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, 11 December 13
BDI REACHED A PEAK OF YEAR RECORD OF 2,237 POINTS WHICH IS A SIGNIFICANT CHANGE IN MARKET CONDITIONS
Getting closer to the end of 2013, it is important that we have a review of the course the market has taken these past 12 months by looking at the B ...
Tuesday, 10 December 13
HNL, AN INDIAN STATE-OWNED NEWSPRINT PAPER MAKER SEEKS 50K TONS OF INDONESIAN 5600 COAL
COALspot.com: Hindustan Newsprint limited (HNL), an Indian state owned news print paper producer invited bids to supply 50,000MT of min 5,200kcal/kg ...
Tuesday, 10 December 13
COLOMBIAN THERMAL COAL EXPORTS SLIPPED 25.54% M-M IN OCTOBER'13
COALspot.com: Colombia's Thermal coal exports in October dropped 25.54% month on month to 5,990,815.13 million mt, according to data from mining de ...
Tuesday, 10 December 13
NEWCASTLE COAL EXPORTS PLUNGE W-O-W
COALspot.com: In the week ended December 9, power plant and semi-soft coking coal shipments from the port of Newcastle in Queensland, totalled 2.50 ...
Monday, 09 December 13
SOUTH AFRICA'S RICHARDS BAY COAL EXPORTS IN NOVEMBER DECLINED 14.43% M-M
COALspot.com: South Africa's Richards Bay coal terminal exported 6.224 million tonnes of coal in November, declining by 1.05 million tons from the ...
|
|
|
Showing 3961 to 3965 news of total 6871 |
|
 |
|
|
|
|
| |
|
 |
|
|
| |
|
- Ministry of Finance - Indonesia
- Anglo American - United Kingdom
- Straits Asia Resources Limited - Singapore
- Tamil Nadu electricity Board
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Sindya Power Generating Company Private Ltd
- Oldendorff Carriers - Singapore
- Deloitte Consulting - India
- Sojitz Corporation - Japan
- Eastern Coal Council - USA
- Attock Cement Pakistan Limited
- Sical Logistics Limited - India
- Gujarat Sidhee Cement - India
- Kepco SPC Power Corporation, Philippines
- Videocon Industries ltd - India
- The University of Queensland
- Bank of Tokyo Mitsubishi UFJ Ltd
- Madhucon Powers Ltd - India
- Interocean Group of Companies - India
- Ministry of Mines - Canada
- SMG Consultants - Indonesia
- San Jose City I Power Corp, Philippines
- Eastern Energy - Thailand
- Miang Besar Coal Terminal - Indonesia
- Petrochimia International Co. Ltd.- Taiwan
- Mercuria Energy - Indonesia
- Port Waratah Coal Services - Australia
- Wilmar Investment Holdings
- Altura Mining Limited, Indonesia
- Bukit Baiduri Energy - Indonesia
- Kapuas Tunggal Persada - Indonesia
- Georgia Ports Authority, United States
- Sarangani Energy Corporation, Philippines
- South Luzon Thermal Energy Corporation
- Sakthi Sugars Limited - India
- Thiess Contractors Indonesia
- Australian Commodity Traders Exchange
- Maheswari Brothers Coal Limited - India
- Trasteel International SA, Italy
- Binh Thuan Hamico - Vietnam
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Leighton Contractors Pty Ltd - Australia
- Antam Resourcindo - Indonesia
- Grasim Industreis Ltd - India
- Barasentosa Lestari - Indonesia
- Thai Mozambique Logistica
- IEA Clean Coal Centre - UK
- Kartika Selabumi Mining - Indonesia
- Independent Power Producers Association of India
- Medco Energi Mining Internasional
- Formosa Plastics Group - Taiwan
- Indian Energy Exchange, India
- Coalindo Energy - Indonesia
- Sree Jayajothi Cements Limited - India
- Mjunction Services Limited - India
- The Treasury - Australian Government
- Karaikal Port Pvt Ltd - India
- AsiaOL BioFuels Corp., Philippines
- Electricity Generating Authority of Thailand
- SN Aboitiz Power Inc, Philippines
- Wood Mackenzie - Singapore
- Electricity Authority, New Zealand
- Cigading International Bulk Terminal - Indonesia
- Latin American Coal - Colombia
- Siam City Cement - Thailand
- Globalindo Alam Lestari - Indonesia
- Dalmia Cement Bharat India
- Directorate Of Revenue Intelligence - India
- Riau Bara Harum - Indonesia
- White Energy Company Limited
- ASAPP Information Group - India
- Metalloyd Limited - United Kingdom
- Petron Corporation, Philippines
- International Coal Ventures Pvt Ltd - India
- Minerals Council of Australia
- OPG Power Generation Pvt Ltd - India
- Edison Trading Spa - Italy
- Maharashtra Electricity Regulatory Commission - India
- GN Power Mariveles Coal Plant, Philippines
- India Bulls Power Limited - India
- Asmin Koalindo Tuhup - Indonesia
- Pendopo Energi Batubara - Indonesia
- PTC India Limited - India
- Kohat Cement Company Ltd. - Pakistan
- Banpu Public Company Limited - Thailand
- GVK Power & Infra Limited - India
- Therma Luzon, Inc, Philippines
- Aditya Birla Group - India
- Uttam Galva Steels Limited - India
- Bukit Asam (Persero) Tbk - Indonesia
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Iligan Light & Power Inc, Philippines
- Bhoruka Overseas - Indonesia
- Coastal Gujarat Power Limited - India
- Romanian Commodities Exchange
- Bukit Makmur.PT - Indonesia
- New Zealand Coal & Carbon
- Aboitiz Power Corporation - Philippines
- Bulk Trading Sa - Switzerland
- Jorong Barutama Greston.PT - Indonesia
- GMR Energy Limited - India
- Timah Investasi Mineral - Indoneisa
- Goldman Sachs - Singapore
- Simpson Spence & Young - Indonesia
- Toyota Tsusho Corporation, Japan
- Meralco Power Generation, Philippines
- Gujarat Electricity Regulatory Commission - India
- Agrawal Coal Company - India
- Chettinad Cement Corporation Ltd - India
- Global Business Power Corporation, Philippines
- Semirara Mining and Power Corporation, Philippines
- Makarim & Taira - Indonesia
- Orica Australia Pty. Ltd.
- Indika Energy - Indonesia
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- Ceylon Electricity Board - Sri Lanka
- Billiton Holdings Pty Ltd - Australia
- Marubeni Corporation - India
- Manunggal Multi Energi - Indonesia
- Directorate General of MIneral and Coal - Indonesia
- Gujarat Mineral Development Corp Ltd - India
- Planning Commission, India
- Economic Council, Georgia
- Jaiprakash Power Ventures ltd
- PNOC Exploration Corporation - Philippines
- Borneo Indobara - Indonesia
- Semirara Mining Corp, Philippines
- Global Green Power PLC Corporation, Philippines
- Bahari Cakrawala Sebuku - Indonesia
- Ambuja Cements Ltd - India
- Star Paper Mills Limited - India
- Vizag Seaport Private Limited - India
- Commonwealth Bank - Australia
- Neyveli Lignite Corporation Ltd, - India
- CNBM International Corporation - China
- Kobexindo Tractors - Indoneisa
- Parliament of New Zealand
- Larsen & Toubro Limited - India
- Kalimantan Lumbung Energi - Indonesia
- Indo Tambangraya Megah - Indonesia
- MS Steel International - UAE
- Ministry of Transport, Egypt
- McConnell Dowell - Australia
- Intertek Mineral Services - Indonesia
- Sinarmas Energy and Mining - Indonesia
- Bharathi Cement Corporation - India
- Savvy Resources Ltd - HongKong
- Indian Oil Corporation Limited
- Kumho Petrochemical, South Korea
- Lanco Infratech Ltd - India
- Central Java Power - Indonesia
- Bhatia International Limited - India
- IHS Mccloskey Coal Group - USA
- Merrill Lynch Commodities Europe
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- ICICI Bank Limited - India
- Krishnapatnam Port Company Ltd. - India
- Carbofer General Trading SA - India
- Siam City Cement PLC, Thailand
- Jindal Steel & Power Ltd - India
- Global Coal Blending Company Limited - Australia
- Bayan Resources Tbk. - Indonesia
- Mintek Dendrill Indonesia
- Baramulti Group, Indonesia
- VISA Power Limited - India
- The State Trading Corporation of India Ltd
- Holcim Trading Pte Ltd - Singapore
- TNB Fuel Sdn Bhd - Malaysia
- European Bulk Services B.V. - Netherlands
- Essar Steel Hazira Ltd - India
- Samtan Co., Ltd - South Korea
- PetroVietnam Power Coal Import and Supply Company
- Indogreen Group - Indonesia
- Posco Energy - South Korea
- Karbindo Abesyapradhi - Indoneisa
- Indonesian Coal Mining Association
- Kaltim Prima Coal - Indonesia
- Salva Resources Pvt Ltd - India
- Vijayanagar Sugar Pvt Ltd - India
- Central Electricity Authority - India
- Parry Sugars Refinery, India
- Australian Coal Association
- Chamber of Mines of South Africa
- Bangladesh Power Developement Board
- Vedanta Resources Plc - India
- PowerSource Philippines DevCo
- Rio Tinto Coal - Australia
- London Commodity Brokers - England
- Singapore Mercantile Exchange
- Renaissance Capital - South Africa
- Alfred C Toepfer International GmbH - Germany
- Rashtriya Ispat Nigam Limited - India
- Tata Chemicals Ltd - India
- TeaM Sual Corporation - Philippines
- Ind-Barath Power Infra Limited - India
- CIMB Investment Bank - Malaysia
- GAC Shipping (India) Pvt Ltd
- Pipit Mutiara Jaya. PT, Indonesia
- Kideco Jaya Agung - Indonesia
- Africa Commodities Group - South Africa
- Energy Link Ltd, New Zealand
- Standard Chartered Bank - UAE
- Price Waterhouse Coopers - Russia
- Mercator Lines Limited - India
- Meenaskhi Energy Private Limited - India
- Heidelberg Cement - Germany
- Coal and Oil Company - UAE
- Orica Mining Services - Indonesia
- Offshore Bulk Terminal Pte Ltd, Singapore
- Energy Development Corp, Philippines
- Xindia Steels Limited - India
- Cement Manufacturers Association - India
- Bhushan Steel Limited - India
- LBH Netherlands Bv - Netherlands
- Malabar Cements Ltd - India
- Power Finance Corporation Ltd., India
- SMC Global Power, Philippines
|
| |
| |
|
