NewLead Finds Work for Oldtimer

Piraeus-based dry bulk and petroleum shipping company NewLead Holdings has entered into a contract of affreightment for one of its dry bulk vessels, the 1990-built Panamax Newlead Markela.

The contract is for the transportation, anticipated to be completed within a twelve month period, of approximately 704,000 tons of aggregates over eleven consecutive voyages.

The Newlead Markela will be trading in the Arabian Gulf and the first shipment is scheduled to commence during March 2015.

NewLead recently expanded its fleet from two to ten vessels, five dry-bulk carriers and five tankers, as part of the company’s growth strategy.

The latest addition to the fleet were five bitumen tankers, which NewLead bought and leased in January.

With the latest additions, the company lowered the average age of the fleet from almost 18 years to 7.4 years.

“We have succeeded in securing solid employment of the Newlead Markela for the year 2015 while the dry bulk market is at historical lows. We continue to optimize the employment of our fleet and enhance the revenues and cash flow of the company,” Michael Zolotas, Chairman and Chief Executive Officer of NewLead, said.

“Our strategy for 2015 is to continue to grow our fleet while taking advantage of market opportunities.”

Newlead has approximately 43.2% and 45.4% of its operating days covered for 2015 for the dry bulk and tanker vessels, respectively, with the bulker Newlead Victoria and the tanker Nepheli on a period time charter until June 2018 and July 2015, respectively, and the rest of the company’s fleet trading on the spot market.