CMES Poised to Reap Fruits from Profit Surge

BulkerIllustration. Image Courtesy: Pxhere under CC0 Creative Commons license

State-run energy shipping giant China Merchants Energy Shipping (CMES) revealed that it expects its net profit for 2018 to increase by 84-104 percent year-on-year.

As such, the tanker and bulker owner estimates that its net profit would stand between RMB 1.1 – 1.2 billion (approximately USD 165 million), exceeding last year’s RMB 614 million result.

CMES explained that its bullish expectations were driven by acquisitions, deliveries of new Valemax ore carriers and improved earnings of its very large crude carrier fleet (VLCC). What is more, both the dry bulk and the VLCC sectors experienced notably recovery in the recent period boosting further the company’s results.

Eight Capesize bulkers have been delivered to CMES since the beginning of 2018 until today, data from VesselsValue shows. Two more Valemaxes remain to be delivered this year, Pacific Excellence and Pacific Longevity.

CMES ordered ten Valemax ships in 2016, out of which Qingdao Beihai Shipbuilding Heavy Industry secured four units. Four more Valemaxes were entrusted to Shanghai Waigaoqiao Shipbuilding (SWS), whereas the remaining two were assigned to China Merchants Heavy Industry (Jiangsu).

The ore carriers are intended for a long-term charter with Brazilian miner Vale.

World Maritime News Staff

Share this article

Follow World Maritime News

In Depth>

Events>

<< Nov 2019 >>
MTWTFSS
28 29 30 31 1 2 3
4 5 6 7 8 9 10
11 12 13 14 15 16 17
18 19 20 21 22 23 24
25 26 27 28 29 30 1

The 9th Annual Event Green Shiptech China Congress 2020

The 9th Annual Event- Green Shiptech China Congress 2020 will be held on next…

read more >

CWC World LNG Summit & Awards Evening

The CWC World LNG Summit & Awards Evening will be returning to Rome in 2019 to celebrate it’s 20th year.

read more >

Salvage & Wreck

Salvage and Wreck Removal Conference will focus on Casualty management case studies, Dealing with hazardous cargo and container ship fires…

read more >

Maritime Reconnaissance and Surveillance Technology

As varied threats in the Mediterranean Sea continue to proliferate, the need to advance…

read more >