2020 Bulkers Ltd opts to install scrubbers on newbuilds

APRIL 27, 2018 — A dry bulk shipping company launched by John Fredriksen’s former right-hand man Tor Olav Troim is opting to install exhaust gas scrubbers on its yet to be delivered fleet.

Norwegian OTC listed 2020 Bulkers Ltd reported this week that it has conducted a private placement of 1,666,667 new shares, each at a subscription price of $5.40 per share, raising net proceeds of $9 million.

The proceeds from the private placement will be used towards yard installments for the eight Newcastlemax vessels currently under construction at New Times Shipyard in China, as well as for general corporate purposes.

2020 Bulkers has also exercised its option with the shipbuilder to have all eight vessels delivered with exhaust scrubber systems. It says that “the investment in scrubber systems is expected to generate improved earnings as the vessels will be able to operate on heavy fuel instead of more expensive marine gas oil, while staying compliant with the new IMO global sulfur cap being introduced on 1 January 2020.”

The vessels are expected to be delivered between September 2019 and May 2020.