• 2020 April 18 12:32

    Stolt-Nielsen to scrap scrubber retrofits where possible to cut costs

    Tanker company Stolt-Nielsen is looking for ways to cut expenditures during the pandemic and is planning to cancel scrubber retrofits on its tankers where it is possible, the company’s CEO Niels Stolt-Nielsen said.

    As such, the chemical carrier and tank terminal owner has identified up to $30 million in Capex savings in the tanker sector.

    “The severity and duration of the expected recession are, obviously, impossible to predict. So, while we are hoping for the best, we are preparing for the worst,” he said.

    “We have so far managed to find approximately $83 million of savings from capital expenditures and operating and administrative and general expenses, including that the Board of Directors has agreed to cut board fees by 50% and our senior management team has volunteered to take a salary cut of 20%, effective April 1.”

    The company reported its first loss after 64 consecutive profitable quarters standing at USD 20.2 million, dropping from a profit of USD 5.5 million in the fourth quarter of 2019.

    The EBITDA for the first quarter of 2020 was down to $99.6 million, from $116.6 million, while operating profit fell to $16.6 million from $46.8 million in the previous quarter.

    The results were primarily impacted by higher bunker costs resulting from the switchover to low-sulphur fuel as well as scrubber retrofit and wastewater treatment delays in drydocking.

    The impact of the pandemic is hard to qualify at the moment, but Stolt-Nielsen expects it will most probably exert negative pressure on the company’s second-quarter results.

    The biggest challenge caused by the pandemic at the moment is the company’s inability to change crews on its ships amid travel bans across the globe aimed at curbing the spread of the disease.

    “At Stolt Tankers, contract volumes remain relatively healthy and contract renewals continue with improved terms, though we are experiencing some port delays. Spot volumes in most markets, have also been holding up,” the company’s CEO said in a conference call.

    As explained, the momentum from the fourth quarter is carrying on into the first quarter, even after the pandemic started having its full impact. The trend has been ascribed to a relatively healthy MR market, with rates fetching $25,000 a day.

    “So right now, the markets are holding up relatively well and it looks like that is same in March and also going into April. “

    “Stolthaven Terminals has seen an increase in enquiries for storage in most of its terminals, so utilisation is up, but throughput is slightly down. Stolt Tank Containers continues to see a robust market, reporting a record number of shipments in March and utilisation of 71%, the highest we have seen in recent years, while we are also seeing increased inquiries by customers to use containers as storage. However, we continue to have significant repositioning costs as a result of the rapidly changing trade flows. “

    The company added that it has over USD 519 million in available liquidity following the bond issue in early February, with some of it already used to pay off its April bond maturity in cash.

    Furthermore, Stolt-Nielsen has five unencumbered terminals that can be used to raise further liquidity with a potential borrowing capacity close to $200 million.

    The funds could be used for repayment of the March 2021 bond should the bond market be closed.

    The company already decided to withdraw its previously announced recommendation of a final dividend for 2019 in response to uncertainties created by the coronavirus pandemic.




2021 June 14

17:46 Fincantieri and MSC celebrate the start of construction of “Explora I”,
15:52 ABS and 22 industry players to study ammonia as an alternative marine fuel
15:18 ICS Guidance for Ship Operators and Roadmap for vaccination of seafarers
14:09 Bollinger submits proposal for U.S. Coast Guard Heritage-class offshore patrol cutter
13:19 Genco to jointly study ammonia as an alternative marine fuel
12:31 Wärtsilä brings Power-to-X technology to World Expo
11:57 Trafigura joins cross industry study into the adoption of green ammonia as an alternative marine fuel
11:24 DFDS: Freight up 31% following lockdowns in 2020
10:32 SEACOR Marine announces debt payoff agreement
09:47 Kick off “Joint Study” framework for studying ammonia as an alternative marine fuel
09:13 MABUX: bunker indexes may change irregularly on June 14

2021 June 13

15:31 Petrobras signs contract for the supply of eighth Búzios unit
14:18 Lyon Shipyard to invest $24.4 million to expand its operation in the City of Norfolk
13:29 Shearwater GeoServices recycles Western Trident as part of its fleet renewal strategy
12:41 MCA to carry out unannounced inspections of fishing vessels
11:42 The 126-passenger expedition cruise vessel National Geographic Resolution hits the water
10:56 Saipem: Inauguration of Saipem Guyana offshore construction facility in Georgetown

2021 June 12

16:09 Fred. Olsen Cruise Lines unveils brand new sailings aboard new ships Bolette and Borealis in 2022
14:21 "Blowdown" to reduce risk and raise decommissioning progress
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13:19 Belfast Harbour awards £25,000 to community projects
12:41 Maurice GEORGES named as new Chair of the Executive Board of Dunkerque-Port
11:38 AIDA Cruises resumes holiday voyages from July 29, 2021
10:52 OptiLink: A digital revolution in ballast water management

2021 June 11

18:07 LNG consumption as a marine fuel has almost doubled in 2020
17:31 Hapag-Lloyd to provide full transparency on vessel arrivals
17:09 MOL joins international think tank and accelerate development for carbon capture, utilization and storage
16:58 GTT obtains tank design order for two new LNG carriers from Samsung Heavy Industries
16:52 Shipping industry welcomes Nigeria’s creation of ‘Deep Blue’ to stamp out piracy in the Gulf of Guinea
16:24 Stena Line will move its Europoort-Killingholme service to Immingham
16:00 Yantar shipyard to build rescue ship of Project MPSV06M for Marine Recue Service
15:36 Sea Port of Saint-Petersburg hosts introductory practical training for students
15:13 The Port of Rotterdam Authority, Customs, Fresh Produce Centre and Portbase join forces to facilitate the growth market of refrigerated products
14:25 Seanergy takes delivery of two Capesize vessels with prompt commencement of period charters
13:51 Total throughput at the ports of Bremen increases once again during Q1 4 June 2021
13:32 Roman Gorgutsa appointed as General Director of Morstroytechnology
13:28 Mitsui E&S Machinery and 22 industry players kick off studying ammonia as an alternative marine fuel
13:04 MOL and ACSL use flying drone to conduct autonomous inspection of vessel holds under non GNSS and dark environment
12:49 Port of Los Angeles becames the first port in the Western Hemisphere to process 10 million container units in a 12‑month period
12:38 Oboronlogistics receives RS certificate on safety management of cargo ship Sparta
12:14 CNES and CMA CGM sign unique partnership agreement to spawn innovative solutions for shipping, logistics and the space industry
12:01 APM Terminals continues roll-out of digital export processing at Russian terminals
11:57 Russian Railways: Loading of export cargo bound for domestic ports grew by 8% in 5M’21
11:34 RS and GTT sign new cooperation agreement
11:33 Xeneta selects CLIVE Data Services’ ‘dynamic loadfactor’ data and analyses to deliver complete air cargo market intelligence
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10:50 Throughput of port Riga (Latvia) in 5M’2021 dropped by 15.1%
10:29 Rosneft agrees heads of terms to sell a stake in the Vostok Oil Project to a consortium of Vitol and Mercantile & Maritime
10:08 DRAX and Mitsubishi Heavy Industries sign pioneering deal towards delivery of the world’s largest negative emissions project
09:52 Throughput of Russian seaports in 5M’2021 fell by 2.7% Y-o-Y
09:40 Oil prices continue decreasing
09:23 Baltic Dry Index as of June 10
09:16 MABUX: Global bunker prices may rise slightly on June 11.
09:04 The port of Rotterdam Authority intends to build brand new port information centre
08:02 Rolls-Royce to showcase future South Korean naval power and propulsion

2021 June 10

18:45 Equinor sells its refining business in Denmark to Klesch
18:25 Rolls-Royce builds new fuel cell demonstrator to ensure electricity supplies
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18:00 Comprehensive programme on development of Yamal resource potential to be developed by October 2021
17:51 Contract awards for PSVs in UK