Frontline Prints a Seven Ship VLCC Term Benchmark Near 77000 a Day
Frontline has fixed seven VLCCs on one year time charters at $76,900 per day per vessel, with start dates spread from late January through April 2026. The deal set is being treated as a term-market marker because it locks in elevated earnings levels for multiple ships while leaving the rest of the fleet largely exposed to spot swings.
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Seven VLCC term fixtures in one read
Frontline confirmed one-year time charter-out agreements for seven VLCCs at $76,900 per day per vessel. Commencements are scheduled across late January through April 2026, meaning ships transition onto contracted hire over a spread rather than all at once.
- Seven VLCCs fixed on one-year time charters.
- Daily hire stated at $76,900 per vessel.
- Start dates spread from late January to April 2026.
- The set prints a visible term benchmark for 2026 discussions.
| Signal | Confirmed terms | Immediate execution effects | Market read-through |
|---|---|---|---|
| Seven ship block fixed | One year time charters were agreed for seven VLCCs at $76,900 per day per vessel. | A large chunk of capacity is removed from spot availability once the charters take effect. | Term appetite at these levels becomes a reference point for other owners and charterers. |
| Staggered start window | Commencements are scheduled from late January through April 2026. | Spot exposure reduces gradually rather than all at once, smoothing earnings visibility across Q1 and early Q2. | Suggests charterers wanted coverage across multiple delivery points, not a single prompt lift. |
| Term premium highlighted | The fixed level is being described by management as a rate range not seen for decades. | Locks in cash flow and lowers near term downside if spot pulls back from peaks. | Reinforces the idea that charterers are willing to pay up for reliability and coverage. |
| Fleet exposure remains meaningful | After these fixtures, the company still describes itself as largely spot exposed. | Upside remains if spot stays firm, while the fixed ships anchor baseline earnings. | Creates a mixed signal: confidence to lock term, plus willingness to keep leverage to spot volatility. |
| Charterer signal | Market reporting points to a large industrial charterer taking the block for one year coverage. | Charterers that need crude lift certainty may prioritize term coverage over waiting for daily swings. | When large counterparties book term at scale, it can influence broader rate expectations. |
| What to watch next | Follow-on term deals by peers, and whether additional multi-ship blocks print at similar levels. | A second wave of comparable fixtures would confirm the term market is re-pricing, not just a one-off. | If term stays elevated, owners gain confidence to hold out on spot fixtures and push levels higher. |
Seven VLCCs fixed at $76,900 per day anchor a 2026 term reference point
The fixture set is a one-year block covering seven VLCCs at a single stated daily rate, with start dates spread across late January through April 2026. The practical change is more visibility on earnings for those ships once they roll onto hire.
Deal shape
One-year time charter-out agreements across seven VLCCs at one daily level.
Timing
Commencements are distributed from late January to April 2026, not one prompt delivery.
First-order impact
Shifts those ships from spot variability to contracted hire once each charter starts.
Signal map for owners and charterers
This is why the fixture block is being watched as a term-market marker.
- Seven VLCCs move onto known daily revenue as each charter commences.
- A single printed level becomes a reference point for other one-year discussions.
- Staggered starts make the effect visible across late Q1 and early Q2 2026.
- Term pricing at this level can influence expectations even when spot softens week to week.
Quick pressure gauge for the next cycle of tanker conversations.
A seven-ship, one-year block at $76,900 per day sets a visible benchmark for 2026 term discussions and increases earnings visibility for those VLCCs once they transition onto hire.
Interactive contract math
Enter your assumptions to translate daily hire into gross revenue and a simple net-after-opex view. Results are directional and do not include commissions, offhire, or financing.
Seven-Ship Term Hire Estimator
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