Nations Joust But Arctic Payoff May Be Decades Away

Photo: Shutterstock/BMJ

  By David J. Lynch (Bloomberg) -- Even as melting Arctic glaciers threaten to swamp shorelines, nations from Russia to the U.S. are betting that warming temperatures also will unlock trillions of dollars in new wealth. “It is potentially the biggest strategic opportunity in America since the Louisiana Purchase in 1803,” said Scott Borgerson, a former Coast Guard … [Read more...]

Nicaragua Canal Company Says $50 Billion Plan Has Public Backing

Wang Jing, HKND Group chairman, answers a question at a news conference in Beijing, June 25, 2013. The Hong Kong-based company, HKND Group, that won a concession to design, build and manage a $40 billion canal in Nicaragua to rival Panama's says it has been lured by an energy renaissance in the United States and its belief that world trade could double by 2030. REUTERS/Jason Lee

By Bloomberg News (Bloomberg) -- The Chinese company seeking to build a $50 billion canal across Nicaragua said the project has broad public support and that it is willing to alter the planned route to avoid a small town. HKND Group, led by billionaire Wang Jing, said surveys show more than 78 percent of Nicaraguans back construction of the 170-mile (275-kilometer) … [Read more...]

Tanker Owner Frontline Says Traders Asking for Oil-Storage at Sea Options

VLCC "Front Page". Photo courtesy Frontline Ltd.

  By Naomi Christie (Bloomberg) -- Oil traders are asking about options to store crude at sea, a development that could help rates for tankers to rebound from a plunge, according to Frontline Ltd., an owner of the ships led by Norway-born billionaire John Fredriksen. “There is a lot of people out there looking for storage options,” Robert Hvide Macleod, the chief … [Read more...]

Hapag-Lloyd Kicks Cost-Savings Plan Into High Gear Ahead of IPO

Shanghai-Express-hapag-lloyd-ship

  Nicholas Brautlecht (Bloomberg) -- Hapag-Lloyd AG, Germany’s biggest container- shipping line, widened a cost-reduction target by $100 million and brought it forward by two years amid plans for an initial public offering in coming months. Annual spending cuts should now reach $400 million as of 2017 as the Hamburg-based company reaps the benefits of a merger … [Read more...]

Hard-Hit Transocean Looks to Scrap Dividend

Transocean's Discoverer Americas drillship. Photo (c) MarineTraffic/

  By Joe Carroll (Bloomberg) -- Transocean Ltd., the offshore oil-rig operator that lost two-thirds of its value in the past year, plans to cancel its dividend and record 2 billion Swiss francs ($2.1 billion) in asset impairments as free-falling crude prices slash demand for drilling vessels. Transocean said it will host an extraordinary general meeting of … [Read more...]

Middle East Brings Solace to Oil Services Companies

GMS Endurance. Photo: Gulf Marine Services

  By Angelina Rascouet and Manisha Jha (Bloomberg) -- Demand for oil services is rising in the Middle East even as the rout in crude prices forces major producers to shelve costly projects elsewhere in the world. Demand from the region is “better than ever” on increasing production by clients, Duncan Anderson, chief executive officer at Abu Dhabi-based Gulf Marine … [Read more...]

Shipping Magnate John Fredriksen ‘Very Worried’ About China

Photo: Shutterstock/Nightman1965

  By Jonas Cho Walsgard (Bloomberg) -- John Fredriksen, the billionaire who made his fortune investing in crude tankers, said he’s “very worried” about the turmoil spreading from China and the potential fallout on global shipping markets. “It seems there are big problems in China,” Fredriksen said in an interview in Oslo on Monday. “That’s at least not good for … [Read more...]