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.
|
|
Friday, 22 November 13
DRY BULK MARKET STILL LACKLUSTRE, DESPITE PROJECTIONS OF A NEW RALLY - NIKOS ROUSSANOGLOU, HELLENIC SHIPPING NEWS
We might still be about six weeks far from the end of the year, but the projected by many analysts upcoming rally of the dry bulk market, hasn't ye ...
Friday, 22 November 13
US COAL PRODUCTION DOWN 1.3% W-W
COALspot.com – United States the world’s second largest coal producer, produced approximately 19.5 million short tons (mmst) of coal in ...
Thursday, 21 November 13
TAIPOWER TO PROCURE 750K MT OF 5500 GAR BITUMINOUS COAL FOR MAY - AUGUST 2014
COALspot.com: Taiwan Power Company intends to procure 750,000 metric tons of bituminous coal with calorific value not lesser than 5,500 kcal/kg on a ...
Thursday, 21 November 13
CAPESIZE : THE DOWNWARD TREND HAS TURNED INTO NOTABLE SPOT AND PERIOD IMPROVEMENT - FEARNLEYS
Handy
The Atlantic market experienced a general rate increase for most trades this week. More cargoes in the market and chrts looking for prompt t ...
Wednesday, 20 November 13
PANAMAX MARKET RESUMED ITS NEGATIVE MOVEMENT FOR A SECOND WEEK IN A ROW - INTERMODAL
COALspot.com: The recovery noted the week prior in the dry Bulk market proved to be short-lived, as the BDI slipped back down to the low 1,500 point ...
|
|
|
Showing 3996 to 4000 news of total 6871 |
|
 |
|
|
|
|
| |
|
 |
|
|
| |
|
- Vijayanagar Sugar Pvt Ltd - India
- Videocon Industries ltd - India
- Meenaskhi Energy Private Limited - India
- Makarim & Taira - Indonesia
- Wilmar Investment Holdings
- Posco Energy - South Korea
- Tamil Nadu electricity Board
- Eastern Coal Council - USA
- Aboitiz Power Corporation - Philippines
- Minerals Council of Australia
- GMR Energy Limited - India
- Barasentosa Lestari - Indonesia
- Mjunction Services Limited - India
- SMG Consultants - Indonesia
- Neyveli Lignite Corporation Ltd, - India
- Maharashtra Electricity Regulatory Commission - India
- Kalimantan Lumbung Energi - Indonesia
- Port Waratah Coal Services - Australia
- Gujarat Mineral Development Corp Ltd - India
- CNBM International Corporation - China
- Leighton Contractors Pty Ltd - Australia
- Central Electricity Authority - India
- Larsen & Toubro Limited - India
- Coastal Gujarat Power Limited - India
- Bank of Tokyo Mitsubishi UFJ Ltd
- Kideco Jaya Agung - Indonesia
- Global Coal Blending Company Limited - Australia
- Riau Bara Harum - Indonesia
- Indogreen Group - Indonesia
- Marubeni Corporation - India
- White Energy Company Limited
- Australian Coal Association
- Billiton Holdings Pty Ltd - Australia
- New Zealand Coal & Carbon
- Sakthi Sugars Limited - India
- Karaikal Port Pvt Ltd - India
- ASAPP Information Group - India
- Jaiprakash Power Ventures ltd
- Romanian Commodities Exchange
- Siam City Cement - Thailand
- Ministry of Finance - Indonesia
- Semirara Mining and Power Corporation, Philippines
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- International Coal Ventures Pvt Ltd - India
- Ceylon Electricity Board - Sri Lanka
- Globalindo Alam Lestari - Indonesia
- Georgia Ports Authority, United States
- Wood Mackenzie - Singapore
- Savvy Resources Ltd - HongKong
- Electricity Authority, New Zealand
- Meralco Power Generation, Philippines
- Indian Energy Exchange, India
- Samtan Co., Ltd - South Korea
- Planning Commission, India
- Chettinad Cement Corporation Ltd - India
- Bharathi Cement Corporation - India
- Sindya Power Generating Company Private Ltd
- Sree Jayajothi Cements Limited - India
- Aditya Birla Group - India
- Jindal Steel & Power Ltd - India
- Australian Commodity Traders Exchange
- Sical Logistics Limited - India
- MS Steel International - UAE
- Renaissance Capital - South Africa
- Altura Mining Limited, Indonesia
- Mercuria Energy - Indonesia
- PowerSource Philippines DevCo
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Interocean Group of Companies - India
- Bangladesh Power Developement Board
- Banpu Public Company Limited - Thailand
- Mintek Dendrill Indonesia
- Pendopo Energi Batubara - Indonesia
- Cement Manufacturers Association - India
- Singapore Mercantile Exchange
- Tata Chemicals Ltd - India
- Bayan Resources Tbk. - Indonesia
- Global Green Power PLC Corporation, Philippines
- Bukit Makmur.PT - Indonesia
- Timah Investasi Mineral - Indoneisa
- Formosa Plastics Group - Taiwan
- McConnell Dowell - Australia
- Vizag Seaport Private Limited - India
- OPG Power Generation Pvt Ltd - India
- Bukit Asam (Persero) Tbk - Indonesia
- Directorate Of Revenue Intelligence - India
- Bukit Baiduri Energy - Indonesia
- Malabar Cements Ltd - India
- Energy Link Ltd, New Zealand
- Electricity Generating Authority of Thailand
- South Luzon Thermal Energy Corporation
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Price Waterhouse Coopers - Russia
- Edison Trading Spa - Italy
- Karbindo Abesyapradhi - Indoneisa
- AsiaOL BioFuels Corp., Philippines
- Alfred C Toepfer International GmbH - Germany
- Petrochimia International Co. Ltd.- Taiwan
- Coal and Oil Company - UAE
- Uttam Galva Steels Limited - India
- London Commodity Brokers - England
- CIMB Investment Bank - Malaysia
- Africa Commodities Group - South Africa
- Agrawal Coal Company - India
- IHS Mccloskey Coal Group - USA
- IEA Clean Coal Centre - UK
- Merrill Lynch Commodities Europe
- Baramulti Group, Indonesia
- Pipit Mutiara Jaya. PT, Indonesia
- Essar Steel Hazira Ltd - India
- Latin American Coal - Colombia
- Orica Mining Services - Indonesia
- VISA Power Limited - India
- Energy Development Corp, Philippines
- Therma Luzon, Inc, Philippines
- Economic Council, Georgia
- Bhushan Steel Limited - India
- The Treasury - Australian Government
- Miang Besar Coal Terminal - Indonesia
- Indo Tambangraya Megah - Indonesia
- European Bulk Services B.V. - Netherlands
- Grasim Industreis Ltd - India
- Standard Chartered Bank - UAE
- Power Finance Corporation Ltd., India
- Gujarat Electricity Regulatory Commission - India
- Indian Oil Corporation Limited
- Carbofer General Trading SA - India
- Ind-Barath Power Infra Limited - India
- Chamber of Mines of South Africa
- Medco Energi Mining Internasional
- Kaltim Prima Coal - Indonesia
- Kartika Selabumi Mining - Indonesia
- Lanco Infratech Ltd - India
- India Bulls Power Limited - India
- Mercator Lines Limited - India
- Bhoruka Overseas - Indonesia
- Madhucon Powers Ltd - India
- SMC Global Power, Philippines
- Xindia Steels Limited - India
- Indonesian Coal Mining Association
- Siam City Cement PLC, Thailand
- Indika Energy - Indonesia
- Borneo Indobara - Indonesia
- LBH Netherlands Bv - Netherlands
- Semirara Mining Corp, Philippines
- Intertek Mineral Services - Indonesia
- San Jose City I Power Corp, Philippines
- Trasteel International SA, Italy
- Eastern Energy - Thailand
- Toyota Tsusho Corporation, Japan
- TeaM Sual Corporation - Philippines
- Parliament of New Zealand
- Sarangani Energy Corporation, Philippines
- Antam Resourcindo - Indonesia
- Ministry of Transport, Egypt
- Bulk Trading Sa - Switzerland
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- GN Power Mariveles Coal Plant, Philippines
- Kobexindo Tractors - Indoneisa
- Parry Sugars Refinery, India
- Simpson Spence & Young - Indonesia
- ICICI Bank Limited - India
- Holcim Trading Pte Ltd - Singapore
- Metalloyd Limited - United Kingdom
- Manunggal Multi Energi - Indonesia
- Offshore Bulk Terminal Pte Ltd, Singapore
- PTC India Limited - India
- Deloitte Consulting - India
- Kapuas Tunggal Persada - Indonesia
- Orica Australia Pty. Ltd.
- Global Business Power Corporation, Philippines
- Rio Tinto Coal - Australia
- Bahari Cakrawala Sebuku - Indonesia
- Attock Cement Pakistan Limited
- Kumho Petrochemical, South Korea
- TNB Fuel Sdn Bhd - Malaysia
- The State Trading Corporation of India Ltd
- Cigading International Bulk Terminal - Indonesia
- Gujarat Sidhee Cement - India
- Straits Asia Resources Limited - Singapore
- Ministry of Mines - Canada
- Binh Thuan Hamico - Vietnam
- Kepco SPC Power Corporation, Philippines
- Vedanta Resources Plc - India
- Iligan Light & Power Inc, Philippines
- Salva Resources Pvt Ltd - India
- Bhatia International Limited - India
- Goldman Sachs - Singapore
- Krishnapatnam Port Company Ltd. - India
- GVK Power & Infra Limited - India
- Heidelberg Cement - Germany
- Dalmia Cement Bharat India
- GAC Shipping (India) Pvt Ltd
- Star Paper Mills Limited - India
- Coalindo Energy - Indonesia
- SN Aboitiz Power Inc, Philippines
- Ambuja Cements Ltd - India
- Thai Mozambique Logistica
- Maheswari Brothers Coal Limited - India
- Independent Power Producers Association of India
- Directorate General of MIneral and Coal - Indonesia
- Rashtriya Ispat Nigam Limited - India
- Sinarmas Energy and Mining - Indonesia
- Asmin Koalindo Tuhup - Indonesia
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Sojitz Corporation - Japan
- Petron Corporation, Philippines
- Anglo American - United Kingdom
- PetroVietnam Power Coal Import and Supply Company
- Kohat Cement Company Ltd. - Pakistan
- Thiess Contractors Indonesia
- Jorong Barutama Greston.PT - Indonesia
- The University of Queensland
- PNOC Exploration Corporation - Philippines
- Central Java Power - Indonesia
- Commonwealth Bank - Australia
- Oldendorff Carriers - Singapore
|
| |
| |
|
