Cargo Chartering
Timing and information are the two most valuable assets in the negotiation process due to the lack of transparency in the physical chartering market and fragmentation of ship ownership. From experience gained at Glencore, management recognised the benefit of controlling tonnage to acquire more market information and thus improve the economics of cargo shipping.
By chartering both on behalf of ship-owners and cargo owners, we gain access to more and better information than our competitors. A higher volume of transactions allows us to transact more competitively and develop close relationships with the main ship-owners and oil majors.
As of October 2007, Navig8 Management has been given exclusive chartering of Arcadia’s Energy cargoes, which have been increasing on a monthly basis. Navig8 is also very active in CoA transactions, which provide a consistent supply of cargoes throughout the year. Notably, Navig8 recently concluded a substantial CoA for regular movements of Palm Oils.