DHT Holdings announced a one‑year time‑charter for its 2011‑built very large crude carrier (VLCC) DHT Redwood, securing a daily rate of $105,000 that will begin in March 2026. The agreement adds a significant fixed‑income component to the company’s fleet employment strategy, complementing its spot‑market operations.
The charter rate is the highest DHT has secured for a single vessel in recent months, surpassing the $90,000 per day rate for DHT Opal and $94,000 per day for DHT Taiga. The premium reflects a sharply rising VLCC market driven by robust crude oil transport demand, geopolitical risk premiums, and an aging global fleet.
The one‑year charter is projected to generate roughly $38.3 million in revenue, providing a predictable cash flow that balances the company’s spot‑market exposure. The agreement aligns with DHT’s dual‑revenue strategy of combining high‑yield spot voyages with stable time‑charter income.
DHT’s fleet renewal program has seen the company sell older vessels and acquire newer ones, keeping its average age low. The Redwood, built in 2011, is among the older vessels in the fleet but remains fully operational and compliant with current environmental standards.
Management highlighted the market conditions as a "perfect storm" that has created favorable pricing for VLCC owners. The company expects the high charter rate to support its dividend policy and reinforce its competitive position in the global tanker market.
The announcement was well received by market participants, reflecting confidence in the continued strength of the VLCC segment and DHT’s execution of its fleet strategy.
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