An arbitral tribunal has awarded CH Offshore C13 US$1.25 million ($1.63 million) as its fourth final partial award for unpaid fees from the company’s charterer.
On March 6, 2023, CH Offshore began arbitration proceedings against its unnamed charterer for unpaid charterhire of some US$2.1 million on one of the company’s vessels. In response to CH Offshore’s claim, the charterer filed a counterclaim of US$3.4 million.
On July 31, 2023, the arbitral tribunal issued a final partial award of US$1.6 million to CH Offshore. It also issued an injunction requiring the charterer to redeliver the vessel to the company after the charterparty’s termination in April 2023. The counterclaim was also dismissed.
The award, announced on Oct 7, brings the total amount awarded to CH Offshore to US$3 million. Interest on the first and fourth final partial awards will continue to accrue at a daily rate till full payment is made to the company. The fourth final award takes into consideration CH Offshore’s submissions to base the claim amount on a full rate instead of a standby hire rate.
In the 1HFY2024 ended June 30, CH Offshore reported earnings of US$554,000, reversing from a loss of US$4.4 million in the 1HFY2023.
Revenue surged by 74.4% y-o-y to US$14.8 million due to a higher utilisation rate of 59% from 42% in the year before for CH Offshore-owned vessels. The revenue increase was also due to third-party chartered vessels.
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1HFY2024 profit before income tax stood at US$1.4 million, from US$4.4 million in 1HFY2023.
Shares in CH Offshore closed flat at 5.1 cents on Oct 4.
