DEMOLITION MONTHLY MARKET REPORT

Transcription

1 ISSUE NO. 6/ JUNE LITION MONTHLY MARKET REPORT LITION ACTIVITY PER VESSEL TYPE LITION ACTIVITY PER UPDATE LITION ACTIVITY PRICES PER MAIN LITION COUNTRIES GOLDEN DESTINY LITION MONTHLY REPORT/ LITION ACTIVITY PER VESSEL TYPE highlights the popularity of each vessel type for scrapping by summarizing the volume of transactions reported in the Demolition market per vessel type of the current month in comparison with the demolition activity of the previous month of the current year and the respective/similar month of year and. GOLDEN DESTINY LITION MONTHLY REPORT/ LITION ACTIVITY PER highlights the presence of the main Demolition Countries in the market by summarizing the volume of transactions reported in the Demolition market per main demolition country in comparison with the demolition activity of the previous month of the current year and the respective/similar month of year and. GOLDEN DESTINY LITION MONTHLY REPORT/ UPDATE LITION ACTIVITY highlights the popularity of each vessel type for scrapping and the presence of the main Demolition Countries in the market by summarizing the volume of transactions reported per vessel type and demolition country over the first five months of in comparison with the demolition activity of the first five months of year and.

2 GOLDEN DESTINY LITION MONTHLY REPORT/ PRICES PER MAIN LITION COUNTRIES highlights the maximum, minimum and the average demo price of the main Demolition countries, Bangladesh, India, China and Pakistan per quarter of the current year in comparison with the demo prices of year and. All the information contained in this report is given in good faith but without guarantee based on our S&P Market Reports and Insight Market Information from various sources. Neither the Company nor its Directors or employees shall be liable in any way whatsoever for any loss incurred on the information contained herein. LITION COMMENTARY, JUNE In June, 79 vessels reported to have headed to the scrap yards of total deadweight of 1,605,994 tons indicating a negative monthly change of 22.5%. Tankers and liners represent the biggest share of the demolit ion market in terms of reported number of transactions while in the bulk carrier sector the demolition activity is still at low levels despite the continuous fall of the BDI since the end of May. BDI estimated to have dropped 41% whereas only 8 vessels reported to have gone for scrap equaling to a total deadweight of 127,775 tons. Tankers are estimated to hold 27.8% of the demolition market and liners with Pax/Ro carriers around 15% and 16% respectively. Bulk carriers and containers demolition activity is estimated around 10% and 7.6% respectively while in the other sectors no significant movements have been reported. In June, the demolition activity was standing at much lower levels with 52 vessels reported to have headed to the scrap yards of total deadweight 1,475,699 tons. In terms of reported number of transactions, the majority of the demolition activity had been recorded in the container market as the charter market activity was barely at subsistence level and the laid up container fleet was standing 10.3% of the existing fleet by capacity in early June. In total, 19 containers reported to have headed to the scrap yards equaling to a total deadweight of 550,667 tons whereas in today s market the container demolition activity is estimated to 6 vessels equaling to a total deadweight of 222,313 tons. Container charter rates started to be beyond minimum operating costs in May after the significant rise in freight volumes on the Asia-Europe trade witnessed in recent months with the laid up fleet represented just 3.6% of the container ship fleet in early June. Over the last 6 months, January to June, 508 vessels reported to have sent for scrap equaling to a total deadweight of 14,753,789 tons with tankers, liners and Pax/Ro carriers representing the highest demolition activity, estimated to hold around 29.5%, 22.6% and 14% respectively of the demolition market in terms of reported number of transactions. Containers and bulk carriers seem to follow with lower reported number of transactions while in January to June were holding the first rankings in the demolition market as they were also the sectors who were suffering the most in the freight market. Demolition activity has recorded a 65.2% & 36.5% decline in bulk carrier and container sector respectively in terms of reported number of transactions in comparison with the first six months of. Although the demolition activity in January to June estimated to have been increased only by 10.4% in contrast to similar period in, is up by 379.2% in comparison with January to June when only 106 vessels reported for scrap equaling to a total deadweight of 3,357,735 tons. During January to June, tankers were the most popular scrap candidates as almost 50% of the total number of demolition transactions wer e reported in the tanker sector. In the bulk carrier sector, only one unit reported to have gone for scrap when the BDI was standing at 9,589 points at the end of June, showing signs of decrease from its peak at 11,793 points in May 20 th,. It remains to be seen how the market will react after the recent fall in the dry freight market depending on the seasonality of summer period, the general influence of the low freights and the inflow of newbuilding deliveries. Bangladesh demolition market remains inactive after High court decision for incoming vessels containing hazardous material with India and Pakistan taking the lead and China to follow. Month ended with demo countries paying $340- $370/ldt for dry and $365-$400/ldt for wet cargo. In June, the scrap rates were standing at much lower levels with Bangladesh and China offering the highest scrap rates, $220-$240/ldt for dry and $270-$310/ldt for wet cargo. In

3 June, scrap rates were fluctuating at the high levels of xs $600/ldt for dry and region $700/ldt for wet cargo with China offering only $370/ldt for dry and $425/ldt for wet cargo. LITION ACTIVITY PER VESSEL TYPE &, JUNE LITION ACTIVITY PER VESSEL TYPE MAY JUNE JUNE JUNE TYPE TYPE TYPE TYPE Bulkcarriers Bulkcarriers Bulkcarriers Bulkcarriers 0 0 Tankers Tankers Tankers Tankers Gas Tankers Gas Tankers Gas Tankers Gas Tankers 0 0 Liners Liners Liners Liners 0 0 Containers Containers Containers Containers 0 0 Combi 0 0 Combi 0 0 Combi 0 0 Combi 0 0 PAX/RO PAX/RO PAX/RO PAX/RO Reefers Reefers Reefers Reefers Sp.Projects Sp.Projects Sp.Projects 0 0 Sp.Projects 0 0 TOTAL TOTAL TOTAL TOTAL LITION ACTIVITY PER MAY JUNE JUNE JUNE Bangladesh Bangladesh Bangladesh Bangladesh India India India India China China China China 0 0 Pakistan Pakistan Pakistan Pakistan 0 0 Turkey Turkey Turkey Turkey 0 0 Various 0 0 Various 0 0 Various 0 0 Various Unknown Unknown Unknown Unknown 0 0 TOTAL TOTAL TOTAL TOTAL

4 UPDATE LITION ACTIVITY, JAN- JUNE, JAN-JUNE & JAN-JUNE VESSELS SOLD FOR LITION JAN-FEB-MAR-APR-MAY-JUNE UNITS DWT BDESH INDIA CHINA PAKISTAN TURKEY VARIOUS UNKNOWN UNITS UNITS UNITS UNITS UNITS UNITS UNITS Bulkcarriers Tankers Gas Tankers Liners Containers Combi PAX/RO Reefers Sp.Projects TOTAL VESSELS SOLD FOR LITION JAN-FEB-MAR-APR-MAY-JUNE UNITS DWT BDESH INDIA CHINA PAKISTAN TURKEY VARIOUS UNKNOWN UNITS UNITS UNITS UNITS UNITS UNITS UNITS Bulkcarriers Tankers Gas Tankers Liners Containers Combi PAX/RO Reefers Sp.Projects TOTAL VESSELS SOLD FOR LITION JAN-FEB-MAR-APR-MAY-JUNE UNITS DWT BDESH INDIA CHINA PAKISTAN TURKEY VARIOUS UNKNOWN UNITS UNITS UNITS UNITS UNITS UNITS UNITS Bulkcarriers Tankers Gas Tankers

5 Liners Containers Combi PAX/RO Reefers Sp.Projects TOTAL DRY PRICES PER MAIN LITION COUNTRIES BANGLADESH YEAR DRY UNITS(*) SCRAP RATES ($/LDT) 01- QUARTER 02-QUARTER 03-QUARTER 04-QUARTER JAN -FEB-MAR APR -MAY-JUN JUL-AUG-SEP OCT-NOV -DEC MIN -MAX -AVERAGE MIN -MAX -AVERAGE MIN -MAX -AVERAGE MIN -MAX -AVERAGE $/LDT 487-$/LDT 630- $/LDT $/7LDT $/LDT $/LDT $/LDT $/LDT $/LDT 544 $/LDT 722 $/LDT 732 $/LDT 250 $/LDT 260-$/LDT $/LDT 215-$/LDT 290- $/LDT $/LDT $/LDT $/LDT $/LDT 268 $/LDT 242 $/LDT 282 $/LDT 300 $/LDT $/LDT $/LDT $/LDT $/LDT 404 $/LDT 438 INDIA N/A-N/A-N/A N/A-N/A-N/A $/LDT 235 -$/LDT $/LDT 220 -$/LDT 300- $/LDT 262 $/LDT 244 $/LDT $/LDT $/LDT $/LDT $/LDT 360 $/LDT 395 $/LDT $/LDT $/LDT 270 $/LDT $/LDT $/LDT 256 $/LDT $/LDT $/LDT 312 CHINA $/LDT $/LDT $/LDT 238 $/LDT $/LDT $/LDT 350 REPORT ED $/LDT 210-$/LDT 245- $/LDT 228 $/LDT $/LDT $/LDT 406 $/LDT $/LDT $/LDT 265 $/LDT $/LDT $/LDT 220 $/LDT $/LDT $/LDT 290 PAKISTAN $/LDT $/LDT $/LDT 262 $/LDT $/LDT $/LDT 380 $/LDT 225- $/LDT 290- $/LDT 254 N/A-N/A-N/A $/LDT $/LDT $/LDT 270 $/LDT $/LDT $/LDT 238 $/LDT $/LDT $/LDT 293 N/A: Price not applicable due to lack of volume of demolition transactions reported with revealed demo price $/LDT. (*) Dry Units: Bulk Carriers, Liners & Containers

6 WET PRICES PER MAIN LITION COUNTRIES BANGLADESH YEAR WET UNITS(**) SCRAP RATES ($/LDT) 01- QUARTER 02-QUARTER 03-QUARTER 04-QUARTER JAN-FEB-MAR APR-MAY-JUN JUL-AUG -SEP OCT-NOV -DEC MIN -MAX -AVERAGE MIN -MAX -AVERAGE MIN -MAX -AVERAGE MIN -MAX -AVERAGE $/LDT 605- $/LDT 770- $/LDT $/LDT $/LDT $/LDT $/LDT 285- $/LDT $/LDT 630 $/LDT 730 $/LDT 746 $/LDT 330 $/LDT 258-$/LDT 375- $/LDT 285-$/LDT 320- $/LDT $/LDT $/LDT $/LDT $/LDT 318 $/LDT 294 $/LDT 353 $/LDT 343 $/LDT $/LDT $/LDT 390-$/LDT $/LDT 411 $/LDT 400 INDIA $LDT $/LDT $/LDT 582 N/A-N/A-N/A $/LDT $/LDT $/LDT 398 $/LDT 390-$/LDT $/LDT 422 $/LDT $/LDT $/LDT 740 $/LDT $/LDT $/LDT 273 $/LDT $/LDT $/LDT 278 $/LDT $/LDT $/LDT 342 CHINA N/A-N/A-N/A N/A-N/A-N/A $/LDT 185 $/LDT 325 N/A-N/A-N/A $/LDT 387-$/LDT $/LDT 410 PAKISTAN $/LDT $/LDT 610- $/LDT 575 N/A-N/A-N/A $/LDT $/LDT $/LDT 401 $/LDT $/LDT $/LDT 690 $/LDT 215-$/LDT $/LDT 270 $/LDT 380-$/LDT $/LDT 448 $/LDT 535 $/LDT $/LDT $/LDT 310 $/LDT $/LDT $/LDT 312 N/A: Price not applicable due to lack of volume of demolition transactions reported with revealed demo price $/LDT. (**) Wet Units: Gas Tankers are not included

7