The firm currently has four such vessels with capacity of 300,000 tons each and another four under construction, Wei Jiafu said on the sidelines of the Boao forum.

The new vessels will help bring the company's total oil shipping capacity to 4.2 million tons at the end of 2007, spread between 31 ships including some rented ones.

He expects freight prices＂ which its listed arm, China COSCO Holdings Co. Ltd., said slid in the first quarter of 2006＂ to pick up towards the end of the year, supported by world economic growth.

The firm will also add five new container ships with capacity of 9,000 to 9,500 TEUs(twenty-foot equivalent units) to its fleet this year and plans further expansion to 2010.

"We have already reached 38 million(dead weight) tons, and I hope this will reach over 40 million(dwt) during the five-year plan," he said at the forum.

Wei said earlier this month that the company and its listed unit aimed to expand by buying out rivals. It also hopes to eventually own 15 VLCCs, he added, but did not set a target date.

COSCO Group has said it would like to become the largest shipping company in the world by 2010. It would have to overtake Japan's Mitsui O.S.K. Lines, which had a capacity of 41.48 million dwt as of March 2005.

(Source: Shenzhen Daily)