SINGAPORE/TAIPEI – 05 January 2014 – Yangzijiang Shipbuilding (Holdings) Limited (“Yangzijiang” or “the Group” or “扬子江船业控股有限公司”), one of PRC’s leading and most enterprising shipbuilder listed on the SGX Main Board, announced that it had entered into thirteen (13) new shipbuilding orders in 4Q2014 including nine (9) effective orders with a total contract value worth for US$388 million and four (4) new options worth with an aggregate value of US$122 million. Total order wins for 2014 stood at US$1.8 billion, consisting of 41 vessels. In addition, six (6) outstanding options including two (2) 10,000TEU containerships, two (2) 36,500DWT bulk carriers and two (2) 2,700TEU containerships were carried forward to year 2015.
Out of the thirteen (13) new orders entered in 4Q2014, nine (9) were effective orders consisting of two (2) units of 10,000TEU containerships exercised from the existing options and seven (7) new shipbuilding contracts consisting of four (4) units of 36,500DWT bulk carriers, two (2) units of 2,700TEU containerships and one (1) unit of 64,000DWT bulk carrier. The remaining four (4) were new options for two (2) units of 36,500DWT bulk carriers and two (2) units of 2,700TEU containerships.
The nine (9) new effective contracts are scheduled for deliveries from 2015 to 2017.
Commenting on the Group’s contract wins, Mr Ren Yuanlin ( 任元林 ), Executive Chairman of Yangzijiang said,
“Shipbuilding industry in China recovered strongly in the early part of 2014, before it started to lose momentum in the second half year.
We did a good job in the first half of 2014 catching the wave on the market; halfyear’s new orders recorded a strong US$1.4 billion worth of contracts, and outstanding orders filled up our yard capacity for the next two years. Based on the situation, in the second half year, we strategically turned more selective on new order taking. We aim to optimize the use of yard resources, and prioritize the orders with more favorable terms, as well as those in line with our strategy to build larger and more efficient vessels.
The 10,000TEU containerships, offering outstanding cost efficiency in shipping, has become one of Yangzijiang’s flagship products; they will continue to gain attention from ship owners, and contribute to the future growth of the Group, along with our other endeavors. As the new year unfolds, we will continue to monitor the development on market dynamics, make optimal order taking and capacity management decisions, and do our best to maximize shareholder value.”