GMS flips two out of class VLCCs

Older crude vessels are the primary target for buyers of secondhand tanker tonnage. Preliminary information from brokers BRS suggests that September was a record month for tanker sales and purchase transactions with 61 units changing hands for further trading. This consisted of a significant volume of vintage tonnage, including seven VLCCs, five suezmaxes and eight aframaxes, all of which would make good candidates to eventually haul Russian crude.

“The thought of sanctioned cargoes has kept even the older ladies off the beach with vessels even out of class finding new homes at well above scrap,” a recent report from brokers Hartland pointed out.

This search for elderly tankers has left Dubai-based cash buyer Global Marketing Systems (GMS) in a position to toy with its investments. GMS has actively used its wide connections among brokers, finding trading buyers willing to keep two rusty giants for further trading.

Sources tell Splash that the world’s largest cash buyer of ships for recycling has sold two out of class veterans, the 310,000 dwt Viki, built in 2000, a tanker that has changed ownership and names three times in less than two years. GMS is also noted selling the 300,000 dwt Rowan. The 2001-built Rowan is noted sold for around $30m. This out of class ship was added as Latin Venture in January.

Brokers also report a third vintage VLCC recycling candidate has been re-sold for further trading, the 24-year-old workhorse 290,000 dwt VLCC Pride. This ship has recently shifted class to Union Marine Classification Services, a new class society out of Dubai, a city that has become home to many Russian-linked ships in the seven-and-a-half months since the war with Ukraine began.