Wellard considering selling last remaining vessel

Australian livestock shipping operator Wellard Limited is considering selling the largest purpose-built livestock export ship in the world.

WA-based livestock shipping operator Wellard Limited is considering selling its last remaining vessel, the MV Ocean Drover.

Since 2017, Wellard has seen their fleet decrease from five to one, most recently selling the MV Ocean Ute for USD$12m ($18.1m AUD) to Marshall Islands registered company, Bassem Dabbah Shipping Inc in July.

Wellard made a capital return of 2 cents per share from the sale proceeds.

In a presentation to shareholders on Friday, John Klepec said the result of that sale, plus inquiries from multiple parties to purchase the Ocean Drover, has Wellard undertaking a process to determine whether it could achieve a similar outcome with the Drover sale to what they achieved for the Ocean Ute.

MV Ocean Drover.

The sale became possible after Wellard reached a commercial resolution with liquidators of Ruchira Ships, for full and unencumbered ownership of the Ocean Drover in September.

The largest purpose-built livestock export ship in the world, the Ocean Drover has the capacity to carry 75,000 sheep or 18,000 cattle, and is currently contracted on multiple charters to service the South America to Turkiye route for the rest of FY2025.

As the sole remaining asset, shareholders would be required to approve any proposal to sell the vessel.

It would leave Wellard with no remaining vessels in their fleet, with the process expected to be completed by the end of the year.

Mr Klepec reiterated the company’s discontent with the federal government over the banning of live sheep exports, and a disinterest in improving Australian livestock shipping standards or resolving the Brett Cattle Company class action from 2011.