Godby Shipping – DFDS: sale and lease-back deal

By | 2022 Newsletter week 1 | No Comments

DFDS and Godby Shipping have established a long-term co-operation with Godby Shipping buying the two storo sideport vessels LYSVIK SEAWAYS and LYSBRIS SEAWAYS and chartering them back to DFDS for a period of minimum three years.

Both vessels will continue in their present trade mostly serving Norske Skog forest product shipments out of Norway to UK and continental Europe.

DFDS’ newest RoPax is soon on her way to the Baltic Sea

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DFDS took delivery of AURA SEAWAYS [MarineTraffic], which was built at Guangzhou Shipyard International. With 4,500 lane meters, she will by far become the largest DFDS RoPax ferry in terms of cargo capacity.

AURA SEAWAYS fulfils the new design standards of EEDI, and the CO2 emissions per trailer are more than 20 % lower than on the vessels currently trading on the intended routes Karlshamn-Klaipeda and Kiel-Klaipeda.

DFDS Monthly volume report: UK bottlenecks easing slightly

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Freight: total volumes in November 2021 were 5.4% below 2020.

  • The decrease in total volumes compared to 2020 was due to lower volumes on most UK routes as stockbuilding ahead of Brexit boosted volumes on UK routes last year.
  • The negative impact from supply chain bottlenecks, that reduced volumes in Q3 and October, eased during November.
  • North Sea and Channel volumes were in November again above 2019.
  • The Mediterranean business unit continued to carry volumes above 2020 while Baltic Sea volumes were just below 2020 as capacity on one route was reduced from two ferries in 2020 to one ferry in November 2021.
  • Volumes for both the Mediterranean and Baltic Sea business units were above 2019.

Passenger: the total number of passengers in November 2021 was 84.0% above 2020.

  • The increase was largest between Norway and Denmark where travel restrictions to a large extent were abolished in November.
  • The number of passengers on UK routes picked up but in very small numbers due to continued travel restrictions.

Space charter agreement CLdN – DFDS on Rotterdam – River Humber

By | 2021 Newsletter week 47 | No Comments

On 1 January 2022, UK customs procedures become more stringent. (*)

As a result, freight customers demand for earlier arrivals into the UK, and improved frequency. Therefore, DFDS and CLdN have entered into a Space Charter Agreement.

DFDS and CLdN will each provide one additional vessel, on a rotation Rozenburg – Vlaardingen – Killingholme from Sunday through Friday.

“At the moment we do indeed arrive at Killingholme at 07:00, but the early arrival (at 05:00) of this additional sailing makes all the difference for customers as it allows them to do an extra trip in the UK, which is very interesting given the traction problem there,” says a CLdN spokesman. “In addition, the earlier arrival is important for certain product groups.”

In Rotterdam, customers will have the possibility to load and discharge cargo in either Rozenburg and/or Vlaardingen.

DFDS and CLdN will continue operating all sailings independently including all related commercial activities.

This additional service will start on 11 January 2022.

Extra advantage: by going to C-Ro’s terminal in Killingholme, any congestion at DFDS’ terminal in Immingham will be relieved.

(*) [BOM, border operating model, explained by Dutch Government]

Remarks

  • In 2020, DFDS and CLdN signed space charter agreements on Zeebrugge – Gotenburg.
  • In 2021, DFDS and P&O Ferries entered a space charter agreement on Calais – Dover.
  • Stena Line will move its Europoort RoRo service from Killingholme to the nearby Port of Immingham commencing 1st January 2022, where Stena Line will be able to offer increased terminal capacity and be a service provider of both terminal and shipping operations to the company’s freight customers. Stena Line’s other North Sea route on the Humber, the Hoek van Holland-Killingholme RoPax service, will remain and continue in Killingholme.

Mediterranean pushes up DFDS’ freight activity

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DFDS revealed in its latest Q3 interim report that revenue increased 22% to DKK 4.4bn driven by higher freight activity in most business units. (see also last newsletter)

The increase in the freight ferry result was primarily due to high growth in the Mediterranean.

As for the Mediterranean business unit, Q3 freight volumes increased 12.2% adjusted for the opening of a new route between Turkey (Izmir) and Spain (Tarragona).

The increase reflects high growth in Turkish exports to Europe with support from depreciation of the Turkish lira. Capacity was expanded in the route network to accommodate the growth, especially between Italy and Turkey.

Q3 EBITDA (Mediterranean) increased 47% to DKK 276m driven by the higher volumes and stable cost levels as well as better results for the port terminal and rail activities.

DFDS transported
3,685,000 lane metres
in the Med in the first 9 months of 2021

DFDS October volume report: Freight lower as UK stockbuilding boosted volumes

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Total freight volumes in October 2021 were 7.6% below 2020. Net adjustments for structural route changes reduced growth 2.3 ppt to -9.9%.

The decrease in total volumes was due to lower volumes on UK routes compared to 2020 as stockbuilding in the UK ahead of Brexit started to boost volumes in October 2020.

In addition, the current supply chain bottlenecks have led to a slowdown in UK volumes as some importers and exporters temporarily capped volumes during the month to avoid further congestion of supply chains. Channel and North Sea volumes were thus below 2020 in October.

The Mediterranean business unit continued to carry volumes above 2020 while Baltic Sea volumes were below 2020 as capacity on one route was reduced from two ferries in 2020 to one ferry in October 2021.

Volumes for the Mediterranean and Baltic Sea business units were above 2019 in October 2021 while the supply chain bottlenecks impacting the UK decreased volumes in Channel and North Sea to below 2019.

Moby Charters Out ELIANA MARINO and MARIA GRAZIA ONORATO to DFDS and Cobelfret

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DFDS and CLdN are adding more roro tonnage. The ships come from the Moby fleet.

Our colleague from Shipping Italy revealed that both ELIANA MARINO and MARIA GRAZIA ONORATO ship have been sub-chartered from Moby for at least six months.

ELIANA MARINO (2,500 lane metre) will be operated on the Mersin (Turkey) – Trieste (Italy) line by DFDS

Daily charter rate should be around EUR 14,000.

MARIA GRAZIA ONORATO (4,076 lane metre) is expected to be deployed by CLdN in Northern Europe and the ‘charter price’ should exceed EUR 20,000 per day. Both charters start from October.

Both roro’s have been operating up to date by Moby (in bare boat charter) on the Motorways of the Seas, linking Italy mainland with Sicily and Sardinia islands.

DFDS Orders 100 Electrical Volvo Trucks for Logistics Network

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Molslinjen’s brand new electric ferry GROTTE was put into operation on October 1st on the route between Esbjerg and Fanø. ‘

GROTTE was design by OSK Group and built at Hvide Sande Shipyard.

It was built according to exactly the same design as the two current ferries, FENJA and MENJA, which for many years have shown their efficiency in the short Danish domestic route between Esbjerg and Nordby on the island of Fanø.

The ferries FENJA and MENJA have just switched to fossil-free biofuel. The three ferries together will reduce emissions by up to 96 percent.