AMENDMENT NO. 2 TO TIME CHARTER PARTY January 5, 2006
EXHIBIT
99.16
AMENDMENT NO. 2
TO
TIME CHARTER PARTY
January 5, 2006
Reference is hereby made to the Time Charter Party, dated October 20, 2004 (the “Time Charter”),
between Compatriot Ltd., a company incorporated in the Islands of Bermuda (the “Owners”) and Stena
Bulk AB, a company incorporated in Sweden (the “Charterers”). Capitalized terms used but not
defined herein shall have the meanings assigned to them in the Time Charter. The Owners and the
Charterers together jointly the “Parties” and each respectively a “Party”.
Now it is agreed by the Parties as follows:
1. Clause 4 (Period Trading date of Limits)
The Parties agree and acknowledge that the charter period for the vessel shall be six (6) years instead of five (5) years, unless extended under Clause 49 as amended.
The Parties agree and acknowledge that the charter period for the vessel shall be six (6) years instead of five (5) years, unless extended under Clause 49 as amended.
2. Clause 47 (Basic Hire)
The schedule set forth in Clause 47 (as amended by Amendment No. 1 dated 11 April 2005) shall be deleted and replaced by the following:
The schedule set forth in Clause 47 (as amended by Amendment No. 1 dated 11 April 2005) shall be deleted and replaced by the following:
Period | Basic Hire | |||
1 (Delivery Date – November 10, 2005) |
$ | 17,400 | ||
2 (November 11, 2005 – November 10, 2006) |
$ | 17,688 | ||
3 (November 11, 2006 – November 10, 2007) |
$ | 17,989 | ||
4 (November 11, 2007 – November 10, 2008) |
$ | 18,306 | ||
5 (November 11, 2008 – November 10, 2009) |
$ | 18,639 | ||
6 (November 11, 2009 – November 10, 2010) |
$ | 18,989 | ||
Option 1 (November 11, 2010 – November 10, 2011) |
$ | 19,356 | ||
Option 2 (November 11, 2011 – November 10, 2012) |
$ | 19,741 | ||
Option 3 (November 11, 2012 – November 10, 2013) |
$ | 20,145 |
3. Clause 48 (B) f. (Calculation of Additional Hire)
The speed and consumption at sea shall be 14 knots at 41.5 tonnes per day in laden condition (instead of 45 tonnes) and 14 knots at 39.5 tonnes per day in ballast condition (instead of 43 tonnes) less a steaming allowance of 7.5 percent applied to the speeds to allow for weather and navigation. Thus, the daily average fuel consumption at sea shall be 40.5 tonnes per day.
The speed and consumption at sea shall be 14 knots at 41.5 tonnes per day in laden condition (instead of 45 tonnes) and 14 knots at 39.5 tonnes per day in ballast condition (instead of 43 tonnes) less a steaming allowance of 7.5 percent applied to the speeds to allow for weather and navigation. Thus, the daily average fuel consumption at sea shall be 40.5 tonnes per day.
4. Clause 48 (B) g. (Calculation of Additional Hire)
This Clause shall be deleted and substituted by the following wording.
This Clause shall be deleted and substituted by the following wording.
“Bunkers in port — all inclusive (i.e. loading, discharging, idling etc.) — shall be 65 tonnes per
cargo. If there are days within a quarter where the vessel is heating cargo on a laden passage
based on actual spot trading requirements of the vessel, the profit share calculation result will
reflect the prorata heating days using the actual additional daily fuel consumed for heating but is
not to exceed 8 tonnes per day;”
5. Clause 48 (B) (Calculation of Additional Hire)
The Parties agree that the Calculation Illustrations shall be substituted with the Calculation Illustrations attached hereto as Exhibit 1.
The Parties agree that the Calculation Illustrations shall be substituted with the Calculation Illustrations attached hereto as Exhibit 1.
6. Clause 48 (C) (Adjustment for the first three calendar quarters)
This Clause shall not apply.
This Clause shall not apply.
7. Clause 49 (Options)
The Parties agree that the Charterers shall have three one-year options to extend the Charter, with each such option to be declared by the Charterers in writing no less than six (6) months prior to the expiry of the charter period in effect at that time.
The Parties agree that the Charterers shall have three one-year options to extend the Charter, with each such option to be declared by the Charterers in writing no less than six (6) months prior to the expiry of the charter period in effect at that time.
8. Clause 71 (Speed and Consumptions Figures)
This Clause shall be deleted and substituted with the following wording.
This Clause shall be deleted and substituted with the following wording.
”In addition to Clause 24 (a) speed and consumption:
Laden/Ballast Fuel Oil 380 CST:
Speed | Consumption laden | Consumption ballast | ||||||
14.0 knots |
41.5 tons per day | — | ||||||
14.0 knots |
— | 39.5 tons per day |
From the above mentioned speeds there shall be deducted a steaming allowance of 7.5 per cent to
allow for weather and navigation.
Idle in port or stand by:
|
6 tons per day | |
Loading:
|
15 tons per day | |
Pumping at full capacity:
|
50 tons per cargo | |
Heating a full cargo:
|
15 tons per day” | |
This Addendum is supplemental to and shall constitute an integral part of the Time Charter.
Save as explicitly provided above, the terms and conditions of the Time Charter shall remain unaltered and in full force and effect.
IN WITNESS WHEREOF, the Parties hereto have executed this Addendum in two (2) originals, of which
the Parties have taken one each, on and as of the day below written.
COMPATRIOT LTD.
|
STENA BULK AB | |
/s/ XXXXXXXXXXX X. XXXXXX | /s/ XXXX-XXXX XXXXXX |
Exhibit 1 Time Charter Party for
Stena Compatriot
Stena Compatriot
Calculation Illustrations
Curaco to New York
Data used
Data used
1) Average Spot Rate (determined by Brokers Panel) = W200
2) Worldscale Flat = $4.61
3) Cargo size = 50,000
4) Voyage duration = 16.84 days
5) Bunker price = $180 per tonne
6) Bunkers used = 524.27
7) Port charges = $60,000
8) Calculation of freight income:
2) Worldscale Flat = $4.61
3) Cargo size = 50,000
4) Voyage duration = 16.84 days
5) Bunker price = $180 per tonne
6) Bunkers used = 524.27
7) Port charges = $60,000
8) Calculation of freight income:
1) multiplied by 2) = 2.00 x 4.61 = 9.22
$9.22 x 3) 50,000 = $461,000
$9.22 x 3) 50,000 = $461,000
9) Calculation of Voyage Income:
Freight income $461,000
less:
less:
2.50% broker commissions
|
(11,525 | ) | ||
1.25% commercial management fees
|
(5,762 | ) | ||
Bunker costs 5) x 6)
|
(94,368 | ) | ||
Port charges 7)
|
(60,000 | ) | ||
(171,655 | ) | |||
Voyage Income
|
$ | 289,345 |
10) Calculation of Daily Value
9) / 4) = $289,345 / 16.84 = $17,182
Augusta to Houston
Data used
Data used
1) Average Spot Rate (determined by Brokers Panel) = W200
2) Worldscale Flat = $11.70
3) Cargo size = 50,000
4) Voyage duration = 42.66 days
5) Bunker price = $180 per tonne
6) Bunkers used = 1569.98 tonnes
7) Port charges = $80,000
8) Calculation of income:
2) Worldscale Flat = $11.70
3) Cargo size = 50,000
4) Voyage duration = 42.66 days
5) Bunker price = $180 per tonne
6) Bunkers used = 1569.98 tonnes
7) Port charges = $80,000
8) Calculation of income:
1) multiplied by 2) = 2.00 x 11.70 = 23.40
$23.40 x 3) 50,000 = $1,170,000
$23.40 x 3) 50,000 = $1,170,000
9) Calculation of voyage income:
Freight income $1,170,000
less:
less:
2.50% broker commissions
|
(29,250 | ) | ||
1.25% commercial management fees
|
(14,625 | ) | ||
Bunker coats 5) x 6)
|
(282,596 | ) | ||
Port charges 7)
|
(80,000 | ) | ||
Voyage income
|
$ | 763,529 |
10) Calculation of Daily Value
9) / 4) = 763,529 / 42.66 = $17,898
Calculation of Time Charter Equivalent Hire
2(2)
Daily Value Curacao to New York x 50%
|
8,591 | |||
Daily Value Curacao Augusta to Houston x 50%
|
8,949 | |||
Time Charter Equivalent Hire
|
17,540 |