IMOS can calculate the bunker adjustment in a TCO voyage for the following cases:
- Bunker adjustment according to the difference between the FIFO inventory value of the voyage and the TCO delivery bunkers
- Bunker adjustment according to the difference between the FIFO inventory value of the voyage and the TCO bunkers both on delivery and redelivery
In the first case, the ending voyage bunkers of the TCO voyage will be priced at the TCO contract redelivery price. In the second case, the ending voyage bunkers will be priced according to the FIFO voyage quantities and prices on delivery. In both cases, if there have been bunker purchases by the owner during the time charter voyage, these purchases will be treated separately according to FIFO.
Calculation Logic
IMOS considers the TCO bunker adjustment in the revenue part of the P&L.
Where:
VB1 = FIFO value of bunker grade (for example, IFO) in voyage at delivery
TC1 = Value of bunker grade sold according to TCO terms
VB2 = FIFO value of bunker grade in voyage at redelivery
TC2 = Value of bunker grade purchased according to TCO terms
Bunker adjustment according to option 1 = TC1 – VB1
Bunker adjustment according to option 2 = (TC1 – VB1) + (VB2 – TC2)