk market operated in an uninspiring environment for yet another week, while holidays all around added to the negative senti-ment. The BDI closed today (05/05/2015) at 580 points, down by 7 points compared to Friday’s levels (01/05/2015) and a decrease of 21 points compared to previous Tuesday’s closing (28/04/2015). Activity in the Miidle East eased considerable last week, but rates for the crude carriers held off considerably well. The BDTI Friday (01/05/2015) was at 749 points, a decrease of 29 points and the BCTI at 616, an increase of 5 points compared to previous Friday’s (24/04/2015) levels.

Sale & Purchase (Wet: Stable+ / Dry: Stable+ )

May kicked off with impressive volumes of SnP activity across both tank-ers and bulkers, while it was interesting to finally see some Cape sales being reported in the market. On the tanker side, we had the en-bloc sale of the “BLUE AQUAMARINE” (321,000dwt-blt 11, S. Korea) and the “BLUE GARNET” (321,000dwt-blt 11, S. Korea) which were picked up by Greek owner, Maran Tankers, for a price of US$ 80.0m each. On the dry bulker side we had the resale of the “SBI BELICOSO” (180,000dwt-blt 15, China), which went to Greek owner, Diana Shipping, for a price of $ 43.5m.

Newbuilding (Wet: Stable- / Dry: Soft - )

It’s been a while since we last saw more dry bulk than tanker orders being reported in the market and while it is refreshing to see that there are still market players out there who still haven’t dismissed the new-building idea, the truth is that the argument in favour of placing a dry bulk newbuilding order remains weak. As evidenced by the very few orders we have seen during the past months, the geared sizes remain way more popular, while non-existent ordering activity in the Capesize segment in the past months is pretty much saying everything there is to say regarding owners’ view of the segment’s prospects. At the same time, newbuilding prices for dry bulkers have evidently not yet complet-ed their downward movement, with further declines being noted across all size segments. These persistent declines are probably also deterring those few contemplating placing an order not to do so, as even more attractive discounts appear to be on the way. In terms of recently re-ported deals, Jindal Steel, has placed an order, for six firm and four op-tional MPPs (8,000dwt) at Western Marine, in Bangladesh, for a price of $ 6.1m each and delivery set between 2017-2018.

Demolition (Wet: Soft - / Dry: Soft - )

Too good to last? Sentiment in the demolition market shifted radically last week, with prices across the Indian subcontinent noting substantial discounts. We stressed in our previous report that the large supply of vessels was not allowing demo bids to march forward and it seems that this overwhelming number of demo candidates has finally taken its toll on prices. To add to the recently created negative climate a number of renegotiations was rumored to be taking place last week, as buyers were trying to get out of recently agreed much higher levels that were no longer reflecting the market. Despite all this, activity sustained its volumes, while Capesize vessels still made up for the bigger part of the reported activity. In the speed that Capes are being sent for demolition, we seem bound to reach if not surpass 100 vessels before the end of the year, while the fact that the average age of these vessels remains below 20 years, in itself reflects the urgency to get rid of older Cape tonnage irrespective of age. Prices this week for wet tonnage were at around 230-410 $/ldt and dry units received about 215-390 $/ldt.

Weekly Market Report

Issue: Week 18 | Tuesday 5th May 2015

© Intermodal Research 05/05/2015 2

2014 2013

WS

points$/day

WS

points$/day $/day $/day

265k MEG-JAPAN 63 59,364 63 63,077 -5.9% 30,469 21,133

280k MEG-USG 35 41,248 35 43,592 -5.4% 17,173 7,132

260k WAF-USG 70 69,342 72.5 75,899 -8.6% 40,541 26,890

130k MED-MED 81 43,422 80 43,234 0.4% 30,950 17,714

130k WAF-USAC 73 31,666 77.5 34,215 -7.4% 24,835 13,756

130k BSEA-MED 82.5 46,259 80 44,255 4.5% 30,950 17,714

80k MEG-EAST 100 27,205 102.5 28,891 -5.8% 19,956 11,945

80k MED-MED 110 36,271 110 36,563 -0.8% 28,344 13,622

80k UKC-UKC 120 41,252 130 50,967 -19.1% 33,573 18,604

70k CARIBS-USG 97.5 21,610 105 27,357 -21.0% 25,747 16,381

75k MEG-JAPAN 97 27,014 93 23,863 13.2% 16,797 12,011

55k MEG-JAPAN 98.5 18,338 100 18,544 -1.1% 14,461 12,117

37K UKC-USAC 155 22,597 145 20,627 9.6% 10,689 11,048

30K MED-MED 140 17,764 170 25,595 -30.6% 18,707 17,645

55K UKC-USG 122.5 24,781 120 24,865 -0.3% 23,723 14,941

55K MED-USG 125 24,233 122.5 23,939 1.2% 21,089 12,642

50k CARIBS-USAC 135 23,121 140 24,860 -7.0% 25,521 15,083

Vessel Routes

Week 18 Week 17$/day

±%

Dir

tyA

fram

axC

lean

VLC

CSu

ezm

ax

Spot Rates

May-15 Apr-15 ±% 2014 2013 2012

300KT DH 81.0 81.0 0.0% 73.6 56.2 62.9

150KT DH 58.5 58.1 0.6% 50.2 40.1 44.9

110KT DH 45.0 45.0 0.0% 38.6 29.2 31.2

75KT DH 35.0 35.6 -1.8% 32.8 28.0 26.7

52KT DH 27.0 27.0 0.0% 27.2 24.7 24.6

Aframax

LR1

VLCC

Suezmax

Indicative Market Values ($ Million) - Tankers

Vessel 5yrs old

MR

Chartering

The strong activity that the crude carriers market appeared to be witnessing lately seems to have considerably eased off last week, with thinner business being noted across both the Middle East and W. Africa, while at the same time bunkers remained on an upward trend on the back of the recent posi-tive correction that oil prices have been enjoying. Despite the fact that ac-tivity slowed down considerably though, the market managed to hold off fairly well, with moderate declines noted overall, while the lack of extreme volatility on rates is strong evidence of a healthy market in which positive sentiment still prevails.

The VL market closed off the week on a slightly negative note, on the back of a much quieter WAF region, while just the right amount of ballasters in the Middle East allowed for rates there to hold close to last dones as the week came to a close.

The slow down in W. Africa activity weighed down on Suezmax rates in the region as the market slid into the weekend, despite some stable numbers during the beginning of the week, while the cross-Med market added a few WS points as enquiry in the region slightly improved.

Rates for Aframaxes remained under pressure for a second week in a row, with cross-UKC rates easing before the Bank Holiday and the Caribs Afra shedding more of its April gains despite the improved enquiry in the region.

Sale & Purchase

In the VLCC sector, we had the en-bloc sale of the “BLUE AQUAMA-RINE” (321,000dwt-blt 11, S. Korea) and the “BLUE GARNET” (321,000dwt-blt 11, S. Korea) which were picked up by Greek owner, Maran Tankers, for a price of US$ 80.0m each .

In the LR1 sector we had the sale of the “EMERALD SUMMIT” (74,986dwt-blt 13, S. Korea), which was sold to Greek buyers for a price of $37.5m .

Wet Market

Indicative Period Charters

- 12 mos - 'ROSS SEA' 2011 114,500 dwt

- - $23,000/day - ATC

-6 mos - 'STAR OSPREY ' 2007 51,200 dwt

- - $15,600/day -Koch

20

70

120

170

220

WS

po

ints

DIRTY - WS RATESTD3 TD4 TD6 TD9

Week 18 Week 17 ±% Diff 2014 2013

300k 1yr TC 40,000 40,000 0.0% 0 28,346 20,087

300k 3yr TC 40,500 41,000 -1.2% -500 30,383 23,594

150k 1yr TC 33,000 33,000 0.0% 0 22,942 16,264

150k 3yr TC 32,500 33,000 -1.5% -500 24,613 18,296

110k 1yr TC 23,000 23,000 0.0% 0 17,769 13,534

110k 3yr TC 23,000 23,000 0.0% 0 19,229 15,248

75k 1yr TC 21,500 21,500 0.0% 0 16,135 15,221

75k 3yr TC 19,250 19,250 0.0% 0 16,666 15,729

52k 1yr TC 16,250 16,000 1.6% 250 14,889 14,591

52k 3yr TC 15,750 15,500 1.6% 250 15,604 15,263

36k 1yr TC 14,500 14,000 3.6% 500 14,024 13,298

36k 3yr TC 14,250 14,000 1.8% 250 14,878 13,907

Panamax

MR

Handy

size

TC Rates

$/day

VLCC

Suezmax

Aframax

60

90

120

150

180

210

240

270

WS

po

ints

CLEAN - WS RATESTC1 TC2 TC5 TC6

© Intermodal Research 05/05/2015 3

0500

1,0001,5002,0002,5003,0003,5004,0004,500

Ind

ex

Baltic Indices

BCI BPI BSI BHSI BDI

0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

40,000

45,000$

/da

y

Average T/C Rates

AVR 4TC BCI AVR 4TC BPI AVR 5TC BSI AVR 6TC BHSI

Chartering

The combination of holidays and a shaky market is always a recipe for addi-

tional pressure on rates and last week was no exception. With Panamaxes

erasing the upside of the week prior and the rest of the market still oper-

ating in an uninspiring environment, the BDI closed off on the red and be-

low 600 points, while the small increase noted by the BCI had no substantial

impact in actual numbers. We expect things in the following days to also

remain quiet, as with the Far East going through holidays this week enquiry

is bound to be limited and rates are most probably going to move a bit low-

er as well.

Capesize rates noted some small positional increases last week, which

nonetheless failed to substantially lift sentiment, while with the Pacific mar-

ket feeling the void of National Holidays in the region this week, activity for

the segment is expected to remain thin. The average rate for the big bulk-

ers is still underperforming the rest of the market, while at the same time

the price of iron ore is still correcting upwards. This is causing additional

worries to emerge in regards to the Capesize trade, as once the Chinese

restocking is over, it is possible that the improved price of the commodity

will no longer be attractive enough to sustain imports at these levels.

The long weekend brought pressure on rates in the Atlantic Panamax mar-

ket, while In the Pacific, very little happened for the segment as things got

too quiet too fast in anticipation of the holidays in the region.

The Atlantic Supramax/Handymax market moved sideways throughout the

week with the Pacific market remaining quiet at the same time, while the

Handysize segment witnessed additional pressure across both basins.

Sale & Purchase

In the Capesize sector, we had the resale of the “SBI BELICOSO” (180,000dwt-blt 15, China), which went to Greek owner, Diana Shipping, for a price of $ 43.5m.

In the Handysize sector we had the sale of the “VERDANT ISLAND” (32,119dwt-blt 06, Japan), which was sold to Swiss based owner, Dabinovic, for $9.1m.

* Please note that last week we erroneously reported the sale of the “SILS” (2,826teu-blt 03, S. Korea) to Turkish owner Arkas.

May-15 Apr-15 ±% 2014 2013 2012

180k 34.0 34.8 -2.2% 47.3 35.8 34.6

76K 16.5 16.6 -0.8% 24.5 21.3 22.7

56k 16.0 16.1 -0.8% 24.7 21.5 23.0

30K 13.5 13.9 -2.7% 19.5 18.2 18.2Handysize

Capesize

Panamax

Supramax

Indicative Market Values ($ Million) - Bulk Carriers

Vessel 5 yrs old

Indicative Period Charters

- 4 to 8 mos - 'DARYA LOK ' 2012 81,874dwt

- Qingdao 30 Apr/03 May - $ 6,600/day -GMI

- 4 to 6 mos - 'INES CORRADO' 2012 81,272 dwt

- Bayuquan 28/30 Apr - $ 7,500/day -Phaethon

Dry Market

Index $/day Index $/day Index Index

BDI 587 600 -13 1,097 1,205

BCI 574 $4,570 545 $4,579 29 -0.2% 1,943 2,106

BPI 647 $5,155 685 $5,455 -38 -5.5% 960 1,186

BSI 621 $6,494 624 $6,522 -3 -0.4% 937 983

BHSI 340 $5,063 348 $5,184 -8 -2.3% 522 562

24/04/2015

Baltic IndicesWeek 18

01/05/2015Week 17

Point

Diff

2014 2013$/day

±%

170K 6mnt TC 7,000 7,000 0.0% 0 22,020 17,625

170K 1yr TC 8,500 8,500 0.0% 0 21,921 15,959

170K 3yr TC 9,750 9,750 0.0% 0 21,097 16,599

76K 6mnt TC 7,500 7,750 -3.2% -250 12,300 12,224

76K 1yr TC 7,500 7,750 -3.2% -250 12,259 10,300

76K 3yr TC 8,500 8,750 -2.9% -250 13,244 10,317

55K 6mnt TC 7,750 7,750 0.0% 0 12,008 11,565

55K 1yr TC 7,750 7,750 0.0% 0 11,589 10,234

55K 3yr TC 8,000 8,000 0.0% 0 11,585 10,482

30K 6mnt TC 6,250 6,500 -3.8% -250 9,113 8,244

30K 1yr TC 6,500 6,750 -3.7% -250 9,226 8,309

30K 3yr TC 6,750 7,000 -3.6% -250 9,541 8,926Han

dys

ize

Period

2013

Pan

amax

Sup

ram

ax

Week

18

Week

17

Cap

esi

ze

2014$/day ±% Diff

© Intermodal Research 05/05/2015 4

Secondhand Sales

Type Name Dwt Built Yard M/E SS due Cbm Price Buyers Comments

LPG BERGE SUMMIT 50748 1990MITSUBISHI

NAGASAKI, JapanMitsubishi 78,488 $ 8.0m

Bermuda based

(BW LPG)

Gas/LPG/LNG

Size Name Dwt Built Yard M/E SS due Hull Price Buyers Comments

VLCC BEIJING SUNRISE 321,300 2009

DAEWOO

SHIPBUILDING &, S.

Korea

Warts i la Jan-19 DH $ 79.0m

VLCC DALIAN GLORY 301,866 2011IHI MARINE UNITED

- KU, JapanWarts i la Jan-16 DH $ 86.0m

VLCCBLUE

AQUAMARINE321,000 2011

DAEWOO

SHIPBUILDING &, S.

Korea

MAN-B&W Oct-16 DH $ 80.0m

VLCC BLUE GARNET 321,000 2011

DAEWOO

SHIPBUILDING &, S.

Korea

MAN-B&W Nov-16 DH $ 80.0m

LR23 X SUNGDONG

RESALES115,000 2015

SUNGDONG

SHIPBUILDING, S.

Korea

MAN-B&W DH$ 59.5m

each

Monaco based

(Scorpio)

LR1EMERALD

SUMMIT74,986 2013

STX OFFSHORE &

SHBLDG, S. KoreaMAN-B&W Jul-18 DH $ 37.5m Greek

MR MARLIN AMBER 50,000 2015 Zhao, China MAN-B&W DH $ 35.5m

MRMARLIN

AMETRINE50,000 2015 Zhao, China MAN-B&W DH $ 35.5m

MR MAERSK CAITLIN 44,936 1997HALLA ENG & HI -

SAMHO, S. KoreaB&W Dec-17 DH

MRMAERSK

CATHERINE44,923 1997

HALLA ENG & HI -

SAMHO, S. KoreaB&W Aug-17 DH

PROD/

CHEM

SICHEM

HIROSHIMA13,119 2008

SEKWANG HEAVY

INDUSTRI, S. KoreaMAN-B&W Aug-15 DH $ 11.8m

S. Korean (Woo

Lim Shpg)

PROD/

CHEMINA THERESA 12,825 2010

STX OFFSHORE &

SHBLDG, S. KoreaMAN-B&W Aug-15 DH $ 12.5m undisclosed

SMALL SICHEM RUBY 8,824 2006MURAKAMI HIDE,

JapanMAN-B&W Aug-16 DH $ 9.5m undisclosed

SMALL AMETHYST V 6,459 2008

ZHEJIANG

DONGPENG SHIP,

China

MAN-B&W Jan-18 DH $ 6.0m

SMALL DIAMOND 6,453 2007

ZHEJIANG

DONGPENG SHIP,

China

Chinese

Std. TypeSep-15 DH $ 5.0m

SMALL AGATE V 6,360 2007

YANGZHOU

HAICHUAN SHIP,

China

Chinese

Std. TypeOct-15 DH $ 5.0m

Chinese (China

VLCC)

Greek (Maran

Tankers )

undisclosed

Singaporean

(Norstar

Shipping)

Incl . 3-yr T/C back

at $17,000/day

en-bloc

$ 16.0m

Nigerian (Union

Mari time)

JV between CMES

and Sinotrans

Tankers

© Intermodal Research 05/05/2015 5

Secondhand Sales

Size Name Dwt Built Yard M/E SS due Gear Price Buyers Comments

CAPE SBI BELICOSO 180,000 2015

SHANGHAI

WAIGAOQIAO SH,

China

MAN-B&W $ 43.5m

Greek

(Diana

Shipping)

CAPEGOLDEN

MAGNUM179,788 2009

DAEWOO

SHIPBUILDING &,

S. Korea

MAN-B&W Nov-19

CAPE KSL CHINA 179,109 2013ORIENT SHIPYARD -

GWAN, S. KoreaMAN-B&W Mar-18

CAPE GOLDEN FUTURE 175,861 2010JINHAI HEAVY

INDUSTRY, ChinaMAN-B&W Feb-20

CAPEGOLDEN

ZHEJIANG175,837 2010

JINHAI HEAVY

INDUSTRY, ChinaMAN-B&W Sep-15

CAPEGOLDEN

ZHOUSHAN175,834 2011

JINHAI HEAVY

INDUSTRY, ChinaMAN-B&W Jan-16

CAPE GOLDEN BEIJING 175,820 2010JINHAI HEAVY

INDUSTRY, ChinaMAN-B&W Feb-20

CAPE BELGRAVIA 169,391 2009

DAEHAN

SHIPBUILDING -,

S. Korea

MAN-B&W Oct-19

CAPE BATTERSEA 169,391 2009

DAEHAN

SHIPBUILDING -,

S. Korea

MAN-B&W Mar-19

PMAX DEWI LAKSMI 76,000 2011

GUANGZHOU

HUANGPU SHIP,

China

MAN-B&W Aug-16 $ 12.2m Greek

SMAXLAN HAI CHUANG

YE57,000 2011

YANGFAN GROUP

CO LTD, ChinaMAN-B&W Apr-16

4 X 30t

CRANES$ 11.7m

SMAXLAN HAI TUO

ZHAN57,000 2011

YANGFAN GROUP

CO LTD, ChinaMAN-B&W Jul-16

4 X 30t

CRANES$ 11.7m

HMAX FANY 43,598 1994

TSUNEISHI

SHBLDG - FUK,

Japan

B&W Jul-194 X 30t

CRANES$ 4.0m Chinese

HANDY VERDANT ISLAND 32,119 2006HAKODATE DOCK -

HAKODA, JapanMitsubishi Oct-16

4 X 30t

CRANES$ 9.1m

Swiss based

(Dabinovic)

HANDY YOUNG SPIRIT 31,894 2005HAKODATE DOCK -

HAKODA, JapanMitsubishi Oct-15

4 X 30t

CRANES$ 9.5m

Ita l ian (Sider

Navi )

en-bloc

$272.0mNorwegian (SFI)

incl . 10-yr TCB at

$17,600/day for the

fi rs t 7 years and

$14,900 for the

ba lance

Chinese bank sa le

Bulk Carriers

Size Name Teu Built Yard M/E SS due Gear Price Buyers Comments

SUB

PMAXHONEST 2,846 2007

STX

SHIPBUILDING -

JIN, S. Korea

MAN-B&W Feb-17 $ 15.5m Undisclosed

FEEDER JAN S 1,900 1996 MTW, Germany B&W Jan-163 X 45t

CRANES$ 3.6m undisclosed

FEEDERMADELEINE

RICKMERS1,730 1997

SZCZECINSKA

STOCZNIA S,

Poland

Sulzer Jul-153 X 40t

CRANES$ 3.0m Middle Eastern

Containers

© Intermodal Research 05/05/2015 6

It’s been a while since we last saw more dry bulk than tanker orders being reported in the market and while it is refreshing to see that there are still market players out there who still haven’t dismissed the newbuilding idea, the truth is that the argument in favour of placing a dry bulk newbuilding order remains weak. As evidenced by the very few orders we have seen dur-ing the past months, the geared sizes remain way more popular, while non-existent ordering activity in the Capesize segment in the past months is pretty much saying everything there is to say regarding owners’ view of the segment’s prospects. At the same time, newbuilding prices for dry bulkers have evidently not yet completed their downward movement, with further declines being noted across all size segments. These persistent declines are probably also deterring those few contemplating placing an order not to do so, as even more attractive discounts appear to be on the way.

In terms of recently reported deals, Jindal Steel, has placed an order, for six firm and four optional MPPs (8,000dwt) at Western Marine, in Bangladesh, for a price of $ 6.1m each and delivery set between 2017-2018.

Newbuilding Market

20

60

100

140

180

mil

lion

$

Tankers Newbuilding Prices (m$)

VLCC Suezmax Aframax LR1 MR

Week

18

Week

17±% 2014 2013 2012

Capesize 180k 51.5 52.0 -1.0% 55.8 49 47

Kamsarmax 82k 28.0 28.5 -1.8% 30.4 27 28

Panamax 77k 27.5 28.0 -1.8% 29.2 26 27

Ultramax 63k 25.5 26.0 -1.9% 27 25 25

Handysize 38k 21.5 22.0 -2.3% 23 21 22

VLCC 300k 96.5 96.5 0.0% 98.6 91 96

Suezmax 160k 65.0 65.0 0.0% 65 56 58

Aframax 115k 53.5 53.5 0.0% 54 48 50

LR1 75k 46.0 46.0 0.0% 45.9 41 42

MR 50k 36.5 36.5 0.0% 36.9 34 34

190.0 190.0 0.0% 186.0 185 186

77.0 77.5 -0.6% 78.4 71 71

68.0 68.0 0.0% 66.9 63 62

46.0 46.0 0.0% 44.3 41 44

LNG 160k cbm

LGC LPG 80k cbm

MGC LPG 55k cbm

SGC LPG 25k cbm

Gas

Bu

lke

rsTa

nke

rs

Vessel

Indicative Newbuilding Prices (million$)

10

30

50

70

90

110

mil

lion

$

Bulk Carriers Newbuilding Prices (m$)

Capesize Panamax Supramax Handysize

Units Type Yard Delivery Buyer Price Comments

1 Tanker 65,000 dwt Shanhaiguan, China 2/2017Chinese (China Shipping

Development Co.)undisclosed option, 3 on order

2 Bulker 38,500 dwtJiangsu Newyangzi,

China2018

Polish (Polska Zegluga

Morska)undisclosed

6 Bulker 38,300 dwtTsuneishi Cebu,

Philippines2017 Japanese undisclosed log fitted

2 Container 10,000 teu Jiangsu New YZJ, China 2017Canadian(Seaspan

Corporation)undisclosed additional units

6+4 MPP 8,000 dwtWestern Marine,

Bangladesh2017-2018 Indian (Jindal Steel) $ 6.1m

2 PCTC 2,100 ceuXiamen Shipbuilding,

China2016-2017 Chinese (Zhongfu Shipping) undisclosed option

Newbuilding Orders Size

© Intermodal Research 05/05/2015 7

Too good to last? Sentiment in the demolition market shifted radically last week, with prices across the Indian subcontinent noting substantial dis-counts. We stressed in our previous report that the large supply of vessels was not allowing demo bids to march forward and it seems that this over-whelming number of demo candidates has finally taken its toll on prices. To add to the recently created negative climate a number of renegotiations was rumored to be taking place last week, as buyers were trying to get out of recently agreed much higher levels that were no longer reflecting the mar-ket. Despite all this, activity sustained its volumes, while Capesize vessels still made up for the bigger part of the reported activity. In the speed that Capes are being sent for demolition, we seem bound to reach if not surpass 100 vessels before the end of the year, while the fact that the average age of these vessels remains below 20 years, in itself reflects the urgency to get rid of older Cape tonnage irrespective of age. Prices this week for wet tonnage were at around 230-410 $/ldt and dry units received about 215-390 $/ldt.

The highest price amongst recently reported deals, was that paid by Indian breakers for the General Cargo vessel “BIRCH 3” (20,427dwt- 6,621ldt-blt 99), which received $402/ldt including 390T ROB.

Demolition Market

Week

18

Week

17±% 2014 2013 2012

Bangladesh 400 410 -2.4% 469 422 441

India 400 420 -4.8% 478 426 445

Pakistan 410 420 -2.4% 471 423 444

China 230 230 0.0% 313 365 384

Bangladesh 390 400 -2.5% 451 402 415

India 390 405 -3.7% 459 405 419

Pakistan 390 400 -2.5% 449 401 416

China 215 215 0.0% 297 350 365

Dry

Indicative Demolition Prices ($/ldt)

Markets

We

t

200

250

300

350

400

450

500

550

$/l

dt

Wet Demolition Prices

Bangladesh India Pakistan China

200

250

300

350

400

450

500

550

$/ld

t

Dry Demolition Prices

Bangladesh India Pakistan China

Name Size Ldt Built Yard Type $/ldt Breakers Comments

BERGE PROSPERITY 211,201 25,596 1996DAEWOO HEAVY

INDUSTRIE, S. KoreaBULKER $ 392/Ldt Pakistani

VOGECARRIER 164,303 24,162 1996AESA PUERTO REAL,

SpainBULKER $ 389/Ldt Pakistani

CHANNEL ALLIANCE 171,978 20,850 1996NKK CORP - TSU,

JapanBULKER $ 395/Ldt Indian

CHANNEL

NAVIGATOR172,058 20,770 1997

NKK CORP - TSU,

JapanBULKER $ 397/Ldt Pakistani

GLORY CLAIRE 170,454 20,577 2000 IHI - KURE, Japan BULKER $ 397/Ldt Pakistani

ORIENTAL SAGA 73,095 10,734 1995SAMSUNG HEAVY

INDUSTRI, S. KoreaBULKER $ 390/Ldt Indian

BIRCH 3 20,427 6,621 1999WUHU SHIPYARD,

ChinaGC $ 402/Ldt Indian incl. 390T ROB

SHENG 27,573 5,700 1984MITSUI TAMANO,

JapanBULKER $ 350/Ldt Bangladeshi

Demolition Sales

The information contained in this report has been obtained from various sources, as reported in the market. Intermodal Shipbrokers Co. believes such information to be factual and reliable without mak-ing guarantees regarding its accuracy or completeness. Whilst every care has been taken in the production of the above review, no liability can be accepted for any loss or damage incurred in any way whatsoever by any person who may seek to rely on the information and views contained in this material. This report is being produced for the internal use of the intended recipients only and no re-producing is allowed, without the prior written authorization of Intermodal Shipbrokers Co.

Compiled by Intermodal Research & Valuations Department | research@intermodal.gr Ms. Eva Tzima | e.tzima@intermodal.gr

Mr. Vassilis Logothetis | v.logothetis@intermodal.gr

Finance News

“NOL comes out top

Neptune Orient Lines (NOL) is the surprise best per-forming stock in the year-to-date among the 35 ship-owners covered by Clarkson Platou Securities. Shares in the Singapore government-controlled company are up 35% since the start of the year, according to the Oslo-based bank.

d’Amico International Shipping is the next best per-forming share at 33% closely followed by Ocean Yield on 31%.

Teekay Tankers was the best placed crude tanker stock in fifth place with total returns for the year-to-date of 26% followed by Nordic American Tankers in ninth place with 24%.

Gas shipping, a former market darling, has seen mixed results with BW LPG the best placed gas stock in fourth place.

However, Dorian LPG is other end of the spectrum in thirty-second place with a year-to-date decline in its share price of 30%.

Unsurprisingly, dry bulk stocks dominated the worst performers with George Economou’s DryShips and Baltic Trading the two worst performing stocks.

However, crude tanker stocks offered the best re-turns over the past month, according to the figures compiled by Clarkson Platou Securities.

Frontline and DHT Holdings were two of the three best performers with their total return last month of 18%. They were joined at the top by Costamare also on 18%.” (Dale Wainwright, Trade Winds)

Commodities & Ship Finance

1-May-15 30-Apr-15 29-Apr-15 28-Apr-15 27-Apr-15W-O-W

Change %

10year US Bond 2.120 2.050 2.060 2.000 1.940 9.8%

S&P 500 2,108.29 2,085.51 2,106.85 2,114.76 2,108.92 -0.4%

Nasdaq 5,005.39 4,941.42 5,023.64 5,055.42 5,060.25 -1.7%

Dow Jones 18,024.06 17,840.52 18,035.53 18,110.14 18,037.97 -0.3%

FTSE 100 6,985.95 6,960.63 6,946.28 7,030.53 7,103.98 -1.2%

FTSE All-Share UK 3,770.75 3,760.06 3,753.88 3,797.29 3,834.45 -1.2%

CAC40 5,046.49 5,046.49 5,039.39 5,173.38 5,268.91 -3.0%

Xetra Dax 11,454.38 11,454.38 11,432.72 11,811.66 12,039.16 -4.9%

Nikkei 19,531.63 19,520.01 20,058.95 20,058.95 19,983.32 -2.3%

Hang Seng 28,133.00 28,133.00 28,400.34 28,442.75 28,433.59 0.3%

DJ US Maritime 257.38 257.78 268.84 271.66 272.84 -4.7%

$ / € 1.12 1.12 1.11 1.10 1.09 3.0%

$ / ₤ 1.51 1.54 1.54 1.53 1.52 -0.3%

¥ / $ 120.21 119.47 118.99 118.83 119.14 1.1%

$ / NoK 0.13 0.13 0.13 0.13 0.13 2.2%

Yuan / $ 6.21 6.20 6.20 6.20 6.22 0.3%

Won / $ 1,079.85 1,078.15 1,070.25 1,064.80 1,069.65 0.3%

$ INDEX 85.76 85.25 85.20 85.70 86.27 -0.8%

Market Data

Cu

rre

nci

es

Sto

ck E

xch

ange

Dat

a

1,100

1,150

1,200

1,250

1,300

1,350

40

45

50

55

60

65

70

goldoil

Basic Commodities Weekly Summary

Oil WTI $ Oil Brent $ Gold $

1-May-15 24-Apr-15W-O-W

Change %

Rotterdam 582.5 568.5 2.5%

Houston 648.0 623.5 3.9%

Singapore 573.5 569.0 0.8%

Rotterdam 341.0 319.5 6.7%

Houston 347.5 332.5 4.5%

Singapore 370.0 347.5 6.5%

Bunker Prices

MD

O3

80

cst

CompanyStock

ExchangeCurr. 01-May-15 24-Apr-15

W-O-W

Change %

AEGEAN MARINE PETROL NTWK NYSE USD 15.02 15.38 -2.3%

BALTIC TRADING NYSE USD 1.43 1.61 -11.2%

BOX SHIPS INC NYSE USD 0.90 0.99 -9.1%

CAPITAL PRODUCT PARTNERS LP NASDAQ USD 9.11 9.61 -5.2%

COSTAMARE INC NYSE USD 20.11 19.47 3.3%

DANAOS CORPORATION NYSE USD 6.28 6.42 -2.2%

DIANA SHIPPING NYSE USD 6.25 6.21 0.6%

DRYSHIPS INC NASDAQ USD 0.69 0.73 -5.5%

EAGLE BULK SHIPPING NASDAQ USD 8.54 8.50 0.5%

EUROSEAS LTD. NASDAQ USD 0.73 0.74 -1.4%

FREESEAS INC NASDAQ USD 0.03 0.03 0.0%

GLOBUS MARITIME LIMITED NASDAQ USD 1.50 1.42 5.6%

GOLDENPORT HOLDINGS INC LONDON GBX 119.00 113.80 4.6%

HELLENIC CARRIERS LIMITED LONDON GBX 23.40 19.75 18.5%

NAVIOS MARITIME ACQUISITIONS NYSE USD 3.77 3.92 -3.8%

NAVIOS MARITIME HOLDINGS NYSE USD 3.80 3.98 -4.5%

NAVIOS MARITIME PARTNERS LP NYSE USD 13.17 13.04 1.0%

PARAGON SHIPPING INC. NYSE USD 0.70 0.75 -6.7%

SAFE BULKERS INC NYSE USD 3.57 3.81 -6.3%

SEANERGY MARITIME HOLDINGS CORP NASDAQ USD 0.70 0.77 -9.1%

STAR BULK CARRIERS CORP NASDAQ USD 3.78 3.87 -2.3%

STEALTHGAS INC NASDAQ USD 6.72 6.92 -2.9%

TSAKOS ENERGY NAVIGATION NYSE USD 9.12 9.49 -3.9%

TOP SHIPS INC NASDAQ USD 1.08 1.13 -4.4%

Maritime Stock Data

© Intermodal Shipbrokers Co

9

05/05/2015

Select Price in US$

Weekly Publications

Weekly Market Report Annual Subscription □ Free

Monthly Publications

Shipping Monthly Recap - free summary Annual Subscription - 12 issues □ Free

Shipping Monthly Recap - full report Annual Subscription - 12 issues □ Please contact our

department

Your Contact Details

Full Name: Title:

Company: Position:

Address:

Country: Post code:

E-mail: Telephone:

Company Website: Fax:

You can contact us directly by phone or by e-mailing, faxing or posting the

below form completed with all your details:

Tel: +30 210 6293 300

Fax:+30 210 6293 333-4

Email: research@intermodal.gr

Intermodal Shipbrokers Co.

17th km Ethniki Odos Athens-Lamia & 3 Agrambelis street,

145 64 N.Kifisia,

Athens - Greece