Dry Bulk Shipping VII

[lamborghini]

Baltic mulls average daily time charter rate

THE Baltic Exchange will consider industry demands to develop an average daily time charter rate for the Baltic Dry Index, to boost transparency for the rapidly-growing market in freight derivatives.

The move follows the recent launch of a series of retail-based derivatives products based around the BDI, aimed at banks, hedge funds and other investors outside shipping seeking direct exposure to global freight rates.

Now viewed as a vital economic barometer for world trade, the BDI reflects the average freight rates for 26 routes and four ship types, and is expressed via points, not as a dollar-per-day rate for bulk carriers.

Baltic Exchange chief executive Jeremy Penn said the request for establishing a time charter average had been made by derivatives traders.

“There’s an argument that if we can do that (provide a time charter average) then so can everybody else,” Mr Penn said.

“But we will certainly be taking a look at that and come back with a view on that, and whether it’s unnecessary because it’s something we already can do on our own.”

In June derivatives brokers Imarex and .......read more

[lamborghini]

15% of the bulk shippers' order book due to be delivered in China this year will be delayed, commodity demand is still expected to double over the next three years thanks to China and India.

[ron]

Excel Maritime Increases Quarterly Minimum Dividend Guidance by 100% to $0.40 per Share.


Excel Maritime Carriers Ltd, an owner and operator of dry bulk carriers and a provider of worldwide seaborne transportation services for dry bulk cargoes, announced today that the Board of Directors has increased the Company’s minimum annualized dividend guidance to $1.60 and has set the 2008 minimum annualized dividend guidance to $1.20. This guidance would result in a minimum quarterly dividend of $0.40 per common share beginning with the dividend declared for the second quarter of 2008.

Mr. Molaris stated, "We are very pleased with our Board’s decision to double distributions to our shareholders.

We believe that its decision is a solid proof of our Company’s strong financial condition, after the merger with Quintana, and it is underpinned with solid growth potential together with secured long term cash flows. We anticipate that returns to our shareholders will be further enhanced over time.

Excel Maritime Carriers Ltd.

[ron]

Eagle Bulk Shipping Inc. Takes Delivery of Supramax Vessel and Announces Time Charter Contract.

Eagle Bulk Shipping Inc. today announced that it has taken delivery of the Goldeneye, a 2002 built 52,421 dwt Supramax dry bulk vessel. The Goldeneye, which was acquired as part of a two vessel transaction announced on May 21, 2008, will commence a one year charter at a rate of $61,000 per day.

The second vessel, the Redwing, which was also acquired charter-free, will deliver in September 2008. Sophocles N. Zoullas, Chairman and Chief Executive Officer, commented: today's announcement that the Goldeneye has joined the fleet, together with the recent delivery of our first newbuild vessel, the Wren, signals the commencement of a period of sustained, highly-accretive growth for our Company.

Specifically, we expect to take delivery of three additional vessels during 2008 and nine vessels in 2009. The larger fleet allows us to pursue a strategy for our shareholders that maximizes cash flows, supports our dividend, and secures future growth.

Eagle Bulk Shipping Inc.

[lamborghini]

Shipbuilders' earnings set to accelerate in next two years

SHIPBUILDERS’ earnings should advance rapidly in the next two years but moderating order growth and the dramatic increase in capacity could represent downside risks further ahead.

This is one conclusion drawn from a major report on shipbuilding by HSBC, the global bank, which also underlines the increasing importance of the oil industry to shipyards.

The research points out that growth in the order backlog has slowed, although it is still ahead 39% on a year-on-year basis.

“With strong order growth in 2006-07 and a relatively solid orderbook, we expect earnings to accelerate in 2009 and potentially further in 2010 (i.e.up 30%-66%), despite rising steel costs,” HSBC says.

Even so, the shares of major shipbuilders have retreated from their peaks in the second-half of last year, as global......more