Bocimar pulls plug on six newbuilds

After cancelling the order for four units from Samjin Shipyard earlier this year, dry cargo specialist Bocimar, a part of CMB Group, decided to cancel a further order for six units due to the bankruptcy
of the yard, the Belgium-based company disclosed in their third quarter results report. The advances paid for all cancelled vessels – including interest – have already been reimbursed or are expected to be reimbursed shortly.

 CMB Group has recorded the third quarter consolidated result of USD -12.16 million (2013: USD 13.88m) bringing the consolidated result for the first nine months of 2014 to a total of USD -14.97m (2013: USD 36.67m). Bocimar contributed USD -15.12m (2013: USD 5.37m) to the third quarter consolidated result. CMB Group says that against all expectations the markets for the transport of dry bulk did not recover.

 CMB sees the reasons for the still ailing dry bulk segment in the iron ore shipping increase not being able to absorb the increase of the global Capesize fleet. The overall weakening of demand for other commodities, in particular coal, also continues to have a further negative impact on market sentiment.