Pan-United Shipping Acquired Its First Containership

Pan United Shipping has just acquired its first container vessel, ex-Zim Barcelona, for regional operations.

The 1,200 TEUs (20-foot equivalent units) containership, renamed Xour Tinggi, has been fixed for a five-year charter to Xour Line to trade between the Far East and Indian Ocean. Sour Line is a subsidiary of Sea Consortium, one of the largest feeder operators in the Arabian Gulf, India and West Malaysia.

The 23,300 dwt Singapore-flag vessel was acquired by Pan-United shipping in April. It was upgraded at Pan-United Shipyard for nearly a month and left the yard at the end of May to embark on its charter. Built in 1973, it was reconditioned and lengthened to 191 metres in 1989. The vessel was previously owned by Israel-based shipowners Ofer Maritime and Zim Israel Navigation.

"We decided to buy the Zim Barcelona as the features of the vessel met the charterer's requirements. It was also very well maintained," said Jimmy Lee, Assistant General Manager, Pan-United Shipping.

"We fixed this long-term charter with Xour Line before investing in the vessel. This way, we can enter the container shipping business with minimal risk and with the assurance of consistent income. The vessel can also be maintained at our shipyard, enabling us to be more competitive in our operations," Jimmy noted.

Pan-United, he added, will continue to restructure its fleet by phasing in more ocean-going vessels. To maximise returns on these investments, Pan-United will pursue similar back-to-back arrangements and adopt a strategy of defining trading routes before investing in the requisite vessels.

With the Xour Tinggi, Pan-United shipping has a fleet of 46 vessels with total carrying capacity of 94,400 tonnes. The other vessels in the fleet are 23 tugboats, 19 barges, two specialised cement carriers and one bulk carrier.