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Venezuela: Possible Pet Coke Shortages at Jose Terminal

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Advisory to Members

The Association is grateful to Carlos Carrasco of Messrs. Venepandi for this contribution. Sourced by Kristoffer Kohmann, Vice President Head of Claims, Skuld Oslo 2.

The Association would like to draw attention to Venepandi's Circular of 7 February 2014 in respect of possible cargo shortages of pet coke at Jose Terminal, Venezuela.

As Members will note, cargoes are being sprayed with significant amounts of water, in order to keep temperature levels low.

Upon loading, however, it is not accounted for that the cargo may have significant amounts of water in it, and that this could lead to a higher m.t. rate being recorded.

As significant quantities of water may end up being pumped out of the holds by the vessel's bilges during the voyage, there could therefore be a technical shortage of the cargo at subsequent discharge ports.

It must also be kept in mind that this dirty bilge water may also not be simply pumped over board, as that could infringe MARPOL Regulations as well as local anti-pollution laws in either Venezuela or the country of destination for the discharge ports.

Should Members seek to load the cargo, it would be prudent to be aware of these issues as otherwise cargo claims and possible pollution fine issues could result.

It may be necessary to consider in advance who, under the Charterparty, will be responsible for any shortages arising out of excess water presence in the cargo on loading as well as who will bear the time and cost of disposing of the dirty bilge water.

Masters should be properly briefed as to how they should carefully monitor the cargo coming on board their vessels, make written and photographic records, and not hesitate to contact the Club's Correspondent in case of difficulty or concern.

In case Members have further queries they are asked to contact the Association:  

Christian Ott
Vice President Head of Claims, Skuld Singapore Branch
Loss Prevention and Recurring Claims Team Leader

Stockpiles of cargo near the terminal