Star Bulk increases newbuild orders to five and raises cash with sales

Major Greek owner has revealed more kamsarmax newbuilds as part of its renewal fleet strategy. Star Bulk Carriers, an owner and operator of 115 dry bulkers in the water, has exercised the two previously announced optional shipbuilding contracts with Qingdao Shipyard for the construction of two 82,000-dwt kamsarmax newbuilding vessels.

Petros Pappas-led company Star Bulk has also revealed another firm shipbuilding contract with the same shipyard and for the same specifications.

The owner increased its current firm shipbuilding contracts to five and now it expects to take delivery of the ships between 2025 and 2026.

The first two newbuilds are set for delivery in September 2025, the other two in April 2026 and the last one in July 2026.

The Nasdaq-listed shipowner also offloaded some of its ships this year, except the sale agreed in December.

Specially, at the end of the year 2023 and in January-February this year the company agreed to sell the vessels Star Dorado, Star Bovarius, Big Fish, Big Bang and Pantagruel.

The vessel Big Fish was delivered to her new owners in January 2024 while the remaining vessels are expected to be delivered to their new owners by April 2024.

In connection with the completion of the previously announced vessel sales by the owner, Star Athena, Star Theta and Star Jennifer were delivered to their new owners in late November 2023, while the vessel Star Glory was delivered to her new owners in early January 2024.

In total Safe Bulkers expects to collect $112m, in aggregate, from the vessel sales, during the first half of 2024.

Petros Pappas, chief executive of Star Bulk, said: “We continue to prepare for more stringent environmental regulations by investing in renewing our fleet, having increased the size of our newbuilding order from two to five latest generation, high specification Eco kamsarmaxes delivering in 2025-2026.

“In addition, we have started taking delivery of our long-term charter-in Eco tonnage, currently operating two vessels out of the six that we expect to be delivered during 2024.”