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Some noteworthy developments this week (ending 7/10/20)
1. BDI dips this week
The Baltic Dry Index (BDI) took a dip this week, the first time in seven weeks

https://www.hellenicshippingnews.com/baltic-index-snaps-stre...

2. Valaris scrapped what??
Valaris is an offshore drilling company. The company is in bankruptcy court fighting for survival. Back in the April/May 2020 time-frame, the company indicating it was going to take impairment charges on some assets, and likely scrap those drilling assets. At the time, though the company had identified the assets, I obviously had not been paying close attention.
There were 6 or 7 "floater" assets, including 3 drillships (see how this connects now).
Page 7 Line items 2 - 4 (Valaris DS-6, Valaris DS-5, Valaris DS-3, delivered in 2012, 2011 & 2010 respectively)
https://www.hellenicshippingnews.com/wp-content/uploads/2020...

What's the big deal?
Well, those drillships likely cost between $450M - $550M each (at that time), and 8 - 10 years later are being recycled for a tiny fraction of their price, maybe 1.5% !!!

3. Will he be walking?
The "he" in this case is Robert Macleod, CEO of tanker company Frontline (FRO).

To make a long story short, back in Feb 2020, China cancelled Chinese New Year celebrations, and the tanker market had a brief spell with VLCC rates below-$20K/day. But, then rates recovered. Macleod was a little annoyed with a particular journalist's negativity. So Macleod made a bet, and said he did not think rates would see the $20K/day level again in Q2 2020, or even Q3 2020. If Macleod lost the wager, he would walk 300 km (IIRC, it was Oslo-to-Stavanger,in Norway).

Well, tanker rates have been falling pretty quickly, and Q3 is upon us. TD-3 Rates (the typical VLCC benchmark route) were in the low-$20K/daily last week, but I don't know if rates hit the low mark. VLCC rates have recovered this week, but then again, Q3 2020 (usually, the slowest quarter in the tanker sector) just started.
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