Tanker Pacific’s 1993-built, 40,990 ldt very large crude carrier Sunlight Jewel was reported sold for demolition in Pakistan at the rate of $505 per ldt, or $20.7m.
Pakistan has remained largely on the sidelines of the demolition sector in recent weeks but, as this deal highlighted, breakers there retain a strong appetite for large vessels.
Nevertheless, the overriding trend in the market at the moment is an abundance of tonnage. US cash buyer GMS estimated that as many as 60 vessels are being touted for scrap, raising questions not just about price but also yard capacity.
“The over-abundance of availability of units continues to become glaringly obvious as the number of units at all local anchorages increases with each passing week,” GMS said. “In the [Indian] subcontinent, there are nearly 50 vessels at anchorage or beached, with a cumulative lightweight in excess of half a million [tonnes].”
Prices for tankers in the Indian subcontinent hovered around $500 per ldt; dry vessels were fetching around $30 less per ldt.
In China, both wet and dry vessels were selling in the low-to-mid $400s per ldt. London-based Clarkson Research Services said there were signs that owners were now more willing to sell at lower prices.