Brokers believe prospective tanker buyers have resigned themselves to higher asset values.
Now the problem is the lack of available ships for sale, rather than a disconnect between sellers’ and purchasers’ price ideas.
Eva Tzima, head of research at Seaborne Shipbrokers in Greece, said that after enjoying another impressive spike in mid-March, tankers have experienced a sideways-moving freight rate market.
But even in those sectors in which part of the recent upside was wiped off, earnings still stood comfortably above $40,000 per day across clean and dirty Baltic Exchange-quoted routes, she said.
The end of another very profitable quarter for tanker owners has helped many potential investors come to terms with asking prices for secondhand tonnage, Tzima added.
She argues that this is “proven sector profitability” and not just sentiment or expectations, fully justifying sellers’ ideas.
“The more confident view several buyers have now taken when it comes to paying the tab has yet to revive activity in the sale-and-purchase market, though, as it is now the lack of available tonnage rather than a wide gap between sellers’ and buyers’ ideas that is hindering action on that front,” she said.
Many owners that up until recently had been looking to divest due to much higher prices have become keener to keep ships trading while the freight market shows further potential, she said.
TradeWinds reported this week that a modern but laid-up aframax, the 112,800-dwt Aurviken (built 2019), was sold at auction in Gibraltar after its ownership structure made it subject to US sanctions against Russia.
‘Subdued’ sales climate
And major Greek shipowner Minerva Marine is about to sell one of the oldest of its 57 tankers, three months after ordering newbuildings.
According to market sources and brokers in Athens, it has agreed to offload the 103,600-dwt aframax Minerva Helen (built 2004) for about $30.4m.
Greece’s Xclusiv Shipbrokers said it had been “another subdued week”.
Only two other unconfirmed sales showed up on broker reports.
Allied Shipbroking said March S&P activity was in line with February.
“Appetite for MRs remained healthy and matched the average of recent months, even if this hasn’t resulted in a notable increase in asset prices over March,” the Athens shop added.
