Asia-Pacific LR1 freight hits over 6-month high on strong China exports: sources
The Asia-Pacific Long Range 1, or LR1, tanker rates have hit their highest in over six months as many ships have been taken up for loading oil products out of China, delaying their return to the Persian Gulf, market participants said Dec. 10.
However, the increase in bunker prices implies that a large part of the gains in freight have not translated to a proportionate increase in earnings for owners.
Among the fixtures heard, ExxonMobil has placed an LR1 on subjects around w125 for naphtha loading early next week on the Persian Gulf-Singapore route, which typically translates to around w110 for a benchmark Persian Gulf-Japan voyage, a level last seen at the beginning of June, Platts data showed.