by GuestfromEU » October 3, 2022, 8:19 am
Algoma acquired the Valor and Victory as a package deal for the Buffalo and Compass. The latter two were obtained to fill the gap between the newbuilds from Croatia - Algoma never had plans to refurbish and trade the two steamships. They were part of the deal - to get the two hulls Algoma wanted, they had to take the two steamships. The Victory was able to clear the Seaway for overseas recycling, but the Valor is more limited, thus a sale to LLT may have been more financially attractive than recycling at Port Colborne.
Now that the Croatian newbuilds are delivered with a third on the way, the Compass and Buffalo are not long for service life. They are less efficient than the new ships, consuming more expensive MGO only, and aged ships in general. Despite possibly being in better condition due to previous service with ASC, they are not new and should not be considered economically competitive with new ships.
Layup costs are primarily the berthage, security, and insurance. As noted about the desire to layup aircraft in the desert, ships are also commonly laid up in Malaysia, outside the typhoon belt and in stable, constant weather conditions. Industrial dehumidifiers are often placed on deck to keep the accommodations and machinery spaces at lower humidity levels to prevent damage.
Algoma acquired the Valor and Victory as a package deal for the Buffalo and Compass. The latter two were obtained to fill the gap between the newbuilds from Croatia - Algoma never had plans to refurbish and trade the two steamships. They were part of the deal - to get the two hulls Algoma wanted, they had to take the two steamships. The Victory was able to clear the Seaway for overseas recycling, but the Valor is more limited, thus a sale to LLT may have been more financially attractive than recycling at Port Colborne.
Now that the Croatian newbuilds are delivered with a third on the way, the Compass and Buffalo are not long for service life. They are less efficient than the new ships, consuming more expensive MGO only, and aged ships in general. Despite possibly being in better condition due to previous service with ASC, they are not new and should not be considered economically competitive with new ships.
Layup costs are primarily the berthage, security, and insurance. As noted about the desire to layup aircraft in the desert, ships are also commonly laid up in Malaysia, outside the typhoon belt and in stable, constant weather conditions. Industrial dehumidifiers are often placed on deck to keep the accommodations and machinery spaces at lower humidity levels to prevent damage.