By Brannvoll ApS, Denmark

The USG Supramax/Ultramax freight market was holding largely throughout the month. The rates fell mid-month as tonnage count in the region was rising very fast while there were only a few cargoes entering the market.

However, the rates stabilised quickly as more petcoke cargoes appeared for spot dates on transatlantic and front-haul routes.

Freight rates for transportation of a Supramax-lot of petcoke from Houston to ARA ports with spot laycans are at US$23/t on average, slipping US$2 MoM. Deals for delivery of 50,000t of petcoke from Houston to Iskenderun with spot laycans are discussed at US$27/t on average, falling US$3 MoM. Shipping costs for delivery of a Supramax-lot of petcoke from USG to EC India are at US$48/t on average, down US$4 MoM.

Supramax freight rates for petcoke from Houston, USA, March 2019-September 2023

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Supramax/Ultramax owners are likely to push rates up in the North Atlantic as the September cargo offer is growing steadily.

Market participants report that they are seeing a lot more encouragement, with deals being discussed at evaluated levels for September and October delivery dates.