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Panama Canal Authority Suspends Sale of Some Slots Over Low Water Level, El Nino

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Shipping Agency Norton Lilly has been informed by the Panama Canal Authority that it has temporarily suspended daily auctions for ship crossings in the regular and super segments due to low water levels and ahead of El Nino dryness, it said on Monday.

The decision was taken in light of the potential impact of El Nino conditions in the coming months, the agency said. The World Meteorological Organization says that El Nino conditions generally cause dryness in Central America.

The Panama Canal Authority informed Norton Lilly that slots which have already been purchased and which later come available due to cancellations or trait advancements, will continue to be offered through an extraordinary auction.

Norton Lilly said the changes all concerned Period 3. It said that this would result in increased competitions for Period 1 and Period 2.

Vessels without confirmed bookings may face difficulties obtaining any transit slot as a result, the agency said. While the suspension of Period 3 sales represents about 5.6% of the canal's daily capacity, it could be particularly problematic for vessels that rely on Period 3 auctions for bookings.

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