Norwegian parcel tanker shipowner Odfjell has won its arbitration case in Stockholm against the large Russian state-owned shipyard Sevmash over the non-delivery of 12 ships contracted in 2004.

Odfjell says in a statement: “Whilst winning our main point, that of
Sevmash being guilty of wilful misconduct, nevertheless we are
seriously disappointed about the damages awarded, only USD 43.76
million. This figure is but a fraction of the value of our lost
bargain, and of our trading losses. The first ship should have been
delivered in September 2007. By the time we felt compelled to cancel
the contracts, in February 2008, by the shipyard’s own account the
first ship was then delayed by 14 months etc.”

Sevmash was ordered to pay 75% of the arbitration costs. The Odfjell fleet comprises over 90 ships, trading worldwide.

Source: Odfjell

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