Supertanker earnings hit 2-month high as US-Iran ceasefire expires

Earnings for supertankers hauling crude oil from the Persian Gulf to Asia jumped to nearly $510,000 a day on Monday, the highest since late June, as exporters scramble for vessels to move oil through the Strait of Hormuz amid deteriorating security conditions following the expiration of the US-Iran ceasefire.

Rates Surge as Exporters Chase Tonnage

The assessed earnings on the Middle East-to-China route reached nearly $510,000 a day on Monday, according to Baltic Exchange data, Bloomberg News reported. The spike marks a two-month high, last seen when Iran resumed striking ships transiting the strait in late June.moneycontrol+1

Separately, a very large crude carrier called Mongolia Prosperity, operated by South Korean shipowner Sinokor Group, was booked by the shipping arm of a Chinese refiner to load crude from a Persian Gulf port on August 21 for delivery to east Asia at $31 million for the voyage, or 570 Worldscale points. The charterer is expected to cover additional war-risk insurance premiums, currently at high single-digit percentages of the vessel's hull value.moneycontrol

The booking follows a pattern of elevated rates in the region. On August 7, the Baltic Exchange assessed TD3 route earnings at $498,000 a day, and in late June, rates had reached a then-record of nearly $470,000 a day. In June, Sinokor booked a supertanker at 897 Worldscale points — nearly nine times the benchmark rate — to move oil from the Gulf to India.reuters+2

Ceasefire Expiry Compounds Risk

The rate surge coincides with the expiration on Monday of a fragile 60-day ceasefire between the United States and Iran, with no known plans to extend the agreement. President Donald Trump ruled out an extension in the near term, saying Tehran would not accept the terms he considers necessary. On Tuesday, a cargo vessel was struck by a projectile while transiting the Strait of Hormuz, according to the U.K. Maritime Trade Operations agency.politico+1

The security environment means only risk-tolerant shipowners or those with experience navigating dangerous transits can still service Persian Gulf loadings, according to Bloomberg. Several supertankers were privately booked in recent days, with vessels disappearing from available tonnage lists without public confirmation of deals.moneycontrol

OPEC+ Output Adds Demand Pressure

The elevated shipping demand is being driven in part by OPEC+ production increases. Seven member countries began raising output by a combined 188,000 barrels per day in August, pushing more barrels into a market where vessel availability within the Gulf remains constrained. Saudi Arabia is offering prompt deliveries from within the Gulf, while Iraq is tapping Abu Dhabi National Oil Co. to help move barrels through Hormuz.linkedin+2

With limited publicly available fixture information on the route to China, assessing the primary benchmark for supertanker earnings is becoming increasingly complicated, Bloomberg reported.moneycontrol