Ship’s Bunkering: New non-Lien clause by BIMCO

BIMCO Bunker Non-Lien Clause for Time Charter Parties

(a) The Charterers will not directly or indirectly suffer, nor permit to be continued, any lien, any encumbrance, or any rights of any kind whatsoever over the Vessel in respect of the supply of bunkers.

(b) The Charterers shall:

(i) prior to ordering any bunkers for the Vessel inform the sellers of the bunkers in writing (the “Non-Lien Notice”) that the bunkers to be supplied to the Vessel are solely for the Charterers’ account, and that neither the Vessel, the Owners nor the Master is a party to the bunker supply contract and no lien, encumbrance or any rights shall arise on the Vessel; and

(ii) after ordering bunkers inform the Owners in writing of the name and contact details of the sellers of the bunkers and, if the Owners so request, provide Owners with a copy of the Non-Lien Notice.

(c) If the Charterers fail to comply with sub-clause (b)(ii), the Master shall be entitled to refuse to allow the bunkers to be supplied to the Vessel and if the Master so refuses hire shall continue to accrue and any extra expenses arising out of or in connection with such refusal shall be for the Charterers’ account.

(d) If in compliance with any of the provisions of this Clause, anything is done or not done, such shall not be deemed a deviation, but shall be considered as due fulfillment of this Charter Party by the Owners.

(e) As soon as possible after the due date of payment for bunkers for each supply made during the charter period, the Charterers shall provide the Owners with written evidence or acknowledgement of payment from the bunker sellers.

(f) The Charterers shall procure that this Clause shall be incorporated into all sub-time charters.

27.11.14 (Bimco)


OW BUNKER: PwC chases debtors

PricewaterhouseCoopers (PwC) has been appointed as receiver for receivables pledged by OW Bunker Group to a syndicate of lenders.

ING Bank has appointed Paul David Copley, Ian David Green and Anthony Victor Lomas, all from PwC’s London office, as joint receivers.

Goh Thien Phong and Chan Kheng Tek, of PwC in Singapore, were also appointed receivers to recover assets in relation to the Singapore entities of the OW Bunker Group, OW Bunker Far East (Singapore) Pte and Dynamic Oil Trading (Singapore) Pte on behalf of ING Bank.

In December 2013, OW Bunker & Trading A/S and certain of its subsidiaries entered into an English Omnibus Security Agreement with ING Bank as security agent.

As part of that agreement, OW Bunker Group assigned and charged to ING all rights, title and interest in its third party and intercompany receivables, both current and future.

“OW Bunker’s collapse was sudden and unexpected for all stakeholders, including its lenders,” said Paul Copley, joint receiver and PwC UK partner.

“We have been appointed as receivers to collect assets which were assigned and charged to ING as part of the group’s refinancing in late 2013.”

“These assets are principally receivables owed by customers and affiliates to certain OW Bunker entities.

“As part of our role, we will need to work with the group’s bankruptcy trustees in Denmark and other insolvency office-holders around the world and we are pleased with the level of support and cooperation so far.

“However, we are aware that some suppliers of the group are threatening its customers and in a few cases have started recovery proceedings and arrested ships.
“If suppliers interfere with lenders’ receivables or induce customers to breach their contracts, we reserve the right to pursue them directly for damages associated with their actions.

“For customers, they will not get a valid discharge from their debt to ING by paying an OW Bunker supplier and we will continue to pursue them.”
“At this stage, though, we remain optimistic that suppliers and customers will work with us constructively and appropriately and that we will be able to complete our task without undue delay.”

OW Bunker & Trading filed for bankruptcy in Denmark on 7 November after reporting alleged fraud of $125m at Dynamic Oil Trading (DOT) and a $250m risk management loss.

It blamed the alleged fraud by two senior employees for the losses at DOT and have reported them to the police under the Danish penal code.

Since then, a number of other Danish and overseas subsidiaries of OW Bunker have also filed for bankruptcy proceedings.
OW Bunker was the second largest listed company in Denmark after Maersk by revenue with turnover of $17bn in 2013.

Tradewinds 25.11.2014

Algeria: Logistics Business Opportunity

As a result of the current developments in Algeria and the forthcoming US$262bn 5-year plan for 2015-2019, the demand for transport, storage, trans-shipping, communications, planning and control services is continuously growing throughout the Country. At the same time, pressure on Companies to optimize the quality and costs of their services is also growing with Logistics becoming a critical lever for their success.

We at Terport (®), a private Company, are offering a bounded logistics base in Algiers and provide support facilities to its clients on a 24/7 basis throughout the year with huge potential of growth (please check the attached  PowerPoint show or Video Link for a brief profile).

In this respect, We are always interested to hear from potential new Customers and/or Partners with an interest in Algeria with whom we can cooperate.

Should you be one of them, we would be delighted to hear from you and explore any idea you may have. Please contact us in strict confidence as follows:

The Chairman
Medstone SA – 5 Nemeseos St,
15124 Athens (Greece)
Tel: +30 210 428 8223
Fax: +30 210 428 8283

Terport PowerPoint show

OW Bunker bankruptcy getting messy: Bank, Suppliers, Traders, Brokers – All saying ”PAY US”

ING Bank, a major secured lender for OW Bunker & Trading, is urging the collapsed fuel supplier’s customers to pay their bills into accounts at the bank.

The Dutch bank is making the demand as confusion reigns in the wake of Copenhagen-based OW’s bankruptcy last week over whom vessel interests should pay for fuel deliveries contracted before the filing.

In an enforcement letter obtained by TradeWinds after it was received by an OW customer yesterday, ING explains that it has been assigned rights to collect on OW supply contracts. And while payments made into ING accounts will reduce corresponding debts owed to OW, any payments made elsewhere “will not extinguish the relevant payment obligation”, the bank argues.

ING is the leading bank on a $700m multicurrency revolving credit facility to OW Bunker, whose accounts receivables are the key source of security for the loan. A spokeswoman for ING said she would look into TradeWinds’ request for comment on the matter but noted that as a matter of policy, the Amsterdam-headquartered bank (pictured below right) does not discuss the business of customers.

Double-payment fears
The letter is circulating in the shipping market comes as owners and charterers are facing demands of payment from multiple sources for the same fuel deliveries.

TradeWinds reports in its weekly edition that physical suppliers, bunker traders and brokers are demanding direct payment from owners and charterers, and they are threatening ship arrests if their demands are not met.
Yesterday, the Charterers P&I Club warned members not to pay up on such requests from physical suppliers without checking first with the insurer.

Meanwhile, a purported internal document is making industry rounds naming alleged creditors of OW and listing some several hundred millions of euros in total accounts receivable from a variety of physical fuel suppliers and other companies as of last week. However, some sources in the industry have cast doubts on the figures on the list.

But two of the top creditors on the list, South Korean refiners SK Energi and GS Caltex, have said they are exploring legal action.

John Sommer Schmidt, the Gorrissen Federspiel lawyer who is acting as trustee for OW, declined to comment for this story.

Tradewinds 14.11.2014


Troubled Danish company OW Bunker has filed for bankruptcy following the discovery of alleged fraud at its Singapore-based subsidiary.

The global bunkering firm, which is the third-largest company in Denmark by revenue, reportedly owes 13 banks $750 million, according to Reuters. It filed for bankruptcy at the probate court in Aalborg in northern Denmark on Friday.
On Thursday, the company confirmed that it was facing a potential loss of around $125 million due to alleged fraud by senior employees at Dynamic Oil Trading (DOT), its Singapore subsidiary. OW Bunker said it had decided to report “two key employees” at DOT to the police after conducting an internal investigation.

In a public statement issued on Friday, OW Bunker said its banks hold mortgages covering all its receivables and that without new, significant credit facilities in the immediate future, “the business could not be saved”.
“It is now clear that such facilities will not be made available. Nor is a sale as a going concern a realistic option,” Chairman Niels Henrik Jensen said. Bunkerworld reported on Thursday that the company had until December 1 to come up a viable restructuring plan.

A bunker trader expressed concern earlier on Friday that OW Bunker’s bankruptcy could have a domino effect. “If they go bankrupt, financially less secure players will also go bankrupt,” he claimed

BW 8.11.2014

Doing Business 2015: Full Report by the World Bank on 189 World Economies

Doing Business 2015 is the 12th in a series of annual reports investigating the regulations that enhance business activity and those that constrain it. Doing Business presents quantitative indicators on business regulations and the protection of property rights that can be compared across 189 economies—from Afghanistan to Zimbabwe—and over time.

Doing Business measures regulations affecting 11 areas of the life of a business. Ten of these areas are included in this year’s ranking on the ease of doing business: starting a business, dealing with construction permits, getting electricity, registering property, getting credit, protecting minority investors, paying taxes, trading across borders, enforcing contracts and resolving insolvency. Doing Business also measures labour market regulation, which is not included in this year’s ranking.

Data in Doing Business 2015 are current as of June 1, 2014. The indicators are used to analyse economic outcomes and identify what reforms of business regulation have worked, where and why.