Becoming more common: Index-based floating charters

Charter contracts with an index-based floating rate are becoming more commonplace and are an interesting alternative to pool employment. The owner earns a full market rate without the administrational hussle of pool accounts, pool meetings and risk profiles.

In the last 10 years, we concluded floating time-charter and bareboat-charter contracts for a total of 20 ships from Handysize up to Capesize vessels. Currently, we operate 15 bulkers under index-based charters:

1 x 74,000 tdw Panamax bulkcarrier

6 x 45-52,000 tdw Handymax / Supramax bulkcarriers

8 x 26-30,000 tdw Handysize bulkcarriers

We usually pay semi-monthly hire based on the average TC routes of the relevant BALTIC index, possibly with an adjustment for size or special features. Periodically, this is being adjusted based on the actual indices. If you are interested in a quote, please approach one of the chartering persons in our headoffice.