Tue, Oct

MOLOO (More or less in Owner's option)


MOLOO (More or less in Owner's option). This term relates to the quantity of cargo which the ship is chartered to carry on a voyage charter.

It gives the shipowner the opportunity to increase the nominated quantity, especially if the ship is chartered on a freight rate, which depends on the quantity it carries. When the master tenders the Notice of Readiness he can calculate the cargo capacity of the ship after taking into account the weights of ballast (if any), the fuel, water, stores, crew and "ship's constant" and when the Notice is accepted it is considered that the quantity is also agreed by the charterer. This will affect not only the freight due to the owner but also such issues as deadfreight and stevedore expenses. The option is generally stated in percentage terms, for example, "50,000 metric tons, 5 percent more or less in owners' option..." allows the shipowner to declare that his ship will load between 47,500 and 52,500 tonnes of cargo.