JavaScript is off. Please enable to view full site.

Giant oil tanker returned over contract dispute

Giant oil tanker returned over contract dispute

Saturday, November 10, 2012, 13:01 GMT+7

A 104,000-ton oil tanker built by the Dung Quat Shipbuilding Co (DQS) has recently been returned shortly after it was handed over to the investor due to some disagreements between the two parties, a representative of the shipbuilder told Tuoi Tre. The newly-built Dung Quat 1 oil tanker was on Thursday forced to be transported back to DQS, a subsidiary of the state-run oil and gas group PetroVietnam (PVN), by the investor PV Trans, who said the ship’s quality and safety are not ensured. The ship was transferred to DQS from the debt-ridden Vinashin in 2010 at US$28 million, said DQS chairman Nguyen Van Hoi. The Quang Ngai-based shipbuilder later inked a $25 million contract with PV Trans to complete the ship, and has completed ship registry in Vietnam as well as acquired the certificate from the US-based ABS international registry, he said. The certificate means the ship is qualified for traveling in domestic and international routes between Vietnam and the US, he elaborated. But the problem began when PV Trans sought to inspect the ship quality through their own initiatives, he added. “In August the investor hired the Singapore’s VMS consultant agency to examine the ship, and the company said four additional parts should be added to optimize the tanker operation,” he explained. Hoi said the request is quite unreasonable as “when the ship is recognized by the US registry authorities, it’s OK for it to travel on international routes.” But DQS also accepted to negotiate with PV Trans on the additional deal, which is expected to cost some $4 million. “But we have yet to reach any agreements, while [PVN] forced us to finish their request before the money issue is settled,” he said. Hoi insisted that the Dung Quat 01 ship has been operating well, and the additional contract will soon be completed once the investor clears the payment.

Tuoi Tre

More

Read more

;

Photos

VIDEOS

‘Taste of Australia’ gala dinner held in Ho Chi Minh City after 2-year hiatus

Taste of Australia Gala Reception has returned to the Park Hyatt Hotel in Ho Chi Minh City's District 1 after a two-year hiatus due to the COVID-19 pandemic

Vietnamese woman gives unconditional love to hundreds of adopted children

Despite her own immense hardship, she has taken in and cared for hundreds of orphans over the past three decades.

Vietnam’s Mekong Delta celebrates spring with ‘hat boi’ performances

The art form is so popular that it attracts people from all ages in the Mekong Delta

Vietnamese youngster travels back in time with clay miniatures

Each work is a scene caught by Dung and kept in his memories through his journeys across Vietnam

Latest news