Aspo's ESL Shipping has signed a long-term agreement for raw material sea transport with SSAB and orders the world's first large LNG-fueled bulk carriers
(Thomson Reuters ONE) -
ASPO Plc STOCK EXCHANGE RELEASE November 26, 2015, at 08:00 a.m.
Aspo's ESL Shipping has signed a long-term agreement for raw material sea
transport with SSAB and orders the world's first large LNG-fueled bulk carriers
Aspo Group's ESL Shipping Ltd and the steel company SSAB have signed a long-term
frame agreement covering SSAB's inbound raw material sea transports within the
Baltic Sea and from the North Sea. The purpose of the agreement is to enable
mutual, long-term gains in efficiency and to reduce overall logistics costs,
while simultaneously making raw material logistics as sustainable and
environmentally friendly as possible. At present, the aggregated sea transport
volume covered by the agreement is estimated to be 6-7 million tons annually.
Resulting from the agreement, ESL Shipping will order new, extremely energy-
efficient LNG-fueled ships. These new, ice-class 1A ships will be the first LNG-
fueled large bulk carriers in the world, representing the latest in technology
and innovation. CO(2) emissions per ton of cargo transported will be reduced by
more than 50% in comparison to present vessels.
"This new agreement is a solid example of SSAB's sustainability strategy in
action," says Per Bondemark, Chief Procurement Officer at SSAB.
"ESL Shipping's new customer agreement running for several years will secure
growing freight volumes, and the new investments to be implemented will release
old vessel stock for other transport needs. Besides their environmental
benefits, the cost savings provided by the new technology will also allow better
profitability," says Aki Ojanen, Chairman of the Board of ESL Shipping and CEO
of Aspo Group.
"We are extremely pleased to continue our long-established sea transport
partnership with SSAB. Together we shall make shipping more sustainable and
environmentally aware than ever before", says Mikki Koskinen, Managing Director
of ESL Shipping.
The two new vessels will be built at Sinotrans & CSC Qingshan Shipyard in China
and will start operating in the Baltic Sea in early 2018. The total value of the
investment is approximately EUR 60 million. The investment cash flow will be
divided progressively between 2015 and 2018. The construction work is made
together with the Finnish designer Deltamarin. ESL Shipping has been working in
close cooperation on the ship design and tailor-made the ships according to
customer needs. Special attention was given to the efficiency of cargo handling
and cargo hold arrangements. The new ship also exhibits efficient operation and
extensive model tests have been performed for both water (SSPA) and ice class
(Aker Arctic) operations.
Technical data: capacity 25.600 dwt, lenght160 m, breadth 26 m, shallow draft10
m.
ESL Shipping Ltd is the leading carrier of dry bulk cargoes in the Baltic Sea
region. The company's main clients are the steel, power generation and chemical
industries. Present fleet consists of 14 vessel units, and in 2014 the cargo
volume carried was 12.1 million tons. ESL Shipping ensures availability of raw
materials for industries and energy production throughout the year even in
difficult climate conditions. Special services include loading, topping off and
lightering of large ocean carriers at sea.
ASPO Plc
Aki Ojanen
CEO
Further information:
Aki Ojanen, CEO of Aspo Plc, Chairman of the Board of ESL Shipping Ltd, tel.
+358 9 521 4010, aki.ojanen(at)aspo.com
Mikki Koskinen, Managing Director of ESL Shipping Ltd, phone +358 9 5211 or
+358 50 3517791,
mikki.koskinen(at)eslshipping.com, www.eslshipping.com
Distribution:
Nasdaq Helsinki
Key Media
www.aspo.com
Aspo is a conglomerate that owns and develops business operations in Northern
Europe and growth markets focusing on demanding B-to-B customers. Our strong
company brands - ESL Shipping, Leipurin, Telko and Kaukomarkkinat - aim to be
the market leaders in their sectors. They are responsible for their own
operations, customer relationships and the development of these. Together they
generate Aspo's goodwill. Aspo's Group structure and business operations are
continually developed without any predefined schedules.
Photo: ESL Shipping's new LNG bulk carrier (10.7 MB):
http://hugin.info/3023/R/1969494/719857.jpg
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(i) the releases contained herein are protected by copyright and
other applicable laws; and
(ii) they are solely responsible for the content, accuracy and
originality of the information contained therein.
Source: Aspo Oyj via GlobeNewswire
[HUG#1969494]
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