Full asset utilization and the most fuel efficient solution secure premium earnings with downside protection
The Klaveness Combination Carriers switch between dry and wet cargoes and have hence two laden legs and limited ballast time. KCC can hence offer customers freight below that of standard bulk and tanker vessels, while at the same time secure considerably higher total round voyage earnings than standard vessels.
As ballast time is limited, less fuel is consumed per ton-mile of transported cargo, reducing the cost of freight and reducing the customers’ environmental footprint. I.e. higher fuel prices are positive for the combination carriers.
Historical earnings have consistently been 1.5-2 times higher than that of standard product tankers and dry bulk vessels while vessel operating cost are at par with that of standard product tankers.
Correlations between the three markets (dry bulk, product tanker and bunker) have historically been limited giving downside protection and reduced volatility in earnings.
Presentations and reports
Klaveness Combination Carriers AS Interim Financial Statements per 30.09.2018 (unaudited)