Soaring prices for dry bulk ships have grabbed the most headlines in the S&P scene this month. Brokers argue that what we are witnessing is not a spike and that the coming weeks will see pricing to support the new levels, but in a calmer, more orderly fashion than has been evidenced in March. Due to recent and upcoming holidays, activity has slowed, resulting in a shorter sales list of dry bulk candidates this week. “Despite the slowdown, market values have risen quickly in the last two months and the market has been stripped bare of sales candidates,” states a new report from Hartland Shipping. “It will take time for the shelves to be re-stocked and both sellers and buyers to come to terms with the new benchmarks. Optimism and cash still remain in ample supply and the few sales we do have this week point to continued upward momentum.” The capesize sector has experienced the strongest Q1 in terms of sales, of at least the last 10-year period, according to Xclusiv Shipbrokers. Within the past year, capesize secondhand prices have realised the greatest increase compared to other segments, with five-year, 10-year and 15-year-old prices climbing by 21%, 35% and 39% respectively. Actual bulker sales concluded fell 48% month-on-month in March and yet values for all sectors and age categories shot up, according to reporting from VesselsValue. Sinokor pocketed $213m from the sale to Pan Ocean of three 2020-delivered sister ships, the 208,000 dwt Atlantic Dragon, Atlantic Lion and Atlantic Tiger. Sinokor ordered the ships back in 2018 for $51m each and has managed to sell them on for $71m each. The volume of tanker sales slumped by 53% month-on-month in March with just 25 sales reported by VesselsValue. Nevertheless, tanker values continued to rise across most sectors this month. For example, values for five-year-old VLCCs of 320,000 dwt increased by 2.94%, from $109.72m to $112.95m, as spot earnings for this size range continue to outperform other crude sectors. However, for older VLCCs, values have corrected lower. “Ships hitting 20 years of age are seeing a stark deterioration in value,” states a new report from broker Gibson. Gibson cited two recent sales of 2004-built, scrubber-fitted VLCCs as examples of this waning price trend. The C. Vision has been sold for $32m, while the Achelous went for $30m. Both ships having special surveys due in June and September, with ballast water treatment systems to be installed. Gibson noted that as recently as January $34m seemed a viable benchmark for such tonnage. “The vintage market reality is a somewhat more bitter pill to swallow when considering that 20-year-old values were up in the $50+m range this time last year,” Gibson stated. Month-on-month container S&P activity picked up in March, with a total of 15 boxships sold so far, compared to 11 in February. However, according to Dan Nash, an analyst at Veson Nautical, year-on-year sales activity was 66% down versus March 2023 as sellers raised asking prices and buyers mostly deliberated. Container values appreciated across the board this month with few exceptions. Notable sales included the 11-year-old, 1,891 teu Starship Leo, sold to VSICO Shipping for $16m, while Peter Dohle spent $153m in an en bloc deal for the 13-year-old pair of 9,954 teu ships Athos and Asitomenis. TagsSplash Extra Archive Splash Extra March 2024