The supply of crude oil tankers is expected to grow by 6 percent this year and daily rates are seen staying low due to oversupply and slack demand, shipping industry association BIMCO said on Wednesday, Reuters reports. Copenhagen-based BIMCO, which says its members control two-thirds of the world's total shipping tonnage, forecast daily oil tanker rates will settle around $10,000 to $20,000 this year.
That forecast, which is an average of rates for very large crude carriers (VLCCs), Aframax and Suezmax tankers, compares with an average daily 2011 rate for VLCCs of about $17,000 which was a record low annual average.
VLCC rates are down from historical peaks above $200,000 per day in an exceptional spike in 2007 and down from an average of around $32,000 per day in 2009 which was a disastrous year for shipping as global economic growth hit the skids.
BIMCO said it saw daily rates for long-range and medium-range product tankers staying this year in a range of $5,000 to $10,000, with more upside potential than downside.
The world's crude oil tanker fleet grew by 6.2 percent in 2011 as 33 deadweight tonnes (DWT) of new vessels was launched, up significantly from 2010, BIMCO said in a new market overview.
The association said it expected the supply of product tankers, which are used to transport refined oil products, to grow in 2012 by a little more than 3 percent.
Nine new VLCCs have been launched this year, while only a few new product tankers have entered the market, BIMCO said.
The oil tanker market has been rattled by threats from Iran to close the Strait of Hormuz, the world's most important crude export route, if western sanctions aimed at halting its nuclear programme prevent it from selling oil.
BIMCO said it considered it very unlikely that Iran would close the Strait, but it would have a big impact on tanker shipping if it did, and some tanker owners were looking elsewhere for their next cargoes, which could help bring balance to supply and demand on the key routes out of the Gulf region.
BIMCO said it estimated the potential for scrapping to amount to 5.9 percent of the existing double-hulled VLCC fleet.
That forecast, which is an average of rates for very large crude carriers (VLCCs), Aframax and Suezmax tankers, compares with an average daily 2011 rate for VLCCs of about $17,000 which was a record low annual average.
VLCC rates are down from historical peaks above $200,000 per day in an exceptional spike in 2007 and down from an average of around $32,000 per day in 2009 which was a disastrous year for shipping as global economic growth hit the skids.
BIMCO said it saw daily rates for long-range and medium-range product tankers staying this year in a range of $5,000 to $10,000, with more upside potential than downside.
The world's crude oil tanker fleet grew by 6.2 percent in 2011 as 33 deadweight tonnes (DWT) of new vessels was launched, up significantly from 2010, BIMCO said in a new market overview.
The association said it expected the supply of product tankers, which are used to transport refined oil products, to grow in 2012 by a little more than 3 percent.
Nine new VLCCs have been launched this year, while only a few new product tankers have entered the market, BIMCO said.
The oil tanker market has been rattled by threats from Iran to close the Strait of Hormuz, the world's most important crude export route, if western sanctions aimed at halting its nuclear programme prevent it from selling oil.
BIMCO said it considered it very unlikely that Iran would close the Strait, but it would have a big impact on tanker shipping if it did, and some tanker owners were looking elsewhere for their next cargoes, which could help bring balance to supply and demand on the key routes out of the Gulf region.
BIMCO said it estimated the potential for scrapping to amount to 5.9 percent of the existing double-hulled VLCC fleet.