China Shipping Development Co., the nation's biggest oil carrier, plans to buy 42 dry-bulk cargo ships from its parent company to expand shipments of coal, cement, iron ore and other materials.

The company will pay 2.47 billion yuan (314 million U.S. dollars) for the ships and issue 2 billion yuan in convertible A-share bonds to help fund the acquisition, Shanghai-based China Shipping said in a statement published in Hong Kong's The Standard newspaper Thursday.

China Shipping, which moves oil, coal and other dry-bulk cargo, is expanding its fleet as growth in the country's economy fuels demand for raw materials. China is the world's biggest iron ore importer and ranks behind the U.S. in energy consumption.

"The acquisition will put all of the parent's dry-bulk business into the company," China Shipping Chairman Li Shaode said in an interview in Shenzhen.

China Shipping will acquire the vessels from its parent, China Shipping (Group) Co. The ships include 32 China-registered and 10 foreign-registered dry-bulk carriers, representing about 1.4 million dwt, or deadweight tonnage. The acquisition will increase China Shipping's fleet by 53 percent to 121 bulk carriers.

China Shipping's third-quarter net income rose 30 percent to 715.5 million yuan after cargo volume increased, the company said Oct. 19.