BIMCO and ASBA publish updated oil tanker charter party

BIMCO and the Association of Ship Brokers & Agents (USA) Inc. (ASBA) have revised ASBATANKVOY, the only dedicated tanker form not associated with an oil major. The updated version of the voyage charter party addresses changes in the tanker trade, commercial practices and regulations since its last revision.

The original edition of ASBATANKVOY has become outdated since it was published by ASBA in 1977. Since then, various aspects of modern tanker trade have changed along with the regulatory framework such as safety, security and marine environment protection, including oil pollution.

“The 2025 edition brings the form up to date with modern tanker trade. Throughout the process of updating the form, the joint BIMCO/ASBA subcommittee has worked closely with a wide representation of the tanker industry, including COSCO and Chevron. The result is the product of consultations with many stakeholders who have advised the subcommittee on what the industry needs,” says Stephen Harper (pictured, left), Head of Legal - Shipping at BW Group and BIMCO Co-chair of the subcommittee.

Several provisions have been inserted or updated to the 1977 version with the aim of providing an updated form which still resembles the original, as requested by respondents in the initial consultation process.

“Since its introduction in 1977, the ASBATANKVOY charter party has been recognised for carefully balancing the interests of owners and charterers,” says Søren Wolmar (right), Senior Partner at Quincannon Associates, Inc. and ASBA Co-chair of the subcommittee. “For this reason, it has become the most widely used independent tanker voyage charter party in the world.  With ASBATANKVOY 2025, our subcommittee has succeeded in maintaining this balance while modernising the form by incorporating the latest operational advancements, legal and regulatory developments, communication practices and environmental considerations.”

The arbitration provision has been updated and, like BIMCO’s Law & Arbitration Clause 2020, caters for four named arbitration venues, namely New York, London, Singapore and Hong Kong. Contrary to the original form, the 2025 edition includes New York as a default venue.

Due to the more comprehensive nature of the updated form, it should not be necessary to add as many rider clauses to ASBATANKVOY 2025 as compared with the 1977 edition. Rider clauses are additional terms that either replace or augment the original clauses. The reduced need for such clauses in ASBATANKVOY 2025 will limit the risk of inconsistency between standard provisions and rider clauses thereby increasing contractual and legal certainty.