A rare VLCC scrapping deal could see more of the ships headed to the breakers, Tankers International said.
The pool noted on Tuesday that an unspecified 2000-built vessel is set to be scrapped.
It would be a rare occurrence as owners either hold on to ageing ships in the hope of a strong market backed by a small orderbook or dark fleet operators snap up older ships.
“As VLCC scrapping has been relatively rare in recent years, this is a development worth highlighting,” it said in a social media post.
“Could this be the start of more VLCC demolitions in the near future?”
Fewer than five VLCCs have been scrapped this year and last, according to Tankers International statistics.
That was down from more than 10 in 2021 and 2022 and no year over the last decade saw more than 15 VLCCs scrapped, save 2018 when the figure hit 35.
Clarksons data shows 4.2m dwt-worth of VLCCs scrapped in 2021 and 900,000 in 2022 and none last year.
Overall the world’s largest shipbroker notes just 1.1m dwt of tankers being scrapped between January and October 2024, including a single suezmax last month.
“This is up 44% from 2023’s record low of 0.73m in dwt terms, though still below 2023’s record low of 33 vessels sold for scrap,” the broker said in its latest tanker market update.
Meanwhile, rates continue to falter despite the anticipated seasonal strength.
The broker assessed average VLCC earnings at $30,635 per day, behind the 2024 average of $35,074 per day.
Many analysts anticipate a stronger tanker market next year, and DHT’s $49,500-per-day time charter for a veteran VLCC on a one-year deal remains fresh in the minds of shipowners.
On the ship breaking side, recyclers have seen prices decline by around $150 per ldt, according to cash buyer GMS, while yards in Pakistan and India deal with cheaper Chinese steel competing with their recycled product.
GMS said a tanker would fetch $490 per ldt in Bangladesh, $480 per ldt in India and $470 per ldt in Pakistan.
In Turkey, the assessment was $340 per ldt.
