Two young VLCCs fitted with scrubbers have reportedly been fixed on long-term charters amid thin trading in the period market for tankers.
Brokers said Navigare Capital Partners recently chartered the 297,600-dwt Hudson (built 2017) to Trafigura for 42 months, with the first six months at $21,000 per day and the rest of the charter at $36,000 per day.
The Copenhagen-based fund manager, backed by Robert Maersk Uggla, acquired the vessel from Transportation Recovery Fund for $70.5m only last month.
Constructed by Hanjin Heavy Industries & Construction’s Subic Bay facility in the Philippines, the Hudson is the only VLCC in Navigare’s fleet.
Indian owner LMCS Maritime is reported to have secured Enesel’s 319,200-dwt Papalemos (built 2018) for three years at $36,000 per day.
LMCS owns two suezmax tankers under the technical management of compatriot AZA Shipping, according to its website.
There were reports that Equinor had chartered the VLCC from the Greek owner last year and recently sublet it to LMCS, but this could not be immediately confirmed.
Clarksons Research estimates the three-year rate for a scrubber-fitted, eco VLCC at $33,875 per day.
Among shorter charters, brokers reported that Vitol has taken the 300,100-dwt New Dynasty (built 2003) from New Shipping for 30 to 90 days at $16,000 per day for storage use.
The trading giant was understood to have been looking to fill its storage requirement from the tanker market for some time. With strong crude futures for the prompt month, Vitol’s demand is believed to be related to its logistics need rather than contango play.
Navigare and Trafigura declined to comment on the reported fixture of the Hudson. TradeWinds has approached LMCS, Enesel, Equinor, Vitol and New Shipping for comment.
The period market has been quiet in general over the past few weeks, with most shipowners and charterers apparently taking a different view on future market development.
While spot rates in most trades remain close to their multi-year lows, more bullish players believe tanker earnings will begin to strengthen later this year with recovering oil demand.
“Forget Groundhog Day, this is a groundhog week, if not a month. Market interest continues to remain subdued for period business,” Braemar ACM Shipbroking said in a note.
“Owners and charterers are keeping their powder dry until we see a clearer direction that the world economy is moving in as countries slowly ease out of their respective lockdowns and crude and product demand starts to ramp up.”
