China Merchants Energy Transportation (CMES) has expanded its orderbook with two newcastlemax newbuildings, lifting its spending for the ship type to $752.5m.
The Chinese giant announced on Thursday that its subsidiary Ming Wah Shipping had contracted Qingdao Yangfan Shipbuilding to build two 210,000-dwt bulkers for delivery from the second half of 2027.
CMES said the pair is priced at CNY 1.05bn ($144.5m), or $72.25m per ship.
It is the second newbuilding contract that the Hong Kong-based company has signed this month.
On 14 June, Ming Wah ordered eight newcastlemaxes at New Times Shipbuilding for $76m each for delivery from 2028.
The newcastlemaxes that Ming Wah has ordered at both yards will be powered by conventional fuel and equipped with scrubbers and energy-saving devices.
CMES said their energy consumption will be significantly better than its existing ships.
It has ordered the vessels as part of its fleet renewal and expansion programme and in line with its target to achieve carbon neutrality by 2060.
CMES is optimistic about the bulker segment and believes the investments will deliver good returns.
More orders
Newbuilding players said the company is also considering an order for six to eight newcastlemaxes at Chinese state-owned Qingdao Beihai Shipbuilding Heavy Industry.
It is said to be planning to install shaft generators on these ships, which would raise their cost by $2m each.
Sources said Qingdao Beihai has reserved 2027 and 2028 berth slots for the vessels.
In May, CMES spent CNY10bn on four 271,000-cbm Q-Max LNG carrier newbuildings at Shanghai-based Hudong-Zhonghua Shipbuilding.
It ordered them against long-term employment contracts of 25 years, plus an additional five years, from QatarEnergy.
Delivery is scheduled from 2028.
Clarksons’ Shipping Intelligence Network shows CMES has 50 newbuildings on its orderbook, excluding the latest Qingdao Yangfan bulkers. The list includes one VLCC, car carriers, heavylift ships, a series of 175,000-cbm LNG carriers and small to midsize bulk carriers.
CMES will be taking a controlling stake in Antong Holdings, a transport and logistics company, through the issuance of new shares.
In return, Antong Holdings will acquire 100% equity in Sinotrans Container Lines and 70% equity in Guangzhou China Merchants Ro-Ro Transport.
The restructuring is to simplify operations and allow the ability to carry out a separate listing for the liner and ro-ro business under Antong Holdings.
Sinotrans Container has 25 ships ranging from 4,000 teu to 300 teu, built between 1996 and 2023, while Guangzhou China Merchants has 10 car carriers and a ro-ro.
