On Friday 25 August, the National Shipping Company of Saudi Arabia (Bahri) announced that its subsidiary, Bahri Dry Bulk Company (owned 60% by Bahri), signed contracts with Hyundai Heavy Industries (HHI) to build four environmentally friendly bulk carriers.
The vessels’ design includes the highest environmental, fuel-efficiency and safety standards, with a capacity to carry up to 80,000 metric tons per voyage.
“The signing of these contracts is for expanding the fleet to meet the needs of the local and global markets” Bahri informed.
These carriers are expected to be delivered during the first half of 2020. The financial impact of the contracts will appear after the delivery of the vessels. The total price of these contracts is one hundred twenty million dollars (US$120,000,000).
“The addition of four new vessels to our fleet is firmly aligned with Bahri’s long-term strategy for expansion and diversification. Upon delivery, the vessels will contribute towards the growing demand Bahri Dry Bulk is witnessing for the import of essential grains such as barley, wheat and corn into the Kingdom” said Ali Al-Harbi, Acting CEO of Bahri.
The agreement was signed in Dubai, UAE, in the presence of Mr. Ali Al-Harbi, Acting CEO of Bahri, Mr. Nezar Banabeela, President, Bahri Dry Bulk, Mr. Sam. H. Ka, President & COO, Hyundai Heavy Industries (HHI) Group, in addition to other executives from both the companies.
The order comes after the Korean shipbuilder’s decision to ask 5,000 workers to take unpaid leave, starting from September, as it faces a decreasing rate in ship orders until June of next year.
