U.S. gasoline stocks fell more than 6 million barrels compared to any time in the past five years.
This year, America's oil refineries to cut capacity due to the general slowdown of the market demand, and that does not reduce the gas production of the country's oil refineries but also reduce large volume of gasoline in the United States. Although the general requirements of gasoline has decreased but did not make much impact on oil shipping market Atlantic region. Amount of gasoline imported into the U.S. on par with demand after Hurricane Katrina, Rita and Wilma 3 years ago. According to the report of Gibsons (A corporation is headquartered energy in Canada), except for the second half of April, the volume of gas import desirably in the United States ensures for MR vessels operating in the Atlantic region are signed with the W300 freight, even though current U.S. gasoline import demand began to decline slightly.
However, the rates are reaching a peak in late October 2005 and will probably continue to increase due to the output of the domestic refineries in the U.S. is only 67% of capacity and status This will not change in the near future.
In the east of the Suez Canal, the oil products market continues to grow strongly. In the second half of October, the vessel transporting large shipments 65KT range can be achieved relatively high rates, about W340. At the end of last September, the charges for the trip from the Middle East to the European region has increased from 5 million to 5.2 million and expected to rise further in the near future.
With the smaller batch size LR1 a bit, freight remains at W355. Due to rising demand for North West Europe, the MR vessels carrying goods from ports of the Middle East oil refinery has also been signed with a charge pretty well, about $ 3 million each.
Meanwhile in the Far East market is not very active when only a few trips up for MR vessels from Singapore to Japan. With the increase of transportation demand intermediate distillate and fly materials from the Far East to Europe, the Mediterranean, and the west coast of the USA (USWC) makes the shortage of ships or more pronounced. Example, ships Petrol Venus, closed in 2003, for the transport of goods from Korea to the U.S. west coast (USWC) charges of $ 2.5 million. Thus, the identity of the ship in the eastern region is expected to remain high.
For groups of ships crude oil, the VLCC vessels carried mutations on the rates in the positive direction. The dramatic increase in demand for crude oil transportation in the fourth quarter pushed freight rates for shipments to Europe up to W110 and W155 for shipment to the east.
For oil tankers a shell of the eastern region, freight rose to W127.5, the point where the owner can be satisfied. Yet this week China is on vacation should offset gains may be reduced slightly. But when looking at the overall picture of supply and demand, the broker hopes that ship owners will still get better rates.
In West Africa, freight of VLCC vessels less volatile than by chartering tend to put the Suezmax size shipment. As a result of charges Suezmax vessels have reached W185 before falling a few points.
With the trip even more special, as ship owners to pay higher freight rates. Specifically, the ship Equator (Ice Class 1A), built in 2006, has signed with BP for the journey from West Africa to the U.S. East Coast with the W195 freight.
In the Mediterranean region, the Suezmax vessels maintained W185 freight for the shipment size 135 000 T in the Black Sea. However, after the gas leak at the BTC pipeline (BTC pipelines) in late September, a number of refinery production was halted for about two weeks. This will certainly reduce the pressure on rates for ships million barrels from Novorossiysk and other ports in the Black Sea region.