We welcome article submissions from experts in the areas of coal, mining,
shipping, etc.
To Submit your article please click here.
|
|
|
Wednesday, 05 February 14
MARKET INSIGHT - TASOS PAPADOPOULOS
 KNOWLEDGE TO ELEVATE
COALspot.com: Let's take a break from market prospects, numbers, order book etc. and shed some light on the conclusions of the Tribunals in two recently decided cases, namely "The Union Power" and "The Griffon", which any prudent Seller/Buyer should be aware of before entering into an MOA for a secondhand tonnage. In "the Griffon" case an MoA based upon NSF 93 had been signed on 1st May 2010 for the purchase of m/v Griffon. A deposit of 10pct (i.e USD 2,156,000) was payable within 3 banking days of signature; that is by 5th May, 2010. The deposit was not paid by that date and Sellers, on 6th May, 2010 cancelled the MOA as per their express contractual right and claimed the deposit. Buyers had accepted that their failure to pay the deposit was in breach of contract but argued that Sellers should only be entitled to claim "compensation for losses" (as per clause 13 ) and not the whole deposit.
The Court of Appeal confirmed that Buyers are liable for the amount of the (unpaid) whole deposit, if the MOA is terminated as a result of Buyers’ breach. This heralds a departure from the previously held view that under clause 13 of NSF 93, where a Buyer fails to pay the deposit under clause 2, Sellers "shall have the right to cancel this Agreement, and they shall be entitled to claim compensation for their losses and for all expenses incurred together with interest" (which might be less than the amount of the deposit). During the arbitration it was argued that the damages recoverable by Sellers should be the difference between contract and market price which were said to be US$275,000; that is, substantially less than the deposit (i.e. USD 2,156,000). The Court however, concluded that Sellers are in fact entitled to claim the whole deposit in such circumstances.
Anyway, it would not make sense for Buyers to be able to put themselves in a better position than the one they would have been had they not paid the deposit. This case is a reminder to Buyers of secondhand tonnage that if they agree to pay a deposit, under standard NSF terms, they will lose the deposit if they fail to perform, even if Sellers suffer no loss. The case of "The Union Power" in turn, has caused us to re-assess the Sellers' obligation under clause 11 of NSF 93 (Condition on Delivery) and a different understanding of the terms "As is where is " and "As she was at the time of inspection". The MOA in this case, included clause 11 that stipulated that the vessel was to be “delivered and taken over as she was at the time of inspection, fair wear and tear excepted”. When the dispute arose, the buyers argued that a term as to satisfactory quality was to be implied into the MOA by way of s.14(2) of the Sale of Goods Act 1979 (SOGA). Sellers argued that the provision of clause 11, that the vessel was to be sold “as she was”, was inconsistent with implying such a term. The Commercial Court decided in favor of the Buyers, concluding that "class does not tell you the quality of the vessel, which is why the independent implied term as to satisfactory quality is required".
As a result, the effects of the expressions "As is" or "As is where is" no longer exclude the right of Buyers to claim for damages for breach of implied “quality” but only to exclude their right to reject the vessel and not take delivery of her as per the terms and provisions of the MOA. In my view, the above decision is contrary to the commercial common sense and market understanding that has been the basis for thousands of deals over the years.
However, it is worth mentioning that the new NSF 2012 includes wording under Clause 18 which excludes the SOGA regime. Ultimately, what matters is whether the parties have used express and clear wording, such as that of NSF2012, to exclude the SOGA regime if they wish to exclude the satisfactory quality rule.
Compiled by:
Intermodal Research & Valuations | research@intermodal.gr
Analysts:
Mr. George Lazaridis | g.lazaridis@intermodal.gr
Ms. Eva Tzima | e.tzima@intermodal.gr
Disclaimer and legal disclosure: For any further queries please do not hesitate to contact our Research & Valuations Department. The information contained in this report has been obtained from various sources, as reported in the market. Intermodal Shipbrokers Co. believes such information to be factual and reliable without making guarantees regarding its accuracy or completeness. Whilst every care has been taken in the production of the above review, no liability can be accepted for any loss or damage incurred in any way whatsoever by any person who may seek to rely on the information and views contained in this material. This report is being produced for the internal use of the intended recipients only and no re-producing is allowed, without the prior written authorization of Intermodal Shipbrokers Co.
Information contained within the website of COALspot.com is intended for informational purposes only and is not intended as professional counsel and should not be used as such.
If you believe an article violates your rights or the rights of others, please contact us.
|
|
Wednesday, 12 February 14
NEW BUILDING ORDERS REACHING NEW POST-CRISIS HEIGHTS - NIKOS ROUSSANOGLOU, HELLENIC SHIPPING NEWS
Ship owners are looking to take advantage of the last few attractive deals in the new building market, before prices start climbing to new highs and ...
Wednesday, 12 February 14
2013 WAS THE YEAR OF PRIVATE EQUITY FUNDING - TIMOS PAPADIMITRIOU
COALspot.com: People say that money makes the world go round. Well, can it be that it’s the other way around? Is it possible that money needs ...
Tuesday, 11 February 14
INDONESIAN COAL SWAP SHOWS STRONG GROWTH IN 2014 SECOND HALF
COALspot.com – Swaps prices slide for thermal coal loading from Indonesia, the world’s largest exporter of the fuel, according SGX.
T ...
Tuesday, 11 February 14
AUSTRALIA'S NEWCASTLE COAL EXPORTS SLIDE AROUND 15% WEEK ON WEEK
COALspot.com: In the week ended 10 February 2014, power plant and semi-soft coking coal shipments from the port of Newcastle in Queensland, totalled ...
Tuesday, 11 February 14
SHIP OWNERS INVEST IN 447 NEWBUILDINGS AND SECOND HAND VESSELS DURING JANUARY - NIKOS ROUSSANOGLOU, HELLENIC SHIPPING NEWS
Despite a rough start to the year for the dry bulk freight market and lackluster performance from most other shipping sub-segments, ship owners have ...
|
|
|
Showing 3856 to 3860 news of total 6871 |
|
 |
|
|
|
|
| |
|
 |
|
|
| |
|
- Global Business Power Corporation, Philippines
- Agrawal Coal Company - India
- Eastern Energy - Thailand
- Georgia Ports Authority, United States
- Ministry of Transport, Egypt
- Coal and Oil Company - UAE
- Parry Sugars Refinery, India
- Kideco Jaya Agung - Indonesia
- Meenaskhi Energy Private Limited - India
- Latin American Coal - Colombia
- Binh Thuan Hamico - Vietnam
- Orica Mining Services - Indonesia
- Antam Resourcindo - Indonesia
- Parliament of New Zealand
- Star Paper Mills Limited - India
- Heidelberg Cement - Germany
- Makarim & Taira - Indonesia
- Salva Resources Pvt Ltd - India
- McConnell Dowell - Australia
- Central Electricity Authority - India
- Deloitte Consulting - India
- Karaikal Port Pvt Ltd - India
- Orica Australia Pty. Ltd.
- Chettinad Cement Corporation Ltd - India
- Mintek Dendrill Indonesia
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Planning Commission, India
- Port Waratah Coal Services - Australia
- Tamil Nadu electricity Board
- Cement Manufacturers Association - India
- Miang Besar Coal Terminal - Indonesia
- Thai Mozambique Logistica
- Vedanta Resources Plc - India
- Global Green Power PLC Corporation, Philippines
- Intertek Mineral Services - Indonesia
- Aditya Birla Group - India
- SN Aboitiz Power Inc, Philippines
- Essar Steel Hazira Ltd - India
- SMG Consultants - Indonesia
- Eastern Coal Council - USA
- Metalloyd Limited - United Kingdom
- Holcim Trading Pte Ltd - Singapore
- GVK Power & Infra Limited - India
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Price Waterhouse Coopers - Russia
- Indogreen Group - Indonesia
- Global Coal Blending Company Limited - Australia
- London Commodity Brokers - England
- Asmin Koalindo Tuhup - Indonesia
- Rashtriya Ispat Nigam Limited - India
- Indian Energy Exchange, India
- European Bulk Services B.V. - Netherlands
- OPG Power Generation Pvt Ltd - India
- Kalimantan Lumbung Energi - Indonesia
- MS Steel International - UAE
- Offshore Bulk Terminal Pte Ltd, Singapore
- Kapuas Tunggal Persada - Indonesia
- LBH Netherlands Bv - Netherlands
- Standard Chartered Bank - UAE
- Independent Power Producers Association of India
- Semirara Mining Corp, Philippines
- IHS Mccloskey Coal Group - USA
- ICICI Bank Limited - India
- Kobexindo Tractors - Indoneisa
- Central Java Power - Indonesia
- Therma Luzon, Inc, Philippines
- Trasteel International SA, Italy
- Directorate General of MIneral and Coal - Indonesia
- Petrochimia International Co. Ltd.- Taiwan
- Kartika Selabumi Mining - Indonesia
- Bayan Resources Tbk. - Indonesia
- Savvy Resources Ltd - HongKong
- Gujarat Electricity Regulatory Commission - India
- Bangladesh Power Developement Board
- Ambuja Cements Ltd - India
- Merrill Lynch Commodities Europe
- Toyota Tsusho Corporation, Japan
- Wood Mackenzie - Singapore
- Sindya Power Generating Company Private Ltd
- Thiess Contractors Indonesia
- Oldendorff Carriers - Singapore
- Maharashtra Electricity Regulatory Commission - India
- Bhatia International Limited - India
- Ceylon Electricity Board - Sri Lanka
- Jorong Barutama Greston.PT - Indonesia
- Dalmia Cement Bharat India
- Medco Energi Mining Internasional
- Madhucon Powers Ltd - India
- Kaltim Prima Coal - Indonesia
- Siam City Cement - Thailand
- TeaM Sual Corporation - Philippines
- Neyveli Lignite Corporation Ltd, - India
- Bukit Asam (Persero) Tbk - Indonesia
- Lanco Infratech Ltd - India
- CNBM International Corporation - China
- Aboitiz Power Corporation - Philippines
- Indika Energy - Indonesia
- Bukit Baiduri Energy - Indonesia
- Iligan Light & Power Inc, Philippines
- Kepco SPC Power Corporation, Philippines
- Sinarmas Energy and Mining - Indonesia
- GN Power Mariveles Coal Plant, Philippines
- Attock Cement Pakistan Limited
- VISA Power Limited - India
- Ministry of Finance - Indonesia
- Carbofer General Trading SA - India
- Economic Council, Georgia
- Sree Jayajothi Cements Limited - India
- Goldman Sachs - Singapore
- Singapore Mercantile Exchange
- Baramulti Group, Indonesia
- Sarangani Energy Corporation, Philippines
- Edison Trading Spa - Italy
- Tata Chemicals Ltd - India
- New Zealand Coal & Carbon
- Sakthi Sugars Limited - India
- Semirara Mining and Power Corporation, Philippines
- Straits Asia Resources Limited - Singapore
- Kohat Cement Company Ltd. - Pakistan
- GAC Shipping (India) Pvt Ltd
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- The Treasury - Australian Government
- Jaiprakash Power Ventures ltd
- Formosa Plastics Group - Taiwan
- Electricity Authority, New Zealand
- Xindia Steels Limited - India
- Altura Mining Limited, Indonesia
- Manunggal Multi Energi - Indonesia
- Videocon Industries ltd - India
- Timah Investasi Mineral - Indoneisa
- IEA Clean Coal Centre - UK
- CIMB Investment Bank - Malaysia
- Energy Development Corp, Philippines
- Leighton Contractors Pty Ltd - Australia
- Vizag Seaport Private Limited - India
- Mercator Lines Limited - India
- Jindal Steel & Power Ltd - India
- Vijayanagar Sugar Pvt Ltd - India
- Indonesian Coal Mining Association
- Pendopo Energi Batubara - Indonesia
- Pipit Mutiara Jaya. PT, Indonesia
- Renaissance Capital - South Africa
- Meralco Power Generation, Philippines
- Siam City Cement PLC, Thailand
- Kumho Petrochemical, South Korea
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- Interocean Group of Companies - India
- Borneo Indobara - Indonesia
- PTC India Limited - India
- PowerSource Philippines DevCo
- Alfred C Toepfer International GmbH - Germany
- Australian Commodity Traders Exchange
- The University of Queensland
- Bhushan Steel Limited - India
- Gujarat Mineral Development Corp Ltd - India
- Romanian Commodities Exchange
- Bharathi Cement Corporation - India
- Ind-Barath Power Infra Limited - India
- Simpson Spence & Young - Indonesia
- India Bulls Power Limited - India
- SMC Global Power, Philippines
- The State Trading Corporation of India Ltd
- Commonwealth Bank - Australia
- Karbindo Abesyapradhi - Indoneisa
- Uttam Galva Steels Limited - India
- Indian Oil Corporation Limited
- Bank of Tokyo Mitsubishi UFJ Ltd
- Directorate Of Revenue Intelligence - India
- International Coal Ventures Pvt Ltd - India
- Banpu Public Company Limited - Thailand
- Sojitz Corporation - Japan
- Bhoruka Overseas - Indonesia
- Globalindo Alam Lestari - Indonesia
- GMR Energy Limited - India
- Sical Logistics Limited - India
- Electricity Generating Authority of Thailand
- Maheswari Brothers Coal Limited - India
- PNOC Exploration Corporation - Philippines
- Bukit Makmur.PT - Indonesia
- Posco Energy - South Korea
- Wilmar Investment Holdings
- Ministry of Mines - Canada
- Coastal Gujarat Power Limited - India
- Australian Coal Association
- Petron Corporation, Philippines
- Mercuria Energy - Indonesia
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Chamber of Mines of South Africa
- Energy Link Ltd, New Zealand
- Coalindo Energy - Indonesia
- Grasim Industreis Ltd - India
- ASAPP Information Group - India
- Anglo American - United Kingdom
- Krishnapatnam Port Company Ltd. - India
- Marubeni Corporation - India
- White Energy Company Limited
- Africa Commodities Group - South Africa
- San Jose City I Power Corp, Philippines
- Larsen & Toubro Limited - India
- AsiaOL BioFuels Corp., Philippines
- Barasentosa Lestari - Indonesia
- Samtan Co., Ltd - South Korea
- Minerals Council of Australia
- PetroVietnam Power Coal Import and Supply Company
- Rio Tinto Coal - Australia
- Mjunction Services Limited - India
- Billiton Holdings Pty Ltd - Australia
- TNB Fuel Sdn Bhd - Malaysia
- Gujarat Sidhee Cement - India
- South Luzon Thermal Energy Corporation
- Indo Tambangraya Megah - Indonesia
- Bahari Cakrawala Sebuku - Indonesia
- Power Finance Corporation Ltd., India
- Riau Bara Harum - Indonesia
- Bulk Trading Sa - Switzerland
- Malabar Cements Ltd - India
- Cigading International Bulk Terminal - Indonesia
|
| |
| |
|
