Korea Line has chartered out two VLCC newbuildings for five years each at rates that brokers say will not make a profit for the owner.

The 317,000-dwt newbuildings Blue Garnet and Blue Aquamarine, being built by South Korea’s Daewoo Shipbuilding & Marine Engineering, were chartered for five years each at escalating rates of $27,000, $28,000, $30,000, $32,000 and $34,000, according to fixture lists distributed by brokers on Friday.

By comparison, an Athens-based broker said newbuilding VLCCs of around 300,000 dwt need to make around $38,000-$42,000 per day to be profitable.

“That’s to cover the basic expenses and gain just a little bit of profit,” he said.