South Korea’s Pan Ocean is being tied to a second big-ticket newcastlemax bulk carrier buy as the ink dries on a similar acquisition last week.
US brokers report that the major shipowner is spending $70m on the 208,600-dwt Mineral Hiroshige (built 2019).
The vessel’s current owner, Shoei Kisen, will deliver the Imabari-built bulker in December after it passes its first special survey.
Shoei Kisen did not respond to a request for comment and Pan Ocean managers were not contactable by email.
If a deal is confirmed, it would be Pan Ocean’s second newcastlemax acquisition in quick succession.
TradeWinds reported on 31 July how the company was linked to a $60m acquisition of the scrubber-fitted, 207,000-dwt bulker Fomento Two (built 2017).
Pan Ocean has since indirectly confirmed that acquisition.
In an investor-relations presentation about its second-quarter results released on 1 August, the company said it recently acquired a 207,000-dwt capesize bulker on the secondhand market.
The anonymous vessel, the description of which matches the Fomento Two, will be delivered to Pan Ocean in November.
The Fomento Two is not the only bulker expansion that Pan Ocean confirmed.
The presentation also shows the company with six ultramax newbuildings under construction, compared with the four disclosed in its previous presentation three months ago.
Pan Ocean did not disclose at which yard it has contracted the fresh pair of 64,000-dwt newbuildings, which are due for delivery in October 2027 and January 2028.
It is possible, however, they are options from the four newbuildings the company is known to have contracted at Oshima Shipbuilding and due for delivery between February and August of 2026.
Other bulker acquisitions by Pan Ocean reported by TradeWinds recently include a modern, four-year ultramax from Japan’s Fukujin Kisen and a newly delivered handysize newbuilding from Turkey’s Yasa Shipping.
Balancing dividends and investments
Bulkers are at the forefront of Pan Ocean’s wide-ranging expansion drive, which sees the company extend its presence in other shipping sectors as well.
It has a newbuilding programme of nine LNG carrier newbuildings due for delivery in 2024 and 2025 from yards controlled by Hanwha Ocean and HD Hyundai Heavy Industries.
Their construction is secured by long-term charters with Shell and Korea Green LNG.
The shipowner also has six 50,000-dwt MR tanker newbuildings being built at Hyundai Mipo Dockyard and Hyundai Vietnam, which are due for delivery in 2025 and 2026.
Pan Ocean’s growth appetite coincides with rising profit at the company, led by chief executive Ahn Joong Ho.
The company, which has a fleet of 109 owned and 149 chartered-in vessels — mostly bulkers but also tankers and some LNG carriers and container ships — saw net income climb at an annual pace of 19% in the second quarter to KRW 109.6bn ($79.9m).
Under guidance applying through to 2026, Pan Ocean shareholders such as Harim Holdings, which holds a controlling 54.7% stake in the company, can expect to receive dividends to the tune of between 15% and 25% of net profit.
This reflects Pan Ocean’s decision to reward shareholders “in a reasonable and balanced way to secure investment resources [and] maintaining the soundness of financial structure”, the company said in its investment release.
