(Reuters] – Euronav, (NYSE:), suffered a loss Thursday due to a third quarter that the storage and oil shipping operator described as “challenging”. However, it pointed to a solid recovery in freight rates.

This group is one of the most important oil tanker companies worldwide and reported a net loss of $105.9million in its third quarter, compared to a profit from $46.2 million last year.

Hugo De Stoop, Chief Executive of the company stated that “we have every reason for being confident that now we have through the trough this particular cycle.” He made the statement after a third quarter “that was amongst the most difficult for our market in recent memories”.

This year, the tanker industry is under severe pressure due to global exports being constrained by OPEC+ output reductions and COVID-19 epidemics continuing to depress market demand.

However, the Antwerp-based company that provides storage and shipping services for crude oil, highlighted a few positive developments since September.

De Stoop explained that oil transport is on the rise due to improved crude demand and post-COVID economic recovery. Additionally, there’s an increased demand for fuel oil because energy producers have switched to a less expensive solution. This in turn leads to increased exports.

The Organization of the Petroleum Exporting Countries (OPEC+), Russia, and allies limited oil exports during the last pandemic. However, they agreed to increase production in July.

On Thursday, OPEC+ ministers will meet to determine output policy.

Euronav pointed out the seasonal rise in winter demand, aided by sudden and extreme price increases for fuels. This has increased crude’s relative value and led to some substitution.