Thai bulk carrier owner Precious Shipping has entered into a settlement agreement with Jiangsu Guoxin Investment Group, the parent of bankrupt shipyard Sainty Marine, on a newbuild contract dispute regarding the construction of eleven 64,000 dwt bulk carriers.
Sainty Marine went bankrupt in 2016 due to a major financial crisis and it went into arbitration with Precious Shipping for the 11 unfinished vessels at the yard.
According to Jiangsu Guoxin, the company has agreed to return $40.5m of advance payment made by Precious Shipping via a bank refund guarantee before July 31, to settle all disputes under the contracts.
Sainty Marine completed a restructuring in 2017 and quit the shipbuilding business.
