CMES Sets Up Subsidiary to Operate Valemaxes
- Business & Finance
China Merchants Energy Shipping (CMES) has set up a wholly-owned subsidiary that will own and operate the Very Large Crude Carriers (VLCC) bought from Brazilian mining giant Vale.
The new company named China VLOC Company Limited, will be based in Hong Kong and will be in charge of four Valemaxes that are expected to join CMES fleet this month.
Vale sealed the acquisition deal for the 400,000 DWT VLCCs with CMES at the end of July. The transaction totaled in USD 448 million.
CMES and Vale have also inked a 25-year contract on affreightement that will involve employment of 10 VLOCs.
The announcement comes in the wake of the arrival of the first fully-laden Valemax at a Chinese port in July after the 2012-ban on Valemaxes was partially lifted in China.
World Maritime News Staff