By Keith Wallis

SINGAPORE, Oct 21 (Reuters)– Freight prices for huge unrefined service providers (VLCCs) might dip yet are most likely to stay strong following week on resilient freight quantities, ship brokers claimed on Friday.

That followed VLCC prices from the Middle East to Japan struck a fresh four-month high up on Wednesday, increasing to virtually 67.75 on the Worldscale action, equal to $47,479 daily, the highest possible considering that June 8.

“Rates will come off a bit, but it’s difficult to say how much. I don’t think we’ll see the market drop dramatically,” a European supertanker broker claimed on Friday.

The broker approximated there were around 135 Middle East VLCC cargoes dealt with for filling in October although various other market viewers tape-recorded around 140 components.

Supertanker prices were additionally buoyed by a half rise in the variety of components from West Africa after merchants increase manufacturing.

“We’re in winter so we expect high volumes of cargo anyway but it’s not likely to be so extreme as last month,” the broker included.

Owners raised vessel rates on the vacant return trip to make the most of greater products prices which contributed to the variety of VLCCs offered for charter, the broker claimed.

Around 30 Middle East freights have actually been dealt with for November filling, claimed Captain Ashok Sharma, taking care of supervisor of ship broker BRS-Baxi Far East in Singapore.

Up to 10 freights stayed to be dealt with for filling in the initial 10 days of November with 45-50 freights anticipate approximatelyNov 20 compared to around 60 VLCCs offered for charter, he claimed.

There have actually been less freights out of Basra for filling in the initial 10 days– the marketplace is expecting that shortage will certainly be composed later on in November, Sharma claimed.

“Winter demand, fuel oil flows into East Asia and possibly (the) Chinese continuing to stockpile crude in their strategic petroleum reserve, would be factors owners hope will work in their favour to keep market sentiment and demand buoyant,” he included.

But feasible aesthetics on unrefined exports from Nigeria as well as Angola in the following 3 months might have a dampening impact on supertanker prices, Sharma claimed.

That followed Nigerian exports of Bonny Light petroleum might be up to 156,000 barrels daily (bpd) in December, below 175,000 bpd at first intended in November, according to very early loading programs dispersed to investors.

VLCC prices from the Middle East to Japan reached W67 on Thursday from around W65.75 recently.

Rates for VLCCs from West Africa to China stayed level at around W67.50 on Thursday, from W67.25 the very same day recently, the highest possible considering that May.

Charter prices for an 80,000-dwt Aframax vessel from Southeast Asia to East Coast Australia rose to virtually W98 on Thursday from W73.75 last Thursday, the highest possible considering that April 28, on solid freight quantities. (Reporting by Keith Wallis; Editing by Biju Dwarakanath)

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