US newcomer to splash out $1.3bn on bulkers at China yards


Asian newbuilding markets were awash with talk this week that two Chinese yards have landed a bulker order worth more than $1.3bn from little-known US company MGTECK Shipholding.

Sources say China Shipping Group shipbuilding arm CIC Jiangsu and state-owned Shanghai Waigaoqiao Shipbuilding (SWS) will build six capesizes and 18 newcastlemaxes, respectively, for the New York-based company. Deliveries are slated for between the second half of 2016 and first half of 2018.

MGTECK, a subsidiary of New York-listed Dysart Ventures, which was established by US-Greek entrepreneur George Trimis and is involved in property development and financial services, is said to have agreed the capesizes at CIC Jiangsu some time ago.

Brokers estimate that MGTECK will pay around $55m each for the 180,000-dwt ships and close to $57m apiece for the 210,000-dwt vessels at SWS. It is not known if the deals include options.

But a source close to CIC denies any such order, saying the report is “untrue”. Officials at SWS could not be contacted before TradeWinds went to press.

In addition to the bulkers, MGTECK is said to be interested in ordering two semi-submersible oil rigs that could be worth up to $1.8bn at an unnamed yard.

In addition to its shipping business, Dysart also has a presence in the mining and energy sectors. Its website lists MGTECK as an owner and commercial manager of five bulkers, all chartered out. MGTECK states that it aims to add more ships to its fleet within the next two years.

Brokers say executives from Dysart started visiting Chinese shipyards in 2013.

“Dysart visited Jiangsu-based yards last year and started newbuilding discussions with them,” said one.

“Some yards have reservations about the company, as it is a newcomer and there is little information on it.”

Attempts this week to obtain comment from Dysart or MGTECK were not successful.

MGTECK is the fifth firm to ink a bulker series at a Chinese yard recently. Others include Empire Bulkers of Greece, Virgin Island-registered Ample Oceans, Greece’s National Energy Transportation (NET) and Singapore-registered AMK Securities.

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