Belships Inks 10-Year Charter for Ultramax Newbuilding

Norwegian shipping company Belships has agreed a 10-year bareboat charter for a 64,000 dwt Ultramax bulk carrier newbuilding.

Illustration; Source: Unsplash/Daniel Norris

The vessel, that would be the company’s 20th unit, is scheduled for delivery by a Japanese shipyard during the second half of 2021.

The estimated cash breakeven for the ship upon delivery is about USD 11,250 per day including operational expenses, Belships said, adding that the deal has “attractive purchase options” which can be exercised as from the fourth year until the end of the charter.

“In addition to signalling the superior ship financing available to Belships, we see this transaction as an option to buy a vessel at today’s market levels without deploying any of the of the company’s cash until delivery,” Lars Christian Skarsgård, Belships CEO, said.

Following the transaction, Belships’ fleet will count 20 Supramax/Ultramax bulk carriers, including a newbuilding being delivered from Japan’s Imabari Shipbuilding in the first half of 2020.