We welcome article submissions from experts in the areas of coal, mining,
shipping, etc.
To Submit your article please click here.
|
|
|
Thursday, 12 August 21
ONLY 3 VLCCS SOLD FOR DEMOLITION IN 2021 AS SECONDHAND PRICES TEMPT - BIMCO
 During the first seven months of 2021, only three actively trading Very Large Crude Carriers (VLCCs) have been sold for demolition. The current market for seaborne transportation of crude oil is weak and has caused freight rates to drop to multi-year lows. Despite this, crude oil tanker shipowners are not seizing the opportunity to reduce capacity and send less efficient units to the demolition yards.
The subdued demolition activity is seen at a time when steel prices offered in Bangladesh, India, and Pakistan – the world’s top ship demolition locations – are at an all-time high. The price of steel from ship demolition is supported by high steel prices in general as well as the limited number of ships heading for demolition.
In addition to the three actively trading VLCCs demolished in the first seven months of the year, five retired VLCCs working as Floating Storage and Offloading units (FSOs) in recent years have been demolished.
However, as they are not actively trading, the demolition of these five VLCC (FSO)s does not affect the demand-supply imbalance, i.e., the freight rates. The average age of the scrapped VLCCs used as FSOs is 24 years while the average age for the three actively trading VLCCs is 22 years.
Owners take advantage of an attractive secondhand market
The lethargic pace of VLCC demolition is also explained by attractive prices for older ships in the secondhand market. According to VesselsValue, 69 VLCCs have changed hands in the Jan-July 2021 period, compared with 91 for the full year of 2020.
To some extent, what we see now is like what we saw in the period that followed the six quarters of high oil tanker earnings from Q4 2014 through Q1 2016. Following this it was not until Q3 2017 that we began to see a pick-up in demolition for VLCCs.
Time has proven that it takes time for shipowners’ demolition decision to mature, and that a weak market right in the wake of a strong one is not enough to take the final step and go for demolition.
“The low demolition level seen in the first seven months of the year for crude oil tankers surely takes some by surprise. Some are wondering why shipowners are not demolishing the excess fleet when freight rates have been sluggish for the past year,” says Peter Sand, BIMCO’s Chief Shipping Analyst.
“The reason behind this is two-fold. Firstly, the strong earnings enjoyed by everyone in the crude oil tanker shipping sector last year leaves no owner short of cash. Secondly, as secondhand prices exceed even the record-high prices offered for demolition steel, shipowners are more inclined to keep their tankers afloat and changing hands, rather than sending them to the demolition yards,” says Sand, adding:
“Yet, nothing is straightforward as oil product tankers, on the other hand are heading for a record-high level of fleet demolition in 2021.”
Source: BIMCO, By Peter Sand, Chief Shipping Analyst
If you believe an article violates your rights or the rights of others, please contact us.
|
|
Monday, 25 October 21
A QUESTION OF POSSESSION - THE BALTIC EXCHANGE
Possession and tangibility are closely related concepts long established under English law. Yet a change to these concepts is around the corner. Th ...
Monday, 25 October 21
CHINA VOWS TO SEVERELY PUNISH MARKET VIOLATIONS AMID LOW COAL FUTURES PRICES - GLOBAL TIMES
Domestic coal futures had plunged for three consecutive trading days after the government vowed to crack down on soaring prices, and China’s ...
Monday, 25 October 21
FARMERS MAY JOIN THE COAL COMMODITY MARKET TO REDUCE RISKS - GLOBAL TIMES
A recent trip to by the Global Times to East China’s Shandong Province to get a glimpse of China’s coal supply chain revealed a surpris ...
Monday, 25 October 21
CHINA COAL PRICES MARK WORST WEEK SINCE MAY ON GOVERNMENT INTERVENTION - REUTERS
China’s thermal coal futures plunged on Friday and turned in their worst week in five months, following Beijing’s strongest interventio ...
Friday, 22 October 21
THE BIG PICTURE: ENERGY MARKETS - BREAK WAVE ADVISORS
The shipping markets have been pulled further into wild markets of coal and other energy sources. Given how nebulous this sector is, it’s alw ...
|
|
|
Showing 436 to 440 news of total 6871 |
|
 |
|
|
|
|
| |
|
 |
|
|
| |
|
- South Luzon Thermal Energy Corporation
- Indian Oil Corporation Limited
- Straits Asia Resources Limited - Singapore
- Sarangani Energy Corporation, Philippines
- Kalimantan Lumbung Energi - Indonesia
- Eastern Coal Council - USA
- Bukit Baiduri Energy - Indonesia
- Global Coal Blending Company Limited - Australia
- Economic Council, Georgia
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Sojitz Corporation - Japan
- Posco Energy - South Korea
- The State Trading Corporation of India Ltd
- Siam City Cement PLC, Thailand
- Indian Energy Exchange, India
- Gujarat Sidhee Cement - India
- Renaissance Capital - South Africa
- Kobexindo Tractors - Indoneisa
- SMC Global Power, Philippines
- Formosa Plastics Group - Taiwan
- ICICI Bank Limited - India
- Mercuria Energy - Indonesia
- Videocon Industries ltd - India
- Interocean Group of Companies - India
- PetroVietnam Power Coal Import and Supply Company
- Latin American Coal - Colombia
- Medco Energi Mining Internasional
- Savvy Resources Ltd - HongKong
- Uttam Galva Steels Limited - India
- Romanian Commodities Exchange
- GN Power Mariveles Coal Plant, Philippines
- Orica Australia Pty. Ltd.
- Ministry of Mines - Canada
- Billiton Holdings Pty Ltd - Australia
- Gujarat Electricity Regulatory Commission - India
- Antam Resourcindo - Indonesia
- Wood Mackenzie - Singapore
- Banpu Public Company Limited - Thailand
- The University of Queensland
- TeaM Sual Corporation - Philippines
- Anglo American - United Kingdom
- GMR Energy Limited - India
- Metalloyd Limited - United Kingdom
- Coastal Gujarat Power Limited - India
- Attock Cement Pakistan Limited
- Samtan Co., Ltd - South Korea
- Energy Development Corp, Philippines
- Price Waterhouse Coopers - Russia
- Independent Power Producers Association of India
- Trasteel International SA, Italy
- Bukit Makmur.PT - Indonesia
- Semirara Mining and Power Corporation, Philippines
- Petron Corporation, Philippines
- Maharashtra Electricity Regulatory Commission - India
- Vijayanagar Sugar Pvt Ltd - India
- GAC Shipping (India) Pvt Ltd
- Toyota Tsusho Corporation, Japan
- Therma Luzon, Inc, Philippines
- Madhucon Powers Ltd - India
- Indo Tambangraya Megah - Indonesia
- The Treasury - Australian Government
- Ministry of Finance - Indonesia
- Carbofer General Trading SA - India
- Parry Sugars Refinery, India
- TNB Fuel Sdn Bhd - Malaysia
- Alfred C Toepfer International GmbH - Germany
- Aditya Birla Group - India
- Aboitiz Power Corporation - Philippines
- Siam City Cement - Thailand
- Bhoruka Overseas - Indonesia
- Baramulti Group, Indonesia
- Directorate General of MIneral and Coal - Indonesia
- Central Java Power - Indonesia
- Tata Chemicals Ltd - India
- Jorong Barutama Greston.PT - Indonesia
- Bank of Tokyo Mitsubishi UFJ Ltd
- Holcim Trading Pte Ltd - Singapore
- AsiaOL BioFuels Corp., Philippines
- Bayan Resources Tbk. - Indonesia
- Port Waratah Coal Services - Australia
- Singapore Mercantile Exchange
- Parliament of New Zealand
- Ceylon Electricity Board - Sri Lanka
- Kepco SPC Power Corporation, Philippines
- Sinarmas Energy and Mining - Indonesia
- Iligan Light & Power Inc, Philippines
- Lanco Infratech Ltd - India
- Kumho Petrochemical, South Korea
- Altura Mining Limited, Indonesia
- MS Steel International - UAE
- London Commodity Brokers - England
- IEA Clean Coal Centre - UK
- Coal and Oil Company - UAE
- Sree Jayajothi Cements Limited - India
- Mercator Lines Limited - India
- Indonesian Coal Mining Association
- Vedanta Resources Plc - India
- Borneo Indobara - Indonesia
- Oldendorff Carriers - Singapore
- Georgia Ports Authority, United States
- Timah Investasi Mineral - Indoneisa
- Jindal Steel & Power Ltd - India
- Makarim & Taira - Indonesia
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- New Zealand Coal & Carbon
- Edison Trading Spa - Italy
- Rashtriya Ispat Nigam Limited - India
- Kohat Cement Company Ltd. - Pakistan
- Wilmar Investment Holdings
- Sical Logistics Limited - India
- Commonwealth Bank - Australia
- Deloitte Consulting - India
- Kaltim Prima Coal - Indonesia
- Karbindo Abesyapradhi - Indoneisa
- Semirara Mining Corp, Philippines
- Energy Link Ltd, New Zealand
- Vizag Seaport Private Limited - India
- Tamil Nadu electricity Board
- Ind-Barath Power Infra Limited - India
- Africa Commodities Group - South Africa
- Power Finance Corporation Ltd., India
- Mjunction Services Limited - India
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Rio Tinto Coal - Australia
- Larsen & Toubro Limited - India
- Dalmia Cement Bharat India
- Sindya Power Generating Company Private Ltd
- Intertek Mineral Services - Indonesia
- Miang Besar Coal Terminal - Indonesia
- Kideco Jaya Agung - Indonesia
- Pipit Mutiara Jaya. PT, Indonesia
- Bhushan Steel Limited - India
- Malabar Cements Ltd - India
- Meenaskhi Energy Private Limited - India
- Bahari Cakrawala Sebuku - Indonesia
- Central Electricity Authority - India
- White Energy Company Limited
- Bangladesh Power Developement Board
- CIMB Investment Bank - Malaysia
- CNBM International Corporation - China
- Australian Commodity Traders Exchange
- Star Paper Mills Limited - India
- Global Green Power PLC Corporation, Philippines
- Offshore Bulk Terminal Pte Ltd, Singapore
- McConnell Dowell - Australia
- Planning Commission, India
- Thai Mozambique Logistica
- European Bulk Services B.V. - Netherlands
- Simpson Spence & Young - Indonesia
- Jaiprakash Power Ventures ltd
- Bhatia International Limited - India
- International Coal Ventures Pvt Ltd - India
- Kapuas Tunggal Persada - Indonesia
- Bharathi Cement Corporation - India
- Thiess Contractors Indonesia
- Chettinad Cement Corporation Ltd - India
- Sakthi Sugars Limited - India
- Chamber of Mines of South Africa
- LBH Netherlands Bv - Netherlands
- Bukit Asam (Persero) Tbk - Indonesia
- Standard Chartered Bank - UAE
- Riau Bara Harum - Indonesia
- Cigading International Bulk Terminal - Indonesia
- Directorate Of Revenue Intelligence - India
- Orica Mining Services - Indonesia
- Electricity Authority, New Zealand
- Asmin Koalindo Tuhup - Indonesia
- Ambuja Cements Ltd - India
- Krishnapatnam Port Company Ltd. - India
- San Jose City I Power Corp, Philippines
- SMG Consultants - Indonesia
- SN Aboitiz Power Inc, Philippines
- Indika Energy - Indonesia
- Globalindo Alam Lestari - Indonesia
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- Ministry of Transport, Egypt
- Indogreen Group - Indonesia
- Mintek Dendrill Indonesia
- Marubeni Corporation - India
- Essar Steel Hazira Ltd - India
- Bulk Trading Sa - Switzerland
- Heidelberg Cement - Germany
- Goldman Sachs - Singapore
- Meralco Power Generation, Philippines
- Agrawal Coal Company - India
- PNOC Exploration Corporation - Philippines
- Electricity Generating Authority of Thailand
- Grasim Industreis Ltd - India
- Eastern Energy - Thailand
- Coalindo Energy - Indonesia
- OPG Power Generation Pvt Ltd - India
- GVK Power & Infra Limited - India
- Pendopo Energi Batubara - Indonesia
- PowerSource Philippines DevCo
- Leighton Contractors Pty Ltd - Australia
- Karaikal Port Pvt Ltd - India
- ASAPP Information Group - India
- Neyveli Lignite Corporation Ltd, - India
- Kartika Selabumi Mining - Indonesia
- India Bulls Power Limited - India
- Australian Coal Association
- Petrochimia International Co. Ltd.- Taiwan
- Manunggal Multi Energi - Indonesia
- Salva Resources Pvt Ltd - India
- VISA Power Limited - India
- Gujarat Mineral Development Corp Ltd - India
- Merrill Lynch Commodities Europe
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Binh Thuan Hamico - Vietnam
- Barasentosa Lestari - Indonesia
- PTC India Limited - India
- IHS Mccloskey Coal Group - USA
- Maheswari Brothers Coal Limited - India
- Minerals Council of Australia
- Cement Manufacturers Association - India
- Xindia Steels Limited - India
- Global Business Power Corporation, Philippines
|
| |
| |
|
