Trafigura is reportedly leading a pack of traders that are bargain-hunting for modern or newbuilding VLCCs and suezmaxes in the period charter market.
With still-low rates and rising bunker costs, charterers have especially been showing stronger appetite for scrubber-fitted tonnage this year.
Brokers said Trafigura took two of the four 300,000-dwt newbuildings Latsco Shipping ordered from Hyundai Heavy Industries on charters lasting from two to five years.
One of the ships was secured at $37,000 per day on a two-year charter, which can be extended for a third year at $38,000 per day and a fourth at $39,500 per day.
The other was chartered at $36,000 per day for the first three years in a deal that has options for a fourth year at $38,000 per day and a fifth at $40,000 per day.
When delivered in 2022, the pair will be two of Latsco’s first VLCCs.
Separately, Unipec is said to have chartered Neda Maritime’s 300,000-dwt Amantea for a year at $30,000 per day.
The ship is due to be delivered from Hyundai Samho Heavy Industries this month and will probably carry refined products on its maiden voyage.
Brokers reported that Gunvor subsidiary Clearlake Shipping was fixing Global Energy Maritime’s 302,700-dwt Gem No 5 (built 2017) for a year at $28,500 per day, but it is not immediately known whether the deal was finalised. The ship was previously on a three-month charter to Trafigura.
“There seem to be opportunities in the dirty market as its period activity has picked up ... albeit not at the stellar rates of [last] spring,” brokerage Braemar ACM said in a note. “The activities are mostly around newbuilding tonnage.
“VLCCs are still at a low point for period charter, but there remains a heavy focus on the expected upturn next year.”
Healthy activity in suezmax market
Meanwhile, some charterers are busy fixing period tonnage in the suezmax market, where spot rates have been rising.
Brokers said Trafigura took another suezmax newbuilding from Enesel, this time for the 158,000-dwt Kapodistrias 21 due for delivery from Daehan Shipbuilding this month.
The ship is fixed at $16,000 per day on a three-month charter, which can be extended by another three months at $18,000 per day, followed by a six-month option at $24,000 per day.
Trafigura has reportedly extended the charter for Empire Navigation’s 156,500-dwt Suez George (built 2011) for two to four months in an index-linked deal that has a ceiling rate of $18,000 per day.
It is also said to have chartered Avin International’s 158,000-dwt Kriti Hero (built 2021) for six to 12 months.
Aiming to have smaller exposure to time charters this year, Trafigura is thought to be replacing some ships leaving its fleet recently.
Vitol separately chartered Eastern Pacific Shipping’s 157,800-dwt Silverway (built 2017) for five months at $17,000 per day.
Aside from the Suez George, all the VLCCs and suezmaxes are installed with scrubbers and can consume cheaper high-sulphur fuel oil.
“It feels like the traders have been shopping for some low-hanging fruit,” said a broker.
Trafigura, Vitol and Gunvor declined to comment on the fixtures. TradeWinds has approached Unipec and the shipowners for comment.
