Crude Oil Tanker News

15 Nov 2019

Sovcomflot Profits Up on Stronger Tanker Market

Pic: PAO Sovcomflot

Russia's state-owned tanker carrier Sovcomflot (SCF Group) reported improvements on both the top and bottom line in the third quarter benefiting from a stronger tanker market.The energy shipping company posted a net profit of  $26m as revenue increased in the third quarter.Sergey Frank, Chairman of the Board of Directors of PAO Sovcomflot, said: “We are satisfied with the Group’s performance over the third quarter. Sovcomflot steadily follows through on its strategy of increasing the share of large-scale industrial shipping projects in its portfolio."He added: "During the reporting period…

17 Oct 2019

Tanker Deliveries Up 37%: BIMCO

Graph: BIMCO

Delivered tonnage of crude oil tankers have grown by +37%, whereas total fleet demolitions for 2019 have slumped to the lowest in a decade with a reduction of 52% from the year before, says BIMCO, the largest of the international shipping associations representing shipowners.Newbuilding orders have remained low through the year with contracted tonnage down by 48%, it said.Amidst a market filled with uncertainty and geopolitical unrest, BIMCO maintains its bearings and turns to the market fundamentals to cut through the mist of market speculation and uncertainty-driven hype.

11 Oct 2019

CNOOC Seeks Replacements for Sanctioned COSCO LNG Tankers

AdobeStock / © Kasto

China National Offshore Oil and Gas Company (CNOOC) is on the hunt for liquefied natural gas (LNG) tankers to charter, several industry sources told Reuters, looking to replace ships it had previously hired that are linked to a Chinese company sanctioned by the United States for allegedly transporting Iranian oil.The company, COSCO Shipping Tanker (Dalian), is one of four Chinese firms on which the Trump administration imposed sanctions on Sept. 25, in what it described as the biggest sanctions taken by the U.S.

15 Sep 2019

Sture Terminal Situation Normalised

Dubai Harmony. Pic: Dubai Navigation Corp

The fire in the engine room of the crude oil tanker Dubai Harmony moored at Equinor’s Sture terminal in Øygarden municipality on the west coast of Norway near Bergen has now been extinguished.At 1102 this morning, Equinor's alarm center received reports of a fire in the engine room on board Dubai Harmony, which was loading at the quay at the Sture terminal.The fire has now been extinguished and the fire service is continuing to cool the area where the fire took place.The 102 people who were at the Sture terminal were evacuated from the terminal when the incident occurred as a precaution…

05 Sep 2019

Euronav to Store Low-Sulfur Oil

Pic: Euronav

The crude oil tanker company Euronav has purchased a total of 420,000 metric tons of compliant fuel oil and marine gasoil so far, the company revealed as it detailed its IMO 2020 sulfur cap plans. In aggregate the purchase value of very low sulfur fuel oil (VLSFO) has been at $447 per metric ton compared to a bunker price (HFO-3.5% Sulfur content) of $400 per metric ton over the same procurement period.According to the Belgium shipping company, the oil is currently aboard a ultra large crude carrier (ULCC) Oceania, a vessel built in 2003, and will soon be on its way to Singapore.

06 Sep 2019

UCG Medevacs Crewmember From Crude Tanker

The Coast Guard medevaced a crewmember from a crude oil tanker approximately 20 miles offshore of Galveston, Texas, Wednesday.Coast Guard Sector Houston-Galveston watchstanders received notification from the crew of the crude oil tanker Pacific Jewels that a member of the crew suffered a back injury and was in need of medical assistance. Watchstanders consulted with the duty flight surgeon who recommended the medevac.An Air Station Houston MH-65 Dolphin helicopter crew was launched to the scene.The Dolphin helicopter crew hoisted and transferred the crewmember to awaiting emergency medical services personnel at The University of Texas Medical Branch at Galveston.Weather on scene was reported as 4-foot seas with 20 mph winds.

13 Aug 2019

Trafigura in Fuel JV with Frontline, Golden Ocean

File Image: AdobeStock / © Riccardo Arata

Trafigura Group is joining forces with shipping firms Frontline and Golden Ocean to set up a company to supply shipping fuels ahead of a shake up in regulations next year which could disrupt fuel delivery and cause prices to spike.The three companies said on Tuesday that subject to agreement on final terms, the joint venture is expected to start operating in the third quarter.From Jan. 1, International Maritime Organization (IMO) rules will bar many ships from using marine fuel, also called bunker fuel, containing more than 0.5% sulphur in order to help reduce air pollution.

13 Aug 2019

DHT Holdings Bags 3-Year Time Charter

Pic: DHT Holdings

Bermuda-based crude oil tanker company announced that  it has entered into a three year time charter with a leading refining company for one of its 2012 built very large crude carriers (VLCC).The charter will commence after the vessel completes a scrubber retrofit in the fourth quarter of this year, said the New York-traded company.The time charter has a base rate of $30,000 per day with all earnings up to $37,500 to DHT following a profit sharing structure that includes scrubber…

09 Aug 2019

Tanker Demand Weakens, Says Euronav

Pic: Euronav

Demand forecasts in the tanker sector have weakened modestly over 2019 with the three core agencies (IEA, EIA and OPEC) cutting 2019 demand growth forecasts from 1.4m bpd to 1.2m bpd, says Euronav.The crude oil tanker company noted that this remains above the long term trend growth average of 1.1m bpd (since 1990).Asset values continued to improve primarily in the second hand market where prices for 5 and 10 year old very large crude carriers (VLCC)  and Suezmaxes are back at…

27 Aug 2019

FLNG Project Count Hits 20

(Photo:Shell)

Finance — or at least project economics based on long-term commodity prices — appear to be factors limiting a surge in investments in floating liquefied natural gas (FLNG) a new study by U.S.-based numbers cruncher, World Energy Reports, revealed Monday.Among a growing count of floating producers in the planning stage, some are destined to become FLNG, increasingly the go-to solution discussed for producing stranded or remote gas. WER’s report writers detail the status of known…

30 Aug 2019

Sovcomflot's LNG-fueled Tanker to Cross NSR

Korolev Prospect is being berthed for bunkering with LNG at the Port of Rotterdam. Image: SCF Press Service

Sovcomflot’s LNG-fuelled Aframax crude oil tanker Korolev Prospect has started a transit through the Northern Sea Route (NSR).Korolev Prospect will become the first such large-capacity crude oil tanker to travel the entire length of the Northern Sea Route using only cleaner-burning LNG fuel.The tanker is delivering a cargo of crude oil from the port of Murmansk to China. The journey along the NSR, from Cape Zhelaniya to Cape Dezhnev, will take about eight days, with vessel moving at the expected average speed of 12 knots.While transiting from the Laptev Sea to the East Siberian Sea…

04 Sep 2019

Sovcomflot's LNG-Fuelled Tanker Navigates NSR

The bridge team of Korolev Prospect: Oleg Shishkin, the master (left), and Vasily Yermakov, an ice advisor (right). Photo: Sovcomflot

Korolev Prospect, Sovcomflot's LNG-fueled Aframax crude oil tanker, completed a commercial voyage along the Northern Sea Route (NSR).The Russian maritime shipping company specializing in petroleum and LNG shipping said in a press release that for the first time in the history of shipping, a large-capacity oil tanker has crossed the full length of the NSR using only cleaner-burning LNG fuel.The voyage from Cape Zhelaniya to Cape Dezhnev took 7 days and 6 hours to complete, during which the tanker covered a distance of 2…

28 Aug 2019

Frontline Sees Opportunity in Tanker Market

Photo: © alexyz3d  / Adobe Stock.

So far in 2019, 41 VLCCs have been added to the global fleet compared to three vessel demolitions, said  the world's largest oil tanker shipping company Frontline Ltd.An additional 33 VLCCs are scheduled to be delivered in 2019 with 43 more to follow in 2020 before the order-book declines sharply.It is important to note that both the VLCC and Suezmax tanker order book as a percentage of the total fleet are at the lowest levels seen in over 20 years.The order book has been the biggest challenge for the tanker markets over the last 24 months.

27 Aug 2019

BIMCO: US Crude Exports Soar in June 2019

Chart: BIMCO

The highest US crude oil exports to China in 11 months lifted total seaborne US crude oil exports to a record high at 11.9 million (m) tonnes in June 2019. Also contributing to the June record was South Korea, as exports to the other main Far Eastern buyer reached an all-time high volume of 2.3m tonnes.1.2m tonnes were shipped to China between June 1, and  June 30, , up from 1m tonnes in May and worlds apart from no exports at all in the months of August through October in 2018…

01 May 2019

VLCC Sector Resilient, Says Euronav

Pic: Euronav

First quarter 2019 proved to be an unusual and largely resilient one for the large crude tanker sector, said Euronav NV, the largest NYSE listed independent crude oil tanker company in the world.The OPEC production cuts of 1.2m bpd announced in Q4 2018 impacted Q1 trading and represents around 3% of the crude which is seaborne each day.Nearly 30  very large crude carriers (VLCC) equivalents were delivered to the global fleet during the same period – an increase of 3% in fleet…

07 Apr 2019

New Aframax Tanker Makes First N. American Call

The crude oil tanker ProStar discharges jet fuel at Port Canaveral’s North Cargo Berth 2. CEO Capt. John Murray, left, and Seaport Canaveral General Manager David Smith, right, present plaques to ProStar Capt. Alexander Ivanishvili. (Photos: Canaveral Port Authority)

The Aframax tanker ProStar recently made its first North American delivery to discharge 442,131 barrels of jet fuel at Seaport Canaveral."820-foot-long ProStar – first of its kind vessel to berth at Port – makes its inaugural North American delivery of transportation fuels to Seaport Canaveral," the Canaveral Port Authority announced in a statement.Built in 2018, the 144-foot-wide ProStar has a crew of 23 and a summer dead weight tonnage of 115,000 tons.Port Canaveral cargo operations…

16 May 2019

Tanker Rates Firming Up: Frontline

Pic: Frontline Management AS

The middle of the first quarter in 2019 saw tanker rates firming significantly, driven mainly by an increase in US exports, said Frontline Ltd. is the world's largest oil tanker shipping company.The tanker market pulled back in January due to OPEC production cuts and a high level of newbuilding deliveries after a strong end to 2018, it said.The market then came off primarily due to extended refinery maintenance in preparations for IMO 2020 and both new and persistent supply disruptions.Atlantic…

21 Jun 2019

BIMCO: VLCC Freight Rates from Gulf to China Doubles

Chart: BIMCO

VLCC spot freight rates between the Arabian Gulf and China rose 101% in the days between June 13, 2019 and June 20, 2019, in the aftermath of attacks on two tankers in the Strait of Hormuz. Spot freight rates for a VLCC, carrying 2 million barrels of oil, between the Arabian Gulf and China reached USD 25,994 per day on June 20, their highest level since March and significantly above the May average of USD 9,979 per day.Despite this increase, freight rates on this route only narrowly exceeds the daily break-even costs of a VLCC…

15 Apr 2019

BIMCO: US Seaborne Crude Oil Exports Hit Record High

ULCC_AdobeStock_CREDIT Jose Gill

US exports of crude oil have, since August 2018, continued to rise every month, with a new record high in January of 9.6 million tonnes. Exports rose in January on the back of increased sales to Europe, which rose from 2.7 million tonnes in December to 4.8 million tonnes in January.A strong end to 2018 meant that volumes for the full year totalled 87.4 million tonnes, 96.7% higher than the 44.4 million tonnes exported in 2017. This is good news for the crude oil tanker sector…

25 Jun 2019

Navig8 Adds LR2 Tanker

Image: Navig8 Chemical Tankers Inc.

Navig8 Product 2020, an international shipping company,  has announced that it has taken delivery of the Navig8 Promise.Its the seventh 110,600 DWT scrubber-fitted LR2 tanker from New Times Shipbuilding.The Navig8 Promise will be entered into and operated in Navig8 Group’s Alpha8 commercial pool.The crude oil tanker built in 2019 will sail under the flag of Marshall Islands.Navig8 is a fully integrated provider of shipping management services and the world’s largest independent pool and commercial management company.

11 Jun 2019

Gagarin Prospect Wins Award

Photo: Sovcomflot

Gagarin Prospect, an LNG-fuelled Aframax crude oil tanker owned and operated by Sovcomflot (SCF Group), has won Next Generation Ship Award 2019, which was announced at Nor-Shipping 2019.President & CEO of Sovcomflot Sergey Frank has received the award from Norwegian Minister of Trade and Industry Torbjørn Røe Isaksen in the presence of His Majesty King Harald V of Norway.With a focus on innovation, the Next Generation Ship Award honors the most promising design for ships that will be at sea in the coming decade…

14 May 2019

World Suezmax Fleet Counts 514 Vessels

Pic: Nordic American Tankers Limited

The world Suezmax fleet (excl. shuttle, product & Jones Act tankers) counts 514 vessels at the end of 1Q2019, said Nordic American Tankers (NAT).The total delivery during 2018 was 28 vessels, said a report by the  international tanker company."For 2019 we expect a similar number of vessels as in 2018, and in 2020 we currently see 22 vessels scheduled for delivery. During 2018, 21 Suezmax vessels were scrapped," it said.According to the report, the world economy is enjoying its strongest upswing since 2010.

07 Aug 2019

Euronav Sells VLCC for FPSO Conversion

Image courtesy: Euronav

Belgium-based crude oil tanker company Euronav NV has sold its oldest very large crude carrier (VLCC) for conversion into a floating production storage and offloading (FPSO) vessel.The ship owner announced that its subsidiary Euronav Luxembourg has sold the VLCC vessel VK Eddie (2005 – 305,261 dwt) to a global supplier and operator of offshore floating platforms.A capital gain on the sale of approximately USD 14.4 million will be recorded during the current quarter, it said.The…

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