Suezmax rates on the WAF-UK Continent route were assessed at w55, equating to $10.87/mt, the lowest since October 22`s $10.42/mt assessment, with shipping sources attributing the decline to an abundance of owners` offers for each cargo. WAF-Mediterranean rates were also assessed at w55, the equivalent of $11.41/mt, the lowest since $10.92/mt on October 22.
The Majestic was reported on subjects to BP at w57.5 for a WAF-UKCM voyage loading February 24. The shipowner Nereus Shipping declined to comment on the fixture. Shipping sources said BP had received as many as 12 offers from ship owners to transport the cargo.
"BP got 12 offers for that cargo," said a shipbroker, "when you have that many people competing for each cargo rates are bound to go down."
A vessel was also reported on subjects for a WAF-Med voyage at w50 but sources said that the rate was slightly discounted as the ship was heading into dry dock.
Shipbrokers said that rates could remain low due to the tonnage situation in West Africa. "Owners haven`t got much to peddle back against at the moment, there`s still a lot of available tonnage in West Africa."