Prohibition of crude oil vessels from Nigeria
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Second update – a further letter from Nigerian National Petroleum Corporation (‘NNPC’).
NNPC has sent a further letter to the Terminal Operators in Nigeria. This latest letter is dated 05.10.15. The letter refers to a Letter of Comfort (“LOC”) to be provided by “Terminal Operators and Off-takers of Nigerian Oil and Gas”. The template wording is less onerous than the wording required previously but refers, however, to the LOC being provided by “off-takers, or Vessel Owners or terminal Operators for each lifting”.
INTERTANKO continues to advise caution, recommending Members to avoid giving a LOC directly to NNPC. If the vessel has been chartered out on terms including the INTERTANKO Nigeria Trade Clause, Charterers ought to be responsible for providing such documentation. Only as a last resort, should Members provide their Charterers with a LOC limited as follows: “Owners confirm that the vessel will not knowingly engage in any illegal activities and will strictly follow any legal instruction issued in accordance with the terms of the Charter Party.”
Ideally, Charterers ought to provide a reciprocal LOC to Owners.
INTERTANKO’s dialogue with NNPC continues.
Previous information on: Prohibition of crude oil vessels from Nigeria
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Member Alert is published by The Swedish Club as a service to members. While the information is believed correct, the Club cannot assume responsibility for completeness or accuracy.