According to the Baltic Exchange’s Weekly Market Roundups published on April 28, 2023:
CLEAN
LR2
LR2s in the MEG this week have been relatively subdued. TC1 has remained resolute in the WS180 region. TC20 has shed $107,143 leaving the index currently marked at $4,507,143.
West of Suez, Mediterranean/East LR2s have also declined this week (circa $91,000) after a widely reported fixture at $4,350,000 led the index to $3,491,667.
LR1
In the MEG, LR1s have been keeping by this week. As a result TC5 has held in the high WS190s – WS200 range and for a trip West TC8 has hopped up from $3,580,000 to $3,840,000. This took the round trip TCE up into the low $40,000’s /day. On the UK-Continent, TC16 suffered from inactivity this week and the index dropped from WS194.29 to WS158.57.
MR
MEG MRs have been consistently marked down this week. The TC17 index has hemorrhaged 58.57 points in total bringing it to currently rest at WS232.14.
On the UK-Continent a surplus of vessels has driven weak sentiment this week. Subsequently, TC2 and TC19 have both seen substantial declines in freight levels. TC2 is currently pegged at WS142.78 (-65.55) and TC19 is marked at WS153.57 (-65). This has taken a circa 50% chunk out round-trip TCEs for the runs which are now in the $13,000-16,000 /day range.
Over in the Americas, the MRs have been similarly affected to those on the UK-Continent. TC14 has shed 22.5 points to WS90 and TC18 has lost 18.34 points to WS163.33. A run to the Caribbean on TC21 is currently marked at $525,000 (-110,833) with that rate reported on subjects at time of writing.
Handymax
Mediterranean Handymax vessels took a 34% hit this week dropping from WS253 to WS165 off the back of minimal enquiry. Likewise on the UK-Continent the TC23 declined 53.12 points to WS185.63.
VLCC
The VLCC market lost ground again this week, as we approach the Far Eastern public holiday period, with rates lower than a week ago in all areas. The rate for 270,000mt Middle East Gulf to China shrank by more than 8.5 points to WS56.64, which translates to a round-trip TCE of about $36,400 per day basis the Baltic Exchange’s vessel description.
The rate for 280,000mt Middle East Gulf to US Gulf (via the cape/cape routing) is now assessed at WS36.5, about 5.5 points down week-on-week. In the Atlantic market, the rate for 260,000mt West Africa/China fell eight points to WS57.40 showing a daily round voyage TCE of $38,000. The rate for 270,000mt US Gulf/China is now $900,000 lower than a week ago at $8,000,000 ($32,250 per day round trip TCE).
Suezmax
The Black Sea and Mediterranean markets again struggled to gain any traction with demand still low. The rate for 135,000mt CPC/Med fell 14.5 points to WS124.28 (a round-trip TCE of $53,600 per day). In the Atlantic, despite busy activity in the US Gulf and Caribbean markets early on, rates slid for 130,000mt Nigeria/Rotterdam which now sits seven points lower than a week ago at a WS90.5 (a round trip TCE of about $32,400 per day). In the Middle East, the rate for 140,000mt Basrah/Lavera dropped 8 points to WS56.88.
Aframax
In the North Sea market, the rate for the 80,000mt Hound Point/Wilhelmshaven route seems to have settled and has remained at the WS130-132.5 level since last Friday (showing a round-trip daily TCE of $37,600).
In the Mediterranean, the rate for 80,000mt Ceyhan/Lavera has hovered at the WS152.5 mark this week (a daily round-trip TCE of $44,400).
Across the Atlantic, the Stateside Aframax market crumpled as charterers became inundated by available tonnage. A major oil company relet was reported to have fixed to Chevron from East Coast Mexico to US Gulf at WS85.
Since that deal, the commentary has been that other owners may find it a difficult pill to swallow and perhaps won’t be so competitive.
The rate for 70,000mt East Coast Mexico/US Gulf is assessed now 43 points lower for the week at WS88.75 ($7,500 per day round-trip TCE) and the rate for 70,000mt Covenas/US Gulf has been reduced by 41.5 points to WS84.38 (a daily round-trip TCE of about $5,950).
For the Transatlantic route of 70,000mt US Gulf/Rotterdam, the rate crumbled 31 points to just below WS120 (showing a round trip TCE of $22,700 per day).
