WTI Cushing Spot Price: Week Ending 01/11/10
Bunker Surcharge Calculation
Due to current market trends that have resulted in higher crude oil prices, Tropical Shipping will now base the bunker surcharge calculation on the four week running average of the WTI. As the price of crude oil continues to fluctuate Tropical will assess the current market conditions and sustained market trends to determine if we need to revisit our bunker surcharge calculations.
The new Bunker Surcharge application affects:
All shipments carried between the U.S., Canada, P.R., or the US Virgin Islands and the British Virgin Islands or the Eastern Caribbean and Guyana; all shipments carried between Canada and Puerto Rico; and all shipments carried between the Continental United States or Puerto Rico and the USVI.(Click here to view chart)
All interisland shipments carried between the U.S. Virgin Islands. (Click here to view chart)
All shipments carried between the Continental United States and the Dominican Republic. (Click here to view information)
All shipments carried between Canada and the Dominican Republic. (Click here to view information)
All shipments carried between the Continental United States or Canada and the Turks & Caicos Islands, or the Cayman Islands. (Click here to view chart)
All shipments carried between Canada and the Bahamas. (Click here to view chart)
All Caribbean interisland shipments. (Click here to view chart)
The process of implementing a bunker fuel surcharge increase is focused around observing trends in the price per barrel of crude oil. The time periods most often analyzed are: weekly, monthly, eight-week and quarterly averages.
Tropical will charge the applicable bunker surcharge amount based on a four week running average of the West Texas Intermediate (WTI) Cushing Spot taken at the close of U.S. commodity trading every Monday using the WTI Cushing Spot price as published on Bloomberg.com (http://www.bloomberg.com/energy). The four-week running average shall be rounded to the nearest whole dollar; amounts 50 cents or greater shall be rounded up to the nearest whole dollar and amounts less than 50 cents shall be rounded down to the nearest whole dollar. If the change in Bunker Surcharge is for an increase or decrease less than or equal to $6.00, Tropical reserves the right to delay the change until the next scheduled review date.
The first Tuesday of every month we will review the four week running average and publish a benchmark WTI Price per barrel that corresponds to a bunker surcharge amount that is presented in a Bunker Surcharge Chart on tropical.com and in our tariff. This chart will show the various bunker surcharges by equipment size based on the (WTI) price per barrel, provide an effective date for the new bunker surcharge (30 day notice) and a new estimated date for the next increase or decrease (60 day notice).
Below you will find the Bunker Review Dates and effective dates if adjustments are necessary.
Bunker Review Dates (C)
Review Date
(Tuesday) |
Effective Date
(Sunday) |
New Estimated Effective
Date (Sunday) |
| May 26, 2009 |
June 28, 2009 |
July 26, 2009 |
| June 16, 2009 |
July 26, 2009 (postponed) |
August 9, 2009 |
| July 7, 2009 |
August 9, 2009 |
September 6, 2009 |
| August 3, 2009 |
September 6, 2009 |
October 4, 2009 |
| September 1, 2009 |
October 4, 2009 |
November 8, 2009 |
| October 6, 2009 |
November 8, 2009 |
December 6, 2009 |
| November 3, 2009 |
December 6, 2009 |
January 3, 2010 |
| December 1, 2009 |
January 3, 2010 |
February 7, 2010 |
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