Still burning Iranian Suezmax has insurance cover

Jan 12 2018


NITC’s stricken Suezmax ‘Sanchi’, which collided with a bulk carrier in the East China Sea, is covered by reinsurance provided by the International Group (IG) of Protection & Indemnity Clubs, according to an IG member P&I Club, talking with Platts.

The tanker, carrying 136,000 tonnes of South Pars condensate, caught fire late Saturday after a collision with bulk carrier ‘CF Crystal’ in the East China Sea. The incident occurred 160 miles east of Shanghai.

 

Both vessels were believed to have IG reinsurance cover of up to $7.8 bill each.

 

The condensate cargo had been purchased by South Korea's Hanwha Total Petrochemical and it was scheduled for delivery to Daesan around 8th-10th January.

 

Hanwha confirmed on Monday that any financial losses incurred by the undelivered oil would be fully covered by its own insurance, while the company claimed it bore no legal responsibilities over the collision and any environmental damages.

 

Six days after a fire broke out, firefighters were still struggling to extinguish the blaze in heavy weather, as criticism mounted in Tehran over whether enough was being done to locate dozens of its missing crew members.

 

One body has been found but 31 seafarers – mainly Iranians – remain missing.

 

Cleanup and rescue ships were still facing toxic fumes, strong winds, rain and 4 m waves as they attempt to find survivors and avoid a massive oil slick.

 

China’s transport ministry confirmed on Thursday evening the Panamanian-flagged Suezmax remained on fire, adding that two ships had spent the day spraying the vessel with retardant foam.

 

But rescue efforts were still being hampered by “terrible” weather conditions and toxic gases from the burning oil which “pose a great danger to rescuers”, the Ministry said in a statement.

 

Of the 30 Iranians and two Bangladeshis on the Sanchi’s crew, only one body has so far been found.

 

On Thursday, Iran's Minister of Labor, Co-operatives and Social Welfare, Ali Rabiei, who has been tasked with heading the committee to investigate the incident, wrote to Chinese officials asking them to increase efforts to rescue the crew. 

 

“As it is likely to find some missing crew alive, considering the hesitation in rescue efforts for the accident-stricken crew tanker, I expect suitable follow-ups by Chinese navy, ministry of transportation, and other relevant organisations of that country,” the letter reportedly said.

 



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