Lloyd’s List: How will the Return of the Iranian fleet Affect the Global Tanker Trades?

“However, US-based Poten & Partners said in a market note that the impact of the deal on the shipping markets ‘may be more muted than it would initially seem.’ Poten noted that Iran’s crude oil production would take some time to return to pre-sanctions levels, not least because restarting flows will require additional investment….A review of satellite positions shows that 16 Iran-owned VLCCs are being used for storage and would add 2.5%-3% to the global fleet if they returned to active trading, according to Poten. ‘The vessels will have to be brought out of near lay-up conditions, which will take additional time and money. As such, it is unlikely that these 16 vessels will enter the market at one time,’ said Poten.”