Total Books VLCC To Move N Sea Crude Oil To Far East –Brokers

News was prepared under the information support of Online Daily Newspaper on Hellenic and international Shipping "Hellenic Shipping News".

27 Feb 2009

French oil giant Total SA (TOT) has booked a very large crude carrier to move North Sea crude oil from Hound Point in the U.K. to the Far East, shipping brokers said Friday. Total this week fixed a deal to charter the double-hulled VLCC Almizan Star with a capacity of 270,000 deadweight metric tons for March 29 loading from Hound Point to either Singapore or South Korea, brokers said. The freight rate to Singapore is pegged at $3.5 million, and to South Korea at $4.5 million, they said.
The grade of the crude oil loaded on the supertanker isn't clear. Asian refineries typically buy sweet crude oil from West Africa, instead of more expensive North Sea crude. But a sharp rise in West African crude due to Organization Of Petroleum Exporting Countries' output cuts has prompted some buyers to look for cheaper or more readily available alternatives.

Source: Dow Jones