Clean Tanker Decline Deepens

Wednesday, February 21, 2001
Tumbling freight rates for clean tankers in the Atlantic have dropped steeply this week, and brokers pointed to the almost total closure of most transatlantic arbitrages as the reason.

"The Continent transatlantic market has collapsed with the close of the arb'," said one New York tanker broker. "I believe it's 100 percent closed now."

London's Baltic Exchange closed on Tuesday with its assessment of the Rotterdam to New York trade down by nearly nine points on the preceding day to $0.26.

Tankers for gasoline cargoes of 30,000 tons were being fixed at over $0.36 at the start of January. Traders said on Tuesday that the arbitrage would still be open for some types of gasoline if freight rates were to fall slightly.

The transatlantic decline has knocked on to Caribbean clean tanker trades, which lost 15 points on Tuesday to close at $0.25 for 30,000 ton cargoes to New York, according to the Baltic Exchange.

"There's been a build up of ships (in the Caribbean) with nowhere to go," said the New York broker. "It's also been kind of quiet on the demand side."

Italian brokers said that an announcement of measures to restrict single hulled tankers from Venice lagoon had had no effect on rates there, and was unlikely to do so.

"They've been discussing it for so many years, so we're not surprised," he said. "I wouldn't say there would be an impact, because in the past tanker charterers have been very sensitive about which ships they choose to enter the Venice lagoon."

The move was introduced last week by the ministry of the environment, he said. Both Agip and Enichem have refineries within Venice Bay. - (Reuters)

Maritime Today

The Maritime Industry's original and most viewed E-News Service

Maritime Reporter November 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds


Australia, Japan Partner for Hydrodynamics Research

Australia and Japan have signed a cooperative research arrangement on marine hydrodynamics, the Chief Defence Scientist, Dr Alex Zelinsky, announced today.   “This

Barge Master Launches Fit-for-Purpose Gangway

Press release - Barge Master has announced the official launch of a motion compensated gangway after building a track record in motion compensated lifting. ‘The

Norway's Offshore Shipping Sector Faces Bleak Year

Norwegian companies that provide supply ships and drilling rigs to the global oil industry face a bleak year ahead as contracts disappear and financing options

Tanker Trends

New Methanol Projects to Change Chemical Shipping Patterns

New US and Middle East methanol production capacity being added over the next two years will have serious implications for chemical shipping trade flow patterns,

Frontline 2012, Frontline Merger Completed

Frontline 2012 Ltd. has completed its previously announced merger with Frontline Ltd. , with Frontline as the surviving legal entity and Frontline 2012 becoming

EuronavSells Suexmax Cap Laurent

Euronav NV announced the sale of its Suezmax Cap Laurent for $22.25 million. The 1998-built 146,145-dwt vessel was wholly owned by Euronav.    The vessel was

Maritime Security Naval Architecture Navigation Pod Propulsion Port Authority Ship Electronics Ship Repair Ship Simulators Shipbuilding / Vessel Construction Sonar
rss | archive | history | articles | privacy | 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: 0.1787 sec (6 req/sec)