The new
environmental regulations, such as Ballast Water Management Convention and
the 2020 Sulphur Cap, which set to make great changes in the shipping
industry, are expected to impact the ship repair market as well.
environmental regulations, such as Ballast Water Management Convention and
the 2020 Sulphur Cap, which set to make great changes in the shipping
industry, are expected to impact the ship repair market as well.
Newport
Shipping Group, a UK-registered drydocking services provider, which
switched its focus from commercial ship management to drydocking services over
the past two years, believes that the greatest impacts to yards would be
visible in 2019 and 2020.
Shipping Group, a UK-registered drydocking services provider, which
switched its focus from commercial ship management to drydocking services over
the past two years, believes that the greatest impacts to yards would be
visible in 2019 and 2020.
Erol
Sarikaya, CEO Newport Shipping, in an interview with World Maritime News said that today represents the lull before the storm.
Sarikaya, CEO Newport Shipping, in an interview with World Maritime News said that today represents the lull before the storm.
Compliance with new regulations means vessels will require
more days at a yard during their repair/retrofit, which combined with many
owners deferring these costly decisions will increase the risk of backlogs and
added days off-hire at shipyards in the years to come,” according
to Sarikaya.
more days at a yard during their repair/retrofit, which combined with many
owners deferring these costly decisions will increase the risk of backlogs and
added days off-hire at shipyards in the years to come,” according
to Sarikaya.
Newport
Shipping, which operates a global network of 5 yards with 13 drydocks capable
of servicing 1,000 drydockings annually, recently added ship repair financing
to its portfolio. This initiative would provide shipowners with an ability to
stagger up to 60 pct of their drydocking payments into 12 or more monthly
installments.
Shipping, which operates a global network of 5 yards with 13 drydocks capable
of servicing 1,000 drydockings annually, recently added ship repair financing
to its portfolio. This initiative would provide shipowners with an ability to
stagger up to 60 pct of their drydocking payments into 12 or more monthly
installments.
Sarikaya
explained that the main benefit the company offers is the ability to keep the
majority cash otherwise earmarked for maintenance costs within the hands of
shipowners.
explained that the main benefit the company offers is the ability to keep the
majority cash otherwise earmarked for maintenance costs within the hands of
shipowners.
“By
accepting deferred payments over 18 months, shipowners benefit by paying for
these costs out of subsequent operations. This then allows owners to
deploy
accepting deferred payments over 18 months, shipowners benefit by paying for
these costs out of subsequent operations. This then allows owners to
deploy
cash towards
more accretive uses such as vessel acquisitions, dividends, or providing a near
term liquidity buffer.”
more accretive uses such as vessel acquisitions, dividends, or providing a near
term liquidity buffer.”
Speaking
about the yards’ key growth area today, he said that the possibility lies in
retrofits as these require a higher degree of planning and coordination between
shipowner, shipyard and maker towards minimizing offhire time.
about the yards’ key growth area today, he said that the possibility lies in
retrofits as these require a higher degree of planning and coordination between
shipowner, shipyard and maker towards minimizing offhire time.
“Today,
shipowners and technical managers are increasingly forced to do more with less.
At Newport we are doing our part to work with shipowners in solving their needs
whether that’s on procurement, ensuring yard slot availability for emergency
needs, or providing owners with industry leading deferred payment terms to help
owners see through the current weak market. Our vision is to build a global and
comprehensive ship repair service directly addressing the most pressing needs
of the modern shipowner,” Sarikaya said.
shipowners and technical managers are increasingly forced to do more with less.
At Newport we are doing our part to work with shipowners in solving their needs
whether that’s on procurement, ensuring yard slot availability for emergency
needs, or providing owners with industry leading deferred payment terms to help
owners see through the current weak market. Our vision is to build a global and
comprehensive ship repair service directly addressing the most pressing needs
of the modern shipowner,” Sarikaya said.
Newport
Shipping is exhibiting at this year’s Posidonia event in Greece.
Shipping is exhibiting at this year’s Posidonia event in Greece.
“We are
delighted to have representatives from our yards, suppliers and specialist work
teams who will join us as well, further demonstrating the value of established
partnerships in providing a leading comprehensive service,” Sarikaya concluded.
delighted to have representatives from our yards, suppliers and specialist work
teams who will join us as well, further demonstrating the value of established
partnerships in providing a leading comprehensive service,” Sarikaya concluded.
World Maritime News
