Star Bulk Takes Delivery of Its First Ultramax Bulk Carrier

Star Bulk Carriers Corp. (Star Bulk), a global shipping company focusing on the transportation of dry bulk cargoes, yesterday announced that it has taken delivery of M/V Star Challenger (formerly M/V Supra Challenger), an Ultramax bulk carrier of 61,462 deadweight tons carrying capacity, built in Japan by Imabari Shipbuilding Group in November of 2012.

The vessel has been employed on a short – term time charter for a period of 40 days, at a gross hire rate of $13,700 per day. This short – term fixture is in line with the Company’s  flexible, spot – oriented commercial strategy, aiming to capture the benefits of a potential broader freight rate recovery in the dry bulk market.

The Star Challenger is the first of the two modern Ultramax bulk carriers to be delivered to the Company, pursuant to the relevant definitive agreement announced on November 18, 2013. The second Ultramax bulk carrier, Star Fighter, is expected to be delivered to the Company by the end of December 2013.

The Company has financed the purchase of Star Challenger using cash on hand and is currently in advanced discussions with a major lending institution to secure commercial bank debt financing for the two Ultramax bulk carriers.

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Star Bulk, December 17, 2013; Image: Wikimedia