COALspot.com keeps you connected across the coal world
  • OCTOBER 2020 INDONESIAN COAL PRICE REFERENCE FOR EXPORTS AND DOMESTIC BUYERS INCLUDING POWER PRODUCERS FIXED AT US$ 51.00 A TON

Submit Your Articles
We welcome article submissions from experts in the areas of coal, mining, shipping, etc.

To Submit your article please click here.

International Energy Events


WTI Crude Oil

BRENT Crude Oil

Search News
Latest CoalNews Headlines
Friday, 23 October 20
SHIPPING LOANS AND COLLATERAL DAMAGE - VICTOR ONYEGBADO, AKABOGU & ASSOCIATES
Akabogu lawKNOWLEDGE TO ELEVATE

Shipping finance transactions are characterised by peculiar risk factors principally on account of the shipping asset’s transient operations. The applicable rules and mercantile usages – reflective of this reality themselves – must therefore be adequately factored into financiers’ lending procedures and loan recovery strategies, whether they be banks or private investors. This article offers helpful guidance to such lenders.
 
What laws apply?
Section 53 of the Merchant Shipping Act (MSA) 2007 provides that a ship registered in Nigeria, or a share in the ship, may be made security for a loan or other valuable consideration. The law requires that there must be a “proper written instrument creating the security” known as a ship mortgage. The mortgage may be registered with the Registrar of Ships. While non-registration will not make the ship mortgage void, it should be noted that the priority of mortgages is determined by the time of registration basis. 
 
Thus, Section 57 of the MSA provides that:
[i]f there are more mortgages than one registered in respect of a ship or share, the mortgagees shall, notwithstanding any express, implied or constructive notice, be entitled in priority one over the other, according to the date on which each mortgage is recorded in the register and not according to the date of each mortgage itself.
 
What kind of interest do lenders acquire in ships?
A ship mortgage under Nigerian law is neither an absolute transfer of title nor a pledge of the ship. The mortgagee thus acquires purely a security interest in the ship which grants it the conditional power of sale in the event of the mortgagor’s default, while preserving the mortgagor’s equity of redemption. Under Section 58 of the MSA, the mortgagee will not, by reason of the mortgage, be deemed the ship’s owner nor will the mortgagor be deemed to have ceased to be the ship’s owner. The practical implication of this is that any obstruction of the mortgagor’s equity of redemption, even if contractual, will not be countenanced.
 
How secure is security?
As noted above, ship mortgages rank in priority on a time-of-registration basis. Prompt registration of the mortgage, therefore, offers a layer of protection to the mortgagee in terms of the standing of its claims against similar ones. This is in addition to such registration serving as a public notice of an encumbrance on the ship. However, whatever the ranking of ship mortgages among themselves, they nonetheless rank lower than maritime liens on the scale of priorities. Maritime liens are so called for their being available to appropriate claimants as redress for some wrong chargeable to the ship and not just its owners. They thus endure even beyond a bona fide transfer of ownership in the ship and can be exercised despite the claimant not having physical possession of the ship.
 
Section 66 (a-d) of the MSA lists maritime liens to include:
claims for wages and other sums due to the master, officers and other members of the ship’s complement in respect of their employment on the ship;
disbursements of the master on account of the ship;
claims in respect of loss of life or personal injury occurring, whether on land or on water in direct connection with the operation of the ship;
claims for damage caused by a ship;
claims for salvage, wreck removal and contribution in general average; and
claims for ports, canals and other waterways, dues and pilotage dues.
Because of the potency of maritime liens, a major thrust of the mortgagee’s risk management strategy must involve a system for identifying and ameliorating their impact on the mortgage.
 
What are lenders’ implicated rights?
In addition to the mortgagee’s right of sale in the event of the mortgagor’s default, before executing any mortgage, the mortgagor in a ship mortgage transaction must disclose in writing to the mortgagee the existence of any maritime lien, prior mortgage or other liability in respect of the ship to be mortgaged which they are aware. If a mortgagor fails to do this, the mortgage debt will, at the election of the mortgagee, become immediately due and payable, notwithstanding anything to the contrary in the mortgage.
 
Private or judicial sale: when and why?
A registered mortgagee has the power to dispose of the ship or share in respect of which they are registered and to give effectual receipts for the purchase money without recourse to court. However, such a sale will pass to the purchaser only a title which is subject to any in rem liabilities on the ship. Where the mortgagee obtains a judicial sale (ie, a sale pursuant to a court order to a sheriff or admiralty marshal to conduct the sale) the buyer obtains a clean title that is free from all in rem liabilities. Thus, a judicial sale will extinguish all mortgages and preferential rights – except those assumed by the purchaser with the consent of the mortgage holders – and all ties and other encumbrances pertaining to the ship.
Source: Victor Onyegbado, Akabogu & Associates


If you believe an article violates your rights or the rights of others, please contact us.

Recent News

Wednesday, 25 November 20
MINISTER - INDONESIA JAN-OCT COAL OUTPUT AT 459 MILLION TONNES - REUTERS
Indonesia coal output in the January to October period was 459 million tonnes, the country’s energy minister told parliament on Monday. & ...


Wednesday, 25 November 20
INDIA: MORE STEPS NEEDED TO MAKE COMMERCIAL COAL MINING ATTRACTIVE TO GLOBAL PLAYERS - LIVEMINT
India concluded its first commercial coal mine auctions earlier this month. A total of 19 coal mines spread across Madhya Pradesh, Jharkhand, Odish ...


Wednesday, 25 November 20
CHINA TAIYUAN COAL TRANSACTION PRICE INDEX UP 0.38 PCT - XINHUA
China Taiyuan coal transaction price index stood at 129.21 points Monday, up 0.38 percent week on week.   The index, released by China ...


Wednesday, 25 November 20
MARKET INSIGHT - INTERMODAL
Over 90% of the world’s goods are transported by sea. LPG is a clean, energy efficient and portable fuel that is being marketed at an afforda ...


Friday, 20 November 20
CHINA'S BENCHMARK POWER COAL PRICE EDGES UP - XINHUA
China’s benchmark power coal price rose slightly during the past week.   The Bohai-Rim Steam-Coal Price Index (BSPI), a gauge of ...


   1 2 3 4 5   
Showing 6 to 10 news of total 6147
News by Category
Popular News
 
Total Members : 27,167
Member
Panelist
User ID
Password
Remember Me
By logging on you accept our TERMS OF USE.
Free
Register
Forgot Password
 
Our Members Are From ...

  • New Zealand Coal & Carbon
  • Thailand Anthracite
  • Dong Bac Coal Mineral Investment Coporation - Vietnam
  • PTC India Limited - India
  • Kohat Cement Company Ltd. - Pakistan
  • Karbindo Abesyapradhi - Indoneisa
  • KEPCO - South Korea
  • Salva Resources Pvt Ltd - India
  • Toyota Tsusho Corporation, Japan
  • Mechel - Russia
  • BNP Paribas - Singapore
  • LBH Netherlands Bv - Netherlands
  • Maheswari Brothers Coal Limited - India
  • Total Coal South Africa
  • Grasim Industreis Ltd - India
  • Chamber of Mines of South Africa
  • UOB Asia (HK) Ltd
  • The University of Queensland
  • Idemitsu - Japan
  • Siam City Cement PLC, Thailand
  • Maybank - Singapore
  • Permata Bank - Indonesia
  • Mitra SK Pvt Ltd - India
  • Planning Commission, India
  • Indika Energy - Indonesia
  • Straits Asia Resources Limited - Singapore
  • J M Baxi & Co - India
  • Karaikal Port Pvt Ltd - India
  • Global Business Power Corporation, Philippines
  • White Energy Company Limited
  • VISA Power Limited - India
  • Gujarat Sidhee Cement - India
  • Trasteel International SA, Italy
  • GB Group - China
  • Barasentosa Lestari - Indonesia
  • Therma Luzon, Inc, Philippines
  • International Coal Ventures Pvt Ltd - India
  • Economic Council, Georgia
  • Binh Thuan Hamico - Vietnam
  • Reliance Power - India
  • TANGEDCO India
  • OCBC - Singapore
  • Arutmin Indonesia
  • TNPL - India
  • Meenaskhi Energy Private Limited - India
  • Tata Chemicals Ltd - India
  • Simpson Spence & Young - Indonesia
  • Energy Development Corp, Philippines
  • Thai Mozambique Logistica
  • Billiton Holdings Pty Ltd - Australia
  • Gupta Coal India Ltd
  • Kapuas Tunggal Persada - Indonesia
  • Directorate General of MIneral and Coal - Indonesia
  • KPCL - India
  • Arch Coal - USA
  • Sree Jayajothi Cements Limited - India
  • JPMorgan - India
  • Altura Mining Limited, Indonesia
  • Cargill India Pvt Ltd
  • ICICI Bank Limited - India
  • Makarim & Taira - Indonesia
  • Borneo Indobara - Indonesia
  • Cemex - Philippines
  • TNB Fuel Sdn Bhd - Malaysia
  • Jorong Barutama Greston.PT - Indonesia
  • Marubeni Corporation - India
  • Wood Mackenzie - Singapore
  • Sojitz Corporation - Japan
  • Posco Energy - South Korea
  • NTPC Limited - India
  • ASAPP Information Group - India
  • Bahari Cakrawala Sebuku - Indonesia
  • Panama Canal Authority
  • Australian Coal Association
  • Coal and Oil Company - UAE
  • Medco Energi Mining Internasional
  • Savvy Resources Ltd - HongKong
  • Ministry of Mines - Canada
  • Ambuja Cements Ltd - India
  • Interocean Group of Companies - India
  • Africa Commodities Group - South Africa
  • Geoservices-GeoAssay Lab
  • Parry Sugars Refinery, India
  • Intertek Mineral Services - Indonesia
  • IBC Asia (S) Pte Ltd
  • Surastha Cement
  • Adaro Indonesia
  • Thiess Contractors Indonesia
  • Core Mineral Indonesia
  • McConnell Dowell - Australia
  • Cigading International Bulk Terminal - Indonesia
  • Semirara Mining and Power Corporation, Philippines
  • GNFC Limited - India
  • Videocon Industries ltd - India
  • Coastal Gujarat Power Limited - India
  • UBS Singapore
  • ETA - Dubai
  • Riau Bara Harum - Indonesia
  • Coeclerici Indonesia
  • OPG Power Generation Pvt Ltd - India
  • Essar Steel Hazira Ltd - India
  • Orica Mining Services - Indonesia
  • Deutsche Bank - India
  • Credit Suisse - India
  • Manunggal Multi Energi - Indonesia
  • Malco - India
  • Independent Power Producers Association of India
  • Attock Cement Pakistan Limited
  • Bharathi Cement Corporation - India
  • Bangladesh Power Developement Board
  • McKinsey & Co - India
  • Argus Media - Singapore
  • Power Finance Corporation Ltd., India
  • Merrill Lynch Bank
  • Russian Coal LLC
  • Global Coal Blending Company Limited - Australia
  • Offshore Bulk Terminal Pte Ltd, Singapore
  • Ernst & Young Pvt. Ltd.
  • Sucofindo - Indonesia
  • Leighton Contractors Pty Ltd - Australia
  • Mitsui
  • Humpuss - Indonesia
  • Platou - Singapore
  • Inco-Indonesia
  • Rashtriya Ispat Nigam Limited - India
  • Eastern Energy - Thailand
  • Energy Link Ltd, New Zealand
  • Anglo American - United Kingdom
  • TRAFIGURA, South Korea
  • Central Java Power - Indonesia
  • Alfred C Toepfer International GmbH - Germany
  • Agrawal Coal Company - India
  • Ince & co LLP
  • Port Waratah Coal Services - Australia
  • Semirara Mining Corp, Philippines
  • Jindal Steel & Power Ltd - India
  • DBS Bank - Singapore
  • Electricity Generating Authority of Thailand
  • MEC Coal - Indonesia
  • CESC Limited - India
  • Gresik Semen - Indonesia
  • Indorama - Singapore
  • Bulk Trading Sa - Switzerland
  • Kalimantan Lumbung Energi - Indonesia
  • Bukit Asam (Persero) Tbk - Indonesia
  • Asian Development Bank
  • India Bulls Power Limited - India
  • Ministry of Finance - Indonesia
  • Shree Cement - India
  • CoalTek, United States
  • World Bank
  • KOWEPO - South Korea
  • Gujarat Mineral Development Corp Ltd - India
  • Coal India Limited
  • GVK Power & Infra Limited - India
  • Dalmia Cement Bharat India
  • Vedanta Resources Plc - India
  • KPMG - USA
  • Bangkok Bank PCL
  • SGS (Thailand) Limited
  • Kumho Petrochemical, South Korea
  • Standard Chartered Bank - UAE
  • Miang Besar Coal Terminal - Indonesia
  • Eastern Coal Council - USA
  • Mitsubishi Corporation
  • Moodys - Singapore
  • Romanian Commodities Exchange
  • PetroVietnam
  • The Treasury - Australian Government
  • Maharashtra Electricity Regulatory Commission - India
  • IMC Shipping - Singapore
  • Indogreen Group - Indonesia
  • European Bulk Services B.V. - Netherlands
  • Filglen & Citicon Mining (HK) Ltd - Hong Kong
  • EIA - United States
  • ING Bank NV - Singapore
  • Edison Trading Spa - Italy
  • Freeport Indonesia
  • Ministry of Transport, Egypt
  • Thomson Reuters GRC
  • Indonesian Coal Mining Association
  • Vitol - Bahrain
  • Clarksons - UK
  • Fearnleys - India
  • SMG Consultants - Indonesia
  • GAC Shipping (India) Pvt Ltd
  • PetroVietnam Power Coal Import and Supply Company
  • Renaissance Capital - South Africa
  • Lanco Infratech Ltd - India
  • Kobe Steel Ltd - Japan
  • Japan Coal Energy Center
  • HSBC - Hong Kong
  • GHCL Limited - India
  • Georgia Ports Authority, United States
  • Coalindo Energy - Indonesia
  • TeaM Sual Corporation - Philippines
  • Banpu Public Company Limited - Thailand
  • CNBM International Corporation - China
  • SUEK AG - Indonesia
  • Global Green Power PLC Corporation, Philippines
  • Sindya Power Generating Company Private Ltd
  • Sarangani Energy Corporation, Philippines
  • CCIC - Indonesia
  • Directorate Of Revenue Intelligence - India
  • Goldman Sachs - Singapore
  • Adani Power Ltd - India
  • Lafarge - France
  • Cebu Energy, Philippines
  • The State Trading Corporation of India Ltd
  • Samsung - South Korea
  • Thriveni
  • Timah Investasi Mineral - Indoneisa
  • Latin American Coal - Colombia
  • Vizag Seaport Private Limited - India
  • PLN Batubara - Indonesia
  • Wilmar Investment Holdings
  • APGENCO India
  • Petrosea - Indonesia
  • GMR Energy Limited - India
  • Aditya Birla Group - India
  • Merrill Lynch Commodities Europe
  • Singapore Mercantile Exchange
  • SASOL - South Africa
  • Bhoruka Overseas - Indonesia
  • Commonwealth Bank - Australia
  • Price Waterhouse Coopers - Russia
  • Kepco SPC Power Corporation, Philippines
  • Noble Europe Ltd - UK
  • Indonesia Power. PT
  • Vijayanagar Sugar Pvt Ltd - India
  • Maruti Cements - India
  • Kideco Jaya Agung - Indonesia
  • Maersk Broker
  • Gujarat Electricity Regulatory Commission - India
  • CIMB Investment Bank - Malaysia
  • RBS Sempra - UK
  • WorleyParsons
  • Tanito Harum - Indonesia
  • Cardiff University - UK
  • U S Energy Resources
  • Barclays Capital - USA
  • Star Paper Mills Limited - India
  • IEA Clean Coal Centre - UK
  • Sical Logistics Limited - India
  • Deloitte Consulting - India
  • JPower - Japan
  • Tata Power - India
  • Baramulti Group, Indonesia
  • World Coal - UK
  • Rudhra Energy - India
  • Pinang Coal Indonesia
  • Petron Corporation, Philippines
  • Bhatia International Limited - India
  • ACC Limited - India
  • bp singapore
  • Parliament of New Zealand
  • Pendopo Energi Batubara - Indonesia
  • Bukit Baiduri Energy - Indonesia
  • PowerSource Philippines DevCo
  • TGV SRAAC LIMITED, India
  • Minerals Council of Australia
  • Cement Manufacturers Association - India
  • Meralco Power Generation, Philippines
  • London Commodity Brokers - England
  • Bank of China, Malaysia
  • GN Power Mariveles Coal Plant, Philippines
  • Ind-Barath Power Infra Limited - India
  • Orica Australia Pty. Ltd.
  • Ceylon Electricity Board - Sri Lanka
  • Petrochimia International Co. Ltd.- Taiwan
  • Malabar Cements Ltd - India
  • Holcim Trading Pte Ltd - Singapore
  • Aboitiz Power Corporation - Philippines
  • EMO - The Netherlands
  • Kartika Selabumi Mining - Indonesia
  • San Jose City I Power Corp, Philippines
  • PNOC Exploration Corporation - Philippines
  • Pipit Mutiara Jaya. PT, Indonesia
  • Krishnapatnam Port Company Ltd. - India
  • Neyveli Lignite Corporation Ltd, - India
  • IHS Mccloskey Coal Group - USA
  • MS Steel International - UAE
  • BRS Brokers - Singapore
  • Jaiprakash Power Ventures ltd
  • SRK Consulting
  • Madhucon Powers Ltd - India
  • Vale Mozambique
  • Platts
  • Siam City Cement - Thailand
  • Iligan Light & Power Inc, Philippines
  • Qatrana Cement - Jordan
  • Truba Alam Manunggal Engineering.Tbk - Indonesia
  • AsiaOL BioFuels Corp., Philippines
  • Britmindo - Indonesia
  • Thermax Limited - India
  • PLN - Indonesia
  • Runge Indonesia
  • Australian Commodity Traders Exchange
  • SMC Global Power, Philippines
  • Asia Cement - Taiwan
  • Cosco
  • Indian School of Mines
  • Heidelberg Cement - Germany
  • Bayan Resources Tbk. - Indonesia
  • Coaltrans Conferences
  • Bukit Makmur.PT - Indonesia
  • Infraline Energy - India
  • Mercuria Energy - Indonesia
  • Kobexindo Tractors - Indoneisa
  • Peabody Energy - USA
  • NALCO India
  • Samtan Co., Ltd - South Korea
  • Kaltim Prima Coal - Indonesia
  • Inspectorate - India
  • Carbofer General Trading SA - India
  • Central Electricity Authority - India
  • Xindia Steels Limited - India
  • Bank of Tokyo Mitsubishi UFJ Ltd
  • Coal Orbis AG
  • Chettinad Cement Corporation Ltd - India
  • Dr Ramakrishna Prasad Power Pvt Ltd - India
  • Mercator Lines Limited - India
  • Globalindo Alam Lestari - Indonesia
  • Larsen & Toubro Limited - India
  • Rio Tinto Coal - Australia
  • Oldendorff Carriers - Singapore
  • Glencore India Pvt. Ltd
  • Asia Pacific Energy Resources Ventures Inc, Philippines
  • Asmin Koalindo Tuhup - Indonesia
  • Sinarmas Energy and Mining - Indonesia
  • Enel Italy
  • Bank of America
  • Xstrata Coal
  • Mintek Dendrill Indonesia
  • South Luzon Thermal Energy Corporation
  • Jatenergy - Australia
  • Metalloyd Limited - United Kingdom
  • IOL Indonesia
  • Uttam Galva Steels Limited - India
  • Mjunction Services Limited - India
  • Berau Coal - Indonesia
  • ANZ Bank - Australia
  • The India Cements Ltd
  • Sakthi Sugars Limited - India
  • SN Aboitiz Power Inc, Philippines
  • Bhushan Steel Limited - India
  • Indian Oil Corporation Limited
  • Tamil Nadu electricity Board
  • Antam Resourcindo - Indonesia
  • Shenhua Group - China
  • Formosa Plastics Group - Taiwan
  • Indo Tambangraya Megah - Indonesia
  • globalCOAL - UK