China’s largest steelmaker charters MOL bulk ships

ChinaÆs largest steelmaker charters MOL bulk ships    Shanghai Baosteel Group Corp., China's largest iron and steel group, has signed a long-term transport contract with Mitsui O.S.K. Lines to use two new 200,000-ton “Cape-size” bulk ships of the Japanese group.
   Both vessels will carry iron ore from Western Australia to Shanghai. The first vessel will sail under a 15-year voyage charter starting in 2004. The second ship will operate on a five-year voyage charter from the second half of 2005.
   MOL has ordered the two bulk carriers from the Imabari Shipbuilding shipyard to meet the transport needs of Shanghai Baosteel, also known as Baoshan, under the new contract. The new vessels will transport about 5 million tons of iron ore a year.
   The Japanese group said that it is allocating a significant share of its management resources to the transport of natural resources and energy fields.
   MOL said that it is the first non-Chinese shipping company to sign a contract for multiple vessels with Baosteel, and the 15-year agreement “is the longest the steelmaker has ever signed.”