From trading to recycling, handled responsibly.
From trading to recycling, handled responsibly.
Optima · Recycling desk The orderly end
What we do.
From Trading to Recycling, Handled Responsibly
Optima's Ship Recycling desk advises owners on the disposal of end-of-life tonnage, managing the process from initial market positioning through final recycling and settlement. The scope includes buyer and yard selection, commercial negotiation, demolition contracts, payment and refund security, Inventory of Hazardous Materials compliance, class and flag coordination, voyage planning, and delivery execution under a single point of responsibility throughout the transaction.
The desk works exclusively with established recycling buyers and vetted yards across Turkey, India, Bangladesh, and Pakistan. Yard selection is based not only on pricing, but also on regulatory standing, operational capability, financial reliability, downstream handling standards, and prevailing capacity conditions at the time of sale.
Every project is structured in accordance with the applicable regulatory framework, including the EU Ship Recycling Regulation, the Hong Kong International Convention, and relevant Basel Convention requirements. Compliance considerations are integrated from the outset of the process through yard selection, contractual structure, documentation, and delivery planning.
Whether handling an individual disposal or a phased fleet recycling programme, the objective remains consistent: position the asset in the most suitable market, manage execution with strict operational control, and maximise residual value within the realities of the prevailing cycle and regulatory environment.
Key Capabilities
Responsible recycling is not a footnote. It is six tightly coordinated disciplines, delivered on every contract we broker.
Best-price negotiation, transparent.
Before the vessel is introduced to the recycling market, a full commercial and regulatory assessment is undertaken. Vessel age, technical condition, class status, flag exposure, trading history, upcoming survey liabilities, and prevailing recycling market conditions are reviewed to determine whether disposal is commercially justified, when timing is optimal within the cycle, and under which regulatory framework the transaction should be structured. In certain cases, the appropriate advice is to defer recycling entirely.
Regulatory compliance, clean.
The Inventory of Hazardous Materials forms a central component of any compliant recycling transaction. The desk coordinates IHM preparation and certification through accredited surveyors and technical providers, ensuring documentation is aligned with applicable class, flag, and regulatory requirements. Supporting records, declarations, and certification are reviewed carefully before the vessel proceeds toward delivery.
IHM coordination, end to end.
The recycling market is canvassed through a network of vetted facilities across Turkey, India, Bangladesh, and Pakistan, including yards operating under the EU Ship Recycling Regulation or equivalent environmental and safety standards where applicable. Each opportunity is presented transparently, with clear comparison of price per light displacement tonne, payment structure, delivery basis, recycling facility, and contractual terms, allowing the owner to evaluate the complete commercial picture.
Approved yards, nothing else.
The recycling contract is negotiated in detail on behalf of the owner, with attention given to pricing structure, payment timing, financial security, delivery conditions, sanctions exposure, regulatory obligations, and operational risk allocation. The objective is not only to secure competitive value, but also to preserve certainty of performance through completion of the transaction.
Last-voyage planning, handled.
The mandate concludes only after payment has been received in full, contractual recycling obligations have been verified, and all final documentation has been delivered to the owner. Oversight continues through settlement, vessel delivery, recycling confirmation, and compliance verification to ensure the transaction is completed in accordance with both the contract and the applicable regulatory regime.
Track Record
All Major vessel segments
100+ Approved recycling network
Behind the Recycling Mandate
A recycling decision is driven by a broader set of commercial and regulatory factors than prevailing steel prices alone. Freight conditions, residual trading potential, special survey exposure, environmental compliance costs, local recycling demand, and delivery positioning all materially influence timing and achievable value. Market assessment is therefore conducted against the vessel's full operating profile before any approach is made to buyers or yards.
Our Green Recycling Commitment
Optima is committed to responsible and compliant ship recycling practices across every stage of the disposal process. Recycling projects are executed exclusively with vetted facilities that meet recognised international safety, environmental, and operational standards, with regulatory compliance integrated from the outset of each mandate.
Every recycling project managed by the desk includes:
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Full Inventory of Hazardous Materials (IHM) documentation prepared and verified to applicable class and regulatory standards
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Ship Recycling Plan coordination with the receiving facility prior to delivery
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Verification of EU Ship Recycling Regulation approval status or equivalent internationally recognised certification where applicable
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Oversight of recycling execution against agreed environmental and compliance procedures
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Review of worker safety standards and operational practices in alignment with recognised international labour and safety frameworks
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Structured contractual controls covering environmental obligations, downstream handling, and delivery compliance
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Continuous coordination between owner, cash buyer, yard, class, and flag administration throughout the recycling process
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Post-delivery documentation and compliance verification through completion of recycling operations
Questions we answer, on every recycling mandate.
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01 What is the EU Ship Recycling Regulation and does it apply to my vessel?
The EU SRR requires that vessels flagged in EU member states be recycled at facilities on the European List of approved ship recycling facilities. It also mandates that all vessels calling at EU ports carry an up-to-date Inventory of Hazardous Materials. Even if your vessel is not EU-flagged, IHM compliance may be required for EU port access. We advise on applicability based on your specific flag and trading pattern.
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02 How is the recycling price determined?
Recycling prices are quoted per Lightweight Displacement Tonnage (LDT) and fluctuate with global scrap steel markets, yard demand, and currency movements. We canvass multiple yards to ensure competitive pricing and present a transparent comparison of all offers received.
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03 What is an Inventory of Hazardous Materials (IHM)?
The IHM is a documented inventory of all hazardous materials present onboard a vessel, including asbestos, heavy metals, and other regulated substances. It is required under both the EU SRR and the Hong Kong Convention. We coordinate the survey and documentation process with accredited IHM providers.
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04 Does Optima work with yards outside the EU List?
We work with yards that meet recognized international standards. For EU-flagged vessels, the yard must be on the European List. For non-EU-flagged vessels, we select yards that comply with the Hong Kong Convention or equivalent national legislation. All yards in our network are vetted for safety and environmental standards.
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05 How long does the recycling process take?
From the decision to recycle through final settlement, a typical project takes 30 to 90 days depending on IHM status, voyage distance, and yard scheduling. Vessels with a current IHM and favorable positioning can move faster. We provide a detailed timeline at the outset of each project.
Let's close the file, properly.
Considering Recycling?
Get an independent assessment of your vessel's recycling value and a clear view of the regulatory requirements.