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Ultrabulk has announced that it has agreed with head owners to cancel the charter contracts for two Kamsarmax (large Panamax) bulkers without further commitment from either side, after the shipyard was said to have "failed to finish the construction within agreed contractual delivery terms".

The contracts were originally entered into and announced in 2010 for the long-term charter (up to 12 years) of both vessels. The vessels were due to be built at Zhoushan Jinhaiwan Shipyard Co. Ltd., China.

Ultrabulk has revealed that it has also entered into an agreement to secure a new eco-designed Supramax bulker of 61,000 dwt size, to be built in Japan. Upon delivery, the ship will be placed on long term time charter for a period of up to 12 years.

The new eco-designed Supramax bulk carrier will be equipped with an electronic main engine and systems that are expected to improve the fuel efficiency of the vessel by approximately 10% and reduce CO2 emissions by a similar amount.

This contract is the first eco-designed Supramax newbuilding charter contract under the Ultrabulk umbrella, after the company concluded two contracts within the eco-designed Handysize segment earlier this year.

"The market is still expected to create challenging conditions for the dry-bulk market within the foreseeable future, but with a solid cargo book already in place, it’s a natural move for us to conclude our first new eco-designed Supramax bulker. By adding this latest eco-design to our long term fleet, we show our continued support not only to our long term partners in Japan, but also to our long term global cargo partner, sending a strong signal that Ultrabulk is firmly committed to continued growth in the years to come," said Henrik Sleimann Petersen, Head of Shipholding.

"The new contract entered into is a natural step in our on-going fleet renewal program, which will ensure that Ultrabulk continues to operate a modern fleet of vessels always offering the latest eco-designs available in the market," added Petersen.