Baltic Exchange has issued the tanker report for the 25th week of this year. The report of 23rd June 2023 provides valuable insight into this week’s tanker market dealings, freight rates, and charter activities.
Clean
LR2
MEG LR2’s remained stable for the majority of the week with inklings of an upturn as we head towards the weekend. TC1 after bottoming out at WS107.5 is currently back at WS112.19 and a TC20 trip west was also steady across the week rising an incremental $78,000 to $3,292,000.
West of Suez, Mediterranean/East LR2’s have continued to be mute this week and the TC15 index dipped $38,500 to $2,583,000.
LR1
In the MEG, LR1s were firm all week. TC5 scrambled up 11 points to WS154.29 and a run west on TC8 has also hopped up another $167,000 to $2,900,000.
On the UK-Continent, TC16 continued along its current WS125 path without much sign of movement. The run is still rendering $20,000/day round trip TCE at these levels.
MR
MEG MRs have been just busy enough and held up by the LR1s to keep levels flat this week in mid-WS230.
UK-Continent MRs continue to trundle along this week with plenty of available tonnages. As a result, TC2 and TC19 have not moved from WS125 and WS135 respectively.
USG MRs despite being active this week rates have tumbled. TC14 shed 12.5 points to WS105.83 and similarly, TC18 lost 9.17 points to WS180.83. TC21 also came down $33,000 to $700,000. At these levels, TC18 and TC21 are still returning over $ 20,000-day round trip TCE whereas TC14 is only returning a quarter of that.
The MR Atlantic Triangulation Basket TCE dropped from $20,097 to $17,273.
Handymax
Mediterranean Handymax showed signs of movement this week and the TC6 index climbed into the WS140 after having been at WS135 for over five weeks.
Up on the UK-Continent, TC23 again meandered along at around the WS135 level with the real need for an uptick in enquiry to move things along from this level.
VLCC
Another busy week as charterers took the last remaining opportunities to fix tonnage for June-dated barrels before the OPEC+ cuts come into effect from 1 July. As that came to an end, tied in with the Chinese holiday on Thursday and Friday, the market has slackened in the Middle East. The rate for 270,000mt Middle East Gulf to China, having peaked at a shade over WS85 on Monday, has since plummeted almost 20 points to WS66.73 (a round trip TCE of nearly $48,700 per day basis the Baltic Exchange’s vessel description), while the 280,000mt Middle East Gulf to US Gulf trip (via the cape/cape routing) is now rated 7.5 points less than a week ago at WS40.33.
In the Atlantic market, the rate for 260,000mt West Africa/China dropped 17 points to WS64.15 (which shows a round voyage TCE of $45,600 per day). The rate for 270,000mt US Gulf/China is now assessed $738,889 less than last Friday at $9,616,667 (about $45,000 per day round trip TCE).
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Source: Baltic Exchange
