China COSCO Shipping Corp. Ltd. (COSCO) has ordered 10 very large ore carriers (VLOC) from China State Shipbuilding Corporation (CSSC). The contract was signed on Thursday.
The value of the contract was not disclosed. All 10 VLOCs will be 400,000-tonnes. The order is to meet a long-term transportation service agreement that COSCO signed with Brazilian miner Vale on March 18.
According to the agreement, COSCO's subsidiary China Ore Shipping will ship around 16 million tonnes of iron ore for Vale annually for the next 27 years.
China COSCO Shipping Corporation is a new company formed by the restructuring of China's top two shipping firms, officially established in February.
