Hoa Phat Group signed long-term COA with Oldendorff

On April 20^th 2022, Hoa Phat Shipping Company, a member of Hoa Phat Group signed a long-term contract of affreightment (COA) with Oldendorff Shipping Company to transport iron ore to Hoa Phat’s Complexes for production.

Mr. Nguyen Viet Thang, General Director of Hoa Phat Group discusses with Oldendorff’s representatives

The signing of a long-term transportation contract helps Hoa Phat Group actively control sea freight rates in the context of volatile freight rates in the world. In addition, with the long-term cooperation, partners will apply preferential rates for Hoa Phat Group.

By signing a contract to transport ore with the world famous shipping firm - Oldendorff (Germany), Hoa Phat Group has stabilized freight prices in cases of large fluctuations in freight rates.

Established in 1921, with more than 100 years of experience in logistics, a system of office in 20 countries and territories around the world and a fleet of 750 vessels, Oldendorff is one of the leading shipping firms in the world. With competitive capacity and services, Oldendorff can meet Hoa Phat Group's long-term and stable ore transportation needs in large quantities.

Board of Directors of Hoa Phat Shipping Company and Mr. Alexander Vajsova-Jones, CEO of Oldendorff

In addition, the Hoa Phat Shipping Company directly owns a fleet of 3 vessels of the Kamsarmax series with a capacity of 80,000-90,000 tons transporting bulk cargo, serving part of the demand for transporting coal and ore materials for the Hoa Phat Group. The group's fleet development strategy is to meet the needs of internal transportation and the huge demand for bulk transport in the market.

Especially, when the phase 2 of Dung Quat Hoa Phat Steel Integrated Complex project is completed, Hoa Phat Group's demand for importing production materials will increase higher sharply.

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