Alphabetical list of terms


A voyage with no cargo on board to get a ship in position for the next loading port or docking. A ballast tank is a tank that is filled with seawater when a vessel is in ballast, in order to ensure stability.

bareboat (b/b)

The hiring or leasing of a vessel from one company to another (the charterer), which in turn provides crew, bunkers, stores etc. and pays all operating costs.


The ship's fuel.


Condition Assessment Programme. Det Norske Veritas' (DNV) voluntary rating system for vessels describing and quantifying the standards of a vessel.


Cargo owner or another person / company who hires a ship.


Transport contract between ship-owner and shipper of goods.


Contract of affreightment – quantity contract. An agreement between ship-owner and shipper concerning the freight of a defined amount of cargo. The ship-owner chooses the ship.


Certificate of Financial Responsibility. Certificate required by the US Coast Guard for tonnage transporting oil products in the US economic zone (due to OPA90), to confirm the owner's financial responsibility up to a specified amount for pollution caused in US waters.

crude (oil)

Unrefined oil directly from the reservoir.

daily operating costs

The costs of a vessel's technical operation, crewing and insurance (excluding costs of financing).


Money paid to ship-owner by charterer, shipper or receiver for failing to complete loading / discharging within the time allowed according to charter-party.

dry docking

To put a vessel into a dry dock for inspection, repair and maintenance. Normally done on a regular basis every 3 or 5 years.

dwt (deadweight ton)

A measure expressed in metric tons (1,000 kg) or long tons (1,016 kg) of a ship's carrying capacity, including bunker oil, fresh water, crew and provisions. This is the most important commercial measure of the capacity.


Front-end engineering and design study.


Final investment decision.


Floating LNG.


Floating liquefied natural gas vessel.


Floating storage and regasification unit.


A measure of the speed of the vessel. 1 knot = 1 nautical mile per hour, that is 1,85 km/h.


Liquefied natural gas.


Master limited partnership.


Million British thermal units.

net revenue / time charter (t/c) equivalent

Gross charter income less voyage costs (bunker costs, port, canal duties etc.).


The US Oil Pollution Act of 1990. Federal law imposing regulations on ship-owners trading in US waters.


A person / company who on behalf of a ship-owner / shipper negotiates a deal for the transportation of cargo at an agreed price. Shipbrokers are also active when shipping companies negotiate the purchasing and selling of ships, both second-hand tonnage and newbuilding contracts.

ship management

The technical administration of a ship, including services such as technical operation, maintenance, repair, crewing and insurance.

spot market

Short-term contracts, normally not longer than three months in duration.


Trillion cubic feet.


Tri-fuel diesel electric.

time charter (t/c)

An arrangement whereby a ship-owner places a crewed ship at a charterer's disposal for a certain period. Hire is customarily paid in advance. The charterer also pays for bunker charges, canal fees, port duties etc.


1,000 kilos (metric ton = 2,204 lb)

voyage charter

The transportation of cargo from port(s) of loading to port(s) of discharge. Payment is normally per day, and the ship-charterer pays for bunker, port and canal charges etc.

voyage costs

Costs of chartering in third party vessels together with canal, port, fuel and other expenses incurred predominantly for vessels that are not on charter.

Units used for natural gas and LNG

Unit Symbol Explanation
cubic metres m3 Measure of volume
cubic feet ft3 Measure of volume
barrels of oil equivalent BOE BOE is a unit of energy based on the approximate energy released by burning one barrel (42 US gallons or 158.9873 litres) of crude oil.
tonnes of oil equivalent TOE TOE is a unit of energy defined as the amount of energy released by burning one tonne of crude oil.
million British thermal units MMBTU A BTU is a measure of the energy content in fuel. One BTU is equivalent to 1.06 joules.
litres l Measure of volume
tonnes t Measure of mass

Conversion factors

← Multiply by →
Tonnes LNG cm LNG cm gas cf gas MMBTU boe
Tonnes LNG 2.222 1,300 45,909 53.38 9.203
cm LNG 0.450 585 20,649 24.02 4.141
cm gas 7.692 x 10-4 0.0017 35.31 0.0411 0.0071
cf gas 2.178 x 10-5 4.8 x 10-5 0.0283 0.0012 2.005 x 10-4
MMBTU 0.0187 0.416 24.36 860.1 0.1724
boe 0.1087 0.2415 141.3 4,989 5.8