Emas Offshore gets wind up threat over ‘Lewek Champion’ charter debts

Lewek Champion

Emas Offshore’s subsidiary, Lewek Champion Shipping, may be facing wind up in a further push by Hai Jiang 1401 to achieve its rights as debts accrue for the now terminated charter of the Lewek Champion vessel. 

On March 9, 2017, Hai Jiang 1401, the owner of the pipelay construction vessel Lewek Champion and a unit of China’s ICBC Financial Leasing, terminated a charter agreement with Emas’ subsidiary for the Lewek Champion vessel after the charterer defaulted to make payment of the sum of $1.58 million.

The owner of the vessel also demanded a payment of the termination sum of $194.5 million from the charterer and Emas’ parent company, Ezra Holdings, within fifteen business days from the date of termination. Ezra was the guarantor under the charter agreement.

Further reasons behind the charter termination include the Chapter 11 filing by the sub-sub-charterer of the vessel EMAS Chiyoda Subsea and the voluntary liquidation of the sub-lessee EMAS-AMC. Emas’ parent company also filed for reorganization under Chapter 11 of the United States Bankruptcy Code less than a month ago.

 

Owner demands payment as debts accrue 

 

Further to the termination, the solicitors of Hai Jiang 1401 on April 12 issued a statutory demand to Emas Offshore’s Lewek Champion Shipping in relation to a claim for payment of a sum of $195.02 million. In addition to the termination sum of $194.5 million, this sum includes a further sum of $522,217.84 being the accrued contractual interest under the bareboat charter.

The owner also stated in the demand that if the payment is not made within twenty-one days from the receipt of the demand, it may apply for Lewek Champion Shipping to be wound up on the ground that the charterer is unable to pay its debts.

Emas Offshore, its subsidiary, and parent company are currently seeking legal advice regarding the demand and Emas is assessing the impact of the demand on the group.

Offshore Energy Today Staff

Share this article

Follow Offshore Energy Today

Events>

<< Oct 2019 >>
MTWTFSS
30 1 2 3 4 5 6
7 8 9 10 11 12 13
14 15 16 17 18 19 20
21 22 23 24 25 26 27
28 29 30 31 1 2 3

Executive Oil Conference & Expo 2019

Executive Oil Conference and Exhibition is a unique opportunity to meet with all of the region’s…

read more >

Oil & Gas Vietnam 2019

Oil & Gas Vietnam (OGAV) 2019 is the only specialized oil & gas event in Vietnam that brings together an international congregation of both upstream and downstream oil and gas companies and also its supporting industries gathered in the heart of Vietnam’s oil and gas industry in Vung Tau, to showcase the latest developments in the oil and gas industry.

read more >

Jobs>

Looking to fill a job opening?

By advertising your job here, on the homepage of OffshoreEnergyToday.com, you'll reach countless professionals in the sector. For more information, click below...

apply

Looking to fill a job opening?

By advertising your job here, on the homepage of OffshoreEnergyToday.com, you'll reach countless professionals in the sector. For more information, click below...

apply