Will the Final Quarter of 2013 Bring Good Tidings to the VLCC Market?

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*+-From the perspective of tanker owners, particularly of larger tonnage, it is clear that 2013 will not be remembered fondly. Rates have languished at levels most thought had been consigned to history as tonnage remained abundant in the primary load regions throughout the year. This has been further exacerbated by the altered trading landscape stemming […]

South Korea to Cut Imports of Iranian Crude

A double hulled VLCC headed for the eye or the storm. Image (c) Shutterstock/Montenegro

*+-By Meeyoung Cho SEOUL, June 24 (Reuters) – South Korea has pledged to the United States that it will cut imports of Iranian crude by 15 percent in the next six months to secure its next waiver to U.S. sanctions targeting Iran’s nuclear programme, two sources told Reuters. U.S. and European measures aimed at curbing […]

Miserable VLCC Market Continues as Tankers Queue up in Persian Gulf

circassia frontline tankers crude oil tanker

*+-(Bloomberg) — A glut of oil tankers competing to haul 2 million-barrel cargoes of crude from ports in the Persian Gulf is set to stay at the highest level since 2009 amid weaker demand for the ships, a Bloomberg News survey showed. There are 20 percent more very large crude carriers seeking charters over the […]

VLCC Charter Rates Show First Decline in 3 Weeks

BW Utik vlcc supertanker tanker

*+-(Bloomberg) — Charter rates for the largest oil tankers on the industry’s busiest trade route declined for the first time in three weeks amid speculation the supply of vessels in the Persian Gulf will increase. Hire costs for very large crude carriers on the benchmark Saudi Arabia-to-Japan voyage slid 1.3 percent to 36.66 industry- standard […]

VLCC Market Rises on Greater Japanese Demand, Owners Still Struggling to Survive

circassia frontline tankers crude oil tanker

*+-By Jonathan Saul LONDON, March 21 (Reuters) – Crude oil tanker earnings on the major Middle East route rose on Thursday, helped by firmer bookings, although the outlook remained pressured due to oversupply and high fuel costs. The world’s benchmark VLCC export route from the Middle East Gulf to Japan <DFRT-ME-JAP> reached W37.15 in the […]

Tankers Earning Zero Seen Spurring Ships’ Removal From Service

Frontline Crude Oil Tankers VLCC

*+-Earnings are about zero for the biggest oil tankers, hauling almost half the world’s seaborne crude, and owners of the ships may opt to remove them from service temporarily to stem losses, said Braemar Seascope Ltd. Very large crude carriers transporting 2 million-barrel cargoes on the main route to Asia from the Middle East are […]

Fourth Rate Drop in a Row For VLCCs, Lowest Since August 2012,

circassia frontline tankers crude oil tanker

*+-(Bloomberg) — Returns for oil tankers hauling Middle East crude to Asia, the industry’s busiest trade route, reached the lowest level since August as the number of cargoes declined amid an ample supply of ships. Very large crude carriers are losing $6,761 daily on the benchmark Saudi Arabia-to-Japan voyage, more than yesterday’s $6,482, figures from […]

For VLCC Owners, “Another Week of Pain Beckons”

British Progress BP VLCC Very Large Crude Carrier

*+-(Bloomberg) — Losses widened for the largest oil tankers hauling Middle East crude to Asia, the industry’s busiest trade route, as a surplus of vessels increased amid a dearth of cargoes. Very large crude carriers are losing $5,661 daily on the benchmark Saudi Arabia-to-Japan voyage, more than yesterday’s $5,199, figures from the Baltic Exchange in […]

Tanker Glut Worsening as OPEC Makes Huge Cut in Oil Production

opec headquarters vienna

*+-(Bloomberg) — OPEC’s deepest output cut since the global recession in 2008 is creating the biggest surplus of oil tankers in the Persian Gulf in at least three years and lowering earnings for Frontline Ltd. and other ship owners. The Organization of Petroleum Exporting Countries reduced daily supply by almost 1 million barrels in the […]

Daily Earnings for VLCCs Drop as Charterers “Drip-Feed the Market”

astrup fearnley

*+-Jan. 16 (Bloomberg) — Costs to ship Middle East oil to Asia, the tanker industry’s busiest trade route, fell for a third day as completion of cargo loadings scheduled for this month curbed demand for vessels. Charter rates for very large crude carriers on the benchmark Saudi Arabia-to-Japan voyage slipped 0.1 percent to 42.02 Worldscale […]