The port of Fujairah is sticking to the United Arab Emirates' (UAE) commitment to the International Maritime Organisation (IMO)'s 2010 phase-out of single hull tankers.
Fujairah harbour master Tamer Masoud told Bloomberg on Thursday that the port's “policy is clear. No single-hull ships will be allowed in the port or anchorage from January 1 [2010]”.
Badreya Ahmed Al Dhahri, Director of the Marine Affairs Department at the National Transport Authority (NTA) for the UAE had already said last year that no single hull tankers would be allowed to trade in the federation of seven emirates after the 2010 deadline.
The UAE's commitment to the IMO's deadline had come even as several Asian and Middle East countries were expected to allow single hull tankers to continue trading beyond the 2010 phase-out.
Current conditions in the tanker markets however, are pointing to heightened scrapping of the global single hull fleet as one clear measure that can rescue owners and operators from rock-bottom earnings on the back of massive overcapacity and orderbooks.
According to one analyst, Fujairah's stand is “phenomenally good news for the tanker business” and he has a 'buy' recommendation on supertanker specialist Frontline.
A tanker broker was quoted saying that Fujairah's stand makes trading single-hulls a lot harder in the Persian Gulf given that there are not many viable alternatives for bunkering in the region.
“Any owner who was already considering scrapping will have a larger incentive to do so by this announcement,” he added.
Fujairah harbour master Tamer Masoud told Bloomberg on Thursday that the port's “policy is clear. No single-hull ships will be allowed in the port or anchorage from January 1 [2010]”.
Badreya Ahmed Al Dhahri, Director of the Marine Affairs Department at the National Transport Authority (NTA) for the UAE had already said last year that no single hull tankers would be allowed to trade in the federation of seven emirates after the 2010 deadline.
The UAE's commitment to the IMO's deadline had come even as several Asian and Middle East countries were expected to allow single hull tankers to continue trading beyond the 2010 phase-out.
Current conditions in the tanker markets however, are pointing to heightened scrapping of the global single hull fleet as one clear measure that can rescue owners and operators from rock-bottom earnings on the back of massive overcapacity and orderbooks.
According to one analyst, Fujairah's stand is “phenomenally good news for the tanker business” and he has a 'buy' recommendation on supertanker specialist Frontline.
A tanker broker was quoted saying that Fujairah's stand makes trading single-hulls a lot harder in the Persian Gulf given that there are not many viable alternatives for bunkering in the region.
“Any owner who was already considering scrapping will have a larger incentive to do so by this announcement,” he added.