COSCO SHIP ENGY (01138) surged over 4% against the broader market trend, rising 3.69% to HKD 11.51 by the time of writing, with a trading volume of HKD 182 million. The rally follows reports that VLCC (Very Large Crude Carrier) daily charter rates have reached a new high, surpassing USD 125,000. On the 13th, the VLCC TD3C-TCE index stood at USD 125,800 per day, marking a 20% increase day-over-day and a 23% rise week-over-week.

CITIC Securities noted that the current VLCC freight rate surge is driven by two sustainable factors: increased production and sanctions. Both demand and supply dynamics are contributing to favorable conditions, with constrained growth in compliant vessel capacity. The brokerage highlighted that U.S.-listed tanker company OET disclosed its Q4 locked-in VLCC rates, with 80% of its fleet secured at USD 88,000 per day. Assuming an average Q4 VLCC rate of USD 100,000 per day, COSCO SHIP ENGY's net profit for the quarter could range between RMB 2-2.5 billion. CITIC Securities reiterated its "Buy" rating on COSCO SHIP ENGY's Hong Kong-listed shares.