Quintana buys 1999 bulker and gets $1.35m cash-back!
Delay in delivery means cheaper price for LOWLANDS BEILUN

Quintana Maritime Limited announced today that on April 10, 2007, it took delivery of Lowlands Beilun, a 1999-built Capesize bulk carrier with the carrying capacity of 170,162 deadweight tons (dwt) from Cobelfret Bulk Carriers N.V., a Belgian shipping company.

As Lowlands Beilun was delivered later than the contracted delivery date, the sellers paid approximately $1.35 million to Quintana under the terms of the memorandum of agreement, thus reducing the aggregate purchase price of the vessel to approximately $71.65 million from $73 million. The purchase price has been funded with borrowings under the Company’s credit facility and cash on hand. The vessel is currently operating on a five-year charter at a net daily rate of $36,000 per day with a first-class charterer, and Quintana will earn the same rate of $36,000 net per day for the remaining three years.

With this delivery, the Company has secured approximately 96.5% of its net operating days under time charter contracts for 2007 and 80.9% for 2008, for which the Company expects to generate net revenues of approximately $424 million over 2007 and 2008.

Stamatis Molaris, President and Chief Executive Officer of Quintana Maritime, commented, “We are pleased to have taken delivery of Lowlands Beilun, which is an accretive addition to our fleet while increasing our presence in the Capesize sector. Taking advantage of the strong freight rate environment, we are delighted to have secured the vessel at a profitable net daily rate thereby further enhancing our revenues and profitability.”

The ship was in the news in 2001 when she ran aground on May 25th that year off Singapore. She was successfully refloated after lightering operation but it took five attempts before she came free on the 5th June.