The Daily Fixture/Index List of 31st August, 2012

The Daily Fixture/Index List of 31st August, 2012


FIXTURES -  31/AUG/2012




Baltic Exchange Daily Fixture/Index List 31/08/2012


BDI 703 (DOWN 4) BCI 1172 (UP 3) BPI 735 (DOWN 23)

BSI 857 (UP 2) BHSI 459 (DOWN 4)

Last published BDTI 626 (UP 4) BCTI 581 (DOWN 1)




TIMECHARTER





'Kyzikos' 2007 92710 dwt  dely aps US Gulf 5/15 Sept trip redel
Continent $8000 daily + $240000 bb - Windrose
'Tonic Sea' 2012 92500 dwt  dely aps US Gulf 5/15 Sept trip redel
Continent $8250 daily + $240000 bb - Windrose
'Bali' 2012 82094 dwt  dely aps Nopac 15/18 Sept trip via PG redel PMO
$6000 daily + $375000 - Golden Ocean
'Atalanta' 2010 82094 dwt  dely Nordenham 5/10 Sept trip via Murmansk
redel Rotterdam $6250 daily - Clipper
'Evoikos Theo' 2000 75681 dwt  dely Singapore spot trip via Australia
& Iran redel PMO $10000 daily - cnr
'Garima Prem' 2007 74456 dwt  dely aps Richards Bay 13/17 Sept trip
redel China $6750 daily + $225000 bb - Oldendorff
'Pruva' 1995 74137 dwt  dely SW Pass prompt trip redel Karikal $14500
daily + $450000 bb - D'Amico
'Beks Cenk' 2012 57644 dwt  dely aps Port Hedland early September
trip redel Vietnam $9000 daily + $195000 bb - Aquavita
'K Peridot' 2012 56000 dwt  dely passing Singapore prompt trip via
Indonesia redel India $7500 daily - cnr
'Alpine Trader' 2009 53800 dwt  dely aps EC South America spot  trip
redel Singapore-Japan $11500 daily + $220000 bb - STX Pan Ocean
'Panoria' 2008 53514 dwt  dely Thailand prompt trip via south east
Kalimantan redel China $5600 daily - Klaveness - 30/08>

PERIOD






'Q Arion' 2011 82188 dwt  dely Krishnapatnam 3/5 Sept 23/25 months
trading redel worldwide $9500 daily - Cargill

ORE





'Zosco Qingdao' 2011 170000/10 Port Hedland/Qingdao 12/16 Sept $7.00
fio scale/30000shinc - FMG
'Hyundai Trust' 2011 160000/10 Dampier/Qingdao 14/18 Sept $7.15 fio
scale/30000sc - Rio Tinto
'TBN' 150000/10 Pointe Noire and Quebec/Qingdao 20/29 September approx
$24.50 fio scale/30000 shinc - Pacific Bulk
'TBN' 75000/10 Tubarao/Dunkirk 15/24 Sept $12.75 fio 65 hrs sc/25000
sc - Vale
'TBN' 60000/10 Mo-i-Rana/Ijmuiden & Immingham 10/15 Sept $7.85 fio 5
days sc - Tata Steel
'Diamantina' 2010 59000/10 Kamsar/San Ciprian 8/14 Sept $9.75 fio
24000 sc/15000 sc - Cobelfret
'COSCO TBN'  Seven Islands/Rotterdam  - TKS - yesterday's reported fixture was $5.75 per Long Ton>

COAL





'Glovis TBN' 150000/10 Newcastle/Youngheung 11/20 Sept $9.77 fio
scale/50000 shinc - Kepco

AMENDMENTS TO THE SOLAS REGULATION III/1

In an attempt to eliminate accidents associated with the on-load release mechanism, the IMO has adopted amendments to SOLAS Chapter III and LSA Code as well as developed recommendations for test
of Life Saving Appliances.

Through MSC.317(89) the International Maritime Organization (IMO) has adopted amendments to
SOLAS III/1.5 for lifeboat release and retrieval systems (RRS) The requirements apply to on-load
mechanisms installed on all new and existing cargo ships as well as passenger ships. January 1, 2013
is the date of entry into force and the requirements will take effect on July 1, 2014. Additionally
through MSC.1/Circ.1393 guidelines for the early application of new SOLAS regulation III/1.5 have
been published that clarifies the application to new ships and encourages the use of compliant on-load
RRS at the earliest opportunity.
Furthermore, through resolution MSC.320(89) Chapter IV of the LSA Code has been revised in order to
prevent unexpected accidents during lifeboat drills and/or inspections. The expected date of entry into
force is January 1, 2013. Moreover, resolution MSC.321(89) includes amendments to the revised
recommendation on testing of life-saving appliances (Resolution MSC.81(70), as amended) to come in
line with the revised LSA Code Chapter IV.
IMO MSC has also adopted guidelines for evaluation and replacement of lifeboat release and retrieval
systems that include design review, performance test, reporting the evaluation results for existing RRS,
one-time follow-up overhaul examination and procedure for replacing non-compliant RRS. These
guidelines have been adopted through circular MSC.1/Circ.1392 and are applicable only to existing
RRS.
ACT NOW
All ship Owners / Managers of existing ship shall recognize whether installed lifeboats’ on-load release
mechanisms have been evaluated and identified as being in compliance with the LSA Code Chapter IV,
as amended by MSC.320(89). If the release mechanism is not in compliance, replacement will be
required.

Industry Updates on 31.08.2012


INDUSTRY UPDATES
31st August,2012
STEEL, METALS AND MINING
Close
COAL
Inter- Ministerial Panel to decide Fate of 58 coal blocks next week
In the wake of controversies shrouding coal mines allocation, an inter-ministerial panel will decide next week the fate of 58 blocks which the private companies and PSUs failed to develop within allowed time. The government has already issued de-allocation notices to 35 government firms and 23 private companies which failed to develop the same allotted for captive use in the given time-frame.

"An Inter-Ministerial Group, headed by Additional Secretary, Coal, Zohra Chatterji will meet on Tuesday or Wednesday to decide on 58 blocks which were served de-allocation notices," a top Coal Ministry official told PTI. The official clarified that the blocks, barring a few, are different from those mentioned in the CAG report.

Government auditor CAG in its recent report tabled in Parliament stated that undue benefits to the tune of Rs 1.86 lakh crore were extended to private firms on account of allocation of 57 mines to them. There were media reports that the government may cancel over 50 blocks mentioned in the CAG report.

Coal Minister Sriprakash Jaiswal, however, said, "The blocks were allocated under a process... monitoring the process of blocks development is done regularly and it is wrong to say that these will be cancelled. IMG will review their progress and take a final view on it." Meanwhile, the government is likely to kick off the auction process of 54 identified coal blocks having a reserve of about 18.22 billion tonnes next year.

Jaiswal had earlier said that the credit rating firm CRISIL is likely to submit its report on the methodology of auction soon.
(Economic Times)
IRON ORE
China August Iron Ore Estimated to Drop 10% as Prices Fall
China’s iron ore output probably fell about 10 percent this month as tumbling prices squeezed out costly producers and steelmakers used cheaper imports, the China Metallurgical Mining Enterprise Association said.
Production will be about 115 million metric tons this month, little changed from July, Lei Pingxi, executive vice chairman of the association, said today in an interview in Suzhou at a Umetal conference. Output was 127.5 million tons in August last year, according to the National Bureau of Statistics.
The nation’s iron ore output had the steepest decline in July in four years, as the world’s largest metals consumer increased purchases from producers such as Brazil’s Vale SA (VALE3) and Rio Tinto Group. Prices tumbled 35 percent this year to $90.30 a dry ton yesterday, the lowest level since November 2009, according to a gauge compiled by The Steel Index Ltd.
“The competitiveness of Chinese iron ore mines is falling because of falling prices, higher construction costs and taxes,” Lei said. About 42 percent of China’s iron ore mines have production costs of greater than $100 a ton, he said.
China’s iron ore output in the three months to the end of August is about 5 percent lower than the previous three months, Lei said. The capacity use ratio at Chinese miners was 62 percent, according to researcher Umetal.com.
Supply, Demand
Global seaborne iron ore supply may rise 50 million tons in the second half this year from the first half, while demand may decline, Zhang Dianbo, the general manager of raw-material purchasing at China’s second-largest steelmaker Baosteel Group Corp., said at the conference.
Chinese steelmakers, overwhelmed by increasing capacity and sluggish demand, have struggled to remain profitable as steel prices dropped to an almost three-year low this month. Domestic mills had a combined loss of 1.9 billion yuan ($299 million) in July, with an average profit margin of just 0.03 percent in the seven months to July, Wang Xiaoqi, vice chairman of China Iron and Steel Association, said today.
Still, Chinese mills haven’t made significant production cuts, Umetal analyst Zhang Jiabin said. The steelmakers’ operating rate at Tangshan in Hebei province, China’s biggest region by output, is 91 percent, up from 78 percent in October, he said.
China’s ore contains about 20 percent iron, compared with more than 55 percent in Australian ore, making it more expensive to extract, Deutsche Bank AG estimates. China has about 1,500 iron ore producers nationwide, with 1,000 smaller mines accounting for about a third of output, Lei said.
Floor Price
Iron ore prices are well below recognized floor prices of $120 a ton, suggesting high-cost iron ore supply closures will not be far off, Australia & New Zealand Banking Group Ltd. (ANZ) said Aug. 28.
The recent plunge in prices prompted contract ore buyers to seek other ways to price the steelmaking raw material. The current pricing method, based on indexes, doesn’t reflect the needs of larger buyers and needs improvement, Baosteel’s Zhang said. The Shanghai-based company buys ore on a quarterly basis.
As much as 10 percent of globally traded ore is sold through public auctions, while the remaining 90 percent is bought at index prices that are determined by bids, he said.
Australia and Brazil accounted for 66.2 percent of China’s total ore imports in the first half, up from 64 percent last year as imports from India dwindled, Umetal said.
(Hellenic Shipping News)
Iron ore hits USD 90 mark’

iron ore price floor that miners have long been flagging could be a long way off, with prices of the steelmaking ingredient continuing to slump amid talk that China is subsidising high cost iron ore production.

The notion of a price floor at about USD 120 a tonne, where high-cost Chinese production should have become unprofitable, has previously been pushed by Rio chief Tom Albanese and Fortescue chief Nev Power and others.

In a note to clients written from a China research trip, ANZ commodities strategy chief Mark Pervan said a major problem for iron ore markets was that steel mills were not cutting production, despite falling steel prices, because of political and social drivers. ANZ believes the same thing is happening with iron ore production, with about 50 per cent of Chinese iron ore supply under water, but continuing to produce. He said that "We are unlikely to see the market bounce back until mine supply starts to wind down in the coming months.”

Macquarie analysts said that while big steel mills were cutting output, smaller mills that were yet to cut production could run down inventories after they finally started to do so, putting further pressure on prices.
(Steel Guru)
CEMENT
AGRICULTURE
Wheat falls on profit-taking but Russia worries continue to support
U.S. wheat fell on Thursday as traders locked in profits following its biggest daily climb since mid-July in the previous session, although concerns that Russia is poised to implement export curbs continued to support prices.
Soybeans slid, giving back a third of their gains from the day before, while corn dropped slightly.
"With the uncertain situation in Russia, traders are cautious and may take gains," said Graydon Chong, senior analyst at Rabobank.
The grain industry in the United States is also on alert for a naturally occurring toxin in corn that could present another challenge to farmers already hit by the worst drought in 56 years, although it is too early to tell how serious the problem might be.