News in English

As we approach the end of 2024

As we approach the end of 2024, we observe that dry bulk prices have increased significantly this year, reaching their year-to-date highs during Q3 2024. More specifically, within early Q3 2024, 5- and 10-year-old Capesize BCs were valued at around USD 64 mills and USD 45 mills respectively, 17% and 27% up compared to early January 2024 values. Similarly, 5- and 10-year-old Kamsarmaxes climbed to USD 39.5 mills and USD 30 mills in Q3 2024, almost 18% and 23% up respectively since January 2024 values. Ultramax 5- and 10-year-old prices increased by 19% and 38% from January to August 2024 and topped at USD 36.2 mills and USD 28.2 mills. Last but not least, the 5 and 10-year old Handysize prices reached also their year-to-date high within Q3 2024 and were valued at around USD 28.8 million and USD 21 million respectively, almost 7% and 17% up compared to early January 2024 values.

Nevertheless the outlook for second-hand dry bulk prices has shifted, as dry bulk market rates - excluding Capesizes - have dropped considerably over the past three and a half months. The Kamsarmax 5 TC Average closed the week at USD 9,951/day, almost 35% down compared to 2nd August 2024. A similar trend has been observed in the Ultramax 11 TC Average which currently pays USD 12,470/day, down by 26% compared to early August 2024, while the Handysize 7 TC Average has lost around 12% during the same period and closed the week at USD 12,079/day. The Capesize 5 TC Average, characterized by its volatile nature, is currently paying USD 21,778/day, up 13% from early August 2024 levels. (Reversing a decline from USD 14,811/day in late October 2024.)

The weakening of time charter rates has led to a correction in second-hand prices, especially for 5-year-old and 10-year-old Kamsarmax, Ultramax, and Handysize, which has seen prices decline by 5% to 17%. More specifically, Kamsarmax prices have been hit the hardest, with a 13% decline for 5-year-old vessels and a 17% decline for 10-year-old vessels from their Q3 peak. Handysize prices have decreased by 8% for 5-year-old vessels and 10% for 10-year-old vessels. Meanwhile, Ultramax prices have softened by 5% for 5-year-old vessels and 13% for 10-year-old vessels since their Q3 peak. The Capesize segment, while volatile, has shown resilience compared to other segments, with 5 and 10-year-old prices remaining stable from their Q3 peak.

This week, we saw an abundance of vessels hitting the sales market. The Capesize and Ultramax/Supramax sectors were quite active, with 6 vessels in these categories coming for sale. The week likewise saw many vessels changing hands, across numerous sectors, as buyers look to invest at discounted levels.

Sale and Purchase

Dry:

This week was a very active week for the dry bulk sector, with a total of 15 vessels finding new homes. The Newcastlemax "Amber Horizon" - 208K/2010 Universal committed at USD 32.5 mills. On the Capesize sector, the Scrubber fitted "Nord Energy"- 179K/2012 HHIC and the "Nord Power" - 179K/2012 HHIC were sold for high USD 31 mills each. Moreover, the "Nordboen Sun"- 169K/2010 Daehan found new owners for USD 23.5 mills. Moving down the sizes, the Post-Panamax "Pisces First" - 93K/2010 JNS was sold for USD 12.9 mills to Chinese buyers, while the Kamsarmax "AM Contrecoeur" - 82K/2011 Tsuneishi Zhoushan was sold for USD 17.8 mills to Greek buyers. There was strong interest in Ultramax and Supramax vessels. Clients of Amoy Sailing acquired the Ultramax "Great Century"- 61K/2017 Dalian Cosco for USD 24.52 mills via auction. The Supramax "Elikon" - 57K/2013 STX Dalian was sold for USD 17.2 mills to Vietnamese buyers, whilst the sister vessel "Mystras"- 57K/2013 STX Dalian was sold for USD 17.2 mills to clients of Vosco. We noted 3x sales of 15-year-old Supramaxes, the "Aurora Sb"- 56K/2009 Mitsui which was sold for mid/high USD 15 mills to Chinese buyers. Furthermore, the Supramax "Atlantica Sun" - 56K/2009 Mitsui changed hands for USD 15.2 mills, while the "PPS Luck" - 55K/2009 Kawasaki found new owners for USD 15.7 mills. Finally, the Electronic M/E Handysize "Wellpark" - 37K/2014 Oshima was sold for low USD 19 mills.

Wet:

The recent period of subdued activity has given way to a more active week. Asian buyers acquired the VLCC "Xidi" - 306K/2004 Mitsubishi for excess USD 30 mills, while the VLCC "Tricia II" - 281K/2000 Mitsubishi was sold for region USD 21 mills basis prompt delivery in Singapore. On the Suezmax sector, the Ice Class 1A "Umnenga II" - 162K/2006 Daewoo was sold for USD 36 mills to Nigerian buyers. UAE buyers acquired the Aframax "Sofia II"- 105K/2008 Sumitomo for low USD 30's mills. Last but not least, the Small tanker "Maersk Bering" - 29K/2005 GSI was sold for high USD 15 mills to Chinese buyers.

Xclusiv Shipbrokers Inc.