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Demand rises, rates to go up

Demand rises, rates to go up
The cost of hiring supertankers to ship 2 million-barrel cargoes of crude oil may advance after demand rose this week.

The cost of hiring supertankers to ship 2 million-barrel cargoes of crude oil may advance after demand rose this week.

The cost of hiring supertankers to ship 2 million-barrel cargoes of crude oil may advance after demand rose this week, said Halvor Ellefsen, a shipbroker at SeaLeague AS in Oslo. Charter rates on the industry benchmark Saudi Arabia to Japan route have climbed 11 percent to 47.94 Worldscale points this week, extending a 13 percent gain last week, according to the London-based Baltic Exchange. Owners" returns from the voyage have climbed to $24,992 a day, the highest since July 7. Ellefsen commented by e-mail Friday:

?It"s very quiet thus far today in the spot market. I still see upside out there.?

Demand has slowed because ?it"s always a bit quiet on a Friday, though I doubt that putting the lid on will stop the boiling. Especially in the Atlantic, the feeling is that it will take off a bit.?

Vessel supply has become more constrained this week after demand increased, he said.

www.TurkishMaritime.com.tr

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