Copenhagen-based Falcon Navigation A/S, the chartering vehicle of Falcon Maritime Group, has filed a legal suit against World Fuel Services Corporation (WFS) at the US District Court for the Southern District of Florida on 23 March 2021.
The suit is regarding the delivery of alleged cat fine and sulphur off-spec VLSFO bunker fuel to the bulk carrier M/V WL Uglich, an ocean going vessel sub-chartered from Disponent Owner W.L. Shipping Ltd on 20 September 2020, according to court documents obtained by bunkering publication Manifold Times.
On September 24 2020, WFS delivered 240.06 metric tonnes (mt) of VLSFO and 30.20 mt of marine gas oil (MGO) to the M/V WL Uglich through agent NuStar Energy Services, Inc. at Houston port in Texas.
Testing by Veritas Petroleum Services (VPS) found fuel samples exceeding the specifications for aluminium and silicon, and was above the legal limit for sulphur at 0.53%; subsequent testing by Intertek found sulphur to be at 0.5597%.
Falcon Navigation claimed it tried asking WFS for access to the barge samples (to verify whether the VLSFO was non-conforming) following the test reports from VPS and Intertek; however, WFS refused to allow the tests on both occasions.
On October 19, 2020, the M/V WL Uglich was redelivered to W.L. Shipping at Vila do Conde, Brazil where the Disponent Owners eventually conducted debunkering operations between October 24-25, 2020.
Due to the above developments, the Disponent Owners have also started arbitration proceedings at London, England and will be presenting a claim to Falcon Navigation seeking costs of replacement bunkers, costs of debunkering, and other losses.
Falcon Navigation believes it is potentially liable for claims of above USD $500,000 under the indemnity clause; and further potentially liable for claims in an amount in excess of USD $350,000 under the contribution clause.
“Any amounts that Plaintiff is compelled to pay in the arbitration referenced herein, whether by settlement or arbitration award, will be because of the damages occasioned by the provision of off-spec bunkers by WFS, and FALCON is therefore entitled to contribution from WFS,” stated the legal representative of Falcon Navigation.
Photo credit: MarineTraffic / Kees van der Meijden
Published: 22 April, 2021
Charterer Amaggi claims ‘engine damage’ rising out of marine fuel used by bulk carrier Daiwan Elegance.
One of the traders, 45, who worked at Integr8 Fuels Asia was said to have received a total of about SGD 131,000 (USD 95,000) from two people between 2016 and 2020.
The shipping industry will adapt to the important new regulations aimed at lowering carbon emissions as it always does and it is hoped that vessels can be run efficiently going forward.
BP Regional Compliance Director took to the stand on Thursday to define the firm’s Code of Conduct.
Bunker suppliers should consider how to contractually secure maritime liens against bunker tanker and the receiving vessel which the bunkers are ultimately bound.
New regulatory requirements for reporting ship energy consumption has taken effect, says West of England.
Firm hopes to leverage partnership in Greece as a springboard to expand into neighbouring and overseas markets including Europe and China, says Robin Van Elderen, Regional Head Bunkers, Europe, Sing Fuels.
Singapore can help less developed countries in SouthEast Asia through ‘piloting and scaling fuels and technology as well as a leading hub for green finance’, said DNV Group President and CEO Remi Eriksen.
Octamar™ Ultra HF, Octamar™ Complete, and Octamar™ F35C were found to have improved the fuel economy while reducing exhaust gas and other emissions of marine engines in a series of trials, states report.
Disposal of evidence has resulted in Singapore not being able to provide full details to the United Nationals Panel of Experts which sought information regarding the case, says Ministry of Foreign Affairs.
‘We are proud to be amongst the first to show the successful steps taken by Singapore’s bunkering ecosystem to remain forward thinking and relevant,’ Choong Sheen Mao, Director of EMF, tells Manifold Times.
‘With the launch of a common data infrastructure, Kenoil aims to continue achieving an end to end visibility and transparency on the bunker data supply chain,’ states Kenoil Managing Director.
