Oil Tanker Rates a Life Long Challenge

Cover Oil Tanker Rates a Life Long Challenge
Oil Tanker Rates a Life Long Challenge
Zenon S Zannetos
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However, we found that there was no "one-to-one correspondence" between retirements and replacement decisions. The investment horizons associated with these decisions were proven to be different and were not necessarily made by the same decision makers.
5. The lead-time to delivery of vessels, which under pressure could be shortened to eight months, guarantees that enough tonnage can be delivered and shift the supply schedule far enough to the right, to bring about a precipitous drop in prices.
... So, and even if spot rates were not to drop before new orders dry up, the feast could not last more than a few months. The famine period, however, may last for years, up until growth in demand and retirement of vessels combine to bring about a scarcity.
-29- 6. The participation, that is to say the oil produced by the oil companies but owned by the nation, was mostly set at 40% in 1973 but Kuwait demanded and received 60%. Soon the producing countries, one after another, expropriated the assets of the oil companies by nationalizing their oil industry.


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