Demand, offers from shipowners and futures markets for medium range (MR) tankers loading refined product shipments on the US Gulf coast are surging today after the outset of the US and Israeli attacks on Iran over the weekend.
The US Joint Maritime Information Center raised the threat level for strait of Hormuz transits to "critical"today after Iranian missile attacks on commercial vessels. MR tanker operators around the US Gulf coast, a major alternative to stalled Mideast Gulf loadings, have taken note and are demanding significant premiums for loadings in the Atlantic.
Commodity trader ATMI sought an MR tanker for a US Gulf coast-Caribbean voyage from 6-8 March, likely to carry diesel into the region. The shipbroker on the deal told Argus that shipowners Norden and Torm offered to carry the shipment at $2.2mn lumpsum, including $105,000/day in demurrage. The rate on that route closed the prior trading week at $1.2mn, while demurrage was at $57,500/d.
Meanwhile, futures markets for the US Gulf coast-Europe voyage opened at Worldscale 320 on Monday, and will "probably stay around the WS350 level if not continue", according to a market participant. The rate on that route closed on 27 February at WS280.
Spot market demand was otherwise high on what would typically be a slow Monday. Oil majors Valero and Chevron sought MR tankers for Peru and Europe-bound voyages, respectively, while commodity trader Trafigura sought an MR tanker for a Caribbean-bound voyage. Ecuador, Brazil and Argentina were included as discharge options on some of the deals.
