Eagle Bulk Shipping Inc. Announces Fleet Scrubber Initiative

Eagle Bulk Shipping Inc. (“Eagle Bulk” or the “Company”) announced that it has entered into a series of agreements (the “Agreements”) for the purchase of up to 37 exhaust gas cleaning systems (“scrubbers”) which are to be retrofitted on vessels within its fleet.

Representation Image – Credits: eagleships.com

The Agreements are comprised of firm orders for 19 scrubbers and up to an additional 18 units, at the Company’s option. The projected cost, including installation, is approximately USD 2 million per scrubber system. The Company intends to complete the retrofit of all 19 vessels prior to the January 1, 2020 implementation date of the new sulphur emission cap regulation, as set forth by the International Maritime Organization (“IMO”).

Eagle Bulk, in partnership with a global engineering firm, has developed a scrubber installation program whereby a significant amount of the required retrofit work will be carried out onboard the vessels while at sea and trading, thereby reducing off-hire time as compared with a typical shipyard installation.

Gary Vogel, Eagle Bulk’s CEO, commented, “Today’s announcement is the culmination of significant work and analysis, and we are excited to be able to position ourselves to not only meet the forthcoming sulphur emission regulations but also to realize the economic advantage we believe scrubbers will provide. Additionally, we are confident that Eagle Bulk’s active owner-operator model will ensure that we can effectively maximize the returns on this investment and technology.”

Members of Eagle Bulk’s senior management team will host a teleconference and webcast tomorrow, Wednesday, September 5th, 2018 at 8:30 a.m. ET to discuss the Company’s scrubber initiative and the IMO sulphur emissions regulation.

Press Release: eagleships.com

Source: Maritime Shipping News