STX Pan Ocean posts record H1 profit

Dry bulk owner STX Pan Ocean has posted a record $457.8m profit for the first half of 2008, up 156% on the corresponding 2007 period, on sales of $4.9bn, up 115%. Higher freight rates, increased charters and an expanded fleet all contributed to the dramatic improvement.

Commenting on the results, Lee Jong Chul, vice chairman and ceo of STX said, Our exceptional sales in the first half is proof that the market remained unfazed by global economic uncertainties, which was largely driven by a strong commodities market.

The Group says it expects the current strong market condition to continue well beyond 2009 in view of the continuing demand from China and cut in order book for newbuildings.

Separately, STX Pan Ocean announces it has contracted for two capesize bulkers worth $107m apiece from STX Shipbuilding.