The Elegant Exit Company (EEC) has acquired the Wan Hai 165, a vessel built in 1998, from Taiwanese shipping company Wan Hai Lines. EEC will have the ship recycled sustainably and responsibly at a partner shipyard.
EEC’s purpose is to revolutionise the ship recycling industry by introducing cutting-edge finance and industrial processes. With a commitment to sustainability and innovation, the company will establish a secure and efficient fleet of ships destined to be recycled sustainably and responsibly. To achieve this goal, the Dutch company will purchase and own a fleet of ships that will be operated until their planned recycling date.
The company will also introduce a sale and lease back construction model with the residual value and end of lease aligned with the recycling date, ensuring a streamlined and sustainable process. To ensure a seamless and reliable production process, Elegant Exit will also purchase additional ships for prompt recycling in case of any production gaps.
Currently, EEC is still in the planning period. By the end of this, in 2027, the company wants to recycle 25 vessels of an average of 11.000 LTD at two recycling facilities, one facility west and one facility east of the Suez Canal totaling about fifty vessels a year, resulting in 750.000 tonnes of steel scrap per year, plus up-cycled machinery and equipment.
On the acquisition of the Wan Hai 165, chairman Uday Yellapurkar says: ‘The fact that our game-changing concept has been validated through the winning of this ship in a global open public tender from an unrelated highly reputable and ethical company speaks volumes and solidifies our proof of concept.’
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Wan Hai 165 ship recycling
The Wan Hai 165 will undergo sustainable and responsible ship recycling at one of EEC’s recycling partners, located east of the Suez Canal, ASRY, Arab Shipbuilding and Repair Yard Company in Bahrain.
The ship will be freed of hazardous substances and will undergo a rigorous process of removal. The accommodation block will be removed layer by layer and the ship will be placed in a floating dry dock to reduce its weight to approximately 4500 tonnes.
The ship will then be pulled up the slipway for further processing and eventual cutting into blocks of up to 25 tonnes for transportation to the secondary and tertiary cutting zones.
ASRY managing director Mazen Matar: ‘As a responsible member of the maritime industry, we must not tolerate harmful and dangerous practices of ship recycling, which are common practice across the globe. We have now achieved compliance with the strictest international standards with a view to being able to offer a sustainable, responsible and affordable alternative for vessel owners with end-of-life maritime assets. There is also natural synergy with nearby steel production facilities, who can benefit from this new initiative.’
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