Another Balboa Bad Bunker Claim: Golden Eagle Shipping Seeks $555,000 After Main Engine Failure

Friday August 10, 2018

Golden Eagle Shipping, LLC is seeking $555,000 in damages from Norvic Shipping International Ltd for damages allegedly caused to the vessel by bad bunkers lifted in Balboa, Panama.

In a complaint filed earlier this week in the United States District Court Eastern District for Louisiana, Golden Eagle says is chartered the bulk carrier M/V Golden Eagle to Norvic around May 29, 2018 and delivered the vessel "in good condition" about June 3. Norvic was then said to have lifted bunkers in Balboa around June 9.

Those bunkers were said to have been isolated on the vessel until around July 1 when crew began to burn them.

According to the complaint, around July 4 the vessel began experiencing mechanical difficulties and, ultimately, a breakdown of the main engine.

"The Vessel's engines did not experience any problems whatsoever prior to burning the bunkers supplied by the defendant. It is evident from the extensive damage to the vessel and from the sample test results of the bunkers to date that these mechanical problems were caused by the bunkers supplied by the Defendant which contained contaminants and/or were otherwise unsuitable to operate the Vessel," the complaint reads.

After suffering what was said to be 14 days of mechanical issues, Golden Eagle is seeking damages "no less" than $555,000, a total that includes $200,000 in physical damage and expenses to divert the vessel to a port of refuge for emergency repairs, $200,000 in loss of charter, $55,000 in lost bunkers, and $100,000 in costs related to debunkering the faulty fuel.

The claim is the second the emerge this week, after Ship & Bunker reported Monday that Meadway Shipping and Trading Singapore Pte (Meadway) has taken legal action against Integrity Bulk ApS (IBAS) in a similar alleged bad bunker claim for fuel also lifted in Balboa, Panama.

It follows months of fuel problems that first emerged in the US Gulf market, and more recently Panama and Singapore, with over 100 vessels are understood to have affected so far.