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Thu, 07 September 2017

Bahri Dry Bulk Company, a majority-owned subsidiary of the National Shipping Company of Saudi Arabia (Bahri), has inked contracts with South Korean shipbuilder Hyundai Heavy Industries (HHI) for the construction of four bulk carriers.

Bahri said that the total price tag for the four newbuildings is USD 120 million, i.e., USD 30 million per ship.

However, the shipping company did not announce how the contracts would be financed, adding that these details are expected to be revealed at a later time.

The bulkers are scheduled for delivery during the first half of 2020 from Hyundai Mipo Dockyard.

“The financial impact of these contracts will appear after the delivery of the vessels,” the company added.

As described by their owner, the ships are designed to the latest international technical specifications and are fitted with environmentally-friendly specifications and high efficiency in fuel consumption, with a capacity of 80,000 metric tons per carrier.

The order comes as Bahri embarks upon fleet expansion aimed at meeting the needs of the local and global markets.

On the other hand, for Hyundai, the contracts have been secured at a critical moment, as the shipbuilder is faced with the insufficient workload and is asking around 5,000 of its workers to take leave of absence.

As reported by World Maritime News, the company’s backlog stands at 85 ships, considerably lower when compared to last year’s 110 ships, with only ten vessels being constructed at the yard at the moment.