Shanghai: Shanghai-based shipping firm Pacific Glory Shipping has issued an announcement to explain a vessel charter dispute with Great Pacific Navigation.
According to the announcement, Pacific Glory Shipping signed an agreement with Great Pacific Navigation to charter the vessel “Kiran Anatolia” to transport nickel ore from Indonesia to China for two voyages. After the first voyage, Pacific Glory Shipping didn’t have enough time to complete the second voyage as the ore shipping ban in Indonesia was about to become effective. Pacific Glory Shipping tried to negotiate with Great Pacific Navigation to arrange the vessel for another voyage, but they couldn’t reach an agreement and Pacific Glory Shipping had no choice but to return the vessel.
Great Pacific Navigation has asked for a compensation of $160,000 for breaking the contract, however Pacific Glory Shipping believes the Indonesia shipping ban could be an uncontrollable impediment to the contract after consulting its P&I Club.
Pacific Glory Shipping said Great Pacific Navigation has severely damaged its reputation by warning other shipowners not work with the company which has violated the resolution procedures of a commercial dispute. [21/01/14]