China Shipping Development and Cosco establish Singapore jv for Vale VLOCs

China Shipping Development and Cosco establish Singapore jv for Vale VLOCs

Shanghai: China Shipping Development (CSD) and Cosco have together announced that they have established a joint venture, China Ore Shipping, in Singapore. CSD and Cosco’s bulk shipping division Cosco Bulk Shipping holds 49% and 51% equity shares in the jv respectively.

China Ore Shipping has signed an agreement with Brazilian mining giant Vale for the purchase of four Very Large Ore Carriers (VLOCs) for $445m. The vessels will be delivered on June 2 and will be chartered to Vale under a COA deal for twenty years, with an option to extend for another five years.

Earlier in the week, Vale concluded a deal with China Merchants Energy Shipping (CMES) for the sale of four VLOCs.

China Exim Bank will provide financing for the deals.

Jason Jiang

Jason is one of the most prolific writers on the diverse China shipping & logistics industry and his access to the major maritime players with business in China has proved an invaluable source of exclusives. Having been working at Asia Shipping Media since inception, Jason is the chief correspondent of Splash and associate editor of Maritime CEO magazine. Previously he had written for a host of titles including Supply Chain Asia, Cargo Facts and Air Cargo Week.

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