Eagle Bulk Shipping has entered into a series of agreements for the purchase of up to 37 scrubbers which are to be retrofitted on vessels within its fleet to comply with the upcoming IMO regulations on sulfur emissions.
The agreements are comprised of firm orders for 19 scrubbers and options for up to an additional 18 units. The cost of the projected is approximately $2m per scrubber system.
Eagle Bulk plans to complete the retrofit of all 19 vessels before January 1, 2020.
According to the company, it is collaborating with a global engineering firm and has developed a scrubber installation program whereby a significant amount of the required retrofit work will be carried out onboard the vessels while at sea and trading, thereby reducing off-hire time as compared with a typical shipyard installation.
“Today’s announcement is the culmination of significant work and analysis, and we are excited to be able to position ourselves to not only meet the forthcoming sulphur emission regulations, but also to realize the economic advantage we believe scrubbers will provide. Additionally, we are confident that Eagle Bulk’s active owner-operator model will ensure that we can effectively maximize the returns on this investment and technology,” said Gary Vogel, Eagle Bulk’s CEO.
Eagle Bulk owns a fleet of 47 bulkers, one of the largest supramax/ultramax fleets in the world.