VLCC spot charter breaks $300,000 level on market disruption

The ride in the crude oil markets continues and charter rates continue to rise unimpeded as geopolitical tensions fail to subside

Euronav and Frontline are among those raking in huge charter contracts as sanctions and security issues hit market

SPOT charter contacts for very large crude carriers broke $300,000 as the industry digested the fallout from the US focusing its spotlight on sanctions on oil and from the latest security incident in the Middle East.

The Baltic Exchange Dirty Tanker Index, which works as an aggregate of global shipbroking assessments, reported that by Friday afternoon, rates for West Africa to China VLCC routes had almost doubled within a day to reach $278,057.

Middle East Gulf to Singapore and China routes had reached $305,998 and $300,391 respectively, marking an almost 100\% day-on-day increase.

VLCC rates have been rising sharply since the US imposed sanctions on units of Cosco Shipping.