NOL finalises order for two 10,700 TEU ships

Neptune Orient Lines (NOL) has finalised an order for two 10,700-TEU container ships after reporting higher container shipping volumes.

The global shipping and logistics company, which recently swung back into the black, said that the deal for the two ships, for delivery in 2012, was inked in Seoul, reported Business Times Singapore.

The two vessels are part of a 12-ship order, which was first announced last month, valued at a total of US$1.2 billion.

The 12 ships - 10 of which were contracted on June 21, for delivery in 2013 and 2014 - will be built by Daewoo Shipbuilding & Marine Engineering. Back then, NOL had said that it had signed a letter of intent for the two extra vessels.

NOL said it was investing in new vessels to meet future growth needs and to replace vessels with charter agreements that will expire in the next few years.

NOL announced that container shipping volumes for the four weeks from June 26 to July 23 increased 18 per cent over the same period last year. The company said this was mainly due to higher volumes carried from all major trade lanes, particularly the transpacific and Asia-Europe trade lanes.

It said that average revenue per FEU was 39 per cent above the same period last year, due to improved core freight rates in the major trade lanes.

It also said that for the year-to-date, for that period, container shipping volumes have risen 35 per cent - with average revenue per FEU growing 15 per cent - over 2009 levels.
(Source:www.cargonewsasia.com)