Jes Secures $1 Billion in Contracts

By MarEx 2014-05-23 09:51:00

The Board of Directors of JES International Holdings Limited (the “Company” together with  its subsidiaries, the “Group”) is pleased to announce that, through its wholly owned subsidiary, Jiangsu New East Marine Engineering Co., Ltd, the Group has secured a contract for the construction of 6 Ultramax bulk carriers and 5 further options each for the construction of further 6 vessels of the same. If all 5 options are exercised, the Group is expected to deliver another 30 Ultramax bulk carriers. 

The contract value for the construction and delivery of the 64,000DWT bulk carriers, if all the 5 options are exercised subsequently, is worth up to US$974 million. The contract and options come from a company registered in British Virgin Islands which is backed by two private investment funds.  

The SDARI1 designed 64,000DWT Ultramax, a model well sought after in the market now, is environmental friendly and fuel efficient. The delivery of the 6 vessels under the contract is expected to take place from December 2015 to January 2016 whereas the delivery of the vessels under the 5 options, if exercised from 2015 onwards, is expected to take place from late 2016 onwards. 

None of the directors or controlling shareholders of the Company has any interest, direct or indirect in the contract. 

The contract is not expected to have a material impact on the net tangible assets and earnings per share of the Company for the year ending 31 December 2014. 

The Company will release further announcement(s) of any material information relating to these shipbuilding contracts as and when it arises. 

The products and services herein described in this press release are not endorsed by The Maritime Executive.