Bocimar Expands Fleet, Buys 3 Ships

CMB confirms that its subsidiary Bocimar International has acquired three capesize newbuilding vessels for a total purchase price of $188 million.

The first vessel, SWS 1028 (Shanghai Waigaoqiao Shipyard) - for which Bocimar concluded a three-year time charter contract in April 2005 - is obtained from Teh Hu (Hong Kong). It concerns a 175,000 dwt newbuilding that will be delivered in the third quarter of 2006.

The other two vessels, SWS 1048 and SWS 1049, have been bought from the Golden Ocean group. These two 175,000 dwt newbuilding vessels will be delivered in November 2006 and January 2007. For both vessels a three-year time charter contract has already been concluded with a Japanese and Korean charterer on favourable terms.

The purchase of these two vessels is still subject to the finalisation of the contract documentation.

These new vessels make an ideal addition to Bocimar's current young, modern and rewardingly-valued fleet. This transaction also strengthens the relationship with the Chinese yard SWS as, after the delivery of these three vessels, 10 vessels belonging to Bocimar's fleet will have been built at SWS.