23rd November 2020
It has been a busier week West of Suez, both for LPG and petchems, and more of the prompt vessels has been fixed into mid/end next week. Yet there are still prompt vessels available which keeps rates from increasing. Competition between owners has eased down slightly but as product pricing is under pressure traders do not have much margin to conclude certain deals. Poland continue in demand for propane and larger ships have been fixed into Morocco with butane. Prior weekend there are around 3-4 prompt coasters in North West Europe and more will become available middle of next week. Larger coasters continue being busy supplying butane to Morocco. The Med is also tight on prompt dates. However, from early next week we should see some vessels coming open.
In the East pressurized market this week, there is an improved level of activities in the spot market. LPG activities continue to be active in Southeast Asia and Hengyi has kept up the exports from Brunei to Philippines and Bangladesh. A few spot fixtures were also concluded for traders’ December export program from South China and Malaysia. Far East Propylene activities slowed down this week owing to continued plant disruptions in South Korea. Part of the South Korean exports were also sold to domestic market as LG Chem remains in the market for December cargoes. This includes three propylene tender cargoes from SK in December. In Southeast Asia, spot propylene continues to be active as Petron and PTT total sold about 4 cargoes for December. Shortage of cargo in South Korea has led to shortage of propylene in the region, opening arbitrage for north bound propylene. It is expected that all Southeast Asia cargoes will find their homes in China.
Time Charter Fixtures
Vessel Built CBM Charterer Period Delivery Laycan Hire
Syn Antares 2014 9000 Essentia 12 months Houston DEC 2020 HNR
PGC Aratos 2003 9007 Essentia 24 months Houston DEC 2020 HNR
Sale and Purchase/New Buildings
An old order has come to light following an announcement by “Wuhan Jinding Ship Engineering Design Co.” that a fully pressurized 6,300 cbm – that they designed – has been successfully launched at Taizhou Wuzhou Shipbuilding. The launch name of SU RUI 199 suggests that the Buyer is Dalian Su Rui, who, according to our records, own three pressurized vessels in the size range 3,500 – 5,000 cbm.
No news to report
Three small LPG vessels have been sold for recycling this week in the East, namely (in ascending
- Fully pressurized 1,207 cbm PP4 (built 1987 at Shin Kurshima, Thai flag, 860 ldt) has been sold into Bangladesh.
- Fully pressurized 1,725 cbm YOUNGSAN GAS (built 1990 at Shin Yamamoto, Korean flag) has been sold locally into South Korea.
- Ethylene capable 3,000 cbm SHOYO MARU (built 1992 at Cant. de Poli, Japanese flag) has been sold basis “as is” Japan. She has been renamed OYO under Comoros flag and is en route from Japan to Bhavnagar for eventual recycling in Alang.
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