Golden Ocean Group Limted Essay Example | Topics and Well Written Essays - 2750 words

Golden Ocean Group Limted - Essay Example Golden Ocean deals with shipping of dry bulk. Primarily, this was the reason that the company demerged from Frontline Limited with the company’s key area of specialization being a spin-off of the dry bulk operations of Frontline Limited, the original company. By dry bulk, the company is in the business of shipping coal, iron ore, ingredients of steel or finished steel, gravel, sand, grain, or any other similar material. Using its own or chartered ships, Golden Ocean Limited delivers the dry bulk based upon the needs of its customers (Golden Ocean, 2010). Each year, the quantity of dry-bulk and customers increases in the shipping industry. Case in point, shipping companies registered a combined increment in shipment of iron ore imports, coal imports, grains, and steel products by more than 250million tons signifying growth (Golden Ocean, 2010). Indeed, these four examples of dry bulk products denote the operations of the company in the dry-bulk shipping industry.Golden Ocean st arted its operations with three vessels. However, the company’s operations have astronomically grown for the period it has been in operation and more so along the lines of its Capesize and Panamax vessels. On one hand, Capesize vessels are the largest vessels-in terms of capacity-operated by the company with the capacity to carry 110,000-190,000 tons of dead weight. In effect, there are a few seaports, in the world, that can accommodate these vessels due to the infrastructure required to accommodate vessels of this size.