21 May 2024 (Lloyd's List) - EVERGREEN has sold two 1990s-built containerships for recycling after circulating them for Hong Kong Convention sale earlier this month.
Cash buyers have snapped up the 25-year-old post-panamax Ever Uranus (IMO: 9168855) and the feeder Uni-Assure (IMO: 9130597) on an “as is” basis.
The 5,652 teu Ever Uranus is set to be handed over at Port Klang, Malaysia in mid-June. It is expected to head for Alang, India to a Hong Kong Convention-approved ship recycler.
According to cash buyer Wirana Shipping, the 1999-built ship was purchased for $542 per light displacement tonne, netting Evergreen circa $13.2m.
Ever Uranus is one of 18 “U-type” ships built for Evergreen by Japan’s Mitsubishi Heavy Industries in the late 1990s to serve in the US west coast-Asia-Europe trade, until they were superceded by larger tonnage.
Four of the series were recycled in 2019, while two other ships were sold to Mediterranean Shipping Co in 2023.
The 1,164 teu Uni-Assure is operated as an eastern Mediterranean feeder vessel.
To avoid a lengthy trek around the Horn of Africa to the Indian subcontinent, the 1999-built vessel is expected to be scrapped in Aliaga, Türkiye by a European Union Ship Recycling Regulation-compliant shipyard, following handover to cash buyers in Piraeus, Greece.
Its sale price of $373 per ldt is reflected in the lower pricing levels being offered by Turkish shipbreakers compared to those on the Indian subcontinent.
According to data tracked by Lloyd’s List Intelligence, a total of 31 containerships have been committed for recycling in 2024, with a combined capacity of some 45,000 teu. Most boxships sold for scrap so far this year have been feeder-class tonnage of below 2,000 teu with Ever Uranus being the largest sold thus far.
Other recycling sales confirmed in the past week included the 29-year-old handysize bulk carrier Uranus J (IMO: 9114464). This 26,000 dwt vessel has been sold by a Liberia-registered owner to Pakistani recyclers with no price being reported for this deal.
Cash buyer GMS reports that the past week was altogether quieter for sales than the week before. Bangladesh’s currency weakened against the US dollar, limiting the number of letter-of-credit approvals available to conclude ship recycling deals on larger tonnage.
GMS notes that the Indian market has displayed an “impressive performance” at the bidding tables of late.
“This has resulted in several interesting acquisitions by Alang recyclers that have captured the imagination,” it said.
Wirana Shipping said that the supply of recycling candidates, though improved compared to a few weeks earlier, remains low despite offer prices being relatively high as buyers are eager to get hold of the scarce tonnage available.
