Coastal Contracts goes to arbitration to settle dispute with CIMC Raffles Offshore

Coastal Contracts goes to arbitration to settle dispute with CIMC Raffles Offshore

Offshore service provider Coastal Contracts has announced that its subsidiary, Thaumas Marine, has filed a notice of arbitration with the Singapore International Arbitration Center against CIMC Raffles Offshore and Dynamic Driller due to a shipbuilding dispute.

CIMC Raffles Offshore and Dynamic Driller wasn’t able to deliver a JU 2000E F&G design jack-up drilling rig to Thaumas Marine before the cancellation date of June 30, 2015 according to the shipbuilding contract.

The rig was accepted to be technically ready for delivery on Spetmeber 11, which was 73 days after the cancellation date. Thaumas Marine is demanding liquidated damages of $3.65m in total and relevant interest from the two parties.

In addition, Thaumas Marine also found that there exists several critical and major non-conformities of the rig’s parts and equipment which significantly deviated from the technical specifications as agreed and is looking to claim an additional $2m.

Jason Jiang

Jason worked for a number of logistics firms following his English degree, then switched this hands-on experience to writing and has since become one the most prolific writers on the diverse China logistics industry writing for a host of titles including Supply Chain Asia, Cargo Facts and Air Cargo Week. Jason’s access to the biggest shippers with business in China has proved an invaluable source of exclusives.

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