Top Page > Press Release 2007 > MOL Signs Long-Term Contract for 5th Vessel Serving China's Baoshan Iron & Steel - Achieving target of transporting 10 million tons of ore a year -

MOL Signs Long-Term Contract
for 5th Vessel Serving China's Baoshan Iron & Steel
- Achieving target of transporting 10 million tons of ore a year -

January 23, 2007

TOKYO - Mitsui O.S.K. Lines, Ltd. (MOL; President: Akimitsu Ashida) today announced agreement on a fifth long-term transport contract with Shanghai-based Baoshan Iron and Steel Co., Ltd. China's largest iron and steel group, for a newly built 230,000-ton bulk carrier. It will be built at Namura Shipbuilding Co., Ltd. and is slated to launch in early 2009. The new vessel will give MOL the capability to transport over 10 million tons iron ore annually to Baoshan. At the same time, MOL continues to enhance its relationship with Baoshan as their main carrier.

The new vessel will carry iron ore from Western Australia to Shanghai, and will sail under a 22-year consecutive voyage charter starting in April 2007.

Capacity 228,000 MT
Length Overall 319.60 m
Width 54.0 m
Draft 18.1 m

MOL also has contracts for three 200,000-ton bulkers that will be completed in January, March, and May of this year, and a 300,000-ton carrier that will be launched in early 2009. When all five vessels are in service, the transport volume will top 10 million tons, which is a current target of both companies. These figures include a contract of affreightment (COA) to transport Brazilian ion ore (about 500,000 tons a year) which will start in April.

The first of the above three 200,000-ton Cape-size bulkers for Baoshan, the Baosteel Expedition was launched at Universal Shipbuilding Corporation's Ariake Shipyard on January 16. On the same day, Baoshan Iron & Steel Deputy General Manager Mr. Dai Zhihao attended its naming ceremony and launching, and the ship left for its maiden voyage to the loading port of Dampier, Western Australia.