MOL to order 30 capesize bulkers

Mitsui O.S.K. Lines in Japan announced that it will expand its fleet with 30 capesize bulkers of over 100,000 dwt to meet expanding and diversifying worldwide needs for iron ore transport, especially for customers in China, Japan, and South Korea. This move reflects one of the major management strategies of the company’s mid-term management plan ?MOL next? which concentrates on natural resource and energy transport, where significant growth is expected.

One 230,000 dwt, fifteen 200,000 dwt, eight 170,000 dwt, one 150,000 dwt and five 90 to110,000 dwt bulkers will be launched from 2004 to the first half of 2007.

MOL has already signed long-term transport contracts for 20 of the 30 bulkers, two of which will serve Baoshan Iron and Steel Co of China in a recently concluded agreement.

In addition to the 30 bulkers mentioned, ten 170,000 dwt bulkers will be chartered under mid and long term contracts from the second half of 2003. Production volume of raw steel has been expanding on a global scale and, in particular, import volumes of iron ore have risen tremendously in China and more growth is expected.

With this move, the company is expanding and improving its fleet to accommodate an expected drastic increase in trade volume. MOL’s annual transport capacity will increase from about 80 million to 100 million tonnes by expanding its fleet from the current 60 to more than 80 carriers.