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Monday, December 18, 2017

Number of second-hand transactions increasing

 

 

2008 has so far seen exceptional market conditions - at least for larger tankers. Freight rates have been high, particularly for the larger sizes, and values remain high for all tankers. 

 

The very large orderbooks for aframax and smaller tankers, and high prices, do not seem to have dampened interest in the second-hand market. We have recorded 170 second-hand tanker transactions (including newbuilding resales) so far this year, which means that the activity has been higher than in the three previous years. 

 

Some 9% of the fleet was traded in the first part of this year, compared to 7% in 2007 and 12% in 2004 when it was at its maximum.

 

Dwt

Average year of build

Below 10,000 dwt

1991.8

10-60,000 dwt

1998.1

60-79,999 dwt

1990.7

80-119,999 dwt

1995.4

120-199,999 dwt

1993.1

VLCC

1992.8

Total

1995.6

 

The average year of build of tankers sold this year so far was 1995.6, or some 13.4 years old. 

 

The number of transactions has rarely been at such a high level, which may indicate the prevalence of asset play in the tanker market.

 

Contact: Erik Ranheim