We welcome article submissions from experts in the areas of coal, mining,
shipping, etc.
To Submit your article please click here.
|
|
|
Saturday, 22 February 14
POTEN RAISES THE QUESTION OF ACCURACY IN CALCULATING TANKER FREIGHT RATES - NIKOS ROUSSANOGLOU, HELLENIC SHIPPING NEWS
As the tanker market has grown in complexity over the course of the past few years, the question of whether the traditional methods of assessing rates is still valid. In a recent report, Poten & Partners noted that "the market landscape for crude oil and refined product trades has an inherent element of shifting sand, presenting an organization like the Baltic Exchange with certain challenges. The Baltic Exchange is a centuries-old institution that, among other services, oversees a collective of member shipbrokers who contribute daily freight rate assessments for the wet and dry bulk shipping markets. The freight rates that are collected by the Baltic Exchange are in turn used by both charterers and shipowners, as well as other market participants, as a reliable metric of freight pricing for internal and external financial calculations. Although the birth and death of trade lanes is a natural market evolution, such developments pose questions of relevancy to the Baltic Exchange’s data collection efforts. While the decision to discontinue a certain set of assessments due to perceived obsolescence is objectively simple, it could have broader implications for commercial market participants that have freight contracts dependent on these rates", Poten said.
According to the analyst, the Baltic Dirty Tanker Index. This index is currently comprised of 12 benchmark tanker routes, covering all trade routes and vessel sizes. The BDTI serves as an often cited reference of general health of the tanker market freight rate environment. The Baltic Exchange International Tanker Routes (BITR) are quoted on individual trades for specific cargo sizes for clean and dirty cargoes. For example, the tanker trade with the largest volume worldwide is often referred to as “TD3” or “Tanker Dirty” route number “3” – the voyage basis is from Ras Tanura, Saudi Arabia to Chiba, Japan for 265,000 metric tons of cargo".
In the report, Poten cited an announcement issued on February 5, 2014, which indicated that the Baltic Exchange was suspending their assessments of the routes “TC3_38” and “TD10D”, Aruba – New York for 38,000 metric tons of clean products and Aruba – New York for 50,000 metric tons of fuel oil, respectively. The removal of TD10D would leave the market without a Baltic Exchange instrument for quoting Panamax freight rates.
Poten noted that "in early 2012, Valero shut down their 235,000 bpd Aruba refinery, effectively rendering the voyage basis irrelevant. Historically, the Aruba refinery yielded significant volumes of fuel oil that were exported and often utilized as feedstock in Valero’s Paulsboro, N.J. refinery or for power generation on the US East Coast. The Aruba refinery eventually became structurally disadvantaged compared to US Gulf Coast refineries due to a higher operational cost base; it, like other Caribbean refineries, did not have access to cheap natural gas for power supply. Using reported spot market activity for Panamaxes loading in the Caribbean as a proxy for total market activity, trade volumes from the Caribbean to the US Atlantic Coast have become insignificant. Although still a relatively small market, fixture activity has increased for the Caribbean to US Gulf trade".
It added that "it stands to reason that the Baltic Exchange should continue to assess at least one dirty Panamax trade route. Contracts of Affreightment, or COAs, whereby shipowners and oil companies pre-arrange transportation volumes over a specified period of time, often incorporate some kind of discount to prevailing spot market rates. In exchange for a guaranteed volume of business from an oil company, a shipowner or pool will typically offer a discount to market rates. The Baltic Exchange rate assessments are often referenced in contract language accordingly. The same logic applies for time charters that involve profit sharing elements; shipowners and charterers agree how the profit share will be determined based on independent freight rate assessments.
In the case of TD10D, the Baltic Exchange might consider changing the voyage basis in order to prevent commerical disruption. Load ports for crude export in countries such as Venezuela, Colombia or Trinidad are viable options and the destination should, undoubtedly, be in the US Gulf. The question of what to do with the Aruba to New York (TC3) benchmark for clean products is more black and white. The sizeable increase in refined products exports from the US Gulf to the Caribbean and Latin American countries has displaced imports from the Caribbean. With strong refining economics in the US Gulf, it is difficult to see any reversal in this trend anytime soon", Poten concluded.
source: Nikos Roussanoglou, Hellenic Shipping News
If you believe an article violates your rights or the rights of others, please contact us.
|
|
Wednesday, 26 March 14
NEWBUILDING ORDERING ACTIVITY PICKS UP PACE ON IMPROVING DRY BULK MARKET CONDITIONS - NIKOS ROUSSANOGLOU, HELLENIC SHIPPING NEWS
The gradual improvement of the dry bulk market, as expected for some time now, is urging shipowners to increase their newbuilding ordering activ ...
Wednesday, 26 March 14
LARGE AMOUNT OF VESSELS CHARTERED TO HAUL IRON ORE CARGOES TO CHINESE BUYERS THIS WEEK - COMMODORE RESEARCH & CONSULTANCY
COALspot.com: Through the first three days of this week, 18 dry bulk vessels have been chartered to haul spot iron ore cargoes to Chinese buyers ...
Wednesday, 26 March 14
JOIN IN THE CLEAN COAL CASE STUDY WITH SINOPEC!
Produced by CDMC Events, The 13th Clean Coal Forum 2014 will be held on June 12,13, 2014 in Beijing, China. We are glad to invite Experts ...
Tuesday, 25 March 14
INDONESIAN SUB-BITUMINOUS COAL SWAP FOR Q2 DELIVERY CLOSED $ 57.40 PMT W/E 21 MARCH 2014
COALspot.com – Indonesia, the world’s largest exporter of the thermal coal's swaps for delivery April - June 2014 gained this pa ...
Tuesday, 25 March 14
NEWCASTLE COAL EXPORTS JUMP 29.16% TO 2.79 MMT WEEK ON WEEK
COALspot.com: In the week ended 24 March 2014, power plant and semi-soft coking coal shipments from the port of Newcastle in Queensland, total 2.79 ...
|
|
|
Showing 3781 to 3785 news of total 6871 |
|
 |
|
|
|
|
| |
|
 |
|
|
| |
|
- Africa Commodities Group - South Africa
- ICICI Bank Limited - India
- Manunggal Multi Energi - Indonesia
- CIMB Investment Bank - Malaysia
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Videocon Industries ltd - India
- Orica Mining Services - Indonesia
- Orica Australia Pty. Ltd.
- Globalindo Alam Lestari - Indonesia
- Holcim Trading Pte Ltd - Singapore
- New Zealand Coal & Carbon
- Posco Energy - South Korea
- Bangladesh Power Developement Board
- India Bulls Power Limited - India
- Tata Chemicals Ltd - India
- Karaikal Port Pvt Ltd - India
- Sojitz Corporation - Japan
- Sindya Power Generating Company Private Ltd
- The State Trading Corporation of India Ltd
- Rio Tinto Coal - Australia
- Uttam Galva Steels Limited - India
- Thiess Contractors Indonesia
- Petrochimia International Co. Ltd.- Taiwan
- Borneo Indobara - Indonesia
- International Coal Ventures Pvt Ltd - India
- Coastal Gujarat Power Limited - India
- Neyveli Lignite Corporation Ltd, - India
- Ministry of Finance - Indonesia
- White Energy Company Limited
- Eastern Coal Council - USA
- Indo Tambangraya Megah - Indonesia
- Mercator Lines Limited - India
- Sakthi Sugars Limited - India
- Kartika Selabumi Mining - Indonesia
- Bulk Trading Sa - Switzerland
- VISA Power Limited - India
- Pendopo Energi Batubara - Indonesia
- Timah Investasi Mineral - Indoneisa
- Coal and Oil Company - UAE
- Malabar Cements Ltd - India
- Altura Mining Limited, Indonesia
- European Bulk Services B.V. - Netherlands
- Anglo American - United Kingdom
- Kobexindo Tractors - Indoneisa
- Samtan Co., Ltd - South Korea
- Electricity Authority, New Zealand
- Attock Cement Pakistan Limited
- Power Finance Corporation Ltd., India
- SMC Global Power, Philippines
- Ceylon Electricity Board - Sri Lanka
- Georgia Ports Authority, United States
- IEA Clean Coal Centre - UK
- Vijayanagar Sugar Pvt Ltd - India
- Therma Luzon, Inc, Philippines
- ASAPP Information Group - India
- Mintek Dendrill Indonesia
- Chamber of Mines of South Africa
- Directorate Of Revenue Intelligence - India
- Savvy Resources Ltd - HongKong
- Parliament of New Zealand
- Semirara Mining and Power Corporation, Philippines
- Grasim Industreis Ltd - India
- Latin American Coal - Colombia
- PNOC Exploration Corporation - Philippines
- Banpu Public Company Limited - Thailand
- Dalmia Cement Bharat India
- Simpson Spence & Young - Indonesia
- PowerSource Philippines DevCo
- Energy Link Ltd, New Zealand
- Ind-Barath Power Infra Limited - India
- Salva Resources Pvt Ltd - India
- Indika Energy - Indonesia
- The Treasury - Australian Government
- Heidelberg Cement - Germany
- Barasentosa Lestari - Indonesia
- Miang Besar Coal Terminal - Indonesia
- PTC India Limited - India
- Tamil Nadu electricity Board
- Kaltim Prima Coal - Indonesia
- Leighton Contractors Pty Ltd - Australia
- South Luzon Thermal Energy Corporation
- Jaiprakash Power Ventures ltd
- Electricity Generating Authority of Thailand
- Gujarat Sidhee Cement - India
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Kumho Petrochemical, South Korea
- Independent Power Producers Association of India
- AsiaOL BioFuels Corp., Philippines
- Medco Energi Mining Internasional
- GVK Power & Infra Limited - India
- Oldendorff Carriers - Singapore
- Bukit Baiduri Energy - Indonesia
- Makarim & Taira - Indonesia
- Economic Council, Georgia
- Singapore Mercantile Exchange
- Binh Thuan Hamico - Vietnam
- Indonesian Coal Mining Association
- Standard Chartered Bank - UAE
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- IHS Mccloskey Coal Group - USA
- GN Power Mariveles Coal Plant, Philippines
- Lanco Infratech Ltd - India
- OPG Power Generation Pvt Ltd - India
- Sical Logistics Limited - India
- Sree Jayajothi Cements Limited - India
- Sarangani Energy Corporation, Philippines
- Directorate General of MIneral and Coal - Indonesia
- Kohat Cement Company Ltd. - Pakistan
- CNBM International Corporation - China
- Jindal Steel & Power Ltd - India
- GMR Energy Limited - India
- Meralco Power Generation, Philippines
- Edison Trading Spa - Italy
- Mjunction Services Limited - India
- Cement Manufacturers Association - India
- Global Coal Blending Company Limited - Australia
- Ambuja Cements Ltd - India
- Marubeni Corporation - India
- Krishnapatnam Port Company Ltd. - India
- Kepco SPC Power Corporation, Philippines
- Wood Mackenzie - Singapore
- PetroVietnam Power Coal Import and Supply Company
- Port Waratah Coal Services - Australia
- Maharashtra Electricity Regulatory Commission - India
- Deloitte Consulting - India
- Formosa Plastics Group - Taiwan
- Trasteel International SA, Italy
- Semirara Mining Corp, Philippines
- Parry Sugars Refinery, India
- Eastern Energy - Thailand
- Larsen & Toubro Limited - India
- Bukit Asam (Persero) Tbk - Indonesia
- Pipit Mutiara Jaya. PT, Indonesia
- McConnell Dowell - Australia
- Meenaskhi Energy Private Limited - India
- Toyota Tsusho Corporation, Japan
- Mercuria Energy - Indonesia
- LBH Netherlands Bv - Netherlands
- TNB Fuel Sdn Bhd - Malaysia
- Jorong Barutama Greston.PT - Indonesia
- Iligan Light & Power Inc, Philippines
- Romanian Commodities Exchange
- Merrill Lynch Commodities Europe
- Bahari Cakrawala Sebuku - Indonesia
- Bhatia International Limited - India
- Australian Commodity Traders Exchange
- Intertek Mineral Services - Indonesia
- Vedanta Resources Plc - India
- Carbofer General Trading SA - India
- Madhucon Powers Ltd - India
- Indian Oil Corporation Limited
- Interocean Group of Companies - India
- Metalloyd Limited - United Kingdom
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Antam Resourcindo - Indonesia
- MS Steel International - UAE
- Aditya Birla Group - India
- San Jose City I Power Corp, Philippines
- Offshore Bulk Terminal Pte Ltd, Singapore
- Bukit Makmur.PT - Indonesia
- Bharathi Cement Corporation - India
- Riau Bara Harum - Indonesia
- TeaM Sual Corporation - Philippines
- Wilmar Investment Holdings
- Vizag Seaport Private Limited - India
- Ministry of Transport, Egypt
- Asmin Koalindo Tuhup - Indonesia
- Global Business Power Corporation, Philippines
- Thai Mozambique Logistica
- Bayan Resources Tbk. - Indonesia
- Cigading International Bulk Terminal - Indonesia
- Goldman Sachs - Singapore
- Kideco Jaya Agung - Indonesia
- Australian Coal Association
- Indogreen Group - Indonesia
- Commonwealth Bank - Australia
- Kapuas Tunggal Persada - Indonesia
- Gujarat Mineral Development Corp Ltd - India
- London Commodity Brokers - England
- Aboitiz Power Corporation - Philippines
- Essar Steel Hazira Ltd - India
- Central Java Power - Indonesia
- Siam City Cement PLC, Thailand
- Xindia Steels Limited - India
- Star Paper Mills Limited - India
- The University of Queensland
- Central Electricity Authority - India
- Indian Energy Exchange, India
- Karbindo Abesyapradhi - Indoneisa
- Energy Development Corp, Philippines
- Petron Corporation, Philippines
- Minerals Council of Australia
- Renaissance Capital - South Africa
- GAC Shipping (India) Pvt Ltd
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Agrawal Coal Company - India
- Ministry of Mines - Canada
- Global Green Power PLC Corporation, Philippines
- Maheswari Brothers Coal Limited - India
- Billiton Holdings Pty Ltd - Australia
- Coalindo Energy - Indonesia
- Gujarat Electricity Regulatory Commission - India
- Planning Commission, India
- Bhushan Steel Limited - India
- Kalimantan Lumbung Energi - Indonesia
- Straits Asia Resources Limited - Singapore
- Alfred C Toepfer International GmbH - Germany
- SMG Consultants - Indonesia
- Baramulti Group, Indonesia
- Bhoruka Overseas - Indonesia
- Chettinad Cement Corporation Ltd - India
- Siam City Cement - Thailand
- Sinarmas Energy and Mining - Indonesia
- Rashtriya Ispat Nigam Limited - India
- Price Waterhouse Coopers - Russia
- Bank of Tokyo Mitsubishi UFJ Ltd
- SN Aboitiz Power Inc, Philippines
|
| |
| |
|
