Close to 20 modern or resale VLCCs are being touted for sale at high prices in a market that is offering shipowners strong returns.
VLCC market players listed at least six ownership groupings behind what they described as "real" sales candidates.
One added that this number of ships is unusual at a time when spot market rates are holding at high levels and trading prospects are good.
Up-for-sale ships included the Arne Fredly-backed Hunter Group’s seven VLCCs, three of which — the Hunter Laga, Hunter Alta and Hunter Saga (all built 2019) — have been delivered and are trading spot in the Tankers International VLCC scrubber pool.
Four remain under construction at DSME, with delivery dates in the first three quarters of this year.
Two other ships controlled by Hartree Maritime Partners — which recently achieved a red hot $107m on the sale of its freshly delivered newbuilding, the 300,000-dwt Lady, to the trio of George Economou, Idan Ofer and Oystein Stray Spetalen interests — are also said to be sales candidates.
Resales talk
Trader Vitol has four VLCC newbuildings that brokers said have been offered for sale. Three of the vessels remain under construction at Hyundai Heavy Industries in South Korea with delivery dates into April, while a fourth — the 300,000-dwt Elandra Elbus — is already trading.
Similarly, South Korean shipowner Sinokor Merchant Marine has a quartet of VLCCs being built at DSME, with delivery dates in the first quarter of 2021.
Brokers suggested this week that sales talks relating to these later-delivering vessels are centring on prices of about $94m per ship.
Aside from the potential resales and newbuildings, brokers mention three trading VLCCs controlled by the Transportation Recovery Fund — the 300,000-dwt Leicester, 298,000-dwt Horton (both built 2017) and 298,000-dwt TRF Horton (built 2018)— as being up for grabs.
In addition, they included two of NS Lemos’ scrubber-retrofitted tankers — the 319,000-dwt Irini N Lemos and Agios Nikolas (both built 2019) — as being up for sale.
At the close of last week, the market was alive with talk that the Economou-Ofer-Stray Spetalen tie-up had bought the Agios Nikolas at a similarly strong price to what they paid for the Lady.
Later sources said this was incorrect but others continued to link the ship to Economou alone. Managers at NS Lemos did not respond to a request for comment.
The rumours continued when it emerged that Economou-controlled company TMS Tankers would take on the management of the Lady.
Rumours roll on
This week, Stray Spetalen’s Oslo-listed company SD Standard Drilling (SDSD) apparently confirmed the purchase of the Hartree VLCC resale Lady, saying it had acquired a 33.3% stake worth $36.5m in a 300,000-dwt eco-tanker newbuilding in South Korea.
SDSD did not name the partners involved, but said they are "two highly experienced and well-known shipping investors".
The scrubber-fitted VLCC will be renamed Gustavia S.
Brokers said the VLCC would likely have been contracted at a price of about $82m. Currently newbuilding prices for VLCCs are being quoted at around $92m.
Sources in the Oslo market said it is “highly likely” that the three investors have committed to buying three VLCCs between them.
Talk that they may also pursue a listing for a new venture centred on the ships was also circulating.
Stray Spetalen declined to comment, while neither Economou nor Ofer responded to questions from TradeWinds.
