Algoma today announced the signing of a agreement to acquire the interest held by Oldendorff Carriers in the CSL International Pool including the three vessels owned by Oldendorff operating in the Pool. As a result of the transaction, Algoma’s interest in the Pool will increase to approximately 40%.
The Pool consists of 18 self-unloading vessels ranging from handy-sized to panamax and provides shipping services along the coasts of the Americas and in the Caribbean. Pool vessels frequently carry gypsum from Halifax to the US. Algoma currently owns five vessels operating in the Pool. As a result of this transaction, Algoma will acquire the handy-sized m/v Alice Oldendorff, and the m/v Harmen Oldendorff and the m/v Sophie Oldendorff, both of which are panamax vessels, for US$100 million. The deal is expected to close late in the second quarter of 2019.
On the 17th Algoma stated they expect to fund the transaction principally from the proceeds of the refund guarantees from the cancellation of four Croatian shipbuilding contracts. the next Day they announced they had received a full refund of all installment payments made in connection with the now-cancelled shipbuilding contracts with Uljanik d.d. and 3Maj Shipyard of Croatia.
Algoma entered into five shipbuilding contracts with 3Maj Shipyard, an operating unit of Uljanik d.d of Croatia. After considerable delay, the first of the five vessels was delivered in 2018; however, Algoma cancelled the remaining four contracts as the shipyard’s financial difficulties led to the shipyard being unable to put forward a plan that would lead to completion of the remaining hulls. Demands for installment refunds were made in December 2018 and the banks have now remitted a total of CAD$115 million in full settlement of the claims.
Algoma also extended the expiry dates on three existing option contracts held with Yangzijiang Shipyard in China (YZJ) until later in 2019. These options to build Equinox Class self-unloaders or gearless bulkers at attractive prices, were to expire at the end of December.
Algoma contracted for the building of two Equinox Class seawaymax
self-unloaders by YZJ in 2015 and subsequently enlisted the support of
the shipyard to complete two of the partially built Nantong Mingde
hulls, which Algoma acquired from that bankrupt shipyard. Three of the
four ships have been delivered. The final Nantong Mingde hull, the
Algoma Conveyor, is scheduled for delivery in February and is expected
to be in service for the 2019 navigation season.
The bulk carrier Horizon spent the weekend tied up at pier 9, where she took on fuel from at least 5 tractor trailers.
Horizon appeared to be empty, and arrived from Port Alfred in Quebec, where she had failed a Port State Inspection, and had been detained for 5 days. She was released to sail for a US Gulf Shipyard for repairs, stopping in Halifax for Fuel.
At the time of inspection, 22 Deficiencies were noted, 9 of which were severe enough to detain the ship. Among the detainable deficiencies, there were issues with the lifeboats, improper visibility for the bridge, problems with water tight openings, the rudder angle indicator didn’t work, nor was the magnetic compass readable, and the general alarm was inadequate.
The other deficiencies included failure to comply with labor standards, an overheated cold storage, issues with the galley, water supply, sickbay, and improper paperwork.
The bulker Baltic Leopard used the dry calm last night to load product from the grain elevator. The Bulk commodity is likely moisture sensitive, so loading can only occur when there is no precipitation. – based on the available draft, there is alot of cargo remaining to load.
The bunkering tanker Algoma Dartmouth will be kept busy today with 3 vessels anchoring to top up their tanks.
First up is the Norwegian flagged, geared bulker, NordKap. She arrived from Brazil, and will likely sail for the St Lawrence, likely with a load of Bauxite for aluminum production. She is Due to Sail at 15:00. (She Sailed giving Port Alfred PQ as her destination – Home to Rio-Tinto Alcan)
Due at the Pilot station at 1500 is the Liberian flagged Crude oil tanker ALMI GALAXY, which arrived from Scapa Flow Scotland and spent the last couple of days at anchor in the approaches. Shes due to anchor at anchorage #1 (between Georges Is. and McNabs Is.) laden, she was required to enter port with a tug escort, and will be bound for the refinery in Saint John NB. on departure. She sailed at 2245.
also due for fuel is the products tanker Navig8 Sirius. the marshal islands flagged ship is arriving at the pilot station at 1600 from Houston Texas, unladen with refined product. she is Due to sail at 0200
the YM Modesty (above) Entered the basin this morning around 11am to tie up at Fairview cove. Once clear of the narrows, the Algoma Integrity (below) Sailed outbound for Baltimore from National Gypsum.