The crude oil tanker market is facing an aging fleet of vessels which require to be changed, posing an obstacle as shipyards are focused on building other kinds of ships, a top executive with product trader Trafigura said on Tuesday.

The unrefined tanker market, including VLCC supertankers, has remained strong in current months partially due to longer trips made by some vessels cruising by means of southern Africa amidst Red Sea attacks by the Houthis, which has actually tightened up schedule.

In addition, as much as 850 tankers are approximated to have left traditional trading to transfer approved oil including from Russia, Iran and Venezuela as part of the so-called shadow fleet.

The marketplace is coming to grips with an aging (tanker) fleet that will require to be changed, Andrea Olivi, head of damp freight for Trafigura, told Reuters.

The huge shipyards are currently focused on structure big container and LNG (liquefied natural gas) ships instead of VLCC vessels, he stated on the sidelines of the Posidonia shipping week in Athens.

A market source stated Trafigura had actually placed an order for 5 VLCC newbuild tankers from China's New Hantong Shipyard - their first newbuild orders for VLCCs.

The first two brand-new tankers are arranged for delivery in 2026 and the remaining vessels in 2027, which will all be dual-fuel ammonia prepared, the source included.

It normally takes 3 years typically for vessels to be delivered from lawns with the focus in recent years being on developing container ships and LNG tankers due to sector booms.

Lars Barstad, president of leading tanker operator Frontline, told a profits call last week the marketplace required to order some 1,100 crude tankers in the coming years, including 400 VLCCs.

Our confidence in this section of the marketplace is growing, driven by the requirement to replace an aging fleet with new vessels, Trafigura's Olivi said, describing crude tankers.

Trafigura is accountable for more than 5,000 trips a year and has approximately 400 vessels in their fleet at any provided time, which includes tankers and dry freight, Olivi added.