U.S. Gulf to Far East seems one of the more promising routes. There are bits and pieces of prompt space remaining on scheduled ships, but none of them can provide more than 2,000-3,000 tons of space each. Recent fixtures would suggest that levels are in the mid-high $70s/t for anything from 5,000-15,000 tons of easy chemicals from Houston to China.

All the same, we are aware of deals that have been done for 5,000 ton parcels in the very high $60s/t on vessels that are on berth at around the same time, which also suggests a lack of logic. However, the amount of demand still to be covered would suggest scheduled July carriers will likely fix quickly, and then the market will be at the mercy of the outsiders and however much they think they can get away with.

Several cargoes of base oils are listed among the petrochemicals, with cargoes noted to Korea and Singapore. Freights for 3,000 ton parcels of base oils from Houston to mainport China will likely be around $120/t, if heating is needed.

U.S. Gulf to India-Middle East Gulf is another route that seems to have a bit of strength right now. Again, there are some ships already on berth that require a small top-up in order to fill, but there has been sufficient room to allow additional ships on berth for cargoes of vegetable oil, aniline and acrylonitrile.

Transatlantic eastbound is all about styrene presently. Not all the requirements will get fixed and so rates remain roughly unchanged. U.S. Gulf to the east coast of South America is another active route, with steady streams of styrene, paraxylene, base oils and clean petroleum. Part-cargo space availability remains tight until mid-July, but since the northbound market out of Brazil has picked up with improved volumes of ethanol, there is a possibility that more owners will be keen to go on berth. No-heat base oils from Houston to Santos in the amount of 5,000 tons would cost around $75/t presently.

Europe
Coastal business is reasonably solid within Europe. In the North Sea and Baltic, there is no more than the usual number of ships that are running close to becoming open in prompt positions, thanks to a good level of core contractual business.

Southbound into the Mediterranean is mostly steady and the same kinds of freight apply to todays fixtures as to those being done last month, give or take the odd dollar.

Northbound is nothing spectacular. Scheduled ships are mostly full, but there is not a great deal happening to induce pure Mediterranean ships to take the plunge and go to the continent.

Apart from in-house or term business, there is not much happening on base oils into or out of the Mediterranean.

Intra-Mediterranean business is different, however. There is clearly a shortage of vessels open in the West Mediterranean while at the same time there is good demand, and therefore freight levels can be quite firm. Finding ships with the correct approvals to do base oils can be an arduous task. Even in the East Mediterranean, it is not that simple, as there is a fair amount of demand for small clean petroleum cargoes.