The future of VLGC lies in whether the shipowner can build a ship

A newly released report pointed out that a very large gas carrier (VLGC) should be able to achieve better returns in the next two years, but then whether it can continue to succeed depends on whether the shipowner can be restrained in shipbuilding.
Researchers at DVB Bank believe that the increase in freight traffic from the Middle East to Asia will boost the market.
Interest in ordering VLGCs has grown in recent months. They predict that the revenue of such ships in 2013 should reach $960,000 per month.
In a recent report on LPG trade, the bank said that this figure should reach $99,100/month in 2015, but it will then stabilize or even decline.
The report pointed out that "as the fleet utilization and revenue rise, people will order more ships."
“The subsequent tariffs achieved in 2013-2015 will depend on how many new ships are being ordered in 2014 and 2015,” it added.
Although the bank took into account a certain number of additional orders in its estimates, it warned that it would be impossible to rely on the dismantling of the waiver if there was a surplus.
It explained that only 4% of the ships in this section are currently over 25 years old, and the average age of the ship is 28.
According to the statistics of the bank, there are 25 new VLGC ships that have been placed and will be delivered by 2015, and an additional 17 ships are expected to be added this year and next.

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