MTT Shipping orders two container vessels in US$79.93mil deal


PETALING JAYA: MTT Shipping and Logistics Bhd (MTTSL) is investing a combined US$79.93mil to acquire two new 3,300 twenty-foot equivalent unit (TEU) container vessels from China's Wuhu Shipyard Co Ltd.

In separate filings with Bursa Malaysia, the group said its indirect wholly-owned subsidiaries, MTT Shipping Pasir Gudang Sdn Bhd and MTT Shipping Miri Sdn Bhd, had each entered into contracts valued at US$39.97mil for the construction of a vessel.

The vessels are scheduled for delivery on or before March 31, 2029 and June 30, 2029, respectively.

Under the contracts, payments will be made progressively in five instalments based on construction milestones, including signing, steel cutting, keel laying, launching and delivery.

Each vessel will have a capacity of approximately 3,300 TEU and a minimum deadweight of about 54,400 metric tonnes. The vessels will be built in accordance with China Classification Society requirements and registered under the Malaysian flag.

MTTSL said the contracts are expected to contribute positively to the group's earnings upon delivery of the vessels.

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