X
<

Crude Tankers Last Week: A Key Update

PART:
1 2 3 4
Part 2
Crude Tankers Last Week: A Key Update PART 2 OF 4

Why VLCC Rates Just Hit New Multiyear Lows

VLCC rates

According to Weber’s Week 32 report, VLCC (very larger crude carrier) rates were softer in last week (ended August 11) due to a pullback in demand in the Middle East. Last week, 15 VLCC fixtures were recorded in the Middle East, which is 35% lower than in the previous week.

In West Africa, nine fixtures were recorded, which is also lower than in the previous week.

Why VLCC Rates Just Hit New Multiyear Lows

Interested in EURN? Don't miss the next report.

Receive e-mail alerts for new research on EURN

Success! You are now receiving e-mail alerts for new research. A temporary password for your new Market Realist account has been sent to your e-mail address.

Success! has been added to your Ticker Alerts.

Success! has been added to your Ticker Alerts. Subscriptions can be managed in your user profile.

The average VLCC rates saw fresh multiyear lows. According to Weber’s report, VLCC rates for the West Africa to China route fell to $17,541 per day on August 11, 2017, from $17,783 per day on August 4. The average rate for all VLCC routes fell from $16,143 per day from $12,741 per day in the previous week.

Notably, VLCC rates in August are ~33% lower YoY (year-over-year). Euronav (EURN) and DHT Holdings (DHT) mainly operate VLCCs.

Suezmax rates

According to Weber’s report for the 32nd week of 2017, in West Africa, seven Suezmax fixtures were reported last week—46% fewer than in the previous week. But Suezmax rates remained largely unchanged.

According to the same report, Suezmax rates on the route from West Africa to the UK were $5,612 per day on August 11, compared with $5,751 per day on August 4. The average rate for all Suezmax routes were $7,118 per day, compared with $7,249 per day on August 4.

Teekay Tankers (TNK) and Tsakos Energy Navigation (TNP) have Suezmax vessels in their fleets. Nordic American Tankers (NAT) operates Suezmax vessels.

Aframax rates

According to Weber’s latest report, Aframax rates on the Caribbean route dropped to $1,584 per day, down from $3,183 per day on August 4. The average rate for all Aframax routes fell from $3,341 per day to $2,783 per day last week.

X

Please select a profession that best describes you: