VLCC Rates Poised To Stay Strong

Monday, March 26, 2001
Owners of VLCCs have been painstakingly building up rates this week, but for owners of million-barrel tankers, the last month's gains have come crashing back down. "(VLCC) tonnage is relatively scarce, especially for early positions, while enquiry is plentiful, and we expect some good times ahead from an owner's perspective," said Oslo ship broker Fearnleys. Westbound VLCCs from the Mideast Gulf gained five points during the week to reach W89, while eastbound VLCCs gained four points to reach W104. VLCCs out of West Africa saw plentiful enquiry at the start of the week, in part by moving in on million-barrel business, brokers said. Transatlantic VLCC freight on Friday was W117. "A lot of charterers are taking Vs (VLCCs) now, and all the Suezmaxes (million-barrel tankers) are building up with nothing going on in the Med and North Sea," a London broker said on Wednesday. The result was that million-barrel rates plummeted. Oslo brokers said Sun had fixed the million-barrel Cosmic for a mid-April transatlantic voyage at a rate of W125, about 50 points down on week-ago levels and a rate not seen since the lows of early February. Meanwhile, brokers said that rates for Aframaxes (70-80,000 tonners) had varied wildly during the week according to location. London tanker broker Gibsons noted a "marked upturn in Aframax enquiry in the Mediterranean", leading to rates of W260 for modern vessels. By contrast, Fearnleys described the North Sea market as "primed for a beating", after several days of total silence. Rates fell about 50 points during the week to about W200. The Caribbean market also suffered a downward trend, drifting down 25 points to around W275 for voyages to New York. Gibsons noted that million-barrel tankers had made an incursion into this Aframax stronghold. "For those charterers able to combine stems, million-barrel vessels were able to provide a real saving, fixing at around W170," it said. - (Reuters)
Maritime Reporter January 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Tanker Trends

Yamal LNG Inks Deal with Gazprom to Sell LNG in Asia

A trading subsidary of Russian gas producer Yamal LNG has signed a long-term supply contract with a trading subsidiary of Gazprom, under which liquefied natural

Maran Orders 4 LNGCs from DSME

Korean shipbuilder Daewoo Shipbuilding & Marine Engineering (DSME) will build four large Liquefied Natural Gas Carriers (LNGC) for Maran Gas.   The four LNGCs

Tepco, Chubu Buying 6 LNG cargoes from Vitol

Japan's Tokyo Electric Power Co and Chubu Electric Power Co,, are expected to buy a total of six cargoes of liquefied natural gas (LNG) from Vitol and GDF Suez in their first joint tender,

 
 
Maritime Careers / Shipboard Positions Maritime Contracts Maritime Security Navigation Offshore Oil 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: 0.1009 sec (10 req/sec)