Vessels

6 Months Ended

Jun. 30, 2020

Property, Plant and Equipment [Abstract]

Vessel and Vessel Improvements

As of June 30, 2020, the Company’s owned operating fleet consisted of 50 drybulk vessels.

During the third quarter of 2018, the Company entered into a series of agreements to purchase up to 37 scrubbers, which were fitted on Company's vessels. The actual costs, including installation, was approximately $2.4 million per scrubber. During the second quarter of 2020, the Company has completed and commissioned all 37 scrubbers and recorded $88.1 million in Vessels and vessel improvements in the Condensed Consolidated Balance Sheet as of June 30, 2020.

During the third quarter of 2018, the Company entered into a contract for the installation of ballast water treatment systems ("BWTS") on 39 of our owned vessels. The projected costs, including installation, is approximately $0.5 million per BWTS. The Company intends to complete the installation during scheduled drydockings. The Company completed installation of BWTS on 15 vessels and recorded $6.7 million in Vessels and vessel improvements in the Condensed Consolidated Balance Sheet as of June 30, 2020. Additionally, the Company recorded $2.8 million as advances paid towards installation of BWTS on the remaining vessels as a noncurrent asset in its Condensed Consolidated Balance Sheet as of June 30, 2020. During the second quarter of 2020, the Company applied and received extensions up to one year for BWTS installation on 18 of our vessels. Additionally, the Company cancelled the BWTS installation orders of three of its vessels.

The Vessels and vessel improvements activity for the six months ended June 30, 2020 is below:


Vessels and vessel improvements, at December 31, 2019	$	835,959,084

Purchase of Vessel and vessel improvements	510,029

Scrubbers and BWTS	38,587,819
Depreciation expense	(21,140,013)
Vessels and vessel improvements, at June 30, 2020	$	853,916,919