Infospectrum Insights

Infospectrum is seeing an increase in the number of occasions its clients are being asked to pay third parties for goods or services, i.e. to pay a party with whom they have not contracted. Such requests are most commonly made in relation to payment of freight or bunkers. This article explores the underlying motivations as to why a client may be asked to pay a third party and the possible legal ramifications.

This month, we caught up with Dean Hilton, Analyst and General Manager at Infospectrum’s Australia office, to learn more about his broad background and extensive shipping expertise.

The International Energy Agency called the International Maritime Organization’s (IMO) 2020 global sulphur limit ‘easily the most dramatic change in fuel specifications in any oil product market on such a large scale’. How will the regulation impact the marine industry’s risk management landscape?

Newbuilding orders for liquefied natural gas carriers are hitting fever pitch again. At last count, there are now more than 100 LNG carriers on order, a trend fuelled by rosy forecasts for LNG demand growth and the recovery in charter rates.

For decades, Infospectrum’s clients have used the Post Dated Cheque (PDC) as a means of payment security. Even in these increasingly cashless/paperless times, payment by cheque remains an important part of the risk management of liquidity-strained clients in certain countries. Perhaps the most effective use of PDCs has been in the United Arab Emirates. Here we look at how this came to be, and whether it remains a useful tool.

While bunker price forecasts in the current politico-economic environment are akin to staring at tea leaves, the next 12 months are expected to see further increases in prices for HSFO (already up 35-40% in the last 12 months), LSFO and distillates. On top of that, all participants in the bunker markets (to a greater or lesser degree) have been impacted by higher finance costs as LIBOR rates increase, with small to medium-sized bunker players struggling to secure finance at suitably attractive terms.

Infospectrum’s expert team spans across the globe. This month, we spoke with Felix Yamasato, Senior Analyst at Infospectrum’s US office, who gave us insight into his varied role at Infospectrum and how he maintains a strong work-life balance.

We are delighted to announce our collaboration with the Baltic Exchange as their exclusive counterparty intelligence provider. Here is what the Baltic Exchange had to say:

Back in 2014, no one could have anticipated the worst crisis the offshore industry has ever seen. Investments by oil majors and international and national oil companies were revised and cut globally. But is the worst over for offshore?

Following the success of Infospectrum’s Counterparty Credit Risk Forum in Singapore earlier this year, our London Forum provided attendees with unique insights into the shipping industry and the latest developments shaping it.