ExxonMobil Still Chartering Single Hulled Tankers

Thursday, November 16, 2000
U.S. oil giant ExxonMobil continues to charter single-hull tankers for its oil, tanker brokers said on Thursday.

ExxonMobil has been in the market for a five-year time-charter since late August, brokers said, and has recently been giving serious consideration to a single-hulled very large crude carrier (VLCC) that will be nearly 20 years old by the end of the charter in 2005.

Negotiations, however, have recently reached a stalemate, brokers said.

"The fact that (ExxonMobil) is looking at single-hulled tankers is widely known, but not widely known outside shipping circles," a London tanker broker said.

"We charter both single and double-hull vessels because we believe both configurations offer safe and effective transportation for our products," said an ExxonMobil official.

ExxonMobil observes say that the composition of its fleet reflects the composition of the world fleet, 70 percent of which is single-hulled.

The major has just ordered a new double-hull VLCC from South Korea, and it points to this as a sign of its commitment to safety.

Double-hulled ships are generally considered to offer the best protection against oil spills during grounding. They have become mandatory under OPA90, the law that was introduced in the wake of the Exxon Valdez disaster when a crude spill destroyed wildlife and fish stocks in Anchorage, Alaska.

Double hulls, would probably not have prevented the loss of the tanker Erika off the coast of Brittany last December or the chemical carrier Ievoli Sun in the English Channel last month, shipping sources said.

Oil majors typically use time-charters to protect themselves against day-to-day volatility in the shipping markets.

Brokers say tanker owners responded to Exxon's tender for a five-year time charter with offers of $35,000 per day for single-hulled tankers and over $40,000 for double-hulled units.

The oil major countered with around $27,000 for single-hulls and around $30,000 for double-hulls but owners still refuse to budge.

Maritime Reporter February 2014 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

People & Company News

Zamakona, Finnish GS-Hydro Ink Deal

The presentation ceremony of the Finnish multinational leader in water services GS-Hydro, new partner of Zamakona Yards in Canarias was held yesterday (January 29th at 7 p.

Naval EXPO Coming to Washington

For the first time ever, the general public will be admitted free to the Naval Future Force Science and Technology EXPO general exhibit hall Feb. 4-5 where they

Adani Group Revamps Businesses

Adani Enterprises Limited together with its subsidiaries Adani Ports and Special Economic Zone Limited (“APSEZ”) and Adani Power Limited (“APL”) today announced

Tanker Trends

Tohoku Electric's LNG Buy Sets Asian Spot Level

Japanese utility Tohoku Electric has purchased an LNG cargo for delivery in the third week of March at a price in the low $7 per million British thermal unit (mmBtu) range,

Yemen Lifts Force Majeure on LNG Deliveries

Yemen on Friday lifted force majeure on liquefied natural gas (LNG) deliveries from its Balhaf plant, trading sources with knowledge of the matter said. Reuters reported last week that the 6.

German Shipowner Worst Global Dumper -NSP

German shipowner Ernst Komrowski topped the list of the worst global dumpers with 14 end-of-life vessels sold to the beaches, according to a press release from NGO Ship-breaking Platform (NSP).

 
 
Maritime Careers / Shipboard Positions Naval Architecture Navigation Pod Propulsion Port Authority Salvage Ship Electronics Ship Repair Ship Simulators Sonar
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: 0.1426 sec (7 req/sec)