Yesterday, global dry bulk cargo shipping company Star Bulk Carriers Corp. (Star Bulk) announced that it intends to equip its entire fleet with exhaust gas cleaning systems (scrubbers) before 1 January 2020, which is the implementation date of the new IMO sulfur emission cap regulation.
Star Bulk anticipates an average cost, including installation, to be below US$2 million per vessel. The company has secured debt financing with an average margin of below 3% to cover up to approximately 70% of such cost and expects the remaining amount to be covered from operating cash flow and cash on hand, without raising equity for this purpose.
The company has also secured contracts with leading shipyards for the installation of such systems. Yet, in approximately 35% of the installations, riding teams are being deployed to carry out the retrofitting works onboard the vessels while at sea, reducing off hire time, as a result of those installations by 50 - 60%. A month ago, Star Bulk successfully completed the first scrubber installation at sea.
Read the article online at: https://www.drybulkmagazine.com/shipping/10092018/star-bulk-to-equip-fleet-with-exhaust-gas-cleaning-systems-before-new-sulfur-emission-cap-regulation/