Oil Freight Charges To Go Higher?

Wednesday, November 01, 2000
Bloated oil freight charges could surge yet higher this year, adding to the already inflated cost of world oil imports, shippers said. Tanker brokers are predicting a mid-November stampede to ship crude from the Middle East, pushing charter rates to new peaks amid a perceived shortage of quality vessels. In January, very large crude carriers (VLCCs) sailing from the Gulf to Japan were fetching a price of worldscale 49, equivalent to 75 cents a barrel. The rate since has more than trebled and now stands at WS 165, $2.50 a barrel. For a 250,000 ton, or 1.8 million barrel shipment, that means an increased freight charge of $3 million on a $50 million cargo of crude. "Eastern charterers have been paying higher rates," said one VLCC broker. "But those that want ships for cargoes to the West will have to pay even more to lure them over." Rates for a 280,000 tonner to the U.S. Gulf from the Middle East now stand at WS 130, more than $3 a barrel, having risen from W42, $1 a barrel, at the start of the year. The beneficiaries are tanker owners, the mainly Greek and Norwegian companies that run tanker fleets. "Tanker owners have good reason to feel confident," said London shipbroker Gibsons.
Maritime Reporter January 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Cruise Ship Trends

26-year Jail Term Sought for Concordia Master

An Italian prosecutor asked a court on Monday to sentence the captain of the Costa Concordia cruise liner to more than 26 years in jail for his role in the 2012 disaster that killed 32 people.

Fire Scare Aboard British Cruise Ship

The Boudicca, a Fred Olsen cruise liner, with more than 1,000 people on-board has been left without power off the coast of Morocco after an engine fire.  Passengers of the U.

Danish Pleasure Craft Safety Board Gets A New Head

From 1 February 2015 a new chairman will head the Danish Pleasure Craft Safety Board. The new incumbent is Jan Thorn, who is in his everyday work Director

Tanker Trends

Libya Forces Tanker Away from Supplying Rival Government

Libya's recognized government said it forced a tanker from delivering fuel to its rival administration, diverting the vessel to its own territory by threatening an air attack on it.

Gypsy Moth Clause Takes Balanced Approach to Risk

A new BIMCO clause provides a simple, practical and commercial solution focusing on the basic obligations and responsibilities of owners and charterers when dealing with the Asian Gypsy Moth (AGM).

Batangas Port Sets Container Record

Batangas Container Terminal (BCT) set a new record in 2014 for containers handled, says its operator Asian Terminals, Inc. (ATI).  Port handled over 98,000 twenty-foot-equivalent

 
 
Maritime Careers / Shipboard Positions Maritime Security Naval Architecture Pipelines Salvage Ship Electronics Ship Repair Shipbuilding / Vessel Construction Sonar Winch
rss | archive | history | articles | privacy | terms and conditions | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.0915 sec (11 req/sec)