China Pool is the first and only VLCC Pool in the country which aims to provide integrated, efficient and safe transportation and support services for the global crude oil trade. Been initiated by COSCO Shipping Energy, the world’s largest tanker owner under the COSCO Shipping Group with the tagline of ‘We Pool, We Win’, China Pool can provide customers with customized whole-process energy transportation solutions and industry chain extension services backed by the resource advantage of the COSCO Shipping Group.
It has officially launched operations in Beijing attracting both domestic and international interest. At the launching ceremony of the China Pool, Sinopec and Zhenhua Oil signed the agreements to join it, while Landbridge Group, Navios and Wah Kwong Shipping signed a letter of intent to join the pool.
Unlike the traditional shipping business model, China has adopted a scaled fleet operation and professional company operation to realize unified management of pool fleet, which could enhance the efficiency of overall fleet operation and boost revenues to the pool owners.
VLCCs are currently facing difficulties in the market and pooling arrangements have more value in a down market.