Norway's Klaveness Combination Carriers (KCC) has allowed its final options for more newbuildings in China to expire.
Agreements to add two ships to the owner's series of eight 83,500-dwt Cleanbu oil product and dry bulk ships at Jiangsu New Yangzijiang Shipbuilding ended in January, the company said.
In November, chief executive Engebret Dahm said the company was unlikely to exercise the options, due to financial markets being unfavourable for raising the funds needed.
Two other options were allowed to lapse last year, but KCC had been in talks on stretching the final two fixed-price optional contracts.
The fifth ship in the series, the Bangus, was delivered in October. A sixth, the Baiacu, was handed over last month, and two more are due in March and May.
Delays to continue
The shipowner expects continuing delays between handover and the beginning of trading due to Covid-19 restrictions.
KCC chief financial officer Liv Hege Dyrnes told a conference call with analysts: "It is a challenge to take delivery of ships these days."
She said the average gap between taking possession of a vessel and its starting to trade was 12 days in 2019.
This stretched to 57 days in the third quarter, and is expected to be about 40 to 45 days for the final two vessels.
Dahm said this is a result of it being unable to get its own crews into China.
The company has employed Chinese seafarers to take new ships to South Korea, where its own teams are quarantining.
Not ideal
"This is a far from the ideal start-up for a vessel. It needs weeks from when the new crew comes on board to do work that normally would have been done at the shipyard," he added.
Previous Cleanbus have cost $46.5m, TradeWinds has reported.
The company said it has ample cash to fund the newbuildings, leaving it with $38m on the balance sheet after meeting its capital expenditure bills.
Dyrnes said KCC would not make any "large changes" to the situation this year.
But she added that after the full phase-in of the newbuildings, the owner "will try to optimise cash on the balance sheet", without giving further details.
Dahm said he expects to arrange further contract coverage for the caustic soda/bulk cargo Cabu ships this year, as well as expanding the Cleanbu combination trades.
