Seroja, Zhushui buy cape size vessel to ship Indonesian coal to China

Singapore Exchange-listed marine transport provider Seroja Investments Limited announced on Friday that its newly acquired and wholly-owned subsidiary, Trellis Group Holdings Ltd (TGH), has entered into a joint venture agreement with a Chinese firm Zhushui Energy Resource Group Co. Ltd (ZSE) to purchase a 1990 built Capesize dry bulk vessel

TGH will own a 50% stake in a company called Seroja-Zhushui Shipping Ltd.

The 150,000 DWT vessel, which is purchased for US$19.7 million, will enter into a 2-year Time Charter Agreement with Zhu Shui Shipping Company Limited (ZSS) which is worth more than $21 million.

The Vessel will be chartered to ZSS to transport coal imported by the Zhushui Group from Indonesia and Australia to China.

The Vessel has been delivered to ZSS and it is currently loading its first cargo at Buoy Taboneo, Kalimantan.

Seroja Investments Limited is a marine transport provider of dry-bulk freight which owns and operates a fleet of 58 vessels comprising of tugboats and barges which navigate waters around the Indonesian archipelago and international routes from Vietnam to Singapore. Its major customers include PT Adaro Indonesia and PT Indocement Tunggal Perkasa, one of Indonesia?s largest cement producers.

ZSE is a large importer of coal based in Guangzhou. It has imported coal from Adaro since 2005 and the Group currently imports coal from several well established Indonesian coal mine companies including PT Adaro Indonesia, PT Berau Coal and PT Kaltim Prima Coal. It also imports coal from Australia. It is one of the largest importers of coal

into South China. In 2008, it imported nearly 5 million metric tons of coal. (alex)