World News
'Significant Progress' for Chemical Shipper's Restructuring Plan
Indonesian chemical shipper P.T. Berlian Laju Tanker (BLT) says it has "made significant progress" in restructuring its debt, with court decisions in the U.S. and Singapore that support the company's efforts.
In an emailed press release, BLT said the U.S. Bankruptcy Court granted a provisional injunction staying litigation against the company as U.S. authorities decide whether to recognise the restructuring process moving forward in Indonesia,
"The Company is aware that there will be opposition to this from a small group of creditors but remains very confident that recognition will be obtained," BLT said.
"This small group of creditors has, in any event, primarily opposed each step of the restructuring to date."
Creditors agreed last month to support the company's plan for restructuring $1.9 billion of debt, which BLT says was ratified by the Central Jakarta Commercial Court on March 22, 2013.
Meanwhile, the Singapore High Court has extended a protective order to June 25, 2013 to allow subsidiaries to present plans for addressing their debts.
In addition, BLT said the Singapore Exchange has agreed to grant it an extension until April 30, 2013 to submit a trading resumption proposal, allowing it to incorporate aspects of the restructuring plan into the proposal.
BLT chairman Hadi Surya said last October the company has been under pressure from weak freight rates and higher bunker costs.
Key Bunker Prices More
| VLSFO | MGO | |||
|---|---|---|---|---|
| $/mt | +/- | $/mt | +/- | |
| Singapore | 502.00 | 7.00 | 617.00 | 6.00 |
| Rotterdam | 455.00 | 8.00 | 619.50 | 4.00 |
| Houston | 467.00 | 4.50 | 625.00 | 2.50 |
| Fujairah | 495.00 | 6.00 | 712.50 | 1.50 |
| Global 20 Ports Average | 524.50 | 4.50 | 710.50 | 4.00 |
| Global 4 Ports Average | 479.50 | 6.50 | 643.50 | 3.50 |
| Global Average Bunker Price | 570.50 | 2.00 | 747.50 | 5.50 |
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