MPC Container Ships to Use CTL Payout for Scrubber Retrofits

ContainershipIllustration; Source: Pixabay under CC0 Creative Commons license

Norwegian shipowner MPC Container Ships (MPCC) is looking to finance new scrubber retrofits with the insurance payout of a recent constructive total loss (CTL).

Following a grounding incident in September 2018, CTL was declared for the company’s container vessel AS Fortuna in early April 2019 after a detailed inspection.

The 1,345 TEU ship ran aground on Guayaquil, Ecuador while crossing Del Morro Channel when it suffered a total blackout due to a failure in the engineering department. It was exposed to strong waves unit being refloated in late September.

The constructive total loss and the subsequent sale of AS Fortuna have opened a window of opportunity for the company to finance vessel retrofits as it received a total of USD 8.3 million following the incident. The amount includes net insurance proceeds of USD 6.5 million and USD 1.8 million received from the sale of the damaged vessel.

MPC Container Ships revealed that it would use to funds, together with an 8.7 million equity injection, to install scrubbers on 5 bond security vessels at a total cost of around USD 17 million.

The company further explained that, based on a case-by-case asset analysis, it envisaged 10 scrubber installations in 2019, while it is preparing to run all other vessels (a total of 58) on compliant fuel.

MPC Container Ships said that the scrubbers installations are set to be completed no later than January 31, 2020

Share this article

Follow World Maritime News

In Depth>

Events>

<< Jan 2020 >>
MTWTFSS
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 31 1 2

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 >

Belgian Offshore Days 2020

During this event, a conference will be held with focus on “Increasing value by data driven innovation…

read more >

Europort Romania

Europort Romania is the premier maritime networking event of the Black Sea and will connect maritime technology and service suppliers with high level professionals from Romania and surrounding shipbuilding markets.

More info

read more >

MARITIME INDUSTRY 2020

The future of the maritime sector is the point of focus during Maritime Industry 2020.

read more >