Hong Kong-listed Brightoil Petroleum (Holdings) Limited (Brightoil) on Wednesday (29 April) issued an update on its debt restructuring activities and business operations.
Debt restructuring
Among developments was progress being made over debt restructuring operations at both the High Court of Singapore and in Hong Kong.
The High Court of Singapore has extended a claims moratorium for Brightoil and its subsidiary Brightoil Petroleum (S’pore) Pte. Ltd. to 10 July 2020.
“The company has made good progress in reaching legally binding settlements with major trade creditors,” it said.
“We believe that the continuing moratoria would provide the Group with the necessary protection against any effort to frustrate its ongoing debt restructuring efforts.”
In Hong Kong, Brightoil reached settlement agreements with creditors Toyota Tsusho Corporation, Broad Action Limited, and Luso International Banking Ltd; the company further entered into a loan restructuring agreement with Bank of China Limited Shenzhen Branch on 1 April 2020.
Proceeds from sales of vessels
The High Courts of Singapore and Hong Kong, meanwhile, have both received the net proceeds from the sale of 12 vessels. However, due to the coronavirus, the proceeds will be delivered to Brightoil in May through to July this year, it said..
Brightoil is expected to receive a reimbursement in the sum of SGD 469,834.93 being crew wages and USD 114,015.64 being bunker charges incurred by the company in relation to the arrest of the Brightoil 319, Brightoil 326 and Brightoil 329.
Zhoushan Oil Storage and Terminal Facilities
The non-binding “Zhoushan Project Cooperation Framework Agreement” with a potential buyer for Brightoil’s Zhoushan Oil Storage and Terminal Facilities is still in effect and Brightoil is targeting to upgrade the contract to a binding agreement in the near future.
“After the completion of Zhoushan Project, the Company would have held 100% equity of the storage company and 55% equity of the terminal company in which the fair market value would have been around RMB6 billion,” it stated.
“The sale price for the proposed sale of its 90% interest. The Company will remain responsible to complete all the remaining construction and the buyer will pay the sale price by instalments according to the progress of the construction.”
Upstream business
Brightoil, noting production of its oil fields, oil wells and natural fields remaining affected by the coronavirus, expects the oil sector to be facing a challenging period ahead.
“The outbreak of the new coronavirus (Coronavirus) has severely damaged global economic activity and caused great uncertainty in the current business environment,” it said.
“With the suspension of global trade, demand for crude oil and other products has plummeted, global oil prices have fallen, and crude oil futures have experienced negative oil prices.
“The oil industry is facing a difficult period.”
Earlier developments of Brightoil (since late 2017 to date) can be found in the search results here.
Photo credit: Manifold Times
Published: 30 April, 2020
‘Our move into Canada is exciting and will complement our North American bunkering operations and services effectively,’ says company CEO Carsten Ladekjær.
Enagás, through its subsidiary Scale Gas, and Peninsula, have agreed to construct a liquefied natural gas (LNG) supply vessel for delivery by June 2023.
Report summaries ships consuming non compliant bunker fuel, number of FONAR documents received, and vessels experiencing issues with scrubber operations.
The CEO of A.P. Moller - Maersk says it is naïve to believe the recently published European Commission “fit for 55” package “only” aims to reduce emissions.
Meeting will explore settlement negotiations in view of a proceeding taking place under the London Maritime Arbitrators’ Association with the Respondent.
To enable an efficient supply that can deliver quantities of 100% renewable and carbon free green ammonia to the market with zero carbon bunker fuels.
‘The JMs have failed to discharge their duties by blindly helping the Banks mount a false case against the Defendant,’ wrote defence lawyers representing former IPP Director Dr Goh Jian Hian in court statement.
Lead prosecutor Andreas Myllerup Laursen aims for a fine and a prison sentence in the so-called Syria case scheduled to commence in Odense, Denmark on 26 October, writes the Danish publication.
In a modern re-telling of the story of David versus Goliath, local bunker barge owners/charterers successfully resisted claims brought in the Singapore courts by Phillips 66 for misdelivery of bunkers.
Bunker barge owners and operators; traders and suppliers; banks, including players in other countries, will have to re-examine respective operations, advises Helmsman Associate Director Jonathan Tan.
Vopak BL was a non-essential document with no contractual force and had no effect as a contract of carriage or as a document of title, states written Judgement issued by Singapore Court of Appeal.
Dwivedi Vivek Kumar ended his tenure as Global Head – Bitumen & Shipping & Regional Head – APAC at GP Global APAC on 10 November 2020 due to internal structuring of the GP Global Group.
