Suezmax and aframax owners advised to cut speed as earnings tank

Analysts are advising owners of suezmax and aframaxes to drastically reduce vessel speed to counteract dire rates.

Clarksons Platou Securities said earnings for both tanker types are now below $4,000 per day.

This does not make sense over the long-term as operating costs are at least $7,000 per day, the Norwegian bank said.

Analysts Frode Morkedal and Omar Nokta assess current speeds as unchanged at 12 knots for suezmaxes and 11.5