The Workhorse Powering The Oil Trades

July 19th 2024:Tanker owners are bullish on Medium Range product carriers The Medium Range (MR) product tanker typically has around 50,000 dwt capacity and is considered one the most versatile tanker types, capable of moving a wide range of refined products to many of the world’s ports. MRs (in our definition, product tankers between 42,000 and 60,000 dwt) are big enough to provide economies of scale, while remaining versatile enough so that they can access most petroleum terminals in the world. That is the reason that MR product tankers are widely considered to be the “workhorses” of the product tanker industry. In recent weeks and months, there has been significant activity in the secondhand market for MRs with several en-bloc deals hitting the headlines. As a result, secondhand prices have continued to increase (up 20-25% from a year ago), while newbuilding prices seems to have stabilized somewhat. What explains this strong interest in MRs and does this market still have room to run? We will try to address these questions in today’s Tanker Opinion. Please fill below form to continue read.