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West P&I: UAE – Pollution fine for soot discharge from ship’s inert gas systems at Port of Fujairah

Club regularly receives claims for pollution fines in Fujairah for soot discharge from the ship’s inert gas system; average fine amount levied for such infringement is USD 50,000 per incident.
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Global maritime insurance provider West of England Protection & Indemnity (P&I) Club (West P&I) recently released an article reminding its members with inert gas systems on their ships to ensure they are maintained in good working to comply with emissions standards and environmental regulations: 

Fujairah is a major port in the United Arab Emirates and subject to strict environmental regulations aimed at reducing the impact of shipping on the local environment. Under these regulations, ships must comply with specific emissions standards and may face fines for exceeding them. The emission standards cover various pollutants, including sulphur oxides (SOx), nitrogen oxides (NOx), particulate matter (PM), and volatile organic compounds (VOCs).

The Club regularly receives claims for pollution fines in Fujairah for soot discharge from the ship’s inert gas system. The average fine amount levied for such infringement by the authorities is USD 50,000 per incident. 

When a soot discharge from the inert gas system has occurred, the port authorities will be levying the fine because they deem the ship exceeds the PM emissions standard and is further contributing toward the overall air and water pollution that impacts the local ecosystem and wildlife.

The inert gas system on a ship is designed to prevent the build-up of explosive gases in the cargo tanks by reducing the oxygen to a level where an explosion cannot occur. It is achieved by supplying inert gas to the cargo tanks.

Making inert gas on a ship requires fuel oil to be burnt with low excess air in a boiler or dedicated inert gas generator. Subsequently, efficient combustion depends on good atomization/fuel spread when burning fuel with low excess air. 

If fuel atomization is poor, then incomplete combustion may result with low excess air levels. As the exhaust gas is washed and cooled in the inert gas scrubber tower, unburnt fuel or soot may enter this water and can be discharged overboard in the scrubber wash water, thus leading to pollution.

If the ship’s inert gas system is discharging soot from the cooling water outlet, it could be an indication of several issues, such as:

Fouled scrubber tower: The build-up of deposits in the scrubber tower can reduce the heat transfer efficiency, leading to higher exhaust gas temperatures and a higher likelihood of soot formation. Regular maintenance and cleaning of the scrubber tower can help prevent this issue.

Improper fuel combustion: The fuel-air mixture in the combustion chamber may not be properly adjusted, leading to incomplete combustion and the formation of soot. This can be addressed by adjusting the combustion parameters and ensuring proper fuel quality.

Insufficient cooling water flow: If the cooling water flow rate is too low, the scrubber tower may be unable to remove enough heat from the exhaust gas, leading to higher exhaust gas temperatures and soot formation. Checking and adjusting the cooling water flow rate can help address this issue.

Overloading of the inert gas system: If the ship’s inert gas system is overloaded, it may be unable to effectively cool the exhaust gas, leading to higher exhaust gas temperatures and soot formation. Properly sizing the inert gas system and avoiding overloading can help prevent this issue.

Consequently, because of the potential outcomes that can arise and to ensure compliance with emissions standards and environmental regulations, we would remind Members with inert gas systems on their ships to ensure that they are maintained in good working order and to take measures to address these issues through proper maintenance and operation to prevent soot formation and ensure safe and efficient operation of the inert gas system.

 

Photo credit: shraga kopstein on Unsplash
Published: 3 April, 2023

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Legal

Singapore withdraws remaining 127 charges against Hin Leong founder OK Lim

Lim Oon Kuin, also known as OK Lim, was issued a stern warning and a district court granted him a discharge amounting to an acquittal for these charges on 17 July.

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July 21, 2026

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Founder of collapsed oil trader Hin Leong Trading, Lim Oon Kuin, also known as OK Lim, has had the remaining 127 charges against him withdrawn, according to The Straits Times on Monday (20 July). 

OK Lim was issued a stern warning and a district court granted him a discharge amounting to an acquittal for these charges, including those for cheating, on 17 July. The discharge means Lim cannot be prosecuted again for the same offences.

Lim, 84, is currently serving a 13½-year prison sentence after the High Court reduced his original 17½-year jail term in March 2026. He was convicted in 2024 on two cheating charges and one count of abetting forgery in a case prosecutors described as one of Singapore’s most serious trade finance frauds.

Lim was convicted in May 2024 of two charges of cheating the Hongkong and Shanghai Banking Corporation (HSBC) and one count of abetting forgery that proceeded to trial out of a total of 130 criminal charges.

He was first charged in court on 14 August 2020, and was subsequently handed further charges in court on 25 September 2020, 30 April 2021 and 24 June 2021 for his role in perpetuating fraud on various financial institutions. 

A total of 130 charges were eventually brought against him for cheating and forgery-related offences.

Related: Singapore: Hin Leong Founder OK Lim gets jail term slashed to 13.5 years

 

Photo credit: Sora Shimazaki
Published: 21 July, 2026

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Winding up

Singapore: Coastal Logistics Pte Ltd to be wound up voluntarily

Coastal Logistics was reportedly affiliated with troubled Singapore bunker player Coastal Oil (Singapore) Pte Ltd.

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July 21, 2026

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RESIZED Drew Beamer

Several resolutions for Coastal Logistics Pte Ltd were made during an extraordinary general meeting held on 14 July, according to a notice in the Government Gazette on Friday (4 July).

The following resolutions were duly passed during the meeting:

As Special Resolution

  • That it has been proved to the satisfaction of the meeting that the Company cannot by reason of its liabilities continue its business and accordingly the Company be wound up voluntarily pursuant to Section 160(1)(b) of the Insolvency, Restructuring and Dissolution Act 2018 (No. 40 of 2018);

As Ordinary Resolutions

  • that Mr. Wong Pheng Cheong Martin and Ms. Koay May Yee, both care of FTI Consulting (Singapore) Pte Ltd, One Raffles Quay, #27-10 South Tower, Singapore 048583 be appointed as the joint and several Liquidators of the Company for the purpose of such winding up; and
  • that the Liquidators be at liberty to open, maintain and operate any bank account(s) or account(s) for monies received by them as Liquidators with such bank(s) as they deem fit; and
  • that a Committee of Inspection will not be formed.

Manifold Times previously reported Nicholas James Gronow, director of Heng Tong Fuels & Shipping and Coastal Logistics, filed statutory declarations for both companies stating the firms cannot continue their businesses due to liabilities.

Both companies were reportedly affiliated with troubled Singapore bunker player Coastal Oil (Singapore) Pte Ltd. 

In 2019, several vessels owned by both firms entered the sale & purchase (S&P) market in Singapore.

Related: Singapore: Director declares Heng Tong Fuels & Shipping’s inability to continue business
Related: Heng Tong Fuels & Shipping in court over DBS Bank bunker tanker loan
Related: Singapore: Bunker tanker “Coastal Neptune” arrested
Related: Heng Tong Fuels & Shipping, Coastal Logistics tankers enter S&P market

 

Photo credit: Drew Beamer
Published: 21 July, 2026

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LNG Bunkering

PIL’s LNG dual-fuel boxship “Kota Elok” arrives in Singapore on maiden call

As the first of 13 new 13,000 TEU vessels joining its fleet, Kota Elok is equipped to operate on LNG and low-sulphur fuel oil that helps reduce our greenhouse gas emissions.

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July 21, 2026

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PIL's LNG dual-fuel boxship “Kota Elok” arrives in Singapore on maiden call

Singapore-based Pacific International Lines Pte Ltd on Monday (20 July) said its first 13,000 TEU LNG dual-fuel container vessel, Kota Elok, recently made her maiden call to Singapore on 15 July.

As the first of 13 new 13,000 TEU vessels joining its fleet, Kota Elok is equipped to operate on liquefied natural gas (LNG) and low-sulphur fuel oil that helps reduce our greenhouse gas emissions. 

The vessel also incorporated energy-saving features and digital technologies to reduce fuel consumption and enhance operational performance, as well as a bow windshield to improve aerodynamics, contributing to improved fuel efficiency and lower emissions over the course of long-haul voyages.

“Following Singapore, Kota Elok will continue her voyage on our East Coast Service 1 (ES1) route to South America, calling at ports in Brazil, Uruguay, and Argentina before returning to Asia,” the company said in a social media post. 

Kota Elok also became PIL’s first vessel to receive Lloyd’s Register certification for compliance with the IACS UR E26 and UR E27 cyber security requirements.

Developed by the International Association of Classification Societies (IACS), UR E26 and UR E27 are mandatory cyber resilience requirements for newbuild vessels contracted from 1 July 2024. 

 

Photo credit: Pacific International Lines
Published: 21 July, 2026

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