What is a Worldscale flat rate?

What is a Worldscale flat rate?

Worldscale is a unified system of establishing payment of freight rate for a given oil tanker’s cargo. The freight for a given ship and voyage is normally expressed in a percentage of the published rate and is supposed to reflect the freight market demand at the time of fixing.

How big is the world scale?

However, from pole to pole — the meridional circumference — Earth is only 24,860 miles (40,008 km) around. Our planet’s shape, caused by the flattening at the poles, is called an oblate spheroid. Those numbers make Earth just slightly bigger than Venus, whose equatorial radius is about 3,761 miles (6,052 km).

How is worldscale calculated?

Worldscale is used to calculate freight rates for oil tankers and product carriers. It is used to calculate freight payments and express market levels and trends. Rates are based upon a 75,000 tonne total capacity vessel performing a round voyage and expressed in dollars per tonne of cargo.

What is Aframax vessel?

An Aframax vessel is an oil tanker with a deadweight between 80,000 and 120,000 metric tonnes. The term is based on the Average Freight Rate Assessment (AFRA), a tanker rate system created in 1954 by Shell Oil to standardize shipping contract terms.

What is a global scale?

Definition: The geographical realm encompassing all of Earth.

Why is Worldscale used?

Worldscale is used to calculate freight rates for oil tankers and product carriers. It is a tanker chartering tool, its principle is to provide the ship-owner with the same net return per day irrespective of voyage performed for the Worldscale Standard Vessel at WS100.

What do you call 100% of Worldscale price?

In negotiating a price to pay, the above table is referred to as WS100 or 100% of Worldscale. The actual price negotiated between shipowner and charterer can range from 1% to 1000% and is referred to respectively as WS1 to WS1000, depending on how much loss the first is willing to take on that voyage and how much the latter is willing to pay.

Is the Worldscale flat rate going to drop?

Shipping intelligence service Alphatanker expects the Worldscale Association ‘s annual recalculation of its flat freight rates for tankers in 2021 to result in a 20-25% drop from this year’s levels after the collapse in bunker prices seen since March.

Where does Worldscale get its freight rates from?

Worldscale is produced by Worldscale Association (NYC) Inc. for the Americas and by Worldscale Association (London) Ltd. for the rest of the world. The freight for a given ship and voyage is normally expressed in a percentage of the published rate and is supposed to reflect the freight market demand at the time of fixing.

How to become a Worldscale subscriber in London?

As well as being faster and more convenient to access than the printed volume, this offers additional benefits, including: 24 hours a day, 7 days a week, 365 days a year availability For further information and details of how to become a subscriber, contact Worldscale in London or New York London EC3A 5AT.