Oil tanker owners are giving up.
A 19-month curtailment of OPEC cargoes, and environmental regulations that are proving uneconomical to comply with, have got owners purging the supertanker fleet at the fastest pace since the 1980s, according to Global Marketing Systems Inc., one of the world’s top buyers of obsolete ships for scrap.
While the demolition surge — sending vessels to be ripped apart on the beaches of India and Bangladesh — reflects the worst charter rates for owners in decades, scrapping often helps set the stage for market recoveries. Morgan Stanley estimates that the global fleet of so-called very large crude carriers could lack 100 million barrels of transportation capacity by late 2020. Read more
Latest posts by ET Energy World (see all)
- Haryana govt may seek an extension of the deadline for Rapid Metro takeover by DMRC - October 22, 2019
- India’s Trilemma: Balancing energy security, access & sustainability - October 22, 2019
- Akhauri Rajesh Sinha takes over as chairman of Jindal Power Ltd - October 22, 2019