Maximum price agreements

A strategy that protects you from rising bunker prices, yet allows you to benefit from falling bunker prices. If the spot price is below the agreed maximum price, you simply pay the spot price. If the spot price is above the maximum price, you still only pay the maximum price. 

How it works

If the spot price is below the agreed Maximum Price, you simply pay the spot price. If the spot price is above the Maximum Price, you still only pay the Maximum Price. 

You and Global gree upon:

• contract period
• volume per month
• place of delivery
• fuel specification
• a Maximum Price
• insurance premium to be paid

Thereafter, you simply notify Global about locations, volumes and times of delivery. The fuel is then supplied and invoiced according to the agreed terms. 

Extra flexibility

With five working days' notice, the agreed volume per calendar month can be raised in one or several deliveries. 

An Optional Port Clause offers you the maximum flexibility in your operation. It allows you to:

• take delivery wherever you need the product
• change fuel specification

The Maximum or spot price for each delivery would, of course, be adjusted with the price difference between the contractual and the actual place of delivery at the time of nomination. 

Three good reasons to use this strategy:

• Rising fuel prices would seriously undermine your business
• Stabilise your business with a guaranteed fuel supply in the ports you specify at a fixed price
• Focus on your core business