TANKER CHARTERING

SUBJECT BREAKDOWN

LESSON 1

THE HISTORY OF THE OIL AND TANKER INDUSTRY

How oil is formed - when and where it has been found and in what quantities - how the oil market developed
- various events in its history - the growth of the oil majors and major producing countries.
How the industry is structured - the uses of oil - the types of oil - oil production - oil refining - gas
production - by-products of oil - oil trading - the future - pipelines as competition for tankers.
Reasons for its existence - brief history of tanker development - modern structure of the industry - who's who
in the industry.

LESSON 2

THE SHIP

Construction of a tanker - different types - difficulties and problems - running a tanker - the work of the
crew.

LESSON 3

THE CARGO

a)

Dirty
General description of various crudes - API and S.G. - characteristics of different crudes - problems
associated with certain crudes - their origins - ports of shipment and delivery.

b)

Clean
The types of clean liquids - characteristics and requirements for careful shipment and carriage problems - API and S.G. - ports and refineries.

c)

Gas
LNG - LPG - other types.

LESSON 4

THE PRINCIPALS

The role of the Shipowners - the role of the Charterers - the role of the Shippers - the role of the Receivers.

LESSON 5

THE MARKET AND BROKERS

How the market is structured - how the market works - the location of the major markets - the benefits and
drawbacks of the markets - problems.
The role of the Brokers - the role of the Port Agent.

LESSON 6

THE CHARTER PARTY - VOYAGE

Detailed analysis of voyage Charter Parties, Asbatankvoy and Shellvoy 5.

LESSON 7

THE CHARTER PARTY - VOYAGE (continued)

Other commonly used voyage Charter Parties - extra clauses in regular use today.

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TANKER CHARTERING
SUBJECT BREAKDOWN Cont'd

LESSON 8

THE CHARTER PARTY - TIME

Detailed analysis of Timecharter Parties.

LESSON 9

THE EARNINGS

How hire is calculated - monthly - daily - storage - performance claims - deductions - commissions.
How freight is calculated - Worldscale - payment of freights - currencies - deductions - storage - demurrage commissions.

LESSON 10

THE VOYAGE ESTIMATE

The purpose of voyage estimating - how to go about it - manual v computers - distances - port charges canal dues - performance - conversion to T/C equivalents - decision making on estimate results.

LESSON 11

THE NEGOTIATIONS

Their purpose - what precedes them (covering the market) - how they start - step by step analysis and
examples - the psychology of broking - "subjects" - final agreement.

LESSON 12

THE DOCUMENTS

The Charter Party - the Bill of Lading - Mate's receipts - Letters of Indemnity - interaction of all documents.

LESSON 13

LAYTIME

Laytime Charter Party clauses - Laydays - Notice of Readiness - Loading and Discharging - Demurrage Practical examples.

LESSON 14

THE VOYAGE

Description of a typical voyage(s) for both clean and dirty - what operations are carried out at sea - cleaning heating - decanting - inerting - methods of communication to shore (to Owners; to Charterers; to Agents; to
Shippers; to Receivers) - different problems when on T/C.
The Loading
Preparation before arrival - loading practice and procedures - departure procedures - problems.
The Discharging
As above plus pumping - heating - cargo delivery - ROBs - unpumpables.

LESSON 15

THE LAW

Selected recent law cases applicable to the tanker chartering industry.

LESSON 16

THE PROBLEMS

General problems not covered elsewhere, such as War Risk insurance - crew bonuses - pollution, including
MARPOL - C.L.C. - TOVALOP - CRISTAL.
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