Star Bulk has made a strategic decision to install scrubbers on its capesize and larger bulk carriers, implying that money can be made while complying with the new IMO regulations
Installation of 22 open-loop scrubbers targeted during first half of 2019
STAR Bulk Carriers, the bellwether US-listed dry bulk shipowner, has taken sides in the debate over how to meet the new International Maritime Organization emission regulations.
It is to install scrubbers on its bigger vessels.
Chief executive Petros Pappas revealed that Star Bulk has ordered 22 scrubbers from various European suppliers at an average cost below $3m per unit.
Mr Pappas also revealed that the company has arranged 70% financing to cover their installation cost.
His comments were made during a conference call to discuss the quarterly results.
Star Bulk (news, data) had until today only confirmed the installation of scrubbers on two newcastlemax bulk carriers.
Mr Pappas separately told Lloyd’s List that the scrubbers on order are the open-loop type and they will be installed towards during the first half of 2019, ahead of the implementation of the new IMO new rules on January 1, 2020.
The company is expected to own 35 large size vessels (17 newcastlemax and 18 capesize) on a fully delivered basis, provided the two pending mergers with Augustea and Songa Bulk go through.