India’s Essar Shipping is in negotiations for the acquisition of four secondhand panamax vessels in order to meet the growing demand at the Hazira Steel plant, Indian newspaper, the Financial Express has reported.
According to a source, Essar Shipping expects to take deliveries of the vessels in the second quarter of 2017 if prices are attractive and financing gets tied up in time. The company is also keeping its options open to take ships on bareboat.
“The acquisition is in line with company’s strategy to meet increased demand of iron ore at the Hazira steel plant, which gets supplied from the Paradip and Vizag ports on the east coast,” the source said.
The new purchase will increase Essar Shipping’s fleet size to 18 from 14 at present.
