Oslo based Wallenius Wilhelmsen is taking decisive action to ready for the choppy waters ahead stemming from the impact of the COVID-19 on the global economy.
FEDORA underway offshore Lampedusa back to 26th April,2012.
The group said it would withdraw the proposed dividend for 2019, recycle up to four vessels, all 24 years old or older, and place up to 10 vessels in cold lay-up to mitigate vessel overcapacity at the company. The proposed dividend would have been equivalent to about USD 60 million.
FIGARO underway offshore Licata, Sicily back to 20th June, 2014.
Wallenius Wilhelmsen said that the vessels will undergo green recycling in line with the group’s long standing policy and be reported accordingly to the Ship Recycling Transparency Initiative. The early recycling is expected to lead to a potential impairment of up to USD 40 million. It is also preparing to place up to 10 vessels in cold lay up and thus secure further cost reductions.
TITANIA entering Valletta, Malta back to 8th March 2012.
The estimated cost saving for a vessel in cold lay-up is USD 3-4,000 per day depending on length of lay up. Wallenius Wilhelmsen added that of the 11 vessels available for re delivery at the start of the year, four have been redelivered and another three will be redelivered before the end of June. One vessel has been extended and the remaining three are under consideration.
TOMBARRA entering Valletta, Malta back to 26th December 2012.
“As the COVID-19 pandemic continues to progress and mitigating actions by authorities evolve quickly, supply chains are being hit hard and vehicle producers are shutting down plants around the world. We continue to actively monitor the situation and its ongoing effects on the global supply chain and will adjust our approach as necessary in line with developments,” the shipping company concludes.
Photos by Capt. Lawrence Dalli. Do not use these images without my permission. © All rights reserved. Malta Ship Photos & Action Photos – www.maltashipphotos.com
Published – Thursday 26th March, 2020