Secondhand tanker and bulker sales continue to tick over, but brokers say there is a shortage of modern vessels on offer.
Cleaves Shipbroking shipbroker Einar Straume said perhaps fewer ships were sold last week than the market has been accustomed to lately, both on the wet and dry sides.
He argued that this could mean nothing, but could also signal sellers holding back in expectation of better times ahead.
“There is for sure a lack of modern attractive candidates for sale in both segments,” he said.
There is a “good pace” still in the tanker market, as freight rates strengthen further and offer attractive yields, according to Straume.
All crude sizes, in general, were trading above $60,000 per day, with aframaxes at $80,000 per day.
“Consequently there is still plenty of buying interest for middle-aged and older tonnage, which, despite the historically high prices needed today, still offer acceptable pay-back periods,” the broker said.
The vast majority of buyers have been unknown Middle East interests or other undisclosed operators again.
Price holds up over a decade
But Idan Ofer-affiliated Ace Tankers’ 19,000-dwt stainless steel chemical tanker Chem Polaris (built 2008) went to Tolani in India for $19.7m, with a special survey due.
VesselsValue assesses the tanker to be worth $18.8m.
Dutch owner Ace Tankers bought the vessel from Blue Wake Shipping of Singapore for $24m in 2015.
Cleaves highlighted a deal involving a Greek-owned LR1 as a stand-out transaction.
Prime Tanker Management’s 74,000-dwt LR1 Sand Shiner (built 2006) was bought for $23.25m — a fraction more than it bought it for 10 years ago from Hellespont Shipping of Germany.
The ship has been renamed the Bellini under unknown Greek ownership.
Discounts for later delivery dates?
Eva Tzima, head of research and valuations at Seaborne Shipbrokers, said more investors are looking to achieve discounts on vessels being offered for less prompt deliveries.
This is a trend particularly evident in the case of smaller and bigger MRs.
“At the same time, the impressive bounce back of VLCC rates following some momentary weakness earlier in the year continues to fuel investing appetite for the size,” she said.
Tzima added that the sweet spot for buyers is vessels built between 2005 and 2010.
“Chinese buyers remain at the forefront of VLCC inspections and some generous offers rumoured as of late,” she said.
Handysizes have dominated bulker sales, with another ship — the 37,000-dwt Maestro Pearl (built 2015) — breaching the $20m barrier. The vessel is said to have been offloaded by Maestro Shipping of Switzerland for $20.5m.
