We welcome article submissions from experts in the areas of coal, mining,
shipping, etc.
To Submit your article please click here.
|
|
|
Tuesday, 17 February 15
WHO PAYS THE SUEZ CANAL FEES? - INCE & CO
 KNOWLEDGE TO ELEVATE
This was an appeal from an arbitration award on a point of construction in relation to the wording of an addendum to a charterparty.
The Commercial Court held that the costs of transiting the Suez Canal arising as a result of amended voyage orders were for the Charterers’ account, even though the Disponent Owners would have had to incur them anyway in order to redeliver the vessel.
The background facts
The Claimant Disponent Owners (“Owners”), chartered the vessel to the Respondents for a voyage from Constanza to Djibouti. The vessel arrived at Djibouti but was unable to discharge because there were no receivers for the cargo. After the vessel had spent three months off Djibouti, the Owners and the Charterers agreed an addendum (“addendum no. 1″) to the charterparty whereby the discharge port was changed to Ain Sukhna, Egypt, a port to the south of the Suez Canal.
Addendum no. 1 provided:
“Owners and Headowners to be held harmless and indemnified against all losses, expenses, damages, risk whatsoever and howsoever arising including but not limited to those which may arise from any 3rd party including but not limited to Egyptian authority’s rejection refusal or inability to accept delivery of the cargo or from charterer’s failure to discharge cargo.”
Later, by a further addendum (“addendum no. 2″), the discharge port was changed again from Ain Sukhna to Damietta, an Egyptian port on the Mediterranean coast, meaning that the vessel would have to transit the Suez Canal northbound in order to arrive at the discharge port. Materially, addendum no. 2 provided:
“…the cargo is to be discharged at the port of Damietta (Egypt) instead of Ain Sukhna (Egypt) and all other terms, conditions, clauses and paragraphs as per Charter Party dated 23 October 2009 and addendum no. 1 and reservations of rights to remain in force.”
Under the head charterparty, a time trip charter, the Owners had to re-deliver the vessel at Port Said after completion of the voyage. She would, therefore, have had to transit the Suez Canal irrespective of the change of discharge port under addendum no. 2. The head charterparty provided that the Owners (as charterers under that charter) were responsible for all canal tolls and, therefore, as between them and the registered Owners, would have to bear the costs of transiting the Suez Canal.
In the arbitration, the Tribunal held that the costs of transiting the Suez Canal were not an expense that the Charterers had agreed to bear in the addenda on the basis that the Owners would have had to transit the Suez Canal anyway and:
“in the context, “losses” or “expenses” [in addendum no. 1, as cited above] must be construed as limited to additional losses and expenses which would not have been incurred in any event.”
It was this finding that was the subject of the Owners’ appeal.
The Commercial Court decision
The Court found that the commercial aim of the addenda had been to allow the Charterers to bring the voyage (and therefore their liability to pay demurrage) to an end and to allow the Owners to discharge the cargo and redeliver the vessel. The Court considered both the commercial objectives of the parties and their background knowledge when they agreed the addenda. The Court noted that the Owners’ liability under the head charterparty to bear the costs of transiting the Suez Canal was not within the knowledge of the Charterers and should not therefore be taken into account when assessing the scope of the Charterers’ indemnity.
Given the Court’s finding on the facts, the question which it had to answer was simply whether the expense of transiting the Suez Canal arose from the Charterers’ failure to discharge the cargo at Djibouti. The Court found that the Suez Canal transit would not have been required in order to perform the original voyage to Djibouti but was required to perform the amended voyage to Damietta and, as such, the costs of the transit were ones that the Charterers had agreed to bear. The appeal was therefore allowed.
Comment
This judgment shows the Court applying the clear wording used by the parties, since the expense arose from the Charterers’ failure to discharge the cargo at Djibouti, and that is what was expressly covered by the indemnity. The decision also emphasises that the background knowledge against which contracts will be interpreted is limited to that knowledge available to both parties.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
Source: Ince & Co | Hellenic Shipping News
If you believe an article violates your rights or the rights of others, please contact us.
|
|
Thursday, 26 February 15
DRY BULK MARKET LOOKING FOR POSITIVE MOMENTUM, BUT PROSPECTS REMAIN DIM - NIKOS ROUSSANOGLOU, HELLENIC SHIPPING NEWS
As the Baltic Dry Index (BDI) inched a bit higher over the past couple of sessions and the Chinese are returning to the market after a week long hi ...
Wednesday, 25 February 15
PORT OF NEWCASTLE SHIPPED 13.16MT OF COAL IN JANUARY; DECLINED 16.70% FROM A MONTH AGO
COALspot.com: The Port of Newcastle, Australia’s major trading ports and the world’s largest coal export port, has shipped $1.15 billio ...
Wednesday, 25 February 15
BDI SLIPPING ONCE MORE TO FRESH HISTORICAL LOWS
COALspot.com: With the BDI slipping once more to fresh historical lows and the Chinese holidays underway, signs for a positive reversal in the Dry ...
Tuesday, 24 February 15
FOB INDONESIA COAL SWAP SET TO RALLY
COALspot.com: Indonesian coal swaps for delivery Q2' 2015 rose week over week and month on month.
The Q2 swap increased US$ 3.30 (+7.30%) ...
Tuesday, 24 February 15
Q3' FOB RICHARDS BAY COAL SWAP CLOSED $59.80 W/E 20 FEB
COALspot.com: API 4 FOB Richards Bay Coal swap for delivery Q2' 2015 surge month over month and decline week on week.
The Q2 swap has soar ...
|
|
|
Showing 3176 to 3180 news of total 6871 |
|
 |
|
|
|
|
| |
|
 |
|
|
| |
|
- ICICI Bank Limited - India
- Kumho Petrochemical, South Korea
- Indika Energy - Indonesia
- TeaM Sual Corporation - Philippines
- IHS Mccloskey Coal Group - USA
- Global Business Power Corporation, Philippines
- Georgia Ports Authority, United States
- Planning Commission, India
- Baramulti Group, Indonesia
- Ind-Barath Power Infra Limited - India
- Africa Commodities Group - South Africa
- Intertek Mineral Services - Indonesia
- Alfred C Toepfer International GmbH - Germany
- Toyota Tsusho Corporation, Japan
- Kideco Jaya Agung - Indonesia
- Maharashtra Electricity Regulatory Commission - India
- Uttam Galva Steels Limited - India
- Kalimantan Lumbung Energi - Indonesia
- Madhucon Powers Ltd - India
- Semirara Mining and Power Corporation, Philippines
- Thai Mozambique Logistica
- Billiton Holdings Pty Ltd - Australia
- Bank of Tokyo Mitsubishi UFJ Ltd
- Goldman Sachs - Singapore
- Borneo Indobara - Indonesia
- Mercator Lines Limited - India
- Jorong Barutama Greston.PT - Indonesia
- Australian Commodity Traders Exchange
- Larsen & Toubro Limited - India
- Bukit Baiduri Energy - Indonesia
- IEA Clean Coal Centre - UK
- India Bulls Power Limited - India
- Singapore Mercantile Exchange
- Directorate Of Revenue Intelligence - India
- Rio Tinto Coal - Australia
- Riau Bara Harum - Indonesia
- Kaltim Prima Coal - Indonesia
- Xindia Steels Limited - India
- Edison Trading Spa - Italy
- Ministry of Mines - Canada
- Oldendorff Carriers - Singapore
- Sojitz Corporation - Japan
- Renaissance Capital - South Africa
- Attock Cement Pakistan Limited
- Agrawal Coal Company - India
- PNOC Exploration Corporation - Philippines
- Jaiprakash Power Ventures ltd
- Therma Luzon, Inc, Philippines
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- Meenaskhi Energy Private Limited - India
- Ceylon Electricity Board - Sri Lanka
- Kartika Selabumi Mining - Indonesia
- Grasim Industreis Ltd - India
- Malabar Cements Ltd - India
- Marubeni Corporation - India
- Commonwealth Bank - Australia
- LBH Netherlands Bv - Netherlands
- Videocon Industries ltd - India
- CIMB Investment Bank - Malaysia
- GMR Energy Limited - India
- Bangladesh Power Developement Board
- Bukit Asam (Persero) Tbk - Indonesia
- Vizag Seaport Private Limited - India
- New Zealand Coal & Carbon
- Semirara Mining Corp, Philippines
- Posco Energy - South Korea
- Meralco Power Generation, Philippines
- Deloitte Consulting - India
- Romanian Commodities Exchange
- TNB Fuel Sdn Bhd - Malaysia
- Standard Chartered Bank - UAE
- PetroVietnam Power Coal Import and Supply Company
- Asmin Koalindo Tuhup - Indonesia
- Aditya Birla Group - India
- Bhushan Steel Limited - India
- Ministry of Transport, Egypt
- Pendopo Energi Batubara - Indonesia
- Eastern Energy - Thailand
- Bhoruka Overseas - Indonesia
- Medco Energi Mining Internasional
- Interocean Group of Companies - India
- Salva Resources Pvt Ltd - India
- The State Trading Corporation of India Ltd
- International Coal Ventures Pvt Ltd - India
- Tata Chemicals Ltd - India
- Energy Development Corp, Philippines
- Metalloyd Limited - United Kingdom
- Dalmia Cement Bharat India
- Neyveli Lignite Corporation Ltd, - India
- Indonesian Coal Mining Association
- Indogreen Group - Indonesia
- Directorate General of MIneral and Coal - Indonesia
- London Commodity Brokers - England
- White Energy Company Limited
- Tamil Nadu electricity Board
- Wood Mackenzie - Singapore
- Australian Coal Association
- Makarim & Taira - Indonesia
- SMC Global Power, Philippines
- Indian Oil Corporation Limited
- Bhatia International Limited - India
- Bayan Resources Tbk. - Indonesia
- Karbindo Abesyapradhi - Indoneisa
- Port Waratah Coal Services - Australia
- OPG Power Generation Pvt Ltd - India
- Lanco Infratech Ltd - India
- Coastal Gujarat Power Limited - India
- South Luzon Thermal Energy Corporation
- Timah Investasi Mineral - Indoneisa
- Vedanta Resources Plc - India
- Petrochimia International Co. Ltd.- Taiwan
- Coal and Oil Company - UAE
- Mintek Dendrill Indonesia
- Vijayanagar Sugar Pvt Ltd - India
- Globalindo Alam Lestari - Indonesia
- Banpu Public Company Limited - Thailand
- Cigading International Bulk Terminal - Indonesia
- GVK Power & Infra Limited - India
- Krishnapatnam Port Company Ltd. - India
- Parliament of New Zealand
- Siam City Cement - Thailand
- Economic Council, Georgia
- Sinarmas Energy and Mining - Indonesia
- Ministry of Finance - Indonesia
- Kohat Cement Company Ltd. - Pakistan
- Chamber of Mines of South Africa
- ASAPP Information Group - India
- PTC India Limited - India
- PowerSource Philippines DevCo
- GN Power Mariveles Coal Plant, Philippines
- Merrill Lynch Commodities Europe
- Altura Mining Limited, Indonesia
- Gujarat Sidhee Cement - India
- Mjunction Services Limited - India
- Central Java Power - Indonesia
- Mercuria Energy - Indonesia
- Price Waterhouse Coopers - Russia
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Barasentosa Lestari - Indonesia
- Iligan Light & Power Inc, Philippines
- Offshore Bulk Terminal Pte Ltd, Singapore
- Formosa Plastics Group - Taiwan
- SN Aboitiz Power Inc, Philippines
- Indo Tambangraya Megah - Indonesia
- Central Electricity Authority - India
- The Treasury - Australian Government
- Maheswari Brothers Coal Limited - India
- Kapuas Tunggal Persada - Indonesia
- Straits Asia Resources Limited - Singapore
- Sindya Power Generating Company Private Ltd
- San Jose City I Power Corp, Philippines
- Petron Corporation, Philippines
- Karaikal Port Pvt Ltd - India
- Essar Steel Hazira Ltd - India
- Sical Logistics Limited - India
- Orica Australia Pty. Ltd.
- Wilmar Investment Holdings
- Electricity Authority, New Zealand
- Thiess Contractors Indonesia
- The University of Queensland
- Jindal Steel & Power Ltd - India
- Savvy Resources Ltd - HongKong
- Pipit Mutiara Jaya. PT, Indonesia
- Indian Energy Exchange, India
- Binh Thuan Hamico - Vietnam
- Samtan Co., Ltd - South Korea
- Electricity Generating Authority of Thailand
- Coalindo Energy - Indonesia
- Anglo American - United Kingdom
- Latin American Coal - Colombia
- Global Coal Blending Company Limited - Australia
- Chettinad Cement Corporation Ltd - India
- Global Green Power PLC Corporation, Philippines
- Simpson Spence & Young - Indonesia
- Aboitiz Power Corporation - Philippines
- Minerals Council of Australia
- Sree Jayajothi Cements Limited - India
- Bukit Makmur.PT - Indonesia
- VISA Power Limited - India
- Holcim Trading Pte Ltd - Singapore
- AsiaOL BioFuels Corp., Philippines
- Eastern Coal Council - USA
- Leighton Contractors Pty Ltd - Australia
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Independent Power Producers Association of India
- European Bulk Services B.V. - Netherlands
- Kobexindo Tractors - Indoneisa
- Gujarat Mineral Development Corp Ltd - India
- Antam Resourcindo - Indonesia
- McConnell Dowell - Australia
- Energy Link Ltd, New Zealand
- Bulk Trading Sa - Switzerland
- Power Finance Corporation Ltd., India
- Sarangani Energy Corporation, Philippines
- Kepco SPC Power Corporation, Philippines
- Manunggal Multi Energi - Indonesia
- Cement Manufacturers Association - India
- Star Paper Mills Limited - India
- SMG Consultants - Indonesia
- Sakthi Sugars Limited - India
- Trasteel International SA, Italy
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Gujarat Electricity Regulatory Commission - India
- Orica Mining Services - Indonesia
- GAC Shipping (India) Pvt Ltd
- Rashtriya Ispat Nigam Limited - India
- CNBM International Corporation - China
- Siam City Cement PLC, Thailand
- Bharathi Cement Corporation - India
- Carbofer General Trading SA - India
- Heidelberg Cement - Germany
- Bahari Cakrawala Sebuku - Indonesia
- Parry Sugars Refinery, India
- Miang Besar Coal Terminal - Indonesia
- Ambuja Cements Ltd - India
- MS Steel International - UAE
|
| |
| |
|
