China Merchants Energy Shipping (CMES) announced that it has received RMB763.44m ($115.81m) in government subsidy from the scrap-and-build policy.
The subsidy will be factored in as non-operating income for the company’s 2016 financial year, Shanghai-listed CMES said.
Beijing introduced the scrap-and-build policy back in December to subsidise owners scrapping vessels ahead of their operational lifespan, and to build a new one as replacement.
The policy is due to expire on 31 December 2017, after a two-year extension from its original expiry year in 2015.