US commodity trader Cargill has entered into an agreement with CSSC Leasing, the shipowning unit of China State Shipbuilding Corporation (CSSC), to time charter four new baby cape vessels. The agreement also includes an option for two more vessels.
The ships will be built by CSSC’s Huangpu Wenchong Shipbuilding and will be delivered throughout 2020. Hong Kong shipping line Wah Kwong will oversee the technical management and crewing of the vessels.
The vessels will be primarily used to ship coal and grains.
“Cargill continues to modernise its fleet to provide long-term competitiveness and environmental performance. These vessels will be among the most efficient in the market. Every aspect of the design, build and management ensures they will perform at the highest level,” said Jan Dieleman, president of Cargill’s ocean transportation business.
“Demand for baby cape vessels grew significantly over the past few years. Cargill is expanding its presence in this segment to meet the needs of our customers,” Jeremy Bryan, Cargill’s global physical trading lead, added.