Greater China

Giant Chinese VLCC pool in the offing

Dalian: SinoShip News has learnt that under the coordination of several government departments, three state-owned oil tanker companies, Cosco Dalian, China Merchants Energy Shipping and China Shipping, have reached a preliminary consensus to establish an independent shipowner company of giant proportions. The four companies will form a VLCC pool that will ultimately have 70 to 80 newbuild VLCCs  by 2020.

Cosco Dalian, the tanker owning arm of Cosco Group, will build 30 VLCCs , while China Merchant Energy Shipping and China Shipping will commit to at least 20 each.

A spokesperson for Cosco Dalian denied the creation of the pool. China’s first ever shipping pool was launched this year for semi-submersibles.

The VLCC pool is designed with two important aspects in mind for Beijing. First, taking greater control of its oil supply chain and secondly, providing the nation’s beleaguered shipbuilders with some much needed work.  [21/08/12]

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