Asian demand for refined oil products strengthened since the start of the year, according to tanker company Frontline 2012 Ltd., controlled by billionaire John Fredriksen.
Demand for fuel oil and other products increased because of “post-tsunami additions” to Japan and industrial expansion in Korea, the Hamilton, Bermuda-based company said today in a statement. European usage remains “relatively bleak,” reflecting a regional economic slowdown, the company said. Higher unemployment contributed to a slump in European gasoline demand, it said.
Global distillate demand is set to build next year as construction and manufacturing begin to strengthen, the company said, citing the Paris-based International Energy Agency.
Frontline 2012 reported second-quarter net income of $6 million, or 5 cents a share, on sales of $40.8 million. The company was formed in December when Fredriksen split oil-tanker company Frontline Ltd. in two.