Henriksen, LarsFerreira, MiguelLopes, Carolina Maria Castro Bagulho de Santana2017-04-282020-07-012015-07-13http://hdl.handle.net/10362/20568CEMSStringent existing and upcoming Ballast Water Management regulation subjected shipowners to install solutions on their vessels that treat the ballast water before discharge. The intent of this project is then to choose, from the wide array of technical and operational Ballast Water Treatment Systems available in the market, the optimal solution for Maersk’s retrofit program. The investment in retrofitting carries significant upfront costs and a high degree of uncertainty remains on the systems’ availability and performance reliability. The discounted cash flow method was used to compute the net present value of the system’s lifecycle costs and real option analysis was introduced to account for the value of managerial flexibility in avoiding an ill-chosen investment strategy through an option to abandon.engBallast water regulationLifecycle costsDiscounted cash flowsReal optionsmaster thesis201528614