Business

Brightoil former Chairman undertook $1.4 billion in personal guarantees

Dr Sit Kwong Lam undertook borrowings of $1,362 million with banks and $76.15 million from three trading partners.

Published

7 years ago

May 8, 2019

Admin

The former Chairman and Executive Director of Hong Kong-listed Brightoil Petroleum Holdings, Dr Sit Kwong Lam, undertook personal guarantees worth a total of approximately US $1.4 billion, according to a company statement.

Dr Sit left the company after being declared bankrupt by the High Court of Hong Kong.

He earlier undertook various borrowing agreements and a finance lease agreement with various institutional borrowers.

“The aggregated borrowing amounted to approximately USD1,362 million,” stated Brightoil.

“Apart from these aforesaid borrowing transactions, there are outstanding amounts, totally USD76.15 million due to three trading partners, which are also guaranteed by Dr Sit.”

In relation to the personal guarantees of Dr Sit, Brightoil declared:

The personal guarantees do not contain any specific provisions relating to the bankruptcy of the guarantor and it is not possible for the Company to predict what steps these trade creditors will take as a result of Dr. Sit's bankruptcy.

As of the date of this announcement, the Company is not aware of nor have there been any legal proceedings brought against the Company by these creditors consequent on Dr. Sit’s bankruptcy.

The above statement was found within the company’s quarterly update on its resumption progress and business operations issued on Monday (6 May).

Resumption of trading

Brightoil noted the Hong Kong Stock Exchange (HKSE) requiring the company to disclose findings of an internal forensic investigation, its financial and operational position, while publishing all outstanding financial results, amongst other requests, before being allowed to resume trading on the HKSE.

As such, the company has decided to proceed with computer forensics, a process recommended by its Independent Adviser, in order to meet the specific requirements of the Auditor.

However, Brightoil has found the Independent Adviser’s outstanding fees and estimated costs for e-discovery “excessive” and will proceed to negotiate for a discount on outstanding fees while introducing a ceiling of the costs for e-discovery before proceeding with computer forensics.

“As at the date of this announcement, the Review has not been completed,” it stated.

“The management will negotiate with the Independent Advisor to minimize the engagement costs such that they will come within the budgeted fee level as discussed and agreed in the Board meeting held on 26 April 2019 while ensuring that the work to be done by the Independent Auditor will provide sufficient assurance to the Auditor.”

Business update

The suspension of trading at Brightoil has caused financing banks to tighten credit for the International Trading and Bunkering Unit (ITB) Business “drastically reducing business volume”, it says.

Operations of 5 VLCCs, 6 bunker barges and 4 Aframax tankers of the group have been totally suspended due to arrests by creditors since the end of 2018.

Sale of the company’s Zhoushan Oil Storage and Terminal Facilities is still under negotiation with several parties.

“The negotiation process has been prolonged due to valuation and terms of payments,” updates Brightoil.

“While the Company is negotiating with potential buys and searching for further potential buyers, completion of the Zhoushan Oil Storage and Terminal Facilities has been deferred until new funding becomes available.”

Potential debt reorganisation

To date, Brightoil has declared aggregate debts of approximately US$1.85 billion with claims of approximately US$391 million made by some creditors.

It has started discussions with key financiers for external financing who have “responded positively” by forming a committee to work with the group.

“Presently, due diligence is being carried out in relation to the extent of existing financial obligations of the Group that will require reorganization, and is expected to complete due diligence in the next three months,” it updates.

A chronologically organised list of articles concerning Brightoil’s potential debt reorganization is below:

Photo credit: Brightoil Petroleum (Holdings) Limited
Published: 8 May, 2019

Business

IBT Bunkering & Trading appoints Kevin Döhmen to lead Singapore expansion

Döhmen will lead the new Singapore office, with responsibility for managing and developing the operation and strengthening relationships with customers and partners.

Published

17 hours ago

August 13, 2026

Admin

IBT Bunkering & Trading appoints Kevin Döhmen to lead Singapore expansion

Hamburg-based marine fuels firm IBT Bunkering & Trading on Wednesday (12 August) said it has appointed Kevin Döhmen as Executive Vice President to lead the company’s new Singapore office.

Manifold Times previously reported the company announcing that it is opening its doors in Singapore and will be running a trading desk in the city-state after trading bunkers out of Hamburg since 1976.

The company said Kevin Döhmen will lead the new Singapore office, with theresponsibility for managing and developing the operation and strengthening relationships with customers and partners.

IBT said the Singapore office represents an important first step in strengthening its presence in Asia.

“At the same time, we are actively exploring further opportunities to expand our activities and establish new partnerships in this key maritime hub,” the company said.

Döhmen said: “Singapore is the heartbeat of global bunkering. Bringing IBT’s Hamburg roots — 50 years of them — onto the ground in this hub is a real privilege, and I couldn’t be more ready for it.”

IBT said it will maintain the service approach established through its Hamburg operations while building its activities in Singapore.

The company described the move as bringing together its Hamburg roots and Singapore presence through a global bunker network.

Photo credit: IBT Bunkering & Trading
Published: 13 August, 2026

Bunker Alerts

Low flashpoint found in Indonesia bunker fuels, alerts Maritec-Naias

Firm tested eight bunker samples representing LSMDO and B40 fuel grade from vessels that took fuel oil /bunkered in Indonesia ports, which indicated flashpoints as low as 39.5°C.

Published

17 hours ago

August 13, 2026

Admin

Bunker fuel testing and marine surveying business Maritec-Naias on Wednesday (12 August) issued an alert regarding bunker samples from vessels that took fuel oil/bunkered in Indonesia showing flashpoints as low as 39.5°C:

During the period of 21 July to 04 August 2026, Maritec-Naias tested eight bunker samples representing Low Sulfur Marine Distillate Oil (LSMDO) and B40 fuel grade from vessels that took fuel oil /bunkered in Indonesia ports, which indicated Flashpoints as low as 39.5°C.

All eight fuel samples tested were sourced from a single supplier.

Regulatory Implications:

Based on the results of the eight samples tested, the fuels do not comply with the minimum flashpoint requirement of 60 °C set by SOLAS and ISO 8217.

As per SOLAS requirements, the minimum flashpoint of any fuel carried in the tanks of a ship should be not less than 60 °C (with exception of fuel for lifeboats, which can be grade DMX with a flash point min of 43 °C).

ISO 4259 interpretation for tested flashpoint temperature is not taken into consideration here as the safety of onboard crew and vessel is of higher precedence.

Since 01 May 2024, it has been a MARPOL Annex VI requirement that the Bunker Delivery Note (BDN) includes either the actual flashpoint of a fuel as supplied or a declaration that its flashpoint has been determined as being at or above 70°C.

From 1 January 2026, SOLAS amendments clarified that the flashpoint requirement applies to fuels, which were specifically intended to have a flashpoint not less than 60°C as required under SOLAS II‑2/2.1.1 These amendments now align with MARPOL by requiring flashpoint details to be recorded on the BDN. Additionally, prior to bunkering, suppliers must provide the ship’s representative with a signed declaration confirming that the fuel meets the SOLAS flashpoint standard.

MARITEC-NAIAS RECOMMENDATIONS

When ordering fuels from Indonesia it is advised to insist on getting the actual flash point values from the supplier. If your vessel has bunkered a low flashpoint fuel it is prudent to observe/implement the precautions below:

Flame screens on tank vents should be maintained in good condition and there should be no sources of ignition in the vicinity of the vents. This will assist in safe natural ventilation of volatile components in the fuel.
No Smoking, no naked flame and no hot work must be allowed at any areas near to tank air vents.
Send additional tank(s) samples upon arrival in port to check the fuel properties and flash point results especially if there has been co-mingling of fuels in bunker tanks
If the vessel is out at sea, it may be possible to obtain dispensation from your Flag State Administration up to the next arrival port.
Put the supplier on notice promptly and notify your P&I club.

Photo credit: Shaah Shahidh on Unsplash
Published: 13 August, 2026

Methanol

China: Xiamen issues safety guidelines for methanol bunkering operations

New guidelines establish safety requirements across the full methanol bunkering process, supporting the expansion of green marine fuel supplies at Xiamen Port.

Published

17 hours ago

August 13, 2026

Admin

Xiamen Free Trade Zone on Monday (10 August) said its Administrative Committee recently jointly issued the Safety Guidelines for Marine Methanol Fuel Bunkering in Xiamen Waters with Xiamen Port Authority and Xiamen Maritime Safety Administration, establishing a framework for methanol bunkering operations in the port.

The guidelines are the first safety operating standard in Fujian province specifically covering marine methanol fuel bunkering. They apply to methanol bunkering operations conducted by bunker vessels in Xiamen waters and set out safety requirements covering the entire operation, from preparation through completion.

The guidelines specify requirements for bunkering companies, equipment and materials used on bunker vessels, hose inspection intervals, personnel certification and personal protective equipment.

They also require operators to conduct dedicated risk assessments and prepare emergency response plans before operations begin. During bunkering, operators must maintain continuous monitoring and comply with specified weather restrictions. After completion, pipelines must undergo procedures including purging and inerting.

Xiamen Port has previously carried out ship-to-ship bunkering of biofuels and LNG. The new guidelines provide a regulatory framework and operational basis for methanol bunkering and are intended to support the safe and orderly conduct of such operations.

The move is also expected to help Xiamen Port expand its market and bunkering capacity for green marine fuels.

Photo credit: Woo Winter on Unsplash
Published: 13 August, 2026