VLCCs Evade Red Sea Disruptions with Saudi Oil Cargoes
Two Chinese-flagged very large crude carriers (VLCCs) successfully transited the Bab el-Mandeb Strait on Thursday, carrying a combined 4 million barrels of Saudi Arabian crude oil, according to vessel tracking data.
The New Journey and New Vitality, each with a deadweight tonnage exceeding 300,000, departed from Saudi export terminals earlier this week. Their passage through the Red Sea comes amid heightened security concerns following reported Houthi-led restrictions on Saudi oil shipments in the region.
Operational Context
- Both vessels maintained standard transit speeds (12-14 knots) through the strait, indicating no immediate operational delays.
- No accompanying naval escorts were observed during the transit, per AIS data.
- The cargoes were loaded at Yanbu and Ras Tanura terminals, consistent with Saudi Arabia’s typical export patterns.
Market Implications
The successful transit may signal selective enforcement of regional restrictions, with potential implications for:
- VLCC freight rates in the Middle East-to-Asia route
- Saudi crude pricing mechanisms for Asian buyers
- Insurance premiums for Red Sea transits
Industry analysts note that Chinese-operated vessels have maintained higher transit volumes through the Red Sea compared to Western-flagged tonnage since late 2023. The latest movement reinforces China’s strategic positioning in Middle Eastern energy logistics.