On 10 August CEO Paddy Rodgers was invited to discuss the current tanker market on Bloomberg television.

Paddy Rodgers explained that the lower price of oil is not a bad thing for Euronav’s business as it should stimulate demand, as long as it stays under USD 80 per barrel and doesn’t go too low. Although the market is a bit oversupplied the demand for oil is good. Also, the seasonality effect of the summer means that Euronav is going through a difficult path. Scrapping is indeed necessary but the fleet is relatively young due to the change to double hull vessels a couple of years ago. The average age of a ship when sent to scrapping is between 18 and 22 years: 18 when the market is low, 22 when the market is very good. About 100 VLCCs or 6% of the global world fleet is coming in that zone for potential scrapping between now and 2020. 

Please follow this link to watch the complete interview.