Document:

EX-4.5

 EXHIBIT 4.5 

“BARECON 2001” STANDARD BAREBOAT CHARTER 

PART 1 
  

					
	 		 		 
	 1. Shipbroker

 
 ITOCHU CORPORATION

TOKBM Section, 5-1, Kita-Aoyama 2-chome,

Minato-ku, Tokyo, 107-8077, Japan
	  	 BIMCO STANDARD BAREBOAT
CHARTER
 CODE NAME : “BARECON 2001”

PART I

	  	 2. Place and date

In Nantong, China
 2nd July, 2019

	 3. Owners /
Place of business (Cl. 1)
  
 Takanawa Line Inc.

15 Manuel maria Icaza St. and Samuel Lewis Avenue,

Panama City, Republic of Panama
	  	 4.
Bareboat Charterers / Place of business (Cl. 1)
  
 Finian Navigation
Co.
 Trust Company Complex, Ajeltake Road, Ajeltake Island,

Majuro, MH96960, Marshall Islands

	  

5. Vessel’s name, call sign, flag and IMO number (Cl. 1 and 3)
  

M/V NAVIOS ACE, D5MU7, Liberia, 9592771
  

	 6. Type of Vessel

 
 Bulk Carrier

 
	  	 7. GT / NT

 
 92,884 /59,331

 

	 8. When / Where built

 
 2011, Sungdong Shipbuilding & Marine Engineering Co., Ltd

 
	  	 9. Total DWT (abt.) in metric tons on
summer freeboard
  
 178,926 MT

	 10. Classification Society (Cl. 3)

 
 Lloyd’s Register (LR)
	  	 11. Date of last special survey by the
Vessel’s classification society
  
 November 21st, 2016

	  

12. Further particulars of Vessel (also indicate minimum number of months’ validity of class certificates agreed acc. to Cl. 3)

 
 Cargoes to be carried; All lawful cargoes within the Vessel’s
capabilities/Class, IMO, flag, her insurance

	  

13. Port or Place of delivery (Cl.3)
  

As per Clause 5 of the MOA (as defined in Clause 1 hereof)
	  	 14. Time for delivery (Cl.4)

 
 As per Clause 5 of the MOA See Also Clause 32.
	  	 15. Cancelling date (Cl.5)

 
 As per Clause 5 of the MOA

	  

16. Port or Place of redelivery (Cl. 3)
  

At one safe berth or one safe port worldwide in the Charterers’ option
	  	  

17. No. of months’ validity of trading and class certificates upon redelivery (Cl. 15)

 
 Minimum 3 months

	  

18. Running days’ notice if other than stated in Cl.4
  

N/A
	  	 19. Frequency of dry-docking Cl. 10(g)
  
 As per Classification
Society and flag state requirements

	  

20. Trading Limits (C1.6)
  

Trading Limits: always safely afloat world-wide within International Navigation Conditions with the Charterer’s option to

break same paying extra Insurance, but always in accordance with Clause 13 and 40.

 
 Any other country designated pursuant to any international including U.N. / U.S. / EU
or supranational law or regulation
 imposing trade and economic sanctions, prohibitions or restrictions (which may be amended from time to time
during the
 Charter Period) to be excluded.
  

	 21. Charter Period (Cl. 2)

 
 Eleven (11) years with up to [3 months] more or less in Charterers’
option
 (See Clause 34)
	  	 22. Charter hire (Cl. 11)

 
 See Clause 35

	
23. New class and other statutory requirements (state percentage of
Vessel’s insurance value acc. to Box 29 (Cl. 10(a)(ii))

 
 N/A

 

	 24. Rate of interest payable acc. to Cl.11(f) and,
if applicable, acc. to PART IV
  
 N/A
	  	 25. Currency and method of payment
(Cl.11)
  
 United States Dollars payable calendar monthly in
advance

	 26. Place of payment; also state beneficiary and
bank account (Cl. 11)
  
 To be advised
	  	 27. Bank guarantee / bond (sum and
place) (Cl. 24 (optional)
  

N/A

 “BARECON 2001” STANDARD BAREBOAT CHARTER 

PART I 
  

					
	 28. Mortgage(s), if
any (state whether Cl. 12(a) or (b) applies; if 12(b) applies, state date of Financial Instrument and name of Mortgagee(s)/Place of business) (Cl. 12)
  

See Clause 44
	  	 29.
Insurance (hull and machinery and war risks) (state value acc. to Cl.13(f) or, If applicable, acc. to Cl. 14(k)) (also state if Cl.14 applies)
  

See Clause 40

	  

30. Additional insurance cover, If any, for Owners’ account limited to (Cl.13(b) or, if applicable, Cl. 14(g))

 
 N/A
	  	 31. Additional insurance cover, if
any, for Charterers’ account limited to (Cl. 13(b) or, if applicable, Cl. 14(g))
  

See Clause 40 (c)

	  

32. Latent defects (only to be filled In if period other than stated in Cl.3)
  

N/A
  
	  	 33. Brokerage commission and to whom
payable (C1.27)
  
 N/A

	 34. Grace period (state number of clear banking
days) (Cl. 28)
  
 See Clause 41
	  	 35. Dispute Resolution (state 30(a),
30(b) or 30(c); If 30(c) agreed, Place of Arbitration must be stated (Cl. 30)
  

London
  

	
36. War cancellation (indicate countries agreed) (Cl. 26(f))
  

N/A

	 37. Newbuilding Vessel (indicate with
‘yes’ or ‘no’ whether PART III applies) (optional)
  

No
  
	  	 38. Name and place of Builders (only
to be filled in if PART III applies)
  
 N/A

	 39. Vessel’s Yard Building No. (only to be
filled in if PART III applies)
  
 No

 
	  	 40. Date of Building
Shipbuilding Contract (only to be filled in if PART III applies)
  

N/A

	
41. Liquidated damages and costs shall accrue to (state party acc. to Cl. 1)
  

a) N/A
 b) N/A

c) N/A

	 42. Hire/Purchase agreement (Indicate with
‘yes’ or ‘no’ whether PART IV applies) (optional)
  

N/A
  
	  	 43. Bareboat Charter Registry
(Indicate with ‘yes’ or ‘no’ whether PART IV applies) (optional)
  

Yes in Charterers’ option

	 44. Flag and Country of the Bareboat Charter
Registry (only to be filled in if PART V applies)
  
 See Clause 37
	  	 45. Country of the Underlying Registry
(only to be filled in if PART V applies)
  
 Republic of Panama

	  

46. Number of additional clauses covering special provisions, if agreed
  

Clause 32 to 57 inclusive

 PREAMBLE—It is mutually agreed that this Contract shall be performed subject to the conditions contained in this Charter
which shall Include PART I and PART II. In the event of a conflict of conditions, the provisions of PART I shall pravail over those of PART II to the extent of such conflict but no further. It Is further mutually agreed that PART III and/or PART IV
and/or PART V shall only apply and shall only form part of this Charter if expressly agreed and stated In Boxes 37, 42 and 43. If PART III and/or PART IV and/or PART V apply, It Is further agreed that in the event of a conflict or conditions, the
provisions of PART I and PART II shall prevail over those of PART III and/or PART IV and/or PART V to the extent of such conflict but no further. 
  

							
	 Signature (Owners)

 
 TAKANAWA LINE INC.

 
  
 

  
	 	 	 	 Signature (Charterers)
  

Finian Navigation Co
  
 

  
	  	 
	 By: Tadato Okochi

Title: President
	 	 	 	 By: Shunji Sasada

Title: Attorney-in-fact
	  	 

 PART II 

“BARECON 2001” Standard Bareboat Charter 

 

	1.	 Definitions 

In this Charter, the following terms shall have the meanings hereby assigned to them: 

“The Owners” shall mean the party identified in Box 3; 

“The Charterers” shall mean the party identified in Box 4; 

“The Vessel” shall mean the vessel named in Box 5 and with particulars as stated in Boxes 6 to 12; 

“Financial Instrument” means the mortgage, deed of covenant or other such financial security instrument as annexed to this
Charter and stated in Box 28. 
 “MOA” means the Memorandum of Agreement entered into between the Owners as buyers and the
Charterers as Sellers dated 2nd July 2019 in respect of the Vessel. 

“Banking Days” shall mean the days identified in Cl.36 (b) 

“Total Loss” shall mean the situation identified in Cl.40 (a) 

 

	2.	 Charter Period 

In consideration of the hire detailed in Box 22, the Owners have agreed to let and the Charterers have agreed to hire the Vessel for
the period stated in Box 21 (the “Charter Period”). 
  

	3.	 Delivery Also See Clause 32 

The Vessel shall be delivered and taken over by the Charterers as per Clause 32. 

(not applicable when PART III applies, as indicated in Box
37) 
 (a) The Owners shall before and at the time of delivery exercise due
diligence to make the Vessel seaworthy and in every respect ready in hull, machinery and equipment for service under this Charter. 

The Vessel shall be delivered by the Owners and taken over by the Charterers at the port or place indicated in Box 13 in such ready
safe berth as the Charterers may direct. 
 (b) The Vessel shall be properly documented on delivery in accordance with the laws of
the flag state indicated in Box 5 and the requirements of the classification society stated in Box 10. The Vessel upon delivery shall have her survey cycles up to date and trading and class certificates valid for at least the number of
months agreed in Box 12. 
 (c) The delivery of the Vessel by the Owners and the taking over of the Vessel by the
Charterers shall constitute a full performance by the Owners of all the Owners’ obligations under this Clause 3, and thereafter the Charterers shall not be entitled to make or assert any claim against the Owners on account of any conditions,
representations or warranties expressed or implied with respect to the Vessel but the Owners shall be liable for the cost of but not the time for repairs or renewals occasioned by latent defects in the Vessel, her machinery or appurtenances,
existing at the time of delivery under this Charter, provided such defects have manifested themselves within twelve (12) months after delivery unless otherwise provided in Box 32. 

 

	4.	 Time for Delivery See Clause 32 

(not applicable when PART III applies, as indicated in Box 37) 

The Vessel shall not be delivered before the date indicated in Box 14 without the Charterers’ consent and the Owners shall
exercise due diligence to deliver the Vessel not later than the date indicated in Box 15. 
 Unless otherwise agreed in
Box 18, the Owners shall give the Charterers not less than thirty (30) running days’ preliminary and not less than fourteen (14) running days’ definite notice of the date on which the Vessel is expected to be ready for
delivery. 
 The Owners shall keep the Charterers closely advised of possible changes in the Vessel’s
position. 
  

	5.	 Cancelling 

(not applicable when PART III applies, as indicated in Box 37) 

(a) Should the Vessel not be delivered latest by the cancelling date indicated in Box 15, the Charterers shall have the option of
cancelling this Charter by giving the Owners notice of cancellation within thirty six (36) running hours after the cancelling date stated in Box 15, failing which this Charter shall remain in full force and effect.

 (b) If it appears that the Vessel will be delayed beyond the cancelling date, the
Owners may, as soon as they are in position to state with reasonable certainly the day on which the Vessel should be ready, give notice thereof to the Charterers asking whether they will exercise their option of cancelling, and the option must then
be declared within one hundred and sixty eight (168) running hours of the receipt by the Charterers of such notice or within thirty six (36) running hours after the cancelling date, whichever is the earlier, if the Charterers do not then
exercise their option of cancelling, the seventh day after the readiness date stated in the Owners’ notice shall be substituted for the cancelling date indicated in Box 15 for the purpose of this Clause 5. 

(c) Cancellation under this Clause 5 shall be without prejudice to any claim the Charterers may otherwise have on the Owners under
this Charter. 
  

	6.	 Trading Restrictions 

The Vessel shall be employed in lawful trades for the carriage of suitable lawful merchandise within the trading limits indicated in Box
20. 
 The Charterers undertake not to employ the Vessel or suffer the Vessel to be employed otherwise than in conformity with the
terms of the contracts of insurance (including any warranties expressed or implied therein) without first obtaining the consent of the insurers to such employment and complying with such requirements as to extra premium or otherwise as the insurers
may prescribe. 
 The Charterers also undertake not to employ the Vessel or suffer her employment in any trade or business which is
forbidden by the law of any country to which the Vessel may sail or is otherwise illicit or in carrying illicit or prohibited goods or in any manner whatsoever which may render her liable to condemnation, destruction, seizure or confiscation. 

Notwithstanding any other provisions contained in this Charter it is agreed that nuclear fuels or radioactive products or waste are
specifically excluded from the cargo permitted to be loaded or carried under this Charter. This exclusion does not apply to radio isotopes used or intended to be used for any industrial, commercial, agricultural, medical or scientific
purposes provided the Owners’ prior approval has been obtained to loading thereof. 
  

	7.	 Surveys on Delivery and Redelivery 

(not applicable when PART III applies, as indicated in Box 37) 

The Owners and Charterers have the right of shall each appointing surveyors for the purpose of determining and agreeing in
writing the condition of the Vessel at the time of delivery. redelivery hereunder. The Owners shall bear all expenses of the On-hire Survey including loss of time, if any, and the Charterers shall bear all expenses of the Off-hire Survey including loss of time, if any, at the daily equivalent to the rate of hire or pro rate thereof. 
  

	8.	 Inspection 

The Owners shall have the right maximum twice per year at any time after giving reasonable notice to the Charterers to
inspect or survey the Vessel or instruct a duly authorised surveyor to carry out such survey on their behalf:- provided it does not Interfere with the operation of the Vessel and/or crew 

(a) to ascertain the condition of the Vessel and satisfy themselves that the Vessel is being properly repaired and maintained. The costs and
fees for such inspection or survey shall be paid by the Owners. unless the Vessel is found to require repairs or maintenance in order to achieve the condition so provided: 

(b) In dry dock if the Charterers have not dry docked her in accordance with Clause 10(g). the costs and fees for such inspection or
survey shall be paid by the Charterers; and 

 

 PART II 

“BARECON 2001” Standard Bareboat Charter 

 

 (c) for any other commercial reason they consider necessary (provided it does not
unduly interferer with the commercial operation of the Vessel). The costs and fees for such inspection and survey shall be paid by the Owners. 

All time used in respect of Inspection, survey or repairs shall be for the Charterers’ account and form part of the Charter
Period. 
 The Charterers shall also permit the Owners to inspect the Vessel’s log books maximum twice per year
whenever reasonably requested and shall whenever required by the Owners furnish them with full information regarding any casualties or other accidents or damage to the Vessel. 

 

	9.	 Inventories, Oil and Stores         SEE CLAUSE 53

 A complete inventory of the Vessel’s entire equipment, outfit including spare parts, appliances and
of all consumable stores on board the Vessel shall be made by the Charterers in conjunction with the Owners on delivery and again on redelivery of the Vessel. The Charterers and the Owners, respectively, shall at the time of delivery and redelivery
take over and pay for all bunkers, lubricating oil, unbroached provisions, paints, ropes and other consumable stores (excluding spare parts) In the said Vessel at the then current market prices at the ports of delivery and redelivery, respectively.
The Charterers shall ensure that all spare parts listed in the inventory and used during the Charter Period are replaced at their expense prior to redelivery of the Vessel. SEE ALSO CLAUSE 32, AND CLAUSE 46 

 

	10.	 Maintenance and Operation 

(a)(i) Maintenance and Repairs – During the Charter period the Vessel shall be in the full possession and at the absolute
disposal for all purposes of the Charterers and under their complete control in every respect. The Charterers shall exercise due diligence to maintain the Vessel, her machinery, boilers, appurtenances and spare parts in a good state of
repair, in efficient operating condition and in accordance with good commercial maintenance practice and, except as provided for in Clause 14(I), if applicable, at their own expense, they shall at all times
keep the Vessel’s Class unexpired fully up to date with the Classification Society indicated in Box 10 maintain all other necessary certificates in force at all times. 

(ii) New Class and Other Safety Requirements 

In the event of any improvement, structural changes or new equipment becoming necessary for the continued operation of the Vessel by
reason of new class requirements or by compulsory legislation costing (excluding the Charterers’ loss of time) more than the percentage stated in Box 23, or if Box 23 is left blank, 5 per cent, of the Vessel’s
insurance value as stated in Box 29, then the extent, if any, to which the rate of hire shall be varied and the ratio in which the cost of compliance shall be shared between the parties concerned in order to achieve a reasonable distribution thereof
as between the Owners and the Charterers having regard, inter alia, to the length of the period remaining under this Charter, shall in the absence of agreement, be referred to the dispute resolution method agreed in Clause 30, SEE CLAUSE
38. 
  

	(iii)	 Financial Security – The Charterers shall maintain financial security or responsibility in respect
of third party liabilities as required by any government, including federal, state or municipal or other division or authority thereof, to enable the Vessel, without penalty or charge, lawfully to enter, remain at, or leave any port, place,
territorial or contiguous waters of any country, state or municipality in performance of this Charter without any delay. This obligation shall apply whether or not such requirements have been lawfully imposed by such government or division or
authority thereof. 

 The Charterers shall make and maintain all arrangements by bond or otherwise as may be
necessary to satisfy such requirements at the Charterers’ sole expense and the Charterers shall indemnify the Owners against all consequences whatsoever (including loss of time) for any failure or inability to do so. 

(b) Operation of the Vessel – The Charterers shall at their own expense and by their own procurement man, victual, navigate,
operate, supply, fuel and, whenever required, repair the Vessel during the Charter Period and they shall pay all charges and expenses of every kind and nature whatsoever incidental to their use and operation of the Vessel under this Charter,
including annual flag state fees and any foreign general municipality and/or state taxes. The Master, officers and crew of the Vessel shall be the servants of the Charterers for all purposes whatsoever, even if for any reason appointed by
the Owners. 
 Charterers shall comply with the regulations regarding officers and crew in force in the country of the
Vessel’s flag or any other applicable law. 
 (c) The Charterers shall keep the Owners and the mortgagee(s) advised
of the intended employment, planned dry-docking and major repairs of the Vessel, as reasonably required. 

(d) Flag and Name of Vessel 

During the Charter Period, the Charterers shall have the liberty to paint the Vessel in their own colours, install and display their
funnel insignia and fly their own house flag. The Charterers shall also have the liberty, with the Owners’ consent, which shall not be unreasonably withheld, to change the flag and/or the name of the Vessel during the Charter Period. Painting
and de-painting, instalment and re-instalment, registration and de-registration, if required by the Owners, shall be at the Charterers’ expense and time.
SEE CLAUSE 37 & 43 
 (e) Changes to the Vessel – Subject to Clause 10(a)(ii), the Charterers shall make no
structural changes in the Vessel or changes in the machinery, boilers, appurtenances or spare parts thereof without in each instance first securing the Owners’ approval thereof. If the Owners so agree, the Charterers shall, if the Owners so
require, restore the Vessel to its former condition before the termination of this Charter. SEE CLAUSE 38 
 (f) Use of
the Vessel’s Outfit, Equipment and Appliances – The Charterers shall have the use of all outfit, equipment, and appliances on board the Vessel at the time of delivery, provided the same or their substantial equivalent shall be returned
to the Owners on redelivery in substantially the same good order and condition as when received, ordinary wear and tear excepted. The Charterers shall from time to time during the Charter period replace such items of
equipment as shall be so damaged or worn as to be unfit for use. The Charterers are to procure that all repairs to or replacement of any damaged, worn or lost parts or equipment be effected in such manner (both as regards workmanship and quality of
materials) as not to diminish the value of the Vessel. The Charterers have the right to fit additional equipment at their expense and risk but the Charterers shall remove such equipment at the end of the period unless agreed otherwise by the
Owners and the Charterers. 
 If requested by the Owners, Any equipment including radio equipment on hire on the
Vessel at time of delivery shall be kept and maintained by the Charterers and the Charterers shall assume the obligations and liabilities of the Owners under any lease contracts in connection therewith and shall reimburse the Owners for all expenses
incurred in connection therewith, also for any new equipment required in order to comply with radio regulations. 
 (g) Periodical Dry-Docking – The Charterers shall dry-dock the Vessel and clean and paint her underwater parts whenever the same may be necessary, but not

 

 PART II 

“BARECON 2001” Standard Bareboat Charter 

 

 less than once during the period stated in Box 19 or, if Box 19 has been left blank, every sixty
(60) calendar months after delivery or such other period as may be required by the Classification Society or flag state. 
  

	11.	 Hire    SEE CLAUSE 35 

(a) The Charterers shall pay hire due to the Owners punctually in accordance with the terms of this Charter in respect of which time
shall be of the essence. 
 (b) The Charterers shall pay to the Owners for the hire of the Vessel a lump sum in the amount
indicated in Box 22 which shall be payable not later than every thirty running days in advance, the first lump sum being payable on the date and hour of the Vessel’s delivery to the Charterers. Hire shall be paid continuously throughout the
Charter Period. 
 (c) Payment of hire shall be made in cash without discount in the currency and in the manner indicated in
Box 25 and at the place mentioned in Box 26. 
 (d) Final payment of hire, if for a period of less than thirty
(30) running days, shall be calculated proportionally according to the number of days remaining before redelivery and advance payment to be effected accordingly. 

(e) Should the Vessel be lost or missing, hire shall cease from the date and time when she was lost or last heard of The date upon
which the Vessel is to be treated as lost or missing shall be ten (10) days after the Vessel was last reported or when the Vessel is posted as missing by Lloyd’s whichever occurs first. Any hire paid in advance to be adjusted
accordingly. 
 (f) Any delay in payment of hire shall entitle the Owners to interest at the rate per annum as agreed in
Box 24. If Box 24 has not been filled in, the three months interbank offered rate in London (LIBOR or its successor) of the currency stated in Box 25, as quoted by the British Bankers’ Association (BBA) on the date when the hire fell due,
increased by 2 per cent shall apply. 
 (g) Payment of interest due under sub clause 11(f) shall be made within seven
(7) running days of the date of the Owners’ invoice specifying the amount payable or, in the absence of an invoice, at the time of the next hire payment date. 

 

	12.	 Mortgage    SEE CLAUSE 44 

(only to apply if Box 28 has been appropriately filled in) 

 

	*)	 (a) The Owners warrant that they have not effected any mortgage(s) of the Vessel and that they shall
not effect any mortgage(s) without the prior consent of the Charterers, which shall not be unreasonably withheld. 

  

	*)	 (b) The Vessel chartered under this Charter is financed by a mortgage according to the Financial
Instrument. The Charterers undertake to comply, and provide such information and documents to enable the Owners to comply with all such instructions or directions in regard to the employment, insurances, operation, repairs and maintenance of the
Vessel as laid down in the Financial Instrument or as may be directed from time to time during the currency of the Charter by the mortgagee(s) in conformity with the Financial Instrument. The Charterers confirm that, for this purpose, they have
acquainted themselves with all relevant terms, conditions and provisions of the Financial Instrument and agree to acknowledge this in writing in any form that may be required by the mortgagee(s). The Owners warrant that they have not effected any
mortgage(s) other than stated in Box 28 and that they shall not agree to any amendment of the mortgage(s) referred to in Box 28 or effect any other mortgage(s) without the prior consent of the Charterers, which shall not be unreasonably
withheld. 

  

	*)	 (Optional, Clauses 12 (a) and 12 (b) are alternatives; Indicate alternative agreed in Box
28). 

  

	13.	 Insurance and Repairs    SEE CLAUSE 40 

(a) During the Charter Period the Vessel shall be kept insured by the Charters at their expense against hull

 
and machinery, war and Protection and Indemnity risks (and any risks against which it is compulsory to insure for the operation of the Vessel , including    maintaining
financial security in accordance with sub-clause 10(a)(III)) In underwriter’s standard form as the Owners have received, reviewed and shall in writing
approved, which approval shall not be unreasonably withheld. In such form as the Owners shall in writing approve, which approval shall not be unreasonably withheld. Such insurances shall be arranged by the Charterers to
protect the interests of both the Owners and the Charterers and the mortgagees (if any), and the Charterers shall be at liberty to protect under such insurances the interests of any managers they may appoint. Insurance policies shall cover the
Owners and the Charterers according to their respective Interests. Subject to the provisions of the Financial Instruments, if any, and the approval of the Owners and the insurers, the Characters shall effect all insured repairs and shall
undertake settlement and reimbursement from the insurers of all costs in connection with such repairs as well as insured charges, expenses and liabilities to the extent of coverage under the insurances herein provided for. 

The Charterers also to remain responsible for and to effect repairs and settlement of costs and expenses incurred thereby in respect of all
other repairs not covered    by the insurances and/or not exceeding any possible    franchise(s) or deductibles provided for in the insurances. 

All time used for repairs under the provisions of sub-clause 13(a) and for repairs of latent
defects according to Clause 3(c) above, including any deviation, shall be for the Charterers’ account. 
 (b) if the
conditions of the above insurances permit additional insurance to be placed by the parties, such cover shall be limited to the amount for each party set out in Box 30 and Box 31, respectively. The
owners or the Characters as the case may be shall immediately furnish the other party with particulars of any additional insurance effected, including copies of any cover notes or policies and the written consent of the insurers of any such required
insurance in any case where the consent of such insurance is necessary. 
 (c) The Charterers shall upon the request of the
Owners provide information and promptly execute such documents as may be reasonably required to enable the Owners to comply with the Insurance provisions of the Financial Instrument. 

(d) Subject to the provisions of the Financial instrument, if any, should be Vessel become an actual constructive, compromised or
agreed total loss under the insurances required under sub clause 13(a), all insurance payments for such loss shall be paid to the owners who shall distribute the moneys between the Owners and the Charterers according to their respective interests.
The Charterers undertake to notify the Owners and the mortgage(s), if any, of any occurrences in consequence of which the Vessel is likely to become a total loss as defined in this clause, SEE CLAUSE 40 

(e) The Owners shall, upon the request of the Charterers, promptly execute such documents as may be required to enable the Charterers to
abandon the Vessel to Insurers and claim a constructive total loss. 
 (f) For the purpose of insurance coverage against hull and
machinery and war risks under the provisions of sub-clause 13(a), the value of the Vessel is the sum indicated in Box 29. SEE CLAUSE 40 
  

	14.	 Insurance, Repairs and Classification    N/A 

(Optional, only to apply if expressly agreed and
stated In Box 29. In which event Clause 13 shall be considered deleted). 

(a) During the Charter period the Vessel shall be kept insured by the Owners at their expenses against hull and machinery and war
risks under the form of policy or 

 

 PART II 

“BARECON 2001” Standard Bareboat Charter 

 

 policies attached hereto. The Owners and/or insurers shall not have any right of
recovery or subrogation against the Charterers on account of loss of or any damage to the Vessel or her machinery or appurtenances covered by such insurance, or on account of payments made to discharge claims against or liabilities of the Vessel or
the Owners covered by such insurance. Insurance policies shall cover the Owners and the Charterers according to their respective interests. 

(b) During the Charter Period the Vessel shall be kept insured by the Charterers at their expense against Protection and Indemnity
risks (and any risks against which it is compulsory to insure for the operation of the Vessel, including maintaining financial security in accordance with sub-clause 10(a)(iii) in such form as the Owners shall in writing approve which approval shall
not be unreasonably withheld. 
 (c) In the event that any act or negligence of the Charterers shall vitiate any of the
insurance herein provided, the Charterers shall pay to the Owners all losses and indemnify the Owners against all claims and demands which would otherwise have been covered by such insurance. 

(d) The Charterers shall, subject to the approval of the Owners or Owners’ Underwriters, effect all insured repairs, and the
Charterers shall undertake settlement of all miscellaneous expenses in connection with such repairs as well as all insured charges, expenses and liabilities, to the extent of coverage under the insurances provided for under the provisions of sub-clause 14(a). 
 The Charterers to be secured reimbursement through the Owners’
Underwriters for such expenditures upon presentation of accounts. 
 (e) The Charterers to remain responsible for and to
effect repairs and settlement of costs and expenses incurred thereby in respect of all other repairs not covered by the insurances and/or not exceeding any possible franchise(s) or deductibles provided for in the insurances. 

(f) All time used for repairs under the provisions of sub-clause 14(d) and 14(e) and for
repairs of latent defects according to Clause 3 above, including any deviation, shall be for the Charterers’ account and shall form part of the Charter Period. 

The Owners shall not be responsible for any expenses as are incident to the use and operation of the Vessel for such time as may be
required to make such repairs. 
 (g) If the conditions of the above insurances permit additional insurance to be placed
by the parties such cover shall be limited to the amount for each party set out in Box 30 and Box 31, respectively. The Owners or the Charterers as the case may be shall immediately furnish the other party with particulars of any additional
insurance effected, including copies of any cover notes or policies and the written consent of the insurers of any such required insurance in any case where the consent of such insurers is necessary. 

(h) Should the Vessel become an actual constructive, compromised or agreed total loss under the insurances required under sub-clause 14(a), all insurance payments for such loss shall be paid to the Owners, who shall distribute the moneys between themselves and the Charterers according to their respective interests. 

(i) If the Vessel becomes an actual, constructive, compromised or agreed total loss under the insurances arranged by the Owners in
accordance with sub-clause 14(a), this Charter shall terminate as of the date of such loss. 

(j) The Charterers shall upon the request of the Owners, promptly execute such documents as may be required to enable the Owners to
abandon the Vessel to the insurers and claim a constructive total loss. 
 (k) For the purpose of insurance coverage
against hull and machinery and war risks under the provisions of sub-clause 14(a), the value of the Vessel is the sum indicated in Box 20.

 (l) Notwithstanding anything contained in
sub-clause 10(a), it is agreed that under the provisions of Clause 14. If applicable, the Owners shall keep the Vessel’s Class fully up to date with the Classification Society indicated in Box 10 and
maintain all other necessary certificates in force at all times. 
  

	15.	 Redelivery ALSO SEE CLAUSE 46 

At the expiration of the Charter Period the Vessel shall be redelivered by the Charterers to the Owners at a safe berth or anchorage at a
safe and ice free port or place as indicated in Box 16, in such ready safe berth as the Owners may direct. The Charterers shall give the Owners not less than thirty (30) running days’ preliminary
notice of expected date, range of ports of redelivery or port or place of redelivery and not less than fourteen (14) running days’ definite notice of expected date and port or place of redelivery. Any changes thereafter in Vessel’s
position shall be notified immediately to the Owners. 
 The Charterers warrant that they will not permit the Vessel to commence a voyage
(including any preceding ballast voyage) which cannot reasonably be expected to be completed in time to allow redelivery of the Vessel within the Charter Period. Notwithstanding the above, should the Charterers fail to redeliver the Vessel within
the Charter Period, the Charterers shall pay the daily equivalent to the rate of hire stated in Box 22 plus 5 per cent or to the market rate, whichever is the higher, for the number of days by which the Charter Period is exceeded. All
other terms, conditions and provisions of the Charter shall continue to apply. 
 Subject to the provisions of Clause 10, the Vessel
shall be redelivered to the Owners in substantially the same or as good structure, state, condition and class as that in which she was delivered, fair wear and tear not affecting class excepted. 

The Vessel upon redelivery shall have her survey cycles up to date and trading and class certificates valid for at least the number of months
agreed in Box 17. 
  

	16.	 Non-Lien ALSO SEE CLAUSE 47 

The Charterers will not suffer, nor permit to be continued, any lien or encumbrance incurred by them or their agents, which might have
priority over the title and interest of the Owners in the Vessel. The Charterers further agree to fasten to the Vessel in a conspicuous place and to keep so fastened during the Charter Period a notice reading as follows: 

‘This Vessel is the property of (name of Owners). It is under charter to (name of Charterers) and by the terms of the Charter
Party neither the Charterers nor the Master have any right, power or authority to create, incur or permit to be imposed on the Vessel any lien whatsoever.’ 
  

	17.	 Indemnity ALSO SEE CLAUSE 54 

(a) The Charterers shall indemnify the Owners against any loss, damage or expense incurred by the Owners arising out of or in relation to the
operation of the Vessel by the Charterers, and against any lien of whatsoever nature arising out of an event occurring during the Charter Period. If the Vessel be arrested or otherwise detained by reason of claims or liens arising out of her
operation hereunder by the Charterers, the Charterers shall at their own expense take all reasonable steps to secure that within a reasonable time the Vessel is released, including the provision of bail. 

Without prejudice to the generality of the foregoing, the Charterers agree to indemnify the Owners against all consequences or liabilities
arising from the Master, officers or agents signing Bills of Lading or other documents. 

 

 PART II 

“BARECON 2001” Standard Bareboat Charter 

 

 (b) If the Vessel be arrested or otherwise detained by reason of a claims or claims against
the Owners, the Owners shall at their own expense take all reasonable steps to secure that within a reasonable time the Vessel is released, including the provision of ball. 

In such circumstances the Owners shall indemnify the Charterers against any loss, damage or expense incurred by the Charterers (including
hire paid under this Charter) as a direct consequence of such arrest or detention. 
  

	18.	 Lien 

The Owners to have a lien upon all cargoes, sub-hires and
sub-freights belonging or due to the Charterers or any sub-charterers and any Bill of Lading freight for all claims under this Charter, and the Charterers to have a lien
on the Vessel for all moneys paid in advance and not earned. 
  

	19.	 Salvage 

All salvage and towage performed by the Vessel shall be for the Charterers’ benefit and the cost of repairing damage occasioned thereby
shall be borne by the Charterers. 
  

	20.	 Wreck Removal 

In the event of the Vessel becoming a wreck or obstruction to navigation the Charterers shall indemnify the Owners against any sums
whatsoever which the Owners shall become liable to pay and shall pay in consequence of the Vessel becoming a wreck or obstruction to navigation. 
  

	21.	 General Average 

The Owners shall not contribute to General Average. 
  

	22.	 Assignment, Sub-Charter and Sale 

(a) The Charterers shall not assign this Charter nor sub-charter the Vessel on a bareboat basis
except with the prior consent in writing of the Owners, which shall not be unreasonably withheld, and subject to such terms and conditions as the Owners shall approve. 

(b) The owners shall not sell the Vessel during he currency of this Charter except with the prior written consent of the charterers,
which shall not be unreasonably withheld, and subject to the buyer accepting an assignment of this Charter, SEE CLAUSE48 
  

	23.	 Contracts of Carriage 

 

	*)	 (a) The Charterers are to procure that all documents issued during the Charter Period evidencing the terms and
conditions agreed in respect of carriage of goods shall contain a paramount clause incorporating any legislation relating to carrier’s liability for cargo compulsorily applicable in the trade; If no such legislation exists, the documents shall
incorporate the Hague-Visby Rules. The documents shall also contain the New Jason Clause and the Both-to-Blame Collision Clause. 

 

	*)	 (b) The Charterers are to procure that all passenger tickets issued during the Charter Period for the
carriage of passengers and their luggage under this charter shall contain a paramount clause incorporating any legislation relating to carrier’s liability for passengers and their luggage compulsorily applicable in the trade; If no such
legislation exists, the passenger tickets shall incorporate the Athens Convention Relating the Garriage of Passengers and their Luggage by Sea, 1974, and any protocol thereto. 

 

	*)	 Delete as applicable. 

 

	24.	 Bank Guarantee 

(Optional, only to apply If Box 27 filled in) 

The Charterers undertake to furnish, before delivery of the Vessel, a first class bank guarantee or bond in the sum and at the place
as indicated in Box 27 as guarantee for full performance of their obligations under this Charter.

	25.	 Requisition/Acquisition ALSO SEE CLAUSE 40 (a)/(b) 

(a) In the event of the requisition for Hire of the Vessel by any governmental or other competent authority (hereinafter referred to a
“Requisition for Hire”) irrespective of the date during the Charter Period when “Requisition for Hire” may occur and irrespective of the length thereof and whether or not it be for an indefinite or a limited period of time, and
irrespective of whether it may or will remain in force for the remainder of the Charter Period, this Charter shall not be deemed thereby or thereupon to be frustrated or otherwise terminated and the Charterers shall continue to pay the stipulated
hire in the manner provided by this Charter until the time when the Charter would have terminated pursuant to any of the provisions hereof always provided however that in the event of “Requisition for Hire” any Requisition Hire or
compensation received or receivable by the Owners shall be payable to the Charterers during the remainder of the Charter Period or the period of the ‘Requisition for Hire’ whichever be the shorter. 

(b) Notwithstanding the provisions of clause 25 (a), in the event of the Owners being deprived of their ownership in the Vessel by any
Compulsory Acquisition of the Vessel or requisition for title by any governmental or other competent authority, which for the avoidance of any doubt, shall exclude requisition for use or hire not involving requisition of title (hereinafter
referred to as ‘Compulsory Acquisition’), then, irrespective of the date during the Charter Period when “Compulsory Acquisition” may occur, this Charter shall be deemed terminated as of the date of such
“Compulsory Acquisition”. In such event charter hire to be considered as earned and to be paid up to the date and time of such “Compulsory Acquisition”, but not thenafter. 

 

	26.	 War 

(a) For the purpose of this Clause, the words ‘War Risks’ shall include any war (whether actual or threatened), act of war, civil
war, hostilities, revolution, rebellion, civil commotion, warlike operations, the laying of mines (whether actual or reported), acts of piracy, acts of terrorists, acts of hostility or malicious damage, blockades (whether Imposed against all vessels
or Imposed selectively against vessels of certain flags or ownership, or against certain cargoes or crews or otherwise howsoever), by any person, body, terrorist or political group, or the Government of any state whatsoever, which may be dangerous
or are likely to be or to become dangerous to the Vessel, her cargo, crew or other persons on board the Vessel. 
 (b) The Vessel, unless
the written consent of the Owners be first obtained, shall not continue to or go through any port, place, area or zone (whether of land or sea), or any waterway or canal, where it reasonably appears that the Vessel, her cargo, crew or other persons
on board the Vessel, in the reasonable Judgement of the Owners, may be, or are likely to be, exposed to War Risks. Should the Vessel be within any such place as aforesaid, which only becomes dangerous or is likely to be or to become dangerous, after
the entry into it, the Owners shall have the right to require the Vessel to leave such area. 
 (c) The Vessel shall not load contraband
cargo, or to pass through any blockade, whether such blockade be imposed on all vessels, or is imposed selectively in any way whatsoever against vessels of certain flags or ownership, or against certain cargoes or crews or otherwise howsoever, or to
proceed to an area where she shall be subject, or is likely to be subject to a belligerent’s right of search and/or confiscation. 

(d) If the insurers of the war risk insurance, when Clause 14 is applicable, should require payment of premiums and/or calls because,
pursuant to the Charterers’ orders. the vessel is within, or is due to enter and remain within, any area or areas which are specified by such insurers as being subject to additional premiums because of War Risks, then such premiums and/or
calls 

 

 PART II 

“BARECON 2001” Standard Bareboat Charter 

 

 shall be reimbursed by the Charterers to the Owners at the same time as the next payment of hire is
due. 
 (e) The Charterers shall have the liberty; 
  

	 	(i)	 to comply with all orders, directions, recommendations or advice as to departure, arrival, routes, sailing in
convoy, ports of call, stoppages, destinations, discharge of cargo, delivery, or in any other way whatsoever which are given by the government of the nation under whose flag the vessel sails, or any other government, body or group whatsoever acting
with the power to compel compliance with their orders or directions’ 

  

	 	(ii)	 to comply with the orders, directions or recommendations of any war risks underwriters who have the authority
to give the same under the terms of the war risks insurance; 

  

	 	(iii)	 to comply with the terms of any resolution of the Security Council of the United Nations, any directives of the
European Community, the effective orders of any other supranational body which has the right to issue and give the same, and with national laws aimed at enforcing the same to which the Owners are subject, and to obey the orders and directions of
those who are charged with their enforcement. 

 (f) In the event of outbreak of war (whether there be a
declaration of war or not) (i) between any two or more of the following countries; the United States of America; Russia; the United Kingdom; France; and the People’s Republic of China, (ii) between any two or more of the countries
stated in Box 36, both the Owners and the Charterers shall have the right to cancel this Charter, whereupon the Charterers shall redeliver the Vessel to the Owners in accordance with Clause 15, if the Vessel has cargo on board after discharge
thereof at destination, or if debarred under this Clause from reaching and entering it at a near open and safe port as directed by the Owners, or if the Vessel has no cargo on board, at the port at which the Vessel then is or if at sea at a near,
open and safe port as directed by the Owners. In all cases hire shall continue to be paid in accordance with Clause 11 and except as aforesaid all other provisions of this Charter shall apply until redelivery. 

 

	27.	 Commission 

The Owners to pay a commission at the rate indicated in Box-33 to the
Brokers named in Box-33 on any hire paid under the Charter. If no rate is indicated in Box-33, the commission to be paid
by the Owners shall cover the actual expenses of the Brokers and a reasonable fee for their work. 
 If the full hire is
not paid owing to breach of the Charter by either of the parties, the party liable therefore shall indemnify the Brokers against their loss of commission. Should the parties agree to cancel the Charter, the Owners shall indemnify the
Brokers against any loss of commission but in such case the commission shall not exceed the brokerage on one year’s hire. 
  

	28.	 Termination 

  

	 	(a)	 Charterer’s Default 

The Owners shall be entitled to withdraw the Vessel from the service of the Charterers and terminate the Charter with immediate
effect by written notice to the Charterers if; 
  

	 	(i)	 the Charterers fall to pay hire in accordance with Clause 11. However, where there is a failure to make
punctual payment of hire due to oversight, negligence, errors or omissions on the part of the Charterers or their bankers, the Owners shall give the Charterers written notice of the number of clear banking days
stated in Box 34 (as recognised at the agreed place of payment) in which to rectify the failure, and when so rectified within such number of days following the Owners’ notice, the payment shall stand as regular and punctual. Failure by the
Charterers to pay hire within the

 number of days stated in Box 34 of their receiving the Owners’ notice as provided
herein, shall entitle the Owners to withdraw the Vessel from the service of the Charterers and terminate the Charter without further notice; 
  

	 	(ii)	 the Charterers fail to comply with the requirements of: 

 

	 	(1)	 Clause 6 (Trading Restrictions) 

 

	 	(2)	 Clause 13(a) (Insurance and Repairs) provided that the Owners shall have the option, by written notice
to the Charterers, to give the Charterers a specified number of days grace within which to rectify the failure without prejudice to the Owners’ right to withdraw and terminate under this Clause if the Charterers fail to comply with such
notice; 

  

	 	(iii)	 the Charterers fail to rectify any failure to comply with the requirements of sub-clause 10(a)(i) (Maintenance and Repairs) as soon as practically possible after the Owners have requested them in writing so to do and in any event so that the Vessel’s insurance cover is not
prejudiced. SEE CLAUSE 41 & 42 

 (b) Owners’ Default 

If the Owners shall by any act or omission be in breach of their obligations under this Charter to the extent that the Charterers are
deprived of the use of the Vessel and such breach continues for a period of fourteen (14) running days after written notice thereof has been given by the Charterers to the Owners, the Charterers shall be entitled to terminate this Charter with
immediate effect by written notice to the Owners. 
 (c) Loss of Vessel 

This Charter shall be deemed to be terminated if the Vessel becomes a total loss or is declared as a constructive or compromised or
arranged total loss. For the purpose of this sub-clause, the Vessel shall not be deemed to be lost unless she has either become an actual total loss or agreement has been reached with her underwriters in
respect of her constructive, compromised or arranged total loss or if such agreement with her underwriters is not reached it is adjudged by a competent tribunal that a constructive loss of the Vessel has occurred. SEE CLAUSE 40
(d)/(e) 
 (d) Either party shall be entitled to terminate this Charter with immediate effect by written notice to the other party in
the event of an order being made or resolution passed for the winding up, dissolution, liquidation or bankruptcy of the other party (otherwise than for the purpose of reconstruction or amalgamation) or if a receiver is appointed, or if it suspends
payment, ceases to carry on business or makes any special arrangements or composition with its creditors. 
 (e) The termination of this
Charter shall be without prejudice to all rights accrued due between the parties prior to the date of termination and to any claim that either party might have. 
  

	29.	 Repossession 

In the event of the termination of this Charter in accordance with the applicable provisions of Clause 28, the Owners shall have the
right to repossess the Vessel from the Charterers at her current or next port of call, or at a port or place convenient to them without hindrance or interference by the Charterers, courts or local authorities. Pending physical repossession of the
Vessel in accordance with this Clause 29, the Charterers shall 

 

 PART II 

“BARECON 2001” Standard Bareboat Charter 

 

 hold the Vessel as gratuitous bailee only to the Owners. The Owners shall arrange for an
authorised representative to board the Vessel as soon as reasonably practicable following the termination of the Charter. The Vessel shall be deemed to be repossessed by the Owners from the Charterers upon the boarding of the Vessel by the
Owners’ representative. All arrangements and expenses relating to the settling of wages, disembarkation and repatriation of the Charterers’ Master, officers and crew shall be the sole responsibility of the Charterers. 

 

	30.	 Dispute Resolution 

 

	*)	 (a) This Contract shall be governed by and construed in accordance with English law and any dispute
arising out of or in connection with this Contract shall be referred to arbitration in London in accordance with the Arbitration Act 1996 or any statutory modification or re-enactment thereof save to the
extent necessary to give effect to the provisions of this Clause. 

 The arbitration shall be conducted in accordance
with the London Maritime Arbitrators Association (LMAA) Terms current at the time when the arbitration proceedings are commenced. 
 The
reference shall be to three arbitrators. A party wishing to refer a dispute to arbitration shall appoint its arbitrator and send notice of such appointment in writing to the other party requiring the other party to appoint its own arbitrator within
14 calendar days of that notice and stating that it will appoint its arbitrator as sole arbitrator unless the other party appoints its own arbitrator and gives notice that it has done so within the 14 days specified. If the other party does not
appoint its own arbitrator and give notice that it has done so within the 14 days specified, the party referring a dispute to arbitration may, without the requirement of any further prior notice to the other party, appoint its arbitrator as sole
arbitrator and shall advise the other party accordingly. The award of a sole arbitrator shall be binding on both parties as if he had been appointed by agreement. 

Nothing herein shall prevent the parties agreeing in writing to vary these provisions to provide for the appointment of a sole arbitrator.

 In cases where neither the claim nor any counterclaim exceeds the sum of US$50,000 (or such other sum as the parties may agree) the
arbitration shall be conducted in accordance with the LMAA Small Claims Procedure current at the time when the arbitration proceedings are commenced. 
  

	*)	 (b) This Contract shall be governed by and construed in accordance with Title 9 of the United
States Code and the Maritime Law of the United States and any dispute arising out of or in connection with this Contract shall be referred to three persons at New York, one to be appointed by each of the parties hereto, and the
third by the two so chosen; their decision or that of any two of them shall be final, and for the purposes of enforcing any award, judgment may be entered on an award by any court of competent jurisdiction. The proceedings shall be conducted in
accordance with the rules of the Society of Maritime Arbitrators, Inc. 

 In cases where neither the
claim nor any counterclaim exceeds the sum of US$50,000 (or such other sum as the parties may agree) the arbitration shall be conduced in accordance with the Shortened Arbitration Procedure of the Society of Maritime Arbitrators, Inc. current at the
time when the arbitration proceedings are commenced. 
  

	*)	 (c) This Contract shall be governed by and construed in accordance with the laws of the place
mutually agreed by the parties and any dispute arising out of or in connection with this Contract shall be referred to arbitration at a mutually agreed place, subject to the procedures applicable there. 

(d) Notwithstanding (a), (b) or (c) above, the parties may agree at any time to refer to modiation any difference and/or dispute
arising out of or in connection with this Contract.

 In the case of a dispute in respect of which arbitration has been commenced under
(a), (b) or (c) above, the following shall apply: 
  

	 	(i)	 Either party may at any time and from time to time elect to refer the dispute or part of the dispute to
mediation by service on the other party of a written notice (the “Mediation Notice”) (calling on the other party to agree to mediation. 

  

	 	(ii)	 The other party shall thereupon within 14 calendar days of receipt of the Mediation Notice confirm that
they agree to mediation, in which case the parties shall thereafter agree a mediator within a further 14 calendar days, falling which on the application of either party a mediator will be appointed promptly by the Arbitration Tribunal (the
“Tribunal”) or such person as the Tribunal may designate for that purpose. The mediation shall be conducted in such place and in accordance with such procedure and on such terms as the parties may agree or, in the event of disagreement, as
may be set by the mediator. 

  

	 	(iii)	 If the other party does not agree to mediate, that fact may be brought to the attention of the Tribunal
and may be taken into account by the Tribunal when allocating the costs of the arbitration as between the parties. 

  

	 	(iv)	 The mediation shall not affect the right of either party to seek such relief or take such steps as it
considers necessary to protect its interest. 

  

	 	(v)	 Either party may advise the Tribunal that they have agreed to mediation. The arbitration procedures
shall continue during the conduct of the mediation by the Tribunal may take the mediation timetable into account when selling the timetable for steps in the arbitration. 

 

	 	(vi)	 Unless otherwise agreed or specified in the mediation terms, each party shall bear its own costs
incurred in the mediation and the parties shall share equally the mediator’s costs and expenses. 

  

	 	(vii)	 The mediation process shall be without prejudice and confidential and no information or documents
disclosed during it shall be revealed to the Tribunal except to the extent that they are disclosable under the law and procedure governing the arbitration. 

(Note: the parties should be aware that the mediation process may not necessarily interrupt time limits.) 

(e) If Box 35 in Part 1 is not appropriately filled in, sub-clause 30(a) of this Clause shall
apply. Sub-clause 30(d) shall apply in all cases. 
  

	*)	 Sub-clauses 30(a), 30(b) and 30(c) are
alternatives; indicate alternative agreed in Box 35. 

  

	31.	 Notices SEE CLAUSE 51 

 

	 	(a)	 Any notice to be given by either party to the other party shall be in writing and may be sent by fax,
telex, registered or recorded mail or by personal service. 

  

	 	(b)	 The address of the Parties for service of such communication shall be as stated in Boxes 3 and 4
respectively. 

 

			
		 	  

  OPTIONAL  

  PART  
  

 “BARECON 2001” Standard Bareboat Charter 

PART III 
 PROVISIONS TO
APPLY FOR NEWBUILDING VESSELS ONLY 
 (Optional, only to apply if expressly agreed and stated in Box 37 ) 

 

	1.	 Specifications and Shipbuilding Contract 

(a) The Vessel shall be constructed in accordance with the Building Shipbuilding Contract (hereafter called “the
‘Shipbuilding Contract’) as annexed to this Charter, made between the Builders and the Sellers Owners and in accordance with the specifications and plans annexed thereto, such Building Contract, specifications and plans having been
countersigned as approved by the Charterers. 
 (b) No change shall be made in the Shipbuilding Building Contract or in
the specifications or plans of the Vessel as approved by the Charterers as aforesaid without the Charterers’ consent. 

(c) The Charterers shall have the right to send their representative to the Builders’ Yard to inspect the Vessel during the
course of her construction to satisfy themselves that construction is in accordance with such approved specifications and plans as referred to under sub clause (a) of this Clause. 

(d) The Vessel shall be built in accordance with the Buliding Contract and shall be of the description set out therein. Subject to
the provisions of sub clause 2(G)(ii) hereunder, the Charterers shall be bound to accept the Vessel from the Owners, completed and constructed in accordance with the Building Contract on the date of delivery by the Builders .The charterers undertake
that having accepted the Vessel they will not thereafter raise any claims against the Owners in respect of the Vessel’s performance or specification or defects if any Nevertheless in respect of any repairs replacements or defects which appear
within the first 12 months from delivery by the Builders ,the Owners shall endeavour to compel the Builders to repair replace or remedy any defects or to recover from the Builders any expenditure incurred in carrying out such repairs replacements or
remedies. However ,the Owners liability to the Charterers shall be limited to the extent the Owners have a valid claim against the Builders under the guarantee clause of the Building Contract (a copy whereof has been supplied to the charterers ).The
Charterers shall be bound to accept such sums as the Owners are reasonably able to recover under this Clause and shall make no further claim on the Owners for the difference between the amounts(s) so recovered and the actual expenditure on repairs
replacement or remedying defects or for any loss of time incurred. 
 Any liquidated damages for physical defects or
deficiencies shall accrue to the account of the party stated in Box 41(a) or if not filled in shall be shared equally between the parties. The cost of pursing a claim or claims against the Builders under this Clause (including any liability to the
Builders) shall be borne by the party stated in Box 41(b) or if not filled in shall be shared equally between the parties. 
  

	2.	 Time and Place of Delivery SEE CLAUSE 33 

(a) Subject to the Vessel having completed her acceptance trials including trials of cargo equipment in accordance with the Building
Contract and specifications to the satisfaction of the Charterers, the Owners shall give and the Charterers shall take delivery of the Vessel afloat when ready for delivery and properly documented at the Builders’ Yard or some other safe and
readily accessible dook, wharf or place as may be agreed between the parties hereto and the Builders. Under the Building Contract the builders have estimated that the Vessel will be ready for delivery to the Owners as therein provided but the
delivery date for the purpose of the Charter shall be the date when the Vessel is in fact ready for delivery by the Builders after completion of trials whether that be before or after as indicated in the Building Contract. The charterers shall not
be entitled to refuse acceptance of delivery of the Vessel

	 	
and upon and after such acceptance subject to Clause 1(d), the Charterers shall not be entitled to make any claim against the owners in respect of any conditions, Representations or
warranties whether express or implied as to the seaworthiness of the Vessel or in respect of delay in delivery. 

(b) If for any reason other than a default by the sellers owners under the Shipbuilding Contract, the Builders become entitled under
that contract not to deliver the vessel to the sellers, the Owner shall upon giving to the charterers written notice of builders becoming so entitled be excused from giving delivery of the vessel to the charterers and upon receipt of such notice by
the charterers this charter shall cease to have effect 
 (c) if for any reason the owners become entitled under the
building contract to reject the vessel the owners shall before exercising such right of rejection consult the charterers and thereupon 

(i) if the charterers do not wish to take delivery of the vessel they shall inform the owners within seven(7) running days by notice
in writing and upon receipt by the owners of such notice this charter shall cease to have effect or 
 (ii) if the
charterers wish to take delivery of the vessel they may by notice in writing within seven(7) running days require the owners to negotiate with the builders as to the terms on which delivery should be taken and / or refrain from exercising their
right of rejection and upon receipt of such notice the owners shall commence such negotiations and / or take delivery of the vessel from the builders and deliver her to the charterers. 

(iii) in no circumstances shall the charterers be entitled to reject the vessel unless the owners are able to reject the vessel from
the builders; SEE CLAUSE 33 
 (iv) if this charter terminates under sub clause (b) of this clause the owners
shall thereafter not be liable to the charterers for any claim under or arising out of this charter or its termination. 

(d) any liquidated damages for delay in delivery under the building contract and any costs incurred in pursuing a claim therefor
shall accrue to the account of the party stated in box 41(c) if not filled in shall be shared equally between the parties. 
  

	3.	 Guarantee Works – SEE CLAUSE 32 

If not otherwise agreed the owners authorise the charterers to arrange for the guarantee works to be performed in accordance with the
shipbuilding building contracts terms and hire to continue during the period of guarantee works. The charterers have to advise the owners about the performance to the extent the owners may request. 

 

	4.	 Name of Vessel – SEE CLAUSE 44 

The name of the vessel shall be mutually agreed between the owners and the charterers and the vessel shall be painted in the colours,
display the funnel insignia and fly the house flag as required by the charterers. 
  

	5.	 Survey on Redelivery – SEE CLAUSE 46 

The Owners and the Charterers shall appoint surveyors for the purpose of determining and agreeing in writing the condition of the
Vessel at the time of redelivery. 
 Without prejudice to Clause 15 (PART II), the Charterers shall bear all survey
expenses and all other costs, if any, including the cost of docking and undocking, if required, as well as all repair costs incurred. The charterers shall also bear all loss of time spent in connection with any docking and undocking as well as
repairs, which shall be paid at the rate of hire per day or pro rate. 

 

			
		 	  

  OPTIONAL  

  PART  
  

 “BARECON 2001” Standard Bareboat Charter 

PART IV 
 HIRE/PURCHASE
AGREEMENT 
 (Optional, only to apply if expressly agreed and stated in Box 42) 

 

 On expiration of this Charter and provided the Charterers have fulfilled their
obligations according to PART I and II as well as PART III, if applicable, it is agreed that on payment of the final payment of hire as per Clause 11 the Charterers have purchased the Vessel with everything belonging to her and the Vessel is fully
paid for. 
 In the following paragraphs the Owners are referred to as the Sellers and the Charterers as the
Buyers. 
 The Vessel shall be delivered by the Sellers and taken over by the Buyers on expiration of the
Charter. 
 The Sellers guarantee that the Vessel, at the time of delivery, is free from all encumbrances and maritime
liens or any debts whatsoever other than those arising from anything done or not done by the Buyers or any existing mortgage agreed not to be paid off by the time of delivery. Should any claims, which have been incurred prior to the time of delivery
be made against the Vessel, the Sellers hereby undertake to indemnify the Buyers against all consequences of such claims to the extent it can be proved that the Sellers are responsible for such claims. Any taxes, notarial, consular and other charges
and expense connected with the purchase and registration under Buyers’ flag shall be for Buyers’ account. Any taxes consular and other charges and expenses connected with closing of the Sellers’ register shall be for Sellers’
account. 

 In exchange for payment of the last month’s hire instalment the Sellers shall
furnish the Buyers with a Bill of Sale duly attested and legalised together with a certificate selling out the registered encumbrances if any On delivery of the Vessel the Sellers shall provide for deletion of the vessel from the Ship’s
Register and deliver a certificate of deletion to the Buyers. 
 The Sellers shall at the time of delivery hand to the
Buyers all classification certificates (for null, engines, anchors, chains, etc) as well as all plans which may be in Sellers’ possession. 

The wireless installation and nautical instruments unless on hire shall be included in the sale without any extra payment.

 The Vessel with everything belonging to her shall be at Sellers’ risk and expense until she is delivered to the Buyers
subject to the conditions of this Contract and the Vessel with everything belonging to her shall be delivered and taken over as she is at the time of delivery after which the Sellers shall have no responsibility for possible faults or deficiencies
of any description. 
 The Buyers undertake to pay for the repatriation of the Maser, officers and other personnel if
appointed by the Sellers to the port where the Vessel entered the Bareboat Charter as per Clause 3 (PART II) or to pay the equivalent cost of their journey to any other place.

 

			
		 	  

  OPTIONAL  

  PART  
  

 “BARECON 2001” Standard Bareboat Charter 

PART V 
 PROVISIONS TO
APPLY FOR VESSELS REGISTERED IN A BAREBOAT CHARTER REGISTRY 
 (Optional, only to apply if expressly agreed and stated in Box 43)

  

	1.	 Definitions 

For the purpose of this PART V, the following terms shall have the meanings hereby assigned to them: 

“The Bareboat Charter Registry” shall mean the registry of the state whose flag the Vessel will fly
and in which the Charters are registered as the bareboat charters during the period of the Bareboat Charter. 

“The Underlying Registry” shall mean the registry of the state in which the Owners of the Vessel
are registered as Owners and to which jurisdiction and control of the Vessel will revert upon termination of the Bareboat Charter Registration. 
  

	2.	 Mortgage – See Clause 44 

The Vessel chartered under this Charter is financed by a mortgage and the provisions of
Clause-12(b) (PART–II) shall apply.

	3.	 Termination of Charter by Default 

If the Vessel chartered under this Charter is registered in a Bareboat Charter Registry as stated in Box 44, and if the Owners shall
default in the payment of any amounts due under the mortgage(s) specified in Box 28, the Charterers shall, if so required by the mortgage, direct the Owners to re-register the Vessel in the Underlying Registry
as shown in Box 45. 
 In the event of the Vessel being deleted from the Bareboat Charter Registry as stated in
Box 44, due to a default by the Owners in the payment of any amounts due under the mortgage(s), the Charterers shall have the right to terminate this Charter forthwith and without prejudice to any other claim they may have
against the Owners under this Charter. 

 

 Additional Clauses 

to 
 the Bareboat Charter Party
dated 2nd July, 2019 (this “Charter”) by 
 Takanawa Line Inc. as owner (the “Owners”) and 

Finian Navigation Co. as charterer (the “Charterers”) 

in respect of MV “Navios Ace” (the “Vessel”) 
  

	32.	 DELIVERY 

(a) The Charterers shall take delivery of the Vessel under this Charter simultaneously with delivery by Charterers as sellers to the Owners as
buyers under the MOA, and the Owners shall be obliged to deliver the Vessel to the Charterers hereunder in the same moment as the Owners is taking delivery of the Vessel under the MOA. 

(b) The Owners warrant that the Vessel, at time of delivery, is free from all charters, encumbrances, mortgages and maritime liens or any other
debts whatsoever, other than (i) those incurred prior to the delivery of the Vessel hereunder, (ii) this Charter and (iii) the mortgage over the Vessel, assignment of insurance in respect of the Vessel and the assignment of the
charter hires in respect hereof in favour of the Mortgagee. 
 (c) The Vessel shall be delivered under this Charter in the same condition and
with the same equipment, inventory and spare parts as she is delivered to the Owners under the MOA. The Charterers know the Vessel’s condition at the time of delivery, and expressly agree that the Vessel’s condition as delivered under the
MOA is acceptable and in accordance with the provisions of this Charter. The Vessel shall be delivered to the Charterers under this Charter strictly “as is/where is”, and the Charterers shall waive any and all claims against the Owners
under this Charter on account of any conditions, seaworthiness, representations, warranties expressed or implied in respect of the Vessel (including but not limited to any bunkers, oils, spare parts and other items whatsoever) on delivery. 

 

	33.	 ISM CODE 

During the currency of this Charter the Charterers shall procure at the costs and expenses and time of the Charterers that the Vessel and the
“company” (as defined by the ISM code) shall comply with the requirements of the ISM code. Upon request the Charterers shall provide a copy of relevant documents of compliance (DOC) and safety management certificate (SMC) to the Owners.
For the avoidance of any doubt any loss, damage, expense or delay caused by the failure on the part of the “Company” to comply with the ISM code shall be for the Charterers’ account. 

  
 1 

	34.	 CHARTER PERIOD 

 

	(a)	 The Owners shall let to the Charterers and the Charterers shall take the Vessel on charter for the period and
upon the terms and conditions contained herein. 

  

	(b)	 Subject always to the provisions hereto, the period of the chartering of the Vessel hereunder (hereinafter
referred to as the “Charter Period”) shall comprise (unless terminated at an earlier date in accordance with the terms hereof) a charter period of One Hundred Thirty Two (132) months from the date of the delivery of the Vessel
by the Owners to the Charterers under this Charter (the “Delivery Date”) with up to three (3) months more or less in the Charterers’ option, provided always that the chartering of the Vessel hereunder may be terminated by the
Owners pursuant to Clause 41 or shall terminate in the event of the Total Loss or Compulsory Acquisition of the Vessel subject to, and in accordance with provisions of Clause 40. 

 

	35.	 CHARTER HIRE 

The Charterers shall, throughout the Charter Period, pay charter hire (“Charter Hire”) to the Owners monthly in advance at the
agreed following rate by telegraphic transfer for each successive period of a month commencing with the Delivery Date and with subsequent installments at monthly intervals after the date of payment of such first installment by and until the
redelivery of the Vessel. Time is of the essence for payment of the Charter Hire under this Charter. 
  

							
	1st – 48th Month	  	USD 6,750 / day	  		  	
	49th – 84th Month	  	USD 6,500 / day	  		  	
	85th – 132nd Month	  	USD 6,250 / day	  		  	
	No address commission.	  		  		  	

  
 2 

	36.	 PAYMENTS 

  

	(a)	 Notwithstanding anything to the contrary contained in this Charter, all payments by the Charterers hereunder
(whether by way of hire or otherwise) shall be made as follows:- 

  

	 	(i)	 not later than 11:00 a.m. (New York time) on one Banking Day prior to the date on which the relevant payment is
due under the terms of this Charter: and 

  

	 	(ii)	 in United States Dollars to The Ehime Bank, Ltd. (or such other bank or banks as may from time to time be
notified by the Owners to the Charterers by not less than fourteen (14) days’ prior written notice) for the account of the Owners . 

  

	(b)	 If any day for the making of any payment hereunder shall not be a Banking Day (being, for all purposes of this
Charter, a day on which banks are open for transaction of business of the nature required by this Charter in Japan, Piraeus/Greece, London and New York) the due date for payment of the same shall be the next following Banking Day.

  

	(c)	 Subject to the terms of this Charter, the Charterers’ obligation to pay hire in accordance with the
requirements of Clause 35 and this Clause 36 and to pay certain amount of insurance benefit pursuant to Clause 40 (e) and to pay the Termination Compensation pursuant to Clause 42 shall be absolute irrespective of any contingency whatsoever,
including (but not limited to) (i) any failure or delay on the part of any party hereto or thereto, whether with or without fault on its part, other than the Owners, in performing or complying with any of the terms or covenants hereunder,
(ii) any insolvency, bankruptcy, reorganization, arrangement, readjustment of debt, dissolution, liquidation or similar proceedings by or against the Owners or the Charterers or any change in the constitution of the Owners or the Charterers or
any other person, (iii) any invalidity or unenforceability or lack of due authorization of or other defect in this Charter, or (iv) any other cause which would or might but for this provision have the effect of terminating or in any way
affecting any obligation of the Charterers under this Charter. 

  

	(d)	 In the event of failure by the Charterers to pay within three (3) Banking Days after the due date for
payment thereof, or in the case of a sum payable on demand, the date of demand therefor, any hire or other amount payable by them under this Charter, the Charterers will pay to the Owners on demand interest on such hire or other amount from the date
of such failure to the date of actual payment (both before and after any relevant judgment or winding up of the Charterers) at the rate determined by the 

  
 3 

	 	
Owners and certified by them to the Charterers (such certification to be conclusive in the absence of manifest error) to be the aggregate of (i) two &
one-half per centum (21⁄2%) and (ii) the London Interbank Offered Rate for US Dollar deposits of not more than one
month’s duration (as selected by the Owners or their funders in the light of the likely duration of the default in question) (as such rate is from time to time quoted by leading banks in the London Interbank Market). Interest payable by the
Charterers as aforesaid shall be compounded at such intervals as the Owners shall determine and shall be payable on demand. 

  

	(e)	 Any interest payable under this Charter shall accrue from day to day and shall be calculated on the actual
number of days elapsed and a three hundred and sixty (360) day year. 

  

	(f)	 In this Charter, unless the context otherwise requires, “month” means a period beginning in one
calendar month (and, in the case of the first month, on the date of delivery hereunder) and ending in the succeeding calendar month on the day numerically corresponding to the day of the calendar month in which such period started provided that if
there is no such numerically corresponding day, such period shall end on the last day in the relevant calendar month and “monthly” shall be construed accordingly. 

 

	37.	 FLAG AND CLASS 

 

	(a)	 The Vessel shall upon the Delivery Date be registered in the name of the Owners under the Panamanian flag.

  

	(b)	 The Owners shall have no right either to transfer the flag of Vessel from Panama to any other registry or to
require the Charterers to transfer the Vessel’s classification society. The Charterers shall, at any time after the Delivery Date and at the Charterers’ expense, have the right to transfer the Vessel’s classification society from
Lloyd’s Register (LR) to any other classification society at least equivalent to LR. 

  

	(c)	 Further, in the event that the Charterers need to change the flag of the Vessel, the Charterers can change the
flag with the Owner’s consent, which should not be unreasonably withheld, provided however that any expenses and time (including but not limited to legal charges for finance documents for the Mortgagee) shall be for the Charterers‘account.

  

	(d)	 Subject to the Charterers’ supplying the standard de-registration
agreement reasonably satisfactory to the Mortgagee the Charterers are entitled to establish the standard bareboat registration on the Vessel at the costs, expense and time of the Charterers. 

  
 4 

	(e)	 If during the Charter Period there are modifications made to the Vessel which are compulsory for the Vessel to
comply with change to rules and regulations to which operation of the Vessel is required to conform, the cost relating to such modifications shall be for the account of the Charterers. 

 

	(f)	 The Owners will arrange the Vessel’s registration under Panama flag and recordation of their mortgage and
for the issuance of all Vessel’s initial certificates of the flag at the Owners’ cost (excluding, for the avoidance of doubt, the costs to be paid by the Charterers under Clause 57 (a) hereof). Also the Owners are responsible to arrange
for the renewal of such certs at the Owners’ cost (excluding, for the avoidance of doubt, the costs to be paid by the Charterers under Clause 57 (a) hereof) throughout the Charter Period 

 

	38.	 IMPROVEMENT AND ADDITIONS 

The Charterers shall have the right to fit additional equipment and to make severable improvements and additions at their expense and risk.
Such additional equipment, improvements and additions shall be removed from the Vessel without causing any material damage to the Vessel (any such damage being made good by the Charterers at their time and expense) provided however that the
Charterers shall redeliver the Vessel without removing such additional equipment, improvements and additions if the Owners consent to such non-removal before the redelivery. 

The Charterers shall also have the right to make structural or non-severable improvements and additions
to the Vessel at their own time, costs and expense and risk provided that such improvements and additions do not diminish the market value of the Vessel and are not likely to diminish the market value of the Vessel during or at the end of the
Charter Period and do not in any way affect or prejudice the marketability or the useful life of the Vessel and are not likely to affect or prejudice the marketability or the useful life of the Vessel during or at the end of the Charter Period. 

 

	39.	 UNDERTAKING 

The Charterers undertake and agree that throughout the Charter period they will:- 

- notify the Owners in writing of any Termination Event (or event of which they are aware which, with the giving of notice and/or lapse of time
or other applicable condition, would constitute a Termination Event); 

  
 5 

	40.	 INSURANCE, TOTAL LOSS AND COMPULSORY ACQUISITION 

 

	 	(a)	 For the purposes of this Charter, the term “Total Loss” shall include actual or constructive or
compromised or agreed or arranged total loss of the Vessel including any such total loss as may arise during a requisition for hire. “Compulsory Acquisition” shall have the meaning assigned thereto in Clause 25(b) hereof.

  

	 	(b)	 The Charterers undertake with the Owners that throughout the Charter Period:- 

 

	 	(i)	 they will keep the Vessel insured in underwriter’s standard form as the Owners shall in writing approve,
which approval shall not be unreasonably withheld, with such insurers (including P&I and war risks associations) as shall be reasonably acceptable to the Owners with deductibles reasonably acceptable to the Owners (it being agreed and understood
by the Charterers that there shall be no element of self- insurance or insurance through captive insurance companies without the prior written consent of the Owners); 

 

	 	(ii)	 they will be properly entered in and keep entry of the Vessel with P&I Club that is a member of the
International Group of Protection and Indemnity Association for the full commercial value and tonnage of the Vessel and against all prudent P&I Risks in accordance with the rules of such association or club including, in case of oil pollution
liability risks equal to the highest level of cover from time to time available under the basic entry with such P&I (but always a minimum of USD1,000,000,000.); 

 

	 	(iii)	 The policies in respect of the insurances against fire and usual marine risks and policies or entries in
respect of the insurances against war risks shall, in each case, include the following loss payable provisions:- 

  

	 	(a)	 For so long as the Vessel is mortgaged and in accordance with the Deed of Assignment of insurances entered or
to be entered into between the Charterers and any mortgagee (the “Assignee”): 

  
 6 

 Until such time as the Assignee shall have notified the insurers to the contrary: 

 

	 	(i)	 All recoveries hereunder in respect of an actual, constructive or compromised or arranged total loss shall be
paid in full to the Assignee without any deduction or deductions whatsoever and applied in accordance with clause 40 (e); 

  

	 	(ii)	 All other recoveries not exceeding United States Dollars One million (US$1,000,000.00) shall be paid in full to
the Charterers or to their order without any deduction or deductions whatsoever; and 

  

	 	(iii)	 All other recoveries exceeding United States Dollars One million (US$1,000,000.00) shall, subject to the prior
written consent of the Assignee be paid in full to the Charterers or their order without any deduction whatsoever. 

  

	 	(b)	 During any periods when the Vessel is not mortgaged: 

 

	 	(i)	 All recoveries hereunder in respect of an actual, constructive or compromised or arranged total loss shall be
paid in full to the Owners without any deduction or deductions whatsoever and applied in accordance with clause 40 (e); 

  

	 	(ii)	 All other recoveries not exceeding United States Dollars Two million (US$2,000,000.00) shall be paid in full to
the Charterers or to their order without any deduction or deductions whatsoever; and 

  

	 	(iii)	 All other recoveries exceeding United States Dollars Two million (US$2,000,000.00) shall, subject to the prior
written consent of the Owners be paid in full to the Charterers or their order without any deduction whatsoever, subject to the fulfillment of the provisions of Clause 44; 

and the Owners and Charterers agree to be bound by the above provisions. 

 

	 	(iv)	 the Charterers shall procure that duplicates of all cover notes, policies and certificates of entry shall be
furnished to the Owners for their custody ; 

  
 7 

	 	(v)	 the Charterers shall procure that the insurers and the war risk and protection and indemnity associations with
which the Vessel is entered shall 

  

	 	(A)	 furnish the Owners with a letter or letters of undertaking in relevant underwriter’s standard form and in
accordance with the underwriters’ rules. 

  

	 	(B)	 supply to the Owners such information in relation to the insurances effected, or to be effected, with them as
the Owners may from time to time reasonably require: and 

  

	 	(vi)	 the Charterers shall use all reasonable efforts to procure that the policies, entries or other instruments
evidencing the insurances are endorsed to the effect that the insurers shall give to the Owners prior written notification of any amendment, suspension, cancellation or termination of the insurances in accordance with the underwriters’ guidance
and rules. 

  

	 	(c)	 Notwithstanding anything to the contrary contained in Clauses 13 and any other provisions hereof, the Vessel
shall be kept insured during the Charter Period in respect of marine and war risks on hull and machinery basis (The Charterers shall have the option, to take out on a full hull and machinery basis increased value or total loss cover in an amount not
exceeding thirty per centum (30%) of the total amount insured from time to time) for not less than the amounts specified in column (b) in the table set out below in respect of the one-yearly period during
the Charter Period specified in column (a) (on the assumption that the first such period commences on the Delivery Date) against such amount (hereinafter referred to as the “Minimum Insured Value”): 

 

					
	 (a)
 Year
	  	 (b)

Minimum Insured Value
	 
	 1
	  	 	US$23,980,000.-	 
	 2
	  	 	US$22,275,000.-	 
	 3
	  	 	US$20,570,000.-	 
	 4
	  	 	US$18,865,000.-	 
	 5
	  	 	US$17,160,000.-	 
	 6
	  	 	US$15,455,000.-	 

  
 8 

					
	 7
	  	US$	13,750,000.-	 
	 8
	  	US$	12,045,000.-	 
	 9
	  	US$	10,340,000.-	 
	 10
	  	US$	8,635,000.-	 
	 11
	  	US$	6,930,000.-	 

  

	 	(d)	 (i) If the Vessel shall become a Total Loss or be subject to Compulsory Acquisition the Chartering of the
Vessel to the Charterers hereunder shall cease and the Charterers shall:- 

  

	 	(A)	 immediately pay to the Owners all hire, and any other amounts, which have fallen due for payment under this
Charter and have not been paid as at and up to the date on which the Total Loss or Compulsory Acquisition occurred (the “Date of Loss”) together with interest thereon at a rate reflecting the Owners’ reasonable cost of funds at such
intervals, which amount to be agreed between the Owners and the Charterers and shall cease to be under any liability to pay any hire, but not any other amounts, thereafter becoming due and payable under this Charter, Provided that all hire and any
other amounts prepaid by the Charterers subsequent to the Date of Loss shall be forthwith refunded by the Owners: 

  

	 	(B)	 for the purposes of this sub-clause, the expression “relevant
Minimum Insured Value” shall mean the Minimum Insured Value applying to the one-year period in which the Date of Loss occurs. 

 

	 	(ii)	 For the purpose of ascertaining the Date of Loss:- 

 

	 	(A)	 an actual total loss of the Vessel shall be deemed to have occurred at noon (London time) on the actual date
the Vessel was lost but in the event of the date of the loss being unknown the actual total loss shall be deemed to have occurred at noon (London time) on the date on which it is acknowledged by the insurers to have occurred: 

 

	 	(B)	 a constructive, compromised, agreed, or arranged total loss of the Vessel shall be deemed to have

  
 9 

	 	
occurred at noon (London time) on the date that notice claiming such a total loss of the Vessel is given to the insurers, or, if the insurers do not admit such a claim, at the date and time at
which a total loss is subsequently admitted by the insurers or adjudged by a competent court of law or arbitration tribunal to have occurred. Either the Owners or, with the prior written consent of the Owners (such consent not to be unreasonably
withheld), the Charterers shall be entitled to give notice claiming a constructive total loss but prior to the giving of such notice there shall be consultation between the Charterers and the Owners and the party proposing to give such notice shall
be supplied with all such information as such party may request; and 

  

	 	(C)	 Compulsory Acquisition shall be deemed to have occurred at the time of occurrence of the relevant circumstances
described in Clause25 (b) hereof. 

  

	 	(e)	 All moneys payable under the insurance effected by the Charterers pursuant to Clauses 13 and 40, or other
compensation, in respect of a Total Loss or pursuant to Compulsory Acquisition of the Vessel shall be received in full by the Owners (or the Mortgagees as assignees thereof) and applied by the Owners (or, as the case may be, the Mortgagees):-

 FIRST, in payment of all the Owners’ costs incidental to the collection thereof, 

SECONDLY, in or towards payment to the Owners (to the extent that the Owners have not already received the same in full) of a sum equal to the
aggregate of (i) unpaid but due hire under this Charter and unpaid interest thereon up to and including the Date of Loss and (ii) the amount of purchase option price payable under clause 49 as at the Date of Loss, and 

THIRDLY, in payment of any surplus to the Charterers by way of compensation for early termination. 

 

	 	(f)	 The Charterers and the Mortgagee shall execute the ”Assignment of Insurances” of which contents and
wording shall be mutually agreed between the Owners and the Charterers. 

  
 10 

	41.	 TERMINATION EVENTS 

 

	(a)	 Each of the following events shall be a “Termination Event” for purposes of this Charter:-

  

	 	(i)	 if any installment of hire or any other sum payable by the Charterers under this Charter (including any sum
expressed to be payable by the Charterers on demand) shall not be paid at its due date or within ten (10) Banking Days following the due date of payment and such failure to pay is not remedied within ten (10) Banking Days of receipt by the
Charterers of written notice from the Owners notifying the Charterers of such failure and requesting that payment is made; or 

  

	 	(ii)	 Save in circumstances where requisition for hire or compulsory requisition result in termination of insurances
for the Vessel, if either (A) the Charterers shall fail at any time to effect or maintain any insurances required to be effected and maintained under this Charter, or any insurer shall avoid or cancel any such insurances (other than where the
relevant avoidance or cancellation results from an event or circumstance outside the reasonable control of the Charterers and the relevant insurances are reinstated or re-constituted in a manner meeting the
requirements of this Charter within seven (7) days of such avoidance or cancellation) or the Charterers shall commit any breach of or make any misrepresentation in respect of any such insurances the result of which the relevant insurer avoids
the policy or otherwise excuses or releases itself from all or any of its liability thereunder, or (B) any of the said insurances shall cease for any reason whatsoever to be in full force and effect (other than where the reason in question is
outside the reasonable control of the Charterer and the relevant insurances are reinstated or re-constituted in a manner meeting the requirements of this Charter within seven (7) days of such cease); or

  

	 	(iii)	 if the Charterers shall at any time fail to observe or perform any of their material obligations under this
Charter, other than those obligations referred to in sub-clause (i) or sub-clause (ii) of this Clause 41(a), and such failure to observe or perform any such
obligation is either not remediable or is remediable but is not remedied within thirty (30) days of receipt by the Charterers of a written notice from the Owners requesting remedial action; or 

  
 11 

					
	(iv)	 	 if any material representation or warranty by the Charterers in connection with this Charter or in any
document or certificate furnished to the Owners by the Charterers in connection herewith or therewith shall prove to have been untrue, inaccurate or misleading in any material respect when made (and such occurrence continues unremedied for a period
of thirty (30) days after receipt by the Charterers of written notice from the Owners requesting remedial action): or

		
	(v)	 	 if a petition shall be presented (and not withdrawn or stayed within sixty (60) days) or an order
shall be made or an effective resolution shall be passed for the administration or winding-up of the Charterers (other than for the purpose of a reconstruction or amalgamation during and after which the
Charterers remain solvent and the terms of which have been previously approved in writing by the Owners which approval shall not be unreasonably withheld) or if an encumbrancer shall take possession or an administrative or other receiver shall be
appointed of the whole or any substantial part of the property, undertaking or assets of the Charterers or if an administrator of the Charterers shall be appointed (and, in any such case, such possession is not given up or such appointment is not
withdrawn within sixty (60) days) or if anything analogous to any of the foregoing shall occur under the laws of the place of the Charterers’ incorporation, or

		
	(vi)	 	 if the Charterers shall stop payments to all of its creditors or shall cease to carry on or suspend all or
a substantial part of their business or shall be unable to pay their debts, or shall admit in writing their inability to pay their debts, as they become due or shall otherwise become or be adjudicated insolvent; or

		
	(vii)	 	 if the Charterers shall apply to any court or other tribunal for, a moratorium or suspension of payments
with respect to all or a substantial part of their debts or liabilities, or

			
	(viii)	 	 (A)
	  	 if the Vessel is arrested or detained (other than for reasons solely attributable to the Owners or to those for whom,
for the purposes of this provision, the Owners shall be deemed responsible, including without limitation, any legal person who, at the date hereof or at any time in the future is affiliated with the Owners) and such arrest or detention is not lifted
within forty-five (45) days (or such longer period as the Owners shall reasonably agree in the light of all the circumstances) ; or

	 	

  
 12 

	 	(B)	 if a distress or execution shall be levied or enforced upon or sued out against all or any substantial part of
the property or assets of the Charterers and shall not be discharged or stayed within thirty (30) days; or 

  

	 	(ix)	 if any consent, authorization, license or approval necessary for this Charter to be or remain the valid legally
binding obligations of the Charterers, or to the Charterers to perform their obligations hereunder or thereunder, shall be materially adversely modified or is not granted or is revoked, suspended, withdrawn or terminated or expires and is not
renewed (provided that the occurrence of such circumstances shall not give rise to a Termination Event if the same are remedied within thirty (30) days of the date of their occurrence); or 

 

	 	(x)	 if (a) any legal proceeding for the purpose of the reconstruction or rehabilitation of the Charterers is
commenced and continuing in any jurisdiction and (b) the Owners receive a termination notice from the receiver, trustee or others of the Charterers which informs the termination/rejection of the Charter pursuant to the relevant laws, codes and
regulations applicable to such proceeding. 

  

	(b)	 A Termination Event shall constitute (as the case may be) either a repudiatory breach of, or breach of
condition by the Charterers under, this Charter or an agreed terminating event the occurrence of which will (in any such case) entitle the Owners by notice to the Charterers to terminate the chartering of the Vessel under this Charter and recover
the amounts provided for in Clause 42(c) either as liquidated damages or as an agreed sum payable on the occurrence of such event. 

  

	42.	 OWNERS’ RIGHTS ON TERMINATION 

 

	(a)	 At any time after a Termination Event shall have occurred and be continuing, the Owners may, by notice to the
Charterers immediately, or on such date as the Owners shall specify, terminate the chartering by the Charterers of the Vessel under this Charter, whereupon the Vessel shall no longer be in the possession of the Charterers with the consent of the
Owners, and the Charterers shall redeliver the Vessel to the Owners. For the avoidance of doubt, in case of the termination of the Charter in accordance with 41 (a) (x) hereof, the Charter shall be deemed to be terminated upon receipt by the
Owners of the termination notice set forth in Clause 41 (a) (x) hereof. 

  
 13 

	(b)	 On or at any time after termination of the chartering by the Charterers of the Vessel pursuant to Clause 42(a)
hereof the Owners shall be entitled to retake possession of the Vessel, the Charterers hereby agreeing that the Owners, for that purpose, may put into force and exercise all their rights and entitlements at law and may enter upon any premises
belonging to or in the occupation or under the control of the Charterers where the Vessel may be located. 

  

	(c)	 If the Owners pursuant to Clause 42(a) hereof give notice to terminate the chartering by the Charterers of the
Vessel, the Charterers shall pay to the Owners on the date of termination (the “Termination Date”), the aggregate of (A) all hire due and payable, but unpaid, under this Charter to (and including) the Termination Date together
with interest accrued thereon pursuant to Clause 36(d) hereof from the due date for payment thereof to the Termination Date, (B) any sums, other than hire, due and payable by the Charterers, but unpaid, under this Charter together with interest
accrued thereon pursuant to Clause 36(d) to the Termination Date and (C) any actual direct financial loss suffered by the Owners which direct loss shall be determined as the shortfall, if any, between (a) the current market value of the
Vessel (average value as estimated by two independent valuers such as major London brokers i.e. Arrow Valuations Ltd, Barry Rogliano Salles, Braemar ACM Shipbroking, H Clarkson & Co. Ltd., E.A. Gibsons Shipbrokers, Fearnleys, Galbraith,
Simpson Spencer & Young, Howe Robinson & Co Ltd London and Maersk Broker K.S. (to include, in each case, their successors or assigns and such subsidiary or other company in the same corporate group through which valuations are
commonly issued by each of these brokers), or such other first-class independent broker as the Owners and Charterers may agree in writing from time to time) and (b) the Remaining Purchase Option Price (as defined in Clause 49.2 hereof) at any
given time always taking into account any charterhire paid during the year to which the specified Remaining Purchase Option Price relates PROVIDED ALWAYS that if the said market value exceeds the aggregate of (A) and (B) and the
Remaining Purchase Option Price, then the Owners shall pay the amount of such excess to the Charterers forthwith. The aggregate of (A), (B) and (C) above shall hereinafter be referred to as the “Termination
Compensation”). 

  
 14 

	(d)	 If the Charter is terminated in accordance with this Clause 42 the Charterers shall immediately redeliver the
Vessel at a safe and ice-free port or place as indicated by the Owners. The Vessel shall be redelivered to the Owners in substantially the same condition and class as that in which she was delivered, fair wear
and tear not affecting class excepted. 

  

	(e)	 The Owners agree that if following termination of the Charter under this Clause, the Owners sell or otherwise
transfer the Vessel to a third party, or enter into any other arrangement with a third party with an option to purchase the Vessel, then the Owners shall pay to the Charterers after that sale (i) the amount of the greater of (a) the sale
price and (b) the market value of the Vessel at such sale/transfer/arrangement date less (ii) the aggregate of the unpaid Termination Compensation and the Remaining Purchase Option Price (as defined in Clause 49.2) which would be payable
by the Charterers as set out in Clause 49 as at the date of such sale. 

  

	43.	 NAME 

The Charterers shall, subject only to prior notification to the relevant authorities of the jurisdiction in which for the time being the
Vessel is registered, be entitled from time to time to change the name of the Vessel. During the Charter Period, the Charterers shall have the liberty to paint the Vessel in their own colours, install and display their funnel insignia and fly
their own house flag. Painting and installment shall be at Charterers’ expense and time. The Charterer shall also have the liberty to change the name of the Vessel during the Charter Period at the expense and time of the Charterers (including
the legal charge for finance documents for the Mortgagee, if any). 
 The Owners shall have no right to change the name of the Vessel during
the Charter Period. 
  

	44.	 MORTGAGE and ASSIGNMENT 

The Owners confirm that they are familiar with the terms of the assignment of insurances made or to be made by the Charterers in favour or the
Mortgagee, and they agree to the terms thereof and will do nothing that conflicts therewith, excepting that the Owners shall be entitled to assign its rights, title and interest in and to this Charter to the Mortgagee or its assignee. Neither party
shall assign its right or obligations or part of thereof to any third party without the written consent of the other. 

  
 15 

 In respect of the Vessel the Owners undertake not to borrow more than the respective
purchase option prices as set out at the relevant milestone in Clause 49 hereof. 
 The Owners have the right to register a first preferred
mortgage on the Vessel in favour of the Mortgagee (The Ehime Bank, Ltd.) securing a loan under the Loan Agreement under standard mortgages and security documentation. In which case, the Owners undertake to procure from the Mortgagee a Letter of
Quiet Enjoyment in a form and substance acceptable to the Charterers. 
 The Charterers agree to sign an acknowledgement of the Owners’
charterhire assignment or any other comparable document reasonably required by the Mortgagee, in favour of the Mortgagee. During the course of the Charter the Owners have the right to register a substitute mortgage in favour of another bank provided
such registration is effected in a similar amount to the loan amount outstanding with the Mortgagee at that time and only if such substitute mortgagee executes a Letter of Quiet Enjoyment in favour of the Charterers in the same form as that provided
by the Mortgagee or the form acceptable for the Charterers. The Charterers will then agree to sign a charterhire assignment in favour of the substitute mortgage in a form as shall be agreed by the Charterers, which agreement not be unreasonably
withheld. Any cost incurred by the Charterers shall be for Owners’ account. 
 Subject to the term and conditions of this Charter, the
Charterers also agree that the Owners have the right to assign its rights, title and interest in and to the insurances by way of assignment of insurance in respect of the Vessel to and in favour of the Assignee in a form and substance acceptable to
Charterers and the Assignee. 
 Owners shall procure that any mortgage and charterhire assignment shall be subject to this Charter and to the
rights of the Charterers hereunder, in accordance with, and subject to, a Letter of Quiet Enjoyment. 
 In the event that the Owners execute
security of any nature (including but not limited to any mortgage, assignment of insurances) over the Vessel then the Owners hereby undertake and agree as a condition of this Charter to procure that the beneficiary of such security executes in
favour of the Charterers a letter of quiet enjoyment in such form and content as is reasonably acceptable to the Charterers, and the effectiveness of this assignment clause is subject to the agreement of a letter of Quiet Enjoyment before delivery
of the Vessel. 

  
 16 

	45.	 REDELIVERY INSPECTION 

Prior to redelivery and without interference to the operation of the Vessel, the Owners, at their risk and expense, shall have the right
provided that such right is declared at least 20 days prior to the expected redelivery date to carry out an underwater inspection of the Vessel by Class approved diver and in the presence of Class surveyor and Owners’ and
Charterers’ representatives. Should any damages in the Vessel’s underwater parts be found that will impose a condition or recommendation of Vessel’s class then: 
  

	a)	 In case Class imposes a condition or recommendation of class that does not require drydocking before next
scheduled drydocking. Charterers shall pay to Owners the estimated cost to repair such damage in way which is acceptable to Class, which to be direct cost to repair such damage only, as per average quotation for the repair work obtained from two
reputable independent shipyards at or in the vicinity of the redelivery port, one to be obtained by Owners and one by Charterers within 2 banking days from the date of imposition of the condition/recommendation unless the parties agree otherwise.

  

	b)	 In case Class require Vessel to be drydocked before the next scheduled drydocking the Charterers shall
drydock the Vessel at their expense prior to redelivry of the Vessel to the Owners and repair same to Class satisfaction. 

In such event the Vessel shall be redelivered at the port of the dockyard. 

 

	46.	 REDELIVERY 

The Charterers shall redeliver to the Owners the Vessel with everything belonging to her at the time of redelivery including spare parts on
board, used or unused subject to the Clause 38 hereof. The Owners shall take over and pay the Charterers for remaining bunkers and unused lubricating oils including hydraulic oils, and greases, unbroached provisions, paints, ropes and other
consumable stores as per Clause 53 at the Charterers’ 

  
 17 

 
purchased prices with supporting vouchers. For the purpose of this clause, the Charterers shall withhold the Hire two last hire payments (the “Withheld Hire”) and shall offset the cost
of bunkers, unused lubricating oils and unbroached provisions etc., remaining on board at the time of redelivery from the Withheld Hire. If the Withheld Hire is not sufficient to cover the cost of bunkers, unused lubricating oils, and unbroached
provisions etc. the Owners shall settle the outstanding amount within 3 Singapore banking days after redelivery of the Vessel. 
 Personal
effects of the Master, officers and crew including slop chest, hired equipment, if any and the following listed items are excluded and shall be removed by the Charterers prior to or at the time of redelivery of the Vessel: 

 

	 	•	 	 E-mail equipment not part of GMDSS 

 

	 	•	 	 Gas bottles 

  

	 	•	 	 Electric deck air compressor 

 

	 	•	 	 Blasting and painting equipment 

 

	 	•	 	 Videotel (or similar) film library 

 

	47.	 MORTGAGE NOTICE 

The Charterers keep prominently displayed in the chart room and in the master’s cabin of the Vessel a framed printed notice (the print on
which shall measure at least six inches by nine inches) reading as follows:- 
 NOTICE OF MORTGAGE 

This Vessel is owned by Takanawa Line Inc. and is subject to a first preferred mortgage in favour of The Ehime Bank, Ltd. Under the terms of
the said Mortgage neither the Owner, nor the master, nor any charterer of the Vessel nor any other person has the right or authority to create, incur or permit any lien, charge or encumbrance to be placed on the Vessel other than sums for
crews’ wages and salvage. 
  

	48.	 SALE OF VESSEL BY OWNERS 

 

	 	1.	 The Owners have the right to sell the Vessel to a reputable third party (“Purchaser”) at any
time during the Charter Period with the prior written consent of the Charterers and provided that (i) the Purchaser agrees to take over the benefit and burden of this Charter, (ii) such ownership change does not result in any reflagging of
the Vessel, (iii) 

  
 18 

	 	
such ownership change does not result in the Charterers being obliged to increase any payment under this Charter, (iv) such ownership change does not increase the actual or contingent
obligations of the Charterers under this Charter, and (v) the Charterers shall not be liable for the costs and expenses (including legal fees) incurred in the sale of the Vessel by the Owners under this Clause 48. 

 

	 	2.	 The Owners shall give the Charterers at least one month’s prior written notice of any sale.

  

	 	3.	 Subject to 48.1, the Charterers and Owners undertake with each other to execute one or more novation agreements
(or other documents required under applicable law) to novate the rights and obligations of the Owners under this Charter to the Purchaser such novation agreement(s) or other documents to be in such form and substance acceptable to the Charterers and
such novation will be effective upon delivery of the Vessel from the Owners to the Purchaser.” 

  

	49.	 CHARTERERS’ OPTION TO PURCHASE VESSEL 

 

	1.	 Charterers to have purchase option at the end of 132nd months of the Charter Period at a price of
USD6,300,000.- (the “Final Purchase Option Price”); however, Charterers to have purchase option to purchase the Vessel at the end of 5th year anniversary date of the Delivery Date at USD15,600000 net (the “First Purchase
Option Price”) subject to Charterers declaration 2 months before such date. 

  

	2.	 Charterers further have an option to purchase, such purchase being declared every 3 months intervals, through
the remaining period at the following price or pro-rata de-escalation until the maturity of the Charter Period (the “Subsequent Purchase Option Price”).

  

							
	 At end of 5th year
	  	 	:	 	  	USD 15,600,000
	 At end of 6th year
	  	 	:	 	  	USD 14,050,000
	 At end of 7th year
	  	 	:	 	  	USD 12,500,000
	 At end of 8th year
	  	 	:	 	  	USD 10,950,000
	 At end of 9th year
	  	 	:	 	  	USD 9,400,000
	 At end of 10th year
	  	 	:	 	  	USD 7,850,000
	 At end of 11th year
	  	 	:	 	  	USD 6,300,000

  
 19 

 (The purchase option price of the Vessel to be calculated in accordance with Clause 49.1 and
49.2 hereof, whether the Final Purchase Option Price or the First Option Price or the Subsequent Purchase Option Price, hereinafter called the “Remaining Purchase Option Price”). 

 

	3.	 Immediately prior to delivery of the Vessel by the Owners to the Charterers under the PO MOA (as defined in
Clause 49.4) the Parties shall execute a Protocol of Redelivery and Acceptance under this Charter (the “Redelivery Protocol”) and save in respect of any claims accrued under this Charter prior to the date and time of the Redelivery
Protocol, this Charter shall terminate forthwith. 

  

	4.	 Upon the date of any written notification by the Charterers to the Owners of their intention to purchase the
Vessel, the Owners and the Charterers shall be deemed to have unconditionally entered into a contract to sell and purchase the Vessel for the Remaining Purchase Option Price on and in strict conformity with the terms and conditions contained in the
Memorandum of Agreement attached to this Charter as Exhibit A (the “PO MOA”). 

  

	50.	 MISCELLANEOUS 

 

	(a)	 The terms and conditions of this Charter and the respective rights of the Owners and the Charterers shall not
be waived or varied otherwise than by an instrument in writing of the same date as or subsequent to this Charter executed by both parties or by their duly authorized representatives. 

 

	(b)	 Unless otherwise provided in this Charter whether expressly or by implication, time shall be of the essence in
relation to the performance by the Charterers of each and every one of their obligations hereunder. 

  

	(c)	 No failure or delay on the part of the Owners or the Charterers in exercising any power, right or remedy
hereunder or in relation to the Vessel shall operate as a waiver thereof nor shall any single or partial exercise of any such right, power or remedy preclude any other or further exercise of any such right or power or the exercise of any other
right, power or remedy. 

  
 20 

	(d)	 If any terms or condition of this Charter shall to any extent be illegal invalid or unenforceable the remainder
of this Charter shall not be affected thereby and all other terms and condition shall be legal valid and enforceable to the fullest extent permitted by law. 

  

	(e)	 The respective rights and remedies conferred on the Owners and the Charterers by this Charter are cumulative,
may be exercised as often as the Owners or the Charterers (as the case may be) think fit and are in addition to, and are not exclusive of, any rights and remedies provided by law. 

 

	51.	 COMMUNICATIONS 

Except as otherwise provided for in this Charter, all notices or other communications under or in respect of this Charter to either party
hereto shall be in writing and shall be made or given to such party at the address, facsimile number or e-mail address appearing below (or at such other address, facsimile number or e-mail address as such party may hereafter specify for such purposes to the other by notice in writing):- 
  

			
	 (i) in the case of the Owners c/o Toyo Kaiun Co., Ltd.

		
	 Address
	  	: 1705-1, Namikata, Namikata-cho, Imabari City, Ehime Prefecture 799-2101, Japan
	 Telephone
	  	: +81-898-43-1510
	 Telefax
	  	: +81-898-43-0945
	 E-mail
	  	: ooooyoo@dokidoki.ne.jp
	
	 (ii)  in the case of the Charterers c/o Navios Shipmanagement
Inc.

		
	 Address
	  	: 85 Akti Miaouli Street, 18538, Piraeus, Greece
	 Telephone
	  	: 30-210-4595000
	 E-mail
	  	 : ops@navios.com, legal@navios.com 

tech@navios.com, legal_corp@navios.com

	
	 (iii)  in the case of the Brokers c/o ITOCHU Corporation

		
	 Address
	  	: TOKBM Section, 5-1, Kiya-Aoyama 2-chome, Minato-ku, Tokyo, 107-8077
Japan
	 Telephone
	  	: 81-3-3497-2935
	 Telefax
	  	: 81-3-3497-7111
	 E-mail
	  	 : tokbm@itochu.co.jp

  
 21 

 A written notice includes a notice by facsimile or
e-mail. A notice or other communication received on a non-working day or after business hours in the place of receipt shall be deemed to be served on the next following
working day in such place. 
 Subject always to the foregoing sentence, any communication by personal delivery or letter shall be deemed to
be received on delivery, any communication by e-mail shall be deemed to be received upon transmission of the automatic answerback of the addresses and any communication by facsimile shall be deemed to be
received upon appropriate acknowledgment by the addressee’s receiving equipment. 
 All communications and documents delivered pursuant
to or otherwise relating to this Charter shall either be in English or accompanied by a certified English translation. 
  

	52.	 TRADING IN WAR RISK AREA 

The Charterers shall be permitted to order the Vessel into an area subject to War Risks as defined in Clause 26 without consent of the Owners
provided that all Marine, War and P&I Insurance are maintained with full force and effect and the Charterers shall pay any and all additional premiums to maintain such insurance. 

 

	53.	 INVENTORIES, OIL AND STORES 

A complete inventory of the Vessel’s entire equipment, outfit including spare parts, appliances and of all consumable stores on board the
Vessel shall be made by the Charterers in conjunction with the Owners on delivery and again on redelivery of the Vessel. 
 The Owners shall
at the time of redelivery take over and pay for all bunkers, lubricating oil, unbroached provisions, paints, ropes and other consumable stores (excluding spare parts) in the said Vessel at the Charterers’ purchased prices with supporting
vouchers. However, the Charterers shall not pay to the Owners at time of delivery for any bunkers, lubricating oil, provisions, paints, ropes and consumable stores which the Charterers have supplied to the Vessel at the Charterers’ expense
prior to delivery. The Charterers shall ensure that all spare parts listed in the inventory and used during the Charter Period are replaced at their expense prior to redelivery of the Vessel. 

  
 22 

	54.	 INDEMNITY FOR POLLUTION RISKS 

The Charterers shall indemnify the Owners against the following Pollution Risks:- 

 

	 	(a)	 liability for damages or compensation payable to any person arising from pollution; 

 

	 	(b)	 the costs of any measures reasonably taken for the purpose of preventing, minimizing or cleaning up any
pollution together with any liability for losses or damages arising from any measures so taken; 

  

	 	(c)	 liability which the Owners and/or the Charterers may incur, together with costs and expenses incidental
thereto, as the result of escape or discharge or threatened escape discharge of oil or any other substance; 

  

	 	(d)	 the costs or liabilities incurred as a result of compliance with any order or direction given by any government
or authority for the purpose of preventing or reducing pollution or the risk of pollution; provided always that such costs or liabilities are not recoverable under the Hull and Machinery Insurance Policies on the Vessel; 

 

	 	(e)	 liability which the Owners and/or the Charterers may incur to salvors under the exception to the principal of
“no cure-no pay” in Article 1 (b) of Lloyds Standard Form of Salvage Agreement (LOF 1990); and 

  

	 	(f)	 liability which the Charterers may incur for the payment of fines in respect of pollution in so far as such
liability may be covered under the rules of the P&I Club. 

  

	55.	 TRADE AND COMPLIANCE CLAUSE 

The Charterers and the Owners hereby agree that no person/s or entity/ies under this Charter will be individual(s) or entity(ies) designated under any
applicable national or international law imposing trade and economic sanctions. 
 Further, the Charterers and the Owners agree that the performance of this
Charter will not require any action prohibited by sanctions or restrictions under any applicable national or international law or regulation imposing trade or economic sanctions. 

  
 23 

	56.	 ANTI-BRIBERY AND ANTI-CORRUPTION 

The Charterers and the Owners hereby agree that in connection with this Contract and/or any other business transactions related to it, they as well as their sub-contractors and each of their affiliates, directors, officers, employees, agents, and every other person acting on its and its sub-contactors’ behalf, shall perform
all required duties, transactions and dealings in compliance with all applicable laws, rules, regulations relating to anti-bribery and anti-money laundering. 
  

	57	 COSTS AND EXPENSES 

 

	(a)	 The parties hereto agree that all operational cost including required cost in relation to Vessel’s flag
(such as tonnage tax, insurance and crew certs etc) would be for the Charterers’ account. However, all other cost (such as financing cost /cost for registration and discharge of their mortgage etc) would be for the Owners’ account.

  

	(b)	 For this Charter and the MOA, each party should bear its own costs unless otherwise agreed herein.

 (end) 

  
 24 

 MEMORANDUM OF AGREEMENT 
  

			
	  
 

	  	 Norwegian Shipbrokers’
Association’s            
 Memorandum of Agreement for sale
and          
 purchase of ships. Adopted by BIMCO in 1956.    

Code-name                      
              
 SALEFORM
2012                              

Revised 1966, 1983 and 1986/87, 1993 and 2012    

	  	Dated: 2nd July 2019 
	  	  
 Finian Navigation Co. of Marshall Islands whose performance shall be
guaranteed by Navios Maritime Partners LP, hereinafter called the “Sellers”, have agreed to sell, 
  

and

	  	  
 Takanawa Line Inc. of Republic of Panama whose performance shall be
guaranteed by Toyo Kaiun Co., Ltd., hereinafter called the “Buyers”, have agreed 

	  	  
 to buy:

 

	  	 Name of vessel: M/V Navios Ace 
  

	  	IMO Number: 9592771 
	  	  
 Classification Society: Lloyd’s Register

	  	  
 Class Notation: 100A1 Bulk Carrier, CSR, BC-A, GRAB[20], Hold Nos. 2,
4, 6 and 8 May Be Empty, ESP,

	  	  
 *IWS, LI 

	  	  
 Total DWT: 178,926 MT

	  	  
 Year of Build:
2011                             Builder/Yard: Sungdong Shipbuilding & Marine Engineering Co., Ltd.

	  	  
 Flag:
Liberia                     Place of Registration: Liberia     GT/NT: 92,884/59,331 

	  	  
 hereinafter called the “Vessel”, on the following terms and
conditions:

	  	  
 Definitions

	  	  
 “Banking Days” are days (other than a Saturday and
Sunday) on which banks are open both in all of Tokyo, Piraeus/Greece, London and New York the country of the currency stipulated for the Purchase Price in Clause
1 (Purchase Price) and in the place of closing stipulated in Clause 8 (Documentation) and                  (add
additional jurisdictions as appropriate).

	  	  
 “Buyers’ Nominated Flag State” means
(state flag state).

	  	  
 “BBCP” means a bareboat Charter Party dated 2nd July 2019 agreed between the Sellers as the charterers and the Buyers as the owners in respect of the Vessel, which includes any addendum thereto.

	  	  
 “Charterers” means the Sellers who are the bareboat
charterer under the BBCP.

	  	  
 “Owners” means the Buyers who are the owner under the
BBCP.

	  	  
 “Class” means the class notation referred to
above.

	  	  
 “Classification Society” means the Society referred to
above.

	  	  
 “Deposit” shall have the meaning given in
Clause 2 (Deposit)

	  	  
 “Deposit Holder” means
                     (state name and location of Deposit Holder) or, if left blank, the
Sellers’ Bank, which shall hold and release the Deposit in accordance with this Agreement.

	  	  
 “In writing” or “written” means a letter handed
over from the Sellers to the Buyers or vice versa, a registered letter, e-mail or telefax.

	  	  
 “Parties” means the Sellers and the Buyers.

 
 “Purchase Price” means the price for the Vessel as stated in Clause 1
(Purchase Price).

	  	  
 “Sellers’ Account” means an account held with
Sellers’ Bank (state details of bank account) at the Sellers’ Bank notified by the Sellers to the Buyers for receipt of the balance of the Purchase Price.

 
 “Sellers’ Bank” means such banks or banks (state name
of bank, branch and details) or, if left blank, the bank notified by the Sellers to the Buyers for receipt of the balance of the Purchase Price.

	  	  
 1.  Purchase
Price
  
 The Purchase Price is USD 22,000,000 (Twenty Two
Million Dollars) (state currency and amount both in words and figures).

		  	

  

			
	This document is a computer generated SALEFORM 2012 form printed by authority of the Norwegian Shipbrokers’ Association, Any insertion or deletion to the form must be clearly visible. In the event of any
modification made to the pre-printed text of this document which is not clearly visible, the text of the original approved document shall apply, BIMCO and the Norwegian Shipbrokers’ Association assume no responsibility for any loss, damage or
expense as a result of discrepancies between the original approved document and this computer generated document.

 1 

			
	            	  	 2.  Deposit

		
		  	 As security for the correct fulfilment of this Agreement the Buyers shall lodge a deposit of_____% (_____per
cent) or, if left blank, 10% (ten per cent), of the Purchase Price (the “Deposit”) in an interest bearing account for the Parties with the Deposit Holder within three (3) Banking Days after the date that:

		
		  	 (i) this Agreement has been signed by the Parties and exchanged in original
or by e-mail or telefax; and

		
		  	 (ii)  the Deposit Holder has confirmed in writing to the Parties that
the account has been opened.

		
		  	 The Deposit shall be released in accordance with joint written instructions of the Parties. Interest, if any,
shall be credited to the Buyers. Any fee charged for holding and releasing the Deposit shall be borne equally by the Parties. The Parties shall provide to the Deposit Holder all necessary documentation to open and maintain the account without
delay.

		
		  	 3.  Payment

		
		  	 On delivery of the Vessel, but not later than three (3) Banking Days after the date that Notice of Readiness
has been given in accordance with Clause 5 (Time and place of delivery and notices):

		
		  	 (i) the Deposit shall be released to the Sellers; and

		
		  	 (ii)  the balance of the Purchase Price and all other sums
payable on delivery by the Buyers to the Sellers under this Agreement shall be paid remitted in full free of bank charges to the a suspense account with Sellers’ Account Bank
and held to Buyers’ order at least three (3) Banking Days prior to the expected time of delivery of the Vessel in order for the Sellers’ Bank to confirm that the Purchase Price is in the Sellers’ Bank before the expected
delivery date. Buyers’ remittance to such account shall be accompanied by a SWIFT (MT199) message to confirm that the Purchase Price is to be released to Sellers upon presentation of a copy of the Protocol of Delivery and Acceptance duly signed
by the authorized signatories of both the Sellers and the Buyers, including that the Sellers’ Bank shall return such funds in full without any deductions if delivery has for any reason not taken place within Five (5) Banking Days from the date
of transfer to the Sellers’ Bank.

		
		  	 4.  Inspection

		
		  	 The Buyers have waived their rights to inspect the Vessel and have accepted the Vessel as is where is, subject to
Clause 11 hereof. Instead of such inspections, the Buyers have received copies of colour photos of the Vessel from the Sellers. The Buyers have also inspected the Vessel’s class records. Therefore the sale is outright and definite subject only
to the terms and conditions of this Agreement and of the BBCP.

		
		  	 (a)* The Buyers have inspected and accepted the Vessel’s classification records. The Buyers have
also inspected the Vessel at/in______(state place) on_____(state date) and have accepted the Vessel following this inspection and the sale is outright and definite, subject only to the terms and conditions of this
Agreement.

		
		  	 (b)* The Buyers shall have the right to inspect the Vessel’s classification records and declare
whether same are accepted or not within_______(state date/period).

		
		  	 The Sellers shall make the Vessel available for inspection at/in_____(state place/range)
within_______(state date/period). 

		
		  	 The Buyers shall undertake the inspection without undue delay to the Vessel. Should the Buyers cause undue
delay they shall compensate the Sellers for the losses thereby incurred.

		
		  	 The Buyers shall inspect the Vessel without opening up and without cost to the
Sellers.

		
		  	 During the inspection, the Vessel’s deck and engine log books shall be made available for examination by
the Buyers.

		
		  	 The sale shall become outright and definite, subject only to the terms and conditions of this Agreement,
provided that the Sellers receive written notice of acceptance of the Vessel from the Buyers within seventy two (72) hours after completion of such inspection or after the date/last day of the period stated in Line 59,
whichever is earlier.

		
		  	 Should the Buyers fail to undertake the inspection as scheduled and/or notice of acceptance of the
Vessel’s classification records and/or of the Vessel not be received by the Sellers as aforesaid, the Deposit together with interest earned, if any, shall be released immediately to the Buyers whereafter this Agreement shall be null and
void.

  

			
	This document is a computer generated SALEFORM 2012 form printed by authority of the Norwegian Shipbrokers’ Association, Any insertion or deletion to the form must be clearly visible. In the event of any
modification made to the pre-printed text of this document which is not clearly visible, the text of the original approved document shall apply, BIMCO and the Norwegian Shipbrokers’ Association assume no responsibility for any loss, damage or
expense as a result of discrepancies between the original approved document and this computer generated document.

 2 

			
		  	 *4(a) and 4(b) are alternatives; delete
whichever is not applicable. In the absence of deletions, alternative 4(a) shall apply.

		
		  	 5.  Time and place of delivery and notices

		
		  	 (a) The Vessel shall be delivered and taken over safely afloat at a safe and accessible berth or
anchorage at/in worldwide (state-place/range) in the Sellers’ option.

		
		  	 Notice of Readiness shall not be tendered before:_____(date)

		
		  	 Cancelling Date (see Clauses 5(c), 6 (a)(i),
6 (a)(iii) and 14): the date which is the earlier of (a) 31st July, 2019 or (b) such other date as the Buyers and Sellers may
agree.

		
		  	 (b) The Sellers shall keep the Buyers well informed of the Vessel’s itinerary and shall provide the Buyers
with twenty (20) ten (10), and five (5) and three (3) approximate days’ notice and 1 day definite notice of the date the Sellers intend to tender Notice of Readiness and of the intended
place of delivery.

		
		  	 When the Vessel is at the place of delivery and physically ready for delivery in accordance with this
Agreement, the Sellers shall give the Buyers a written Notice of Readiness for delivery.

		
		  	 (c) If the Sellers anticipate that, notwithstanding the exercise of due diligence by them, the Vessel will not
be ready for delivery by the Cancelling Date they may notify the Buyers in writing stating the date when they anticipate that the Vessel will be ready for delivery and proposing a new Cancelling Date. Upon receipt of such notification the Buyers
shall have the option of either cancelling this Agreement in accordance with Clause 14 (Sellers’ Default) within three (3) Banking Days of receipt of the notice or of accepting the new date as the new Cancelling Date. If the Buyers have
not declared their option within three (3) Banking Days of receipt of the Sellers’ notification or if the Buyers accept the new date, the date proposed in the Sellers’ notification shall be deemed to be the new Cancelling Date and shall be
substituted for the Cancelling Date stipulated in line 79.

		
		  	 If this Agreement is maintained with the new Cancelling Date all other terms and conditions hereof including those
contained in Clauses 5(b) and 5(d) shall remain unaltered and in full force and effect.

		
		  	 (d) Cancellation, failure to cancel or acceptance of the new Cancelling Date shall be entirely without prejudice
to any claim for damages the Buyers may have under Clause 14 (Sellers’ Default) for the Vessel not being ready by the original Cancelling Date.

		
		  	 (e) Should the Vessel become an actual, constructive or compromised total loss before delivery the
Deposit together with interest earned, if any, shall be released immediately to the Buyers whereafter this Agreement shall be null and void.

		
		  	 6.  Divers Inspection / Drydocking

		
		  	 (a)*
  

(i) The Buyers shall have the option at their cost and expense to arrange for an
underwater inspection by a diver approved by the Classification Society prior to the delivery of the Vessel. Such option shall be declared latest nine (9) days prior to the Vessel’s intended date of readiness for delivery as notified by the
Sellers pursuant to Clause 5(b) of this Agreement. The Sellers shall at their cost and expense make the Vessel available for such inspection. This inspection shall be carried out without undue delay and in
the presence of a Classification Society surveyor arranged for by the Sellers and paid for by the Buyers. The Buyers’ representative(s) shall have the right to be present at the diver’s inspection as observer(s) only without interfering
with the work or decisions of the Classification Society surveyor. The extent of the inspection and the conditions under which it is performed shall be to the satisfaction of the Classification Society. If the conditions at the place of delivery are
unsuitable for such inspection, the Sellers shall at their cost and expense make the Vessel available at a suitable alternative place near to the delivery port, in which event the Cancelling Date shall be extended by the additional time required for
such positioning and the subsequent re-positioning. The Sellers may not tender Notice of Readiness prior to completion of the underwater inspection.

		
		  	 (ii)  If the rudder, propeller, bottom or other underwater parts below
the deepest load line are found broken, damaged or defective so as to affect the Vessel’s class, then (1) unless repairs can be carried out afloat to the satisfaction of the Classification Society, the Sellers shall arrange for the Vessel to be
drydocked at their expense for inspection by the Classification Society of the Vessel’s underwater parts below the deepest load line, the extent of the inspection being in accordance with the Classification Society’s rules (2) such defects
shall be made good by the Sellers at their cost and expense to the satisfaction of the Classification Society without condition/recommendation** and (3) the Sellers shall pay for the underwater inspection and the Classification
Society’s attendance.

  

			
	This document is a computer generated SALEFORM 2012 form printed by authority of the Norwegian Shipbrokers’ Association, Any insertion or deletion to the form must be clearly visible. In the event of any
modification made to the pre-printed text of this document which is not clearly visible, the text of the original approved document shall apply, BIMCO and the Norwegian Shipbrokers’ Association assume no responsibility for any loss, damage or
expense as a result of discrepancies between the original approved document and this computer generated document.

 3 

			
		  	 Notwithstanding anything to the contrary in this Agreement, if the Classification Society do not require the
aforementioned defects to be rectified before the next class drydocking survey, the Sellers shall be entitled to deliver the Vessel with these defects against a deduction from the Purchase Price of the estimated direct cost (of labour and materials)
of carrying out the repairs to the satisfaction of the Classification Society, whereafter the Buyers shall have no further rights whatsoever in respect of the defects

		
		  	 and/or repairs. The estimated direct cost of the repairs shall be the average of quotes for the repair work
obtained from two reputable independent shipyards at or in the vicinity of the port of delivery, one to be obtained by each of the Parties within two (2) Banking Days from the date of the imposition of the condition/recommendation, unless the
Parties agree otherwise. Should either of the Parties fail to obtain such a quote within the stipulated time then the quote duly obtained by the other Party shall be the sole basis for the estimate of the direct repair costs. The Sellers may not
tender Notice of Readiness prior to such estimate having been established.

		
		  	 (iii)  If the Vessel is to be drydocked pursuant to Clause
6(a)(ii) and no suitable dry-docking facilities are available at the port of delivery, the Sellers shall take the Vessel to a port where suitable drydocking facilities are available, whether within or outside
the delivery range as per Clause 5(a). Once drydocking has taken place the Sellers shall deliver the Vessel at a port within the delivery range as per Clause 5(a)
which shall, for the purpose of this Clause, become the new port of delivery. In such event the Cancelling Date shall be extended by the additional time required for the drydocking and extra steaming, but limited to a maximum of
fourteen (14) days.

		
		  	 (b)* The Sellers shall place the Vessel in drydock at the port of delivery for inspection by the
Classification Society of the Vessel’s underwater parts below the deepest load line, the extent of the inspection being in accordance with the Classification Society’s rules. If the rudder, propeller, bottom or other underwater parts below
the deepest load line are found broken, damaged or defective so as to affect the Vessel’s class, such defects shall be made good at the Sellers’ cost and expense to the satisfaction of the Classification Society without
condition/recommendation**. In such event the Sellers are also to pay for the costs and expenses in connection with putting the Vessel in and taking her out of drydock, including the drydock dues and Classification Society’s fees. The Sellers
shall also pay for these costs and expenses if parts of the tailshaft system are condemned or found defective or broken so as to affect the Vessel’s class. In all other cases, the Buyers shall pay the aforesaid costs and expenses, dues and
fees.

		
		  	 (c)   If the Vessel is drydocked pursuant to Clause
6 (a)(ii) or 6 (b) above:

		
		  	 (i) The Classification Society may require survey of the tailshaft system,
the extent of the survey being to the satisfaction of the Classification surveyor. If such survey is not required by the Classification Society, the Buyers shall have the option to require the tailshaft to be drawn and surveyed by the Classification
Society, the extent of the survey being in accordance with the Classification Society’s rules for tailshaft survey and consistent with the current stage of the Vessel’s survey cycle. The Buyers shall declare whether they require the
tailshaft to be drawn and surveyed not later than by the completion of the inspection by the Classification Society. The drawing and refitting of the tailshaft shall be arranged by the sellers. should any parts of the tailshaft system be condemned
or found defective so as to affect the Vessel’s class, those parts shall be renewed or made good at the sellers’ coat and expenses to the satisfaction of Classification Society without condition/recommendation**.

		
		  	 (ii)  The costs and expenses relating to the survey of the tailshaft
system shall be borne by the Buyers unless the Classification Society requires such survey to be carried out or if parts of system are condemned or found defective or broken so as to affect the Vessel’s class, in which case the Sellers shall
pay these costs and expenses.

		
		  	 (iii)  The Buyers’ representative(s) shall have the right to be
present in the drydock, as observer(s) only without interfering with the work or decisions of the Classification Society surveyer.

		
		  	 (iv) The Buyers shall have the right to have the underwater parts of the
Vessel cleaned and painted at their risk, cost and expenses without interfering with the Sellers’ or the Classification Society serveyor’s work, if any and without affecting the Vessel’s timely delivery. If, however, the Buyers’
work in drydock is still in progress when the

  

			
	This document is a computer generated SALEFORM 2012 form printed by authority of the Norwegian Shipbrokers’ Association, Any insertion or deletion to the form must be clearly visible. In the event of any
modification made to the pre-printed text of this document which is not clearly visible, the text of the original approved document shall apply, BIMCO and the Norwegian Shipbrokers’ Association assume no responsibility for any loss, damage or
expense as a result of discrepancies between the original approved document and this computer generated document.

 4 

			
		  	 Sellers have completed the work which the Sellers are required to do, the additional docking time needed to
complete the Buyers’ work shall be for the Buyers’ risk, cost and expense. In the event that the Buyers’ work requires such additional time, the Sellers may upon completion of the Sellers’ work tender Notice of Readiness for
delivery whilst the Vessel is still in drydock and, notwithstanding Clause 5(a), the Buyers shall be obliged to take delivery in accordance with Clause 3 (Payment),
whether the Vessel is in drydock or not.

		
		  	 *6 (a) and 6 (b) are alternatives; delete whichever is not applicable. In the absence of deletions,
alternative 6 (a) shall apply.

		
		  	 **Notes or memoranda, if any, in the surveyor’s report which are accepted by the Classification Society
without condition/recommendation are not to be taken into account.

		
		  	 7.  Spares, bunkers and other items

		
		  	 The Sellers shall deliver the Vessel to the Buyers with everything belonging to her on board and on shore. All spare
parts and spare equipment including spare tail-end shaft(s) and/or spare propeller(s)/propeller blade(s), if any, belonging to the Vessel at the time of inspection delivery used or unused, whether on board or not shall become
the Buyers’ property, but spares on order are excluded. Forwarding charges, if any, shall be for the Buyer’s account. The Sellers are not required to replace spare parts including spare tail end shaft(s) and spare
propeller(s)/propeller blade(s) which are taken out of spare and used as replacement prior to delivery, but the replaced items shall be the property of the Buyers. Unused stores and provisions shall be included in the sale and be taken over by the
Buyers without extra payment.

		
		  	 Library and forms exclusively for use in the Sellers’ vessel(s) and captain’s, officers’ and
crew’s personal belongings including the slop chest are excluded from the sale without compensation, as well as the following additional items: ____(include list)

		
		  	 Items on board which are on hire or owned by third parties, listed as follows, are excluded from the sale
without compensation:____(include list)

		
		  	 Items on board at the time of inspection delivery which are on hire or owned by third parties,
not listed above, shall be replaced or procured by the Sellers prior to delivery at their cost and expense.

		
		  	 Any remaining bunkers and unused lubricating and hydraulic oils and greases in storage tanks and unopened drums
shall remain the property of the Sellers.

		
		  	 The Buyers shall take over remaining bunkers and unused lubricating and hydraulic oils and greases in storage
tanks and unopened drums and pay either:

		
		  	 (a) *the actual net price (excluding barging expenses) as evidenced by invoices or vouchers;
or

		
		  	 (b) *the current net market price (excluding barging expenses) at the port and date of delivery of the
Vessel or, if unavailable, at the nearest bunkering port,

		
		  	 for the quantities taken over.

		
		  	 Payment under this Clause shall be made at the same time and place and in the same currency as the Purchase
Price.

		
		  	 “inspection” in this Clause 7, shall mean the Buyers’
inspection according to Clause 4(a) or 4(b) (Inspection), if applicable. If the Vessel is taken over without inspection, the date of this Agreement shall be the
relevant date.

		
		  	 *(a) and (b) are alternatives, delete whichever is not applicable. In the absence of deletions alternative
(a) shall apply.

		
		  	 8.  Documentation

		
		  	 The place of closing: Imabari or Tokyo, Japan or Piraeus, Greece

		
		  	 In exchange for payment of the Purchase Price the Seller shall furnish the Buyers with delivery documents reasonably
required by the Buyers. There documents shall be listed in an addendum hereto, namely “Addendum no.1: List of delivery documents”

		
		  	 (a) In exchange for payment of the Purchase Price the Sellers shall provide the Buyers with the following
delivery documents:

		
		  	 (i) Legal Bill(s) of Sale in a form recordable in the Buyers’ Nominated Flag
State, transferring title of the Vessel and stating that the Vessel is free from all mortgages, encumbrances and maritime liens or any other debts whatsoever, duly notarially attested and legalised or apostilled, as required by the
Buyers’ Nominated Flag State;

  

			
	This document is a computer generated SALEFORM 2012 form printed by authority of the Norwegian Shipbrokers’ Association, Any insertion or deletion to the form must be clearly visible. In the event of any
modification made to the pre-printed text of this document which is not clearly visible, the text of the original approved document shall apply, BIMCO and the Norwegian Shipbrokers’ Association assume no responsibility for any loss, damage or
expense as a result of discrepancies between the original approved document and this computer generated document.

 5 

			
		  	 (ii)  Evidence that all necessary corporate, shareholder and other action
has been taken by the Sellers to authorise the execution, delivery and performance of this Agreement;
  

(iii)   Power of Attorney of the Sellers appointing one or more representatives to
act on behalf of the Sellers in the performance of this Agreement, duly notarially attested and legalized or apostilled (as appropriate);

		  	  

(iv) Certificate or Transcript of Registry issued by the competent authorities of the flag state
on the date of delivery evidencing the Sellers’ ownership of the Vessel and that the Vessel is free from registered encumbrances and mortgages, to be faxed or e-mailed by such authority to the closing meeting with the original to be sent to the
Buyers as soon as possible after delivery of the Vessel;
  

(v)   Declaration of Class or (depending on the Classification Society) a Class
Maintenance Certificate issued within three (3) Banking Days prior to delivery confirming that the Vessel is in Class free of condition/recommendation;
  

(vi) Certificate of Deletion of the Vessel from the Vessel’s registry or other official
evidence of deletion appropriate to the Vessel’s registry at the time of delivery, or, in the event that the registry does not as a matter of practice issue such documentation immediately, a written undertaking by the Sellers to effect deletion
from the Vessel’s registry forthwith and provide a certificate or other official evidence of deletion to the Buyers promptly and latest within four (4) weeks after the Purchase Price has been paid and the Vessel has been delivered;

 
 (vii)  A copy of the
Vessel’s Continuous Synopsis Record certifying the date on which the Vessel ceased to be registered with the Vessel’s registry, or, in the event that the registry does not as a matter of practice issue such certificate immediately, a
written undertaking from the Sellers to provide the copy of this certificate promptly upon it being issued together with evidence of submission by the Sellers of a duly executed Form 2 stating the date on which the Vessel shall cease to be
registered with the Vessel’s registry;
  

(viii)  Commercial Invoice for the Vessel;

 
 (ix) Commercial Invoice(s)
for bunkers, lubricating and hydraulic oils and greases;
  

(x)   A copy of the Sellers’ letter to their satellite communication provider
cancelling the Vessel’s communications contract which is to be sent immediately after delivery of the Vessel;
  

(xi) Any additional documents as may reasonably be required by the competent authorities of the
Buyers’ Nominated Flag State for the purpose of registering the Vessel, provided the Buyers notify the Sellers of any such documents as soon as possible after the date of this Agreement; and

 
 (xii)  The
Sellers’ letter of confirmation that to the best of their knowledge, the Vessel is not black listed by any nation or international organisation.
  

(b)  At the time of delivery the Buyers shall provide the Sellers with:

 
 (i)  Evidence that all
necessary corporate, shareholder and other action has been taken by the Buyers to authorise the execution, delivery and performance of this Agreement; and
  

(ii)  Power of Attorney of the Buyers appointing one or more representative to act on
behalf of the Buyers in the performance of this Agreement, duly notarially attested and legalized or apostilled (as appropriate).
  

(C) If any of the documents listed in Sub clauses (a) and (b) above are not in the English language they shall be
accompanied by an English translation by an authorised translator or certified by a lawyer qualified to practice in the country of the translated language.
  

(d) The Parties shall to the extent possible exchange copies, drafts or samples of the documents listed in Sub-clause (a)
and Sub-clause (b) above for review and comment by the other party not later than                (state number of days),
or if left blank, nine (9) days prior to the Vessel’s intended date of readiness for delivery as notified by the Sellers pursuant to Clause 5(b) of this Agreement.

 

  

			
	This document is a computer generated SALEFORM 2012 form printed by authority of the Norwegian Shipbrokers’ Association, Any insertion or deletion to the form must be clearly visible. In the event of any
modification made to the pre-printed text of this document which is not clearly visible, the text of the original approved document shall apply, BIMCO and the Norwegian Shipbrokers’ Association assume no responsibility for any loss, damage or
expense as a result of discrepancies between the original approved document and this computer generated document.

 6 

			
		  	 (e) Concurrent with the exchange of documents in Sub-clause (a) and Sub-clause (b) above, the Sellers
shall also hand to the Buyers the classification certificate(s) as well as all plans, drawings and manuals, (excluding ISM/ISPS manuals), which are on board the Vessel. Other certificates which are on board the Vessel shall also be handed over to
the Buyers unless the Sellers are required to retain same, in which case the Buyers have the right to take copies.

		
		  	 (f) Other technical documentation which may be in the Sellers’ possession shall promptly after
delivery be forwarded to the Buyers at their expense, if they so request. The Sellers may-keep the Vessel’s log books but the Buyers have the right to take copies of same.

		
		  	 (g) The Parties shall sign and deliver to each other a Protocol of Delivery and Acceptance confirming
the date and time of delivery of the Vessel from the Sellers to the Buyers.

		
		  	 9.  Encumbrances

 
 The Sellers warrant that the Vessel, at the time of delivery, is
free from all charters, encumbrances, mortgages, claims and maritime liens or any other debts whatsoever, and is not subject to Port State or other administrative detentions. The Sellers hereby undertake to indemnify the Buyers
against all consequences of claims made against the Vessel which have been incurred prior to the time of delivery.

		
		  	 10.  Taxes, fees and expenses

 
 Any taxes, fees and expenses in connection with the purchase and
registration in Panama the Buyers’ Nominated Flag State shall be for the Buyers’ account, whereas similar charges in connection with the closing of the Sellers’ register shall be for the Sellers’
account.

		
		  	 11.  Condition on delivery

 
 See also additional Clause 19 (Delivery under BBCP)

The Vessel with everything belonging to her shall be at the Sellers’ risk and expense until she is delivered to the Buyers, but
subject to the terms and conditions of this Agreement she shall be delivered and taken over “as is where is” she was but substantially in the same condition with the class status at the time of inspection
of Vessel’s class survey report on /March 6th, 2019., fair, wear and tear excepted. However, the Vessel shall be delivered free of cargo and free of stowaways with her Class maintained without condition/recommendation*, free of
average damage affecting the Vessel’s class, and with her classification certificates and national certificates, as well as all other certificates the Vessel had at the time of inspection, valid and unextended without condition/recommendation*
by the Classification Society or the relevant authorities at the time of delivery.

		
		  	 “inspection” in this Clause 11, shall mean the Buyers’
inspection according to Clause 4(a) or 4(b) (Inspections), if applicable. If the vessel is taken over without inspection, the date of this Agreement shall be the
relevant date.

		
		  	 *Notes and memoranda, if any, in the surveyor’s report which are accepted by the Classification
Society without condition/recommendation are not to be taken into account.

		
		  	 12.  Name/markings

 
 Upon delivery the Buyers undertake to change the name of the
Vessel and alter funnel markings.

		
		  	 13.  Buyers’ default

 
 Should the Deposit not be lodged in accordance with
Clause 2 (Deposit), the Sellers have the right to cancel this Agreement, and they shall be entitled to claim compensation for their losses and for all expenses incurred together with
interest.

		
		  	 Should the Purchase Price not be paid in accordance with Clause 3 (Payment), the Sellers have the right to
cancel this Agreement, in which case the Deposit together with interest earned, if any, shall be released to the Sellers. If the Deposit does not cover their loss, the Sellers shall be entitled to and claim further
compensation for their losses and for all reasonable expenses incurred together with interest.

		
		  	 14.  Sellers’ default

 
 Should the Sellers fail to give Notice of Readiness in
accordance with Clause 5(b) or fail to be ready to validly complete a legal transfer by the Cancelling Date, the Buyers shall have the option of cancelling this Agreement and. If after
Notice of Readiness has been given but before the Buyers have taken delivery, the Vessel ceases to be physically ready for delivery and is not made physically ready again by the Cancelling Date and new Notice of Readiness given, the Buyers shall
retain their option to cancel. In the event that the Buyers elect to cancel this Agreement, the Deposit together with interest earned, if any, shall be released to them immediately.

  

			
	This document is a computer generated SALEFORM 2012 form printed by authority of the Norwegian Shipbrokers’ Association, Any insertion or deletion to the form must be clearly visible. In the event of any
modification made to the pre-printed text of this document which is not clearly visible, the text of the original approved document shall apply, BIMCO and the Norwegian Shipbrokers’ Association assume no responsibility for any loss, damage or
expense as a result of discrepancies between the original approved document and this computer generated document.

 7 

			
		  	 Should the Sellers fail to give Notice of Readiness by the Cancelling Date or fail to be ready to validly
complete a legal transfer as aforesaid they the Sellers shall make due compensation to the Buyers for their loss and for all reasonable expenses together with interest if their failure is due to proven
negligence and whether or not the Buyers cancel this Agreement.

		
		  	 15.  Buyers’ representatives

		
		  	 After this Agreement has been signed by the Parties and the Deposit has been lodged, the Buyers have the right
to place two (2) representatives on board the Vessel at their sole risk and expense.

		
		  	 These representatives are on board for the purpose of familiarisation and in the capacity of observers only,
and they shall not interfere in any respect with the operation of the Vessel. The Buyers and the Buyers’ representatives shall sign the Sellers’ P&I Club’s standard letter of indemnity prior to their
embarkation.

		
		  	 16.  Law and Arbitration

		
		  	 (a) *This Agreement shall be governed by and construed in accordance with English law and any dispute arising
out of or in connection with this Agreement shall be referred to arbitration in London in accordance with the Arbitration Act 1996 or any statutory modification or re-enactment thereof save to the extent necessary to give effect to the provisions of
this Clause.

		
		  	 The arbitration shall be conducted in accordance with the London Maritime Arbitrators Association (LMAA) Terms current
at the time when the arbitration proceedings are commenced.

		
		  	 The reference shall be to three arbitrators. A party wishing to refer a dispute to arbitration shall appoint its
arbitrator and send notice of such appointment in writing to the other party requiring the other party to appoint its own arbitrator within fourteen (14) calendar days of that notice and stating that it will appoint its arbitrator as sole arbitrator
unless the other party appoints its own arbitrator and gives notice that it has done so within the fourteen (14) days specified. If the other party does not appoint its own arbitrator and give notice that it has done so within the fourteen (14) days
specified, the party referring a dispute to arbitration may, without the requirement of any further prior notice to the other party, appoint its arbitrator as sole arbitrator and shall advise the other party accordingly. The award of a sole
arbitrator shall be binding on both Parties as if the sole arbitrator had been appointed by agreement.

		
		  	 In cases where neither the claim nor any counterclaim exceeds the sum of US$100,000 the arbitration shall be conducted
in accordance with the LMAA Small Claims Procedure current at the time when the arbitration proceedings are commenced.

		
		  	 (b) * This Agreement shall be governed by and construed in accordance with Title 9 of the United States
Code and the substantive law (not including the choice of law rules) of the State of New York and any dispute arising out of or in connection with this Agreement shall be referred to three (3) persons at New York, one to be appointed by each of the
parties hereto, and the third by the two so chosen; their decision or that of any two of them shall be final, and for the purposes of enforcing any award, judgment may be entered on an award by any court of competent jurisdiction. The proceedings
shall be conducted in accordance with the rules of the Society of Maritime Arbitrators, Inc.

		
		  	 In cases where neither the claim nor any counterclaim exceeds the sum of US$ 100,000 the arbitration shall be
conducted in accordance with the Shortened Arbitration Procedure of the Society of Maritime Arbitrators, Inc.

		
		  	 (c) This Agreement shall be governed by and construed in accordance with the laws of
             (state place) and any dispute arising out of or in connection with this Agreement shall be referred to arbitration at
             (state place), subject to the procedures applicable there.

		
		  	 *16(a), 16(b) and 16(c) are alternatives; delete whichever is not applicable. In the absence of deletions,
alternative 16(a) shall apply.

  

			
	This document is a computer generated SALEFORM 2012 form printed by authority of the Norwegian Shipbrokers’ Association, Any insertion or deletion to the form must be clearly visible. In the event of any
modification made to the pre-printed text of this document which is not clearly visible, the text of the original approved document shall apply, BIMCO and the Norwegian Shipbrokers’ Association assume no responsibility for any loss, damage or
expense as a result of discrepancies between the original approved document and this computer generated document.

 8 

			
		
		  	 17.  Notices

 
 All notices to be provided under this Agreement shall be in
writing.
  
 Contact details for recipients of notices are as
follows:
  
 For the Buyers: C/O Toyo Kaiun Co., Ltd.

Address : 1705-1, Namikata, Namikata-cho, Imabari City, Ehime Prefecture, 799-2101, Japan

Telephone: +81-898-43-1510

Telefax +81-898-43-0945

E-mail: ooooyoo@dokidoki.ne.jp
  

For the Sellers: C/O Navios Shipmanagement Inc.

Address : 85 Akti Miaouli Street, 18538, Piraeus, Greece

Telephone : 30-210-4595000

E-mail: ops@navios.com, legal@navios.com

              tech@navios.com, legal_corp@navios.com

 
 18.  Entire Agreement

 
 The written terms of this Agreement and the BBCP comprise the entire
agreement between the Buyers and the Sellers in relation to the sale and purchase of the Vessel and supersede all previous agreements whether oral or written between the Parties in relation thereto.

 
 Each of the Parties acknowledges that in entering into this
Agreement it has not relied on and shall have no right or remedy in respect of any statement, representation, assurance or warranty (whether or not made negligently) other than as is expressly set out in this Agreement.

 
 Any terms implied into this Agreement by any applicable statute or
law are hereby excluded to the extent that such exclusion can legally be made. Nothing in this Clause shall limit or exclude any liability for fraud.
  

19.  The Buyers (as the Owners) and the Sellers (as the Charterers) have entered into the BBCP,
whereunder the Vessel is to be chartered to the Charterer on delivery for such period and on such terms and conditions more particularly described in the BBCP. It is agreed that the Vessel will be delivered by Buyers to Sellers as charterers under
the BBCP simultaneously with their taking delivery under this Agreement, and the Sellers’ obligation to deliver the Vessel to the Buyers under this Agreement is strictly subject to the Buyers’ Obligation to deliver the Vessel to the
Sellers under the BBCP.
  

20.  Confidentiality

 
 Save as provided in Paragraph (b) below, the details of this
Agreement and all the other relevant documents, negotiations, fixtures, and written correspondence are to be kept strictly confidential amongst all parties concerned, provided that:

 
 (a) the Sellers/Buyers may make disclosures documents or
information with respect to this Agreement to third party with the express prior written consent of the other party; and
  

(b) the Sellers/Buyers may make appropriate disclosure and subject to similar disclosure restrictions to their respective shareholders
or prospective shareholders, bankers or other financiers, or professional advisors, or as necessary to rating agencies, or as required by the rules or regulations or practice of SEC and/or NYSE or of any applicable stock exchange or similar body
(whether or not having the force of law), or as required by any court order or any applicable law, rule or regulation.

  

									
	Finian Navigation Co.	 		 	Takanawa Line Inc.
	For and on behalf of the Sellers	 		 	For and on behalf of the Buyers
			
	

	 		 	

					
	Name:	 	Shunji Sasada	 		 	Name:	 	Tadato Okachi
	Title:	 	Attorney-in-Fact	 		 	Title:	 	President

  

			
	This document is a computer generated SALEFORM 2012 form printed by authority of the Norwegian Shipbrokers’ Association, Any insertion or deletion to the form must be clearly visible. In the event of any
modification made to the pre-printed text of this document which is not clearly visible, the text of the original approved document shall apply, BIMCO and the Norwegian Shipbrokers’ Association assume no responsibility for any loss, damage or
expense as a result of discrepancies between the original approved document and this computer generated document.

 9EX-4.1

 EXHIBIT 4.1 

Dated 8 October 2019 

LEFKADA SHIPPING CORPORATION 

as Borrower 
 and 

THE BANKS AND FINANCIAL INSTITUTIONS 

as Lenders 
 and 

HAMBURG COMMERCIAL BANK AG 

as Agent, Mandated Lead Arranger and Security Trustee 

LOAN AGREEMENT 
 relating
to 
 a senior secured post-delivery term loan facility of up to US$31,800,000 

to provide finance secured on one 2011-built very large crude carrier 
  

 

							
		 	Index	  			
	Clause	 		  	 	Page	 
			
	 1
	 	Interpretation	  	 	1	 
	 2
	 	Facility	  	 	19	 
	 3
	 	Position of the Lenders	  	 	19	 
	 4
	 	Drawdown	  	 	20	 
	 5
	 	Interest	  	 	21	 
	 6
	 	Interest Periods	  	 	23	 
	 7
	 	Default Interest	  	 	24	 
	 8
	 	Repayment and Prepayment	  	 	25	 
	 9
	 	Conditions Precedent	  	 	27	 
	 10
	 	Representations and Warranties	  	 	28	 
	 11
	 	General Undertakings	  	 	32	 
	 12
	 	Corporate Undertakings	  	 	36	 
	 13
	 	Insurance	  	 	38	 
	 14
	 	Ship Covenants	  	 	44	 
	 15
	 	Security Cover	  	 	50	 
	 16
	 	Payments and Calculations	  	 	52	 
	 17
	 	Application of Receipts	  	 	54	 
	 18
	 	Application of Earnings	  	 	55	 
	 19
	 	Events of Default	  	 	57	 
	 20
	 	Fees and Expenses	  	 	63	 
	 21
	 	Indemnities	  	 	64	 
	 22
	 	No Set-Off or Tax Deduction	  	 	67	 
	 23
	 	Illegality, etc.	  	 	70	 
	 24
	 	Increased Costs	  	 	70	 
	 25
	 	Set-Off	  	 	72	 
	 26
	 	Transfers and Changes in Lending Offices	  	 	73	 
	 27
	 	Variations and Waivers	  	 	78	 
	 28
	 	Notices	  	 	81	 
	 29
	 	Supplemental	  	 	83	 
	 30
	 	Law and Jurisdiction	  	 	84	 

 Schedules 

					
		
	 Schedule 1 Lenders and Commitments
	  			
	 Schedule 2 Drawdown Notice
	  			
	 Schedule 3 Condition Precedent Documents
	  			
	 Part A
	  			
	 Part B
	  			
	 Schedule 4 Mandatory Cost Formula
	  			
	 Schedule 5 Transfer Certificate
	  			
	 Schedule 6 Power of Attorney
	  			
	 Schedule 7 Form of Compliance Certificate
	  			
	 Schedule 8 Ship
	  			

  

					
	 Execution
	  			
		
	 Execution Pages
	  			

  
 2 

 THIS AGREEMENT is made on 8 October 2019 

PARTIES 
  

	(1)	 LEFKADA SHIPPING CORPORATION, a corporation incorporated in the Republic of the Marshall Islands whose
registered address is at Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, the Marshall Islands MH96960, as Borrower; 

  

	(2)	 THE BANKS AND FINANCIAL INSTITUTIONS listed in Schedule 1, as Lenders; 

 

	(3)	 HAMBURG COMMERCIAL BANK AG acting through its office at Gerhart-Hauptmann-Platz 50, 20095 Hamburg,
Germany, as Agent; 

  

	(4)	 HAMBURG COMMERCIAL BANK AG acting through its office at Gerhart-Hauptmann-Platz 50, 20095 Hamburg,
Germany, as Mandated Lead Arranger; and 

  

	(5)	 HAMBURG COMMERCIAL BANK AG acting through its office at Gerhart-Hauptmann-Platz 50, 20095 Hamburg,
Germany, as Security Trustee. 

 BACKGROUND 

The Lenders have agreed to make available to the Borrower a senior secured post-delivery term loan facility in one advance in an amount of up to the lesser of
(A) US$31,800,000 and (B) 60 per cent. of the Initial Market Value of the Ship (as defined below) to partly finance the Market Value of the Ship. 

OPERATIVE PROVISIONS 
  

	1	 INTERPRETATION 

 

	1.1	 Definitions 

Subject to Clause 1.5, in this Agreement: 

“Account” means each of the Earnings Account, the Minimum Liquidity Account and the Retention Account and, in the plural,
means all of them. 
 “Account Bank” means Hamburg Commercial Bank AG, acting in such capacity through its office at
Gerhart-Hauptmann-Platz 50, 20095 Hamburg, Germany, or any successor; 
 “Account Pledge” means, in relation to each
Account, a pledge agreement creating security in respect of that Account in the Agreed Form and, in the plural, means all of them; 

“Affected Lender” has the meaning given in Clause 5.7; 

“Agency and Trust Agreement” means the agency and trust agreement executed or to be executed between the Borrower and the
Creditor Parties in the Agreed Form; 
 “Agent” means Hamburg Commercial Bank AG, acting in such capacity through its office
at Gerhart-Hauptmann-Platz 50, D-20095 Hamburg, Germany, or any successor of it appointed under clause 5 of the Agency and Trust Agreement; 

 
 

 

 “Agreed Form” means in relation to any document, that document in the form
approved in writing by the Agent (acting on the instructions of the Majority Lenders) or as otherwise approved in accordance with any other approval procedure specified in any relevant provisions of any Finance Document; 

“Applicable Lender” has the meaning given in Clause 5.2; 

“Approved Broker” means each of Arrow Valuations Ltd, Barry Rogliano Salles, H. Clarkson & Co. Ltd., Fearnleys,
Maersk Brokers K/S and SSY Valuations Services Ltd. and, in the plural, means all of them; 
 “Approved Flag” means the Hong
Kong flag, the Liberian flag or such other flag as the Agent may approve (with the authorisation of the Majority Lenders) as the flag on which the Ship is or, as the case may be, shall be registered; 

“Approved Flag State” means Hong Kong, Liberia or any other country in which the Agent may approve (with the authorisation of
the Majority Lenders) that the Ship is or, as the case may be, shall be registered; 
 “Approved Manager” means Navios
Tankers Management Inc., a corporation incorporated in the Republic of the Marshall Islands whose registered address is at Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, the Marshall Islands MH96960 or any other company which is a
subsidiary or affiliate of Navios Maritime Holdings Inc. or of Angeliki Frangou or any other company which the Agent (acting on the instructions of the Majority Lenders) may approve from time to time as the commercial and/or technical manager of the
Ship; 
 “Approved Manager’s Undertaking” means, in relation to the Ship, a letter of undertaking including (inter
alia) an assignment of the Approved Manager’s rights, title and interest in the Insurances of the Ship executed or to be executed by the Approved Manager in favour of the Security Trustee in the Agreed Form agreeing certain matters in
relation to the Approved Manager serving as manager and subordinating its rights against the Ship and the Borrower to the rights of the Creditor Parties under the Finance Documents and, in the plural, means all of them; 

“Assignable Charter” means any time charterparty, consecutive voyage charter or contract of affreightment in respect of the
Ship having a duration (or capable of exceeding a duration) equal or more than 12 months and any guarantee of the obligations of the charterer under such charter or any bareboat charter in respect of the Ship and any guarantee of the obligations of
the charterer under such bareboat charter, entered or to be entered into by the Borrower and a charterer or, as the context may require, bareboat charterer and, in the plural, means all of them; 

“Availability Period” means the period commencing on the date of this Agreement and ending on: 

 

	 	(a)	 30 October 2019 (or such later date as the Agent may, with the authorisation of the Lenders, agree with
the Borrower); or 

  

	 	(b)	 if earlier, the date on which the Total Commitments are fully borrowed, cancelled or terminated;

 “Balloon Instalment” has the meaning given in Clause 8.1; 

  
 2 

 “Basel III” means, together: 

 

	 	(a)	 the agreements on capital requirements, a leverage ratio and liquidity standards contained in “Basel III:
A global regulatory framework for more resilient banks and banking systems”, “Basel III: International framework for liquidity risk measurement, standards and monitoring” and “Guidance for national authorities operating the
countercyclical capital buffer” published by the Basel Committee on Banking Supervision in December 2010, each as amended, supplemented or restated; 

  

	 	(b)	 the rules for global systemically important banks contained in “Global systemically important banks:
assessment methodology and the additional loss absorbency requirement—Rules text” published by the Basel Committee on Banking Supervision in November 2011, as amended, supplemented or restated; and 

 

	 	(c)	 any further guidance or standards published by the Basel Committee on Banking Supervision relating to
“Basel III”; 

 “Borrower” means Lefkada Shipping Corporation, a corporation incorporated in the
Republic of the Marshall Islands whose registered address is at Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, the Marshall Islands MH96960; 

“Break Costs” has the meaning given in Clause 21.2; 

“Business Day” means a day (other than a Saturday or Sunday) on which banks are open for general business: 

 

	 	(a)	 in Hamburg, Piraeus, Athens and London regarding the fixing of any interest rate which is required to be
determined under this Agreement or any Finance Document; 

  

	 	(b)	 in Hamburg, Piraeus and New York in respect of any payment which is required to be made under a Finance
Document; and 

  

	 	(c)	 in Hamburg, Athens and Piraeus regarding any other action to be taken under this Agreement or any other Finance
Document; 

 “Cancellation Notice” has the meaning given in Clause 8.6; 

“Charterparty Assignment” means an assignment of the rights of the Borrower under any Assignable Charter and any guarantee of
such Assignable Charter executed or to be executed by the Borrower in favour of the Security Trustee in the Agreed Form and, in the plural, means all of them; 

“Code” means the US Internal Revenue Code of 1986; 

“Commitment” means, in relation to a Lender, the amount set opposite its name in Schedule 1, or, as the case may require, the
amount specified in the relevant Transfer Certificate, as that amount may be reduced, cancelled or terminated in accordance with this Agreement (and “Total Commitments” means the aggregate of the Commitments of all the Lenders);

 “Compliance Certificate” means a certificate in the form set out in Schedule 7 (or in any other form which the Agent
approves or requires) to be provided at the times and in the manner set out in Clause 11.20; 

  
 3 

 “Contractual Currency” has the meaning given in Clause 21.6; 

“Contribution” means, in relation to a Lender, the part of the Loan which is owing to that Lender; 

“Correction Rate” means, at any relevant time in relation to an Applicable Lender, the amount (expressed as a rate per annum)
by which that Lender’s Cost of Funding exceeds LIBOR; 
 “Cost of Funding” means, in relation to a Lender, the rate per
annum determined by that Lender to be the rate at which deposits in Dollars are offered to that Lender by leading banks in the Relevant Interbank Market at that Lender’s request at or about the Specified Time on the Quotation Date for an
Interest Period and for a period equal to that Interest Period and for delivery on the first Business Day of it, or, if that Lender uses other ways to fund deposits in Dollars, such rate as determined by that Lender to be the Lender’s cost of
funding deposits in Dollars for that Interest Period, such determination being conclusive and binding in the absence of manifest error; 

“Creditor Party” means the Agent, the Security Trustee, the Mandated Lead Arranger or any Lender, whether as at the date of
this Agreement or at any later time and, in the plural, means all of them; 
 “Deed of Covenant” means the deed of covenant
collateral to the Mortgage; 
 “Disruption Event” means either or both of: 

 

	 	(a)	 a material disruption to those payment or communications systems or to those financial markets which are, in
each case, required to operate in order for payments to be made in connection with the Loan (or otherwise in order for the transactions contemplated by the Finance Documents to be carried out) which disruption is not caused by, and is beyond the
control of, any of the Parties; or 

  

	 	(b)	 the occurrence of any other event which results in a disruption (of a technical or systems-related nature) to
the treasury or payments operations of a Party preventing that, or any other, Party: 

  

	 	(i)	 from performing its payment obligations under the Finance Documents; or 

 

	 	(ii)	 from communicating with other Parties in accordance with the terms of the Finance Documents,

 and which (in either such case) is not caused by, and is beyond the control of, the Party whose operations are
disrupted; 
 “Dollars” and “$” means the lawful currency for the time being of the United States of
America; 
 “Drawdown Date” means the date requested by the Borrower for the Loan to be borrowed, or (as the context
requires) the date on which the Loan is actually borrowed; 
 “Drawdown Notice” means the notice in the form set out in
Schedule 2 (or in any other form which the Agent approves or reasonably requires); 

  
 4 

 “Earnings” means all moneys whatsoever which are now, or later become,
payable (actually or contingently) to the Borrower or the Security Trustee and which arise out of the use or operation of the Ship, including (but not limited to): 
  

	 	(a)	 except to the extent that they fall within paragraph (b); 

 

	 	(i)	 all freight, hire and passage moneys; 

 

	 	(ii)	 compensation payable to the Borrower or the Security Trustee in the event of requisition of the Ship for hire;

  

	 	(iii)	 remuneration for salvage and towage services; 

 

	 	(iv)	 demurrage and detention moneys; 

 

	 	(v)	 damages for breach (or payments for variation or termination) of any charterparty or other contract for the
employment of the Ship; and 

  

	 	(vi)	 all moneys which are at any time payable under any Insurances in respect of loss of hire; and

  

	 	(b)	 if and whenever the Ship is employed on terms whereby any moneys falling within paragraphs (a)(i) to
(vi) are pooled or shared with any other person, that proportion of the net receipts of the relevant pooling or sharing arrangement which is attributable to the Ship; 

“Earnings Account” means an account in the name of the Borrower with the Account Bank designated “Lefkada Shipping
Corporation - Earnings Account”, or any other account (with that or another office of the Account Bank) which replaces such account and is designated by the Agent as that Earnings Account for the purposes
of this Agreement; 
 “Environmental Claim” means: 
  

	 	(a)	 any claim by any governmental, judicial or regulatory authority which arises out of an Environmental Incident
or an alleged Environmental Incident or which relates to any Environmental Law; or 

  

	 	(b)	 any claim by any other person which relates to an Environmental Incident or to an alleged Environmental
Incident, 

 and “claim” means a claim for damages, compensation, fines, penalties or any other payment of
any kind whether or not similar to the foregoing; an order or direction to take, or not to take, certain action or to desist from or suspend certain action; and any form of enforcement or regulatory action, including the arrest or attachment of any
asset; 
 “Environmental Incident” means: 
  

	 	(a)	 any release of Environmentally Sensitive Material from the Ship; or 

 

	 	(b)	 any incident in which Environmentally Sensitive Material is released from a vessel other than the Ship and
which involves a collision between the Ship and such other vessel or some other incident of navigation or operation, in either case, in connection with which the Ship is actually or potentially liable to be arrested, attached, detained or injuncted
and/or the Ship and/or the Borrower and/or any operator or manager of the Ship is at fault or allegedly at fault or otherwise liable to any legal or administrative action; or 

  
 5 

	 	(c)	 any other incident in which Environmentally Sensitive Material is released otherwise than from the Ship and in
connection with which the Ship is actually or potentially liable to be arrested and/or where the Borrower and/or any operator or manager of the Ship is at fault or allegedly at fault or otherwise liable to any legal or administrative action;

 “Environmental Law” means any law, regulation, convention and agreement relating to pollution or
protection of the environment, to the carriage of Environmentally Sensitive Material or to actual or threatened releases of Environmentally Sensitive Material; 

“Environmentally Sensitive Material” means oil, oil products and any other substance (including any chemical, gas or other
hazardous or noxious substance) which is (or is capable of being or becoming) polluting, toxic or hazardous; 
 “Event of
Default” means any of the events or circumstances described in Clause 19.1; 
 “FATCA” means: 

 

	 	(a)	 sections 1471 to 1474 of the Code or any associated regulations; 

 

	 	(b)	 any treaty, law or regulation of any other jurisdiction, or relating to an intergovernmental agreement between
the US and any other jurisdiction, which (in either case) facilitates the implementation of any law or regulation referred to in paragraph (a) above; or 

  

	 	(c)	 any agreement pursuant to the implementation of any treaty, law or regulation referred to in paragraphs
(a) or (b) above with the US Internal Revenue Service, the US government or any governmental or taxation authority in any other jurisdiction; 

“FATCA Deduction” means a deduction or withholding from a payment under a Finance Document required by FATCA; 

“FATCA Exempt Party” means a Party that is entitled to receive payments free from any FATCA Deduction; 

“Final Repayment Date” means the date falling on the earlier of (i) the date falling twelve (12) months from the
Drawdown Date and (ii) 30 October 2020; 
 “Finance Documents” means together: 

 

	 	(a)	 this Agreement; 

  

	 	(b)	 the Agency and Trust Agreement; 

 

	 	(c)	 the Account Pledges; 

 

	 	(d)	 the Mortgage; 

  

	 	(e)	 the Deed of Covenant; 

  
 6 

	 	(f)	 the General Assignment; 

 

	 	(g)	 any Charterparty Assignment; 

 

	 	(h)	 the Approved Manager’s Undertaking; and 

 

	 	(i)	 any other document (whether creating a Security Interest or not) which is executed at any time by the Borrower,
the Approved Manager or any other person as security for, or to establish any form of subordination or priorities arrangement in relation to, any amount payable to the Lenders under this Agreement or any of the other documents referred to in this
definition and, in the singular, means any of them; 

 “Financial Indebtedness” means, in relation to a
person (the “debtor”), any actual or contingent liability of the debtor: 
  

	 	(a)	 for principal, interest or any other sum payable in respect of any moneys borrowed or raised by the debtor;

  

	 	(b)	 under any loan stock, bond, note or other security issued by the debtor; 

 

	 	(c)	 under any acceptance credit, guarantee or letter of credit facility made available to the debtor;

  

	 	(d)	 under a financial lease, a deferred purchase consideration arrangement (in each case, other than in respect of
assets or services obtained on normal commercial terms in the ordinary course of business) or any other agreement having the commercial effect of a borrowing or raising of money by the debtor; 

 

	 	(e)	 under any foreign exchange transaction, any interest or currency swap, exchange or any other kind of derivative
transaction entered into by the debtor or, if the agreement under which any such transaction is entered into requires netting of mutual liabilities, the liability of the debtor for the net amount; or 

 

	 	(f)	 under receivables sold or discounted (other than any receivables to the extent that they are sold on a non-recourse basis); or 

  

	 	(g)	 under a guarantee, indemnity or similar obligation entered into by the debtor in respect of a liability of
another person which would fall within (a) to (f) if the references to the debtor referred to the other person; 

“Financial Year” means each period of one year commencing on 1 January in respect of which the consolidated financial
statements of Navios Acquisition are or ought to be prepared; 
 “General Assignment” means a general assignment of
(inter alia) the Earnings, the Insurances and any Requisition Compensation relative to the Ship in the Agreed Form; 

“Group” means the Borrower and all subsidiaries directly or indirectly owned by the Borrower and “member of the
Group” shall be construed accordingly; 
 “IACS” means the International Association of Classification Societies;

  
 7 

 “Initial Market Value” means the Market Value thereof calculated in
accordance with the valuation(s) relative thereto referred to in paragraph 4 of Schedule 3, Part B; 
 “Instalment” has the
meaning given in Clause 8.1; 
 “Insurances” means: 

 

	 	(a)	 all policies and contracts of insurance (including, without limitation, any loss of hire insurance) and any
reinsurance, policies or contracts, including entries of the Ship in any protection and indemnity or war risks association, effected in respect of the Ship, its Earnings or otherwise in relation to it whether before, on or after the date of this
Agreement; and 

  

	 	(b)	 all rights (including, without limitation, any and all rights or claims which the Borrower may have under or in
connection with any cut-through clause relative to any reinsurance contract relating to the aforesaid policies or contracts of insurance) and other assets relating to, or derived from, any of the foregoing,
including any rights to a return of a premium and any rights in respect of any claim whether or not the relevant policy, contract of insurance or entry has expired on or before the date of this Agreement; 

“Interest Period” means a period determined in accordance with Clause 6; 

“Interpolated Screen Rate” means, in relation to an Interest Period, the rate which results from interpolating on a linear
basis between: 
  

	 	(a)	 the applicable Screen Rate for the longest period (for which that Screen Rate is available) which is less than
that Interest Period; and 

  

	 	(b)	 the applicable Screen Rate for the shortest period (for which that Screen Rate is available) which exceeds that
Interest Period, 

 each as of the Specified Time on the Quotation Date for that Interest Period; 

“ISM Code” means the International Safety Management Code (including the guidelines on its implementation), adopted by the
International Maritime Organisation as the same may be amended or supplemented from time to time (and the terms “safety management system”, “Safety Management Certificate” and “Document of
Compliance” have the same meanings as are given to them in the ISM Code); 
 “ISPS Code” means the International
Ship and Port Facility Security Code as adopted by the International Maritime Organisation, as the same may be amended or supplemented from time to time; 

“ISSC” means a valid and current International Ship Security Certificate issued under the ISPS Code; 

“Lender” means, subject to Clause 26.6, a bank or financial institution listed in Schedule 1 and acting through its branch
indicated in Schedule 1 (or through another branch notified to the Agent under Clause 26.16) or its transferee, successor or assign; 

  
 8 

 “LIBOR” means, for an Interest Period: 

 

	 	(a)	 the rate per annum equal to the offered quotation for deposits in Dollars for a period equal to, or as near as
possible equal to, the relevant Interest Period which appears on the Screen Rate; or 

  

	 	(b)	 (if no Screen Rate is available for that Interest Period), the applicable Interpolated Screen Rate for that
Interest Period; or 

  

	 	(c)	 if no Screen Rate is available and it is not possible to calculate an Interpolated Screen Rate for that
Interest Period, the rate per annum determined by the Agent to be the arithmetic mean (rounded upwards, if necessary, to the nearest fifth decimal point) of the rate(s) per annum notified to the Agent by each, or if there is only one Reference Bank,
that Reference Bank as the rate at which deposits in Dollars are offered to that Reference Bank by leading banks in the Relevant Interbank Market at that Reference Bank’s request, 

at or about the Specified Time on the Quotation Date for that Interest Period for a period equal to that Interest Period and for delivery on
the first Business Day of it and, if any such rate is below zero, LIBOR will be deemed to be zero; 
 “Loan” means the
principal amount for the time being outstanding under this Agreement; 
 “LSW 1189” means the London Standard Wording for
marine insurances which incorporates the German Direct Mortgage Clause; 
 “Major Casualty” means any casualty to the Ship
in respect of which the claim or the aggregate of the claims against all insurers, before adjustment for any relevant franchise or deductible, exceeds $500,000 or the equivalent in any other currency; 

“Majority Lenders” means: 
  

	 	(a)	 before the Loan is made, Lenders whose Commitments total 66 2/3 per cent. of the Total Commitments; and

  

	 	(b)	 after the Loan is made, Lenders whose Contributions total 66 2/3 per cent. of the Loan;

 “Mandated Lead Arranger” means Hamburg Commercial Bank AG, acting in such capacity through its office
at Gerhart-Hauptmann-Platz 50, D-20095 Hamburg, Germany, or any successor; 
 “Mandatory
Cost” means the percentage rate per annum calculated by the Agent in accordance with Schedule 4; 
 “Margin” means
2.80 per cent. per annum; 
 “Market Value” means the market value of the Ship determined in accordance with Clause
15.3; 
 “Material Adverse Change” means any event or series of events which, in the opinion of the Majority Lenders, is
likely to have a Material Adverse Effect; 

  
 9 

 “Material Adverse Effect” means, in the reasonable opinion of the Majority
Lenders, a material adverse effect on: 
  

	 	(a)	 the business, property, assets, liabilities, operations or condition (financial or otherwise) of the Borrower
and/or any Security Party taken as a whole; 

  

	 	(b)	 the ability of the Borrower, the Approved Manager and/or any Security Party to (i) comply with or perform
any of its obligations or (ii) discharge any of its liabilities, under any Finance Document as they fall due; or 

  

	 	(c)	 the validity, legality or enforceability of any Finance Document; 

“Maximum Loan Amount” means an amount up to the lesser of (i) $31,800,000 and (ii) 60 per cent. of the Initial Market
Value of the Ship; 
 “Minimum Liquidity” has the meaning given in Clause 11.19; 

“Minimum Liquidity Account” means an account in the name of the Borrower with the Account Bank designated “Lefkada
Shipping Corporation – Minimum Liquidity Account”, or any other account (with that or another office of the Account Bank) which replaces such account and is designated by the Agent as the Minimum Liquidity Account for the purposes of this
Agreement; 
 “Mortgage” means the first preferred or, as the case may be, priority ship mortgage on the Ship in the Agreed
Form; 
 “Navios Acquisition” means Navios Maritime Acquisition Corporation, a corporation incorporated in the Republic of
the Marshall Islands whose registered address is at Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, the Marshall Islands MH96960; 

“Negotiation Period” has the meaning given in Clause 5.10; 

“Notifying Lender” has the meaning given in Clause 21.2, Clause 23.1 or Clause 24.1 as the context requires; 

“Participating Member State” means any member state of the European Union that has the Euro as its lawful currency in
accordance with legislation of the European Union relating to Economic and Monetary Union; 
 “Party” means a party to a
Finance Document; 
 “Payment Currency” has the meaning given in Clause 21.6; 

“Permitted Security Interests” means: 
  

	 	(a)	 Security Interests created by the Finance Documents; 

 

	 	(b)	 liens for unpaid master’s and crew’s wages in accordance with usual maritime practice;

  

	 	(c)	 liens for salvage; 

  

	 	(d)	 liens arising by operation of law for not more than one month’s prepaid hire under any charter in relation
to the Ship not prohibited by this Agreement; 

  
 10 

	 	(e)	 liens for master’s disbursements incurred in the ordinary course of trading and any other lien arising by
operation of law or otherwise in the ordinary course of the operation, repair or maintenance of the Ship, provided such liens do not secure amounts more than 30 days overdue (unless the overdue amount is being contested by the Borrower in good faith
by appropriate steps) and subject, in the case of liens for repair or maintenance, to in paragraph (d) of Clause 14.13; 

  

	 	(f)	 any Security Interest created in favour of a plaintiff or defendant in any proceedings or arbitration as
security for costs and expenses while the Borrower is actively prosecuting or defending such proceedings or arbitration in good faith; and 

  

	 	(g)	 Security Interests arising by operation of law in respect of taxes which are not overdue for payment or in
respect of taxes being contested in good faith by appropriate steps and in respect of which appropriate reserves have been made. 

“Pertinent Document” means: 
  

	 	(a)	 any Finance Document; 

 

	 	(b)	 any policy or contract of insurance contemplated by or referred to in Clause 13 or any other provision of this
Agreement or another Finance Document; 

  

	 	(c)	 any other document contemplated by or referred to in any Finance Document; and 

 

	 	(d)	 any document which has been or is at any time sent by or to a Servicing Bank in contemplation of or in
connection with any Finance Document or any policy, contract or document falling within paragraphs (b) or (c); 

“Pertinent Jurisdiction” in relation to a company, means: 

 

	 	(a)	 England and Wales; 

  

	 	(b)	 the country under the laws of which the company is incorporated or formed; 

 

	 	(c)	 a country in which the company has the centre of its main interests or which the company’s central
management and control is or has recently been exercised; 

  

	 	(d)	 a country in which the overall net income of the company is subject to corporation tax, income tax or any
similar tax; 

  

	 	(e)	 a country in which assets of the company (other than securities issued by, or loans to, related companies)
having a substantial value are situated, in which the company maintains a branch or permanent place of business, or in which a Security Interest created by the company must or should be registered in order to ensure its validity or priority; and

  

	 	(f)	 a country the courts of which have jurisdiction to make a winding up, administration or similar order in
relation to the company, whether as a main or territorial or ancillary proceedings, or which would have such jurisdiction if their assistance were requested by the courts of a country referred to in paragraphs (b) or (c); 

  
 11 

 “Potential Event of Default” means an event or circumstance which, with the
giving of any notice, the lapse of time, a reasonable determination of the Majority Lenders and/or the satisfaction of any other condition, would constitute an Event of Default; 

“Prepayment Date” has the meaning given in Clause 15.2; 

“Prepayment Notice” has the meaning given in paragraph (b) of Clause 8.5; 

“Quotation Date” means, in relation to any Interest Period (or any other period for which an interest rate is to be determined
under any provision of a Finance Document), the day on which quotations would ordinarily be given by leading banks in the Relevant Interbank Market for deposits in the currency in relation to which such rate is to be determined for delivery on the
first day of that Interest Period or other period; 
 “Reference Banks” means, subject to Clause 26.19, together, the
Hamburg branch of Hamburg Commercial Bank AG, the head office of any other bank which is a Lender at the relevant time (unless such Lender has advised the Agent in writing that it does not wish to be a Reference Bank) and any of their respective
successors; 
 “Relevant Interbank Market” means the London interbank market; 

“Relevant Nominating Body” means any applicable central bank, regulator or other supervisory authority or a group of them, or
any working group or committee sponsored or chaired by, or constituted at the request of, any of them or the Financial Stability Board; 

“Relevant Person” has the meaning given in Clause 19.9; 

“Replacement Benchmark” means a benchmark rate which is: 

 

	 	(a)	 formally designated, nominated or recommended as the replacement for a Screen Rate by: 

 

	 	(i)	 the administrator of that Screen Rate (provided that the market or economic reality that such benchmark rate
measures is the same as that measured by that Screen Rate); or 

  

	 	(ii)	 any Relevant Nominating Body, 

and if replacements have, at the relevant time, been formally designated, nominated or recommended under both paragraphs, the “Replacement
Benchmark” will be the replacement under paragraph (ii) above; 
  

	 	(b)	 in the opinion of the Majority Lenders and the Borrower, generally accepted in the international or any
relevant domestic syndicated loan markets as the appropriate successor to that Screen Rate; or 

  

	 	(c)	 in the opinion of the Majority Lenders and the Borrower, an appropriate successor to a Screen Rate;

 “Repayment Date” means a date on which a repayment is required to be made under Clause 8; 

  
 12 

 “Requisition Compensation” includes all compensation or other moneys
payable by reason of any act or event such as is referred to in paragraph (b) of the definition of “Total Loss”; 

“Retention Account” means an account in the name of the Borrower with the Account Bank designated “Lefkada Shipping
Corporation—Retention Account”, or any other account (with that or another office of the Account Bank which replaces this account and is designated by the Agent as the Retention Account for the purposes of this Agreement; 

“Screen Rate” means the London interbank offered rate administered by the ICE Benchmark Administration Limited (or any other
person which takes over the administration of that rate) for Dollars for the relevant period displayed on pages LIBOR01 or LIBOR02 of the Reuters screen (or any replacement Reuters page which displays that rate) or on the appropriate page of such
other information service which publishes that rate from time to time in place of Reuters. If such page or service ceases to be available, the Agent may specify another page or service displaying the relevant rate after consultation with the
Borrower; 
 “Screen Rate Replacement Event” means, in relation to a Screen Rate: 

 

	 	(a)	 the methodology, formula or other means of determining that Screen Rate has, in the opinion of the Majority
Lenders and the Borrower, materially changed; 

  

	 	(b)	 

  

	 	(i)	 

  

	 	(A)	 the administrator of that Screen Rate or its supervisor publicly announces that such administrator is
insolvent; or 

  

	 	(B)	 information is published in any order, decree, notice, petition or filing, however described, of or filed with
a court, tribunal, exchange, regulatory authority or similar administrative, regulatory or judicial body which reasonably confirms that the administrator of that Screen Rate is insolvent, 

provided that, in each case, at that time, there is no successor administrator to continue to provide that Screen Rate; 

 

	 	(ii)	 the administrator of that Screen Rate publicly announces that it has ceased or will cease, to provide that
Screen Rate permanently or indefinitely and, at that time, there is no successor administrator to continue to provide that Screen Rate; 

  

	 	(iii)	 the supervisor of the administrator of that Screen Rate publicly announces that such Screen Rate has been or
will be permanently or indefinitely discontinued; or 

  

	 	(iv)	 the administrator of that Screen Rate or its supervisor announces that that Screen Rate may no longer be used;
or 

  

	 	(v)	 in the opinion of the Majority Lenders and the Borrower, that Screen Rate is otherwise no longer appropriate
for the purposes of calculating interest under this Agreement; 

  
 13 

 “Secured Liabilities” means all liabilities which the Borrower, the
Security Parties or any of them have, at the date of this Agreement or at any later time or times, under or in connection with any Finance Document or any judgment relating to any Finance Document; and for this purpose, there shall be disregarded
any total or partial discharge of these liabilities, or variation of their terms, which is effected by, or in connection with, any bankruptcy, liquidation, arrangement or other procedure under the insolvency laws of any country; 

“Security Cover Ratio” means, at any relevant time, the aggregate of (i) the Market Value of the Ship and (ii) the
net realisable value of any additional security provided at that time under Clause 15, at that time expressed as a percentage of the Loan; 

“Security Interest” means: 
  

	 	(a)	 a mortgage, charge (whether fixed or floating) or pledge, any maritime or other lien or any other security
interest of any kind; and 

  

	 	(b)	 the rights of a plaintiff under an action in rem; 

“Security Party” means any person (except a Creditor Party or the Approved Manager) who, as a surety or mortgagor, as a party
to any subordination or priorities arrangement, or in any similar capacity, executes a document falling within the final paragraph of the definition of “Finance Documents”; 

“Security Period” means the period commencing on the date of this Agreement and ending on the date on which the Agent notifies
the Borrower, the Security Parties and the other Creditor Parties that: 
  

	 	(a)	 all amounts which have become due for payment by the Borrower, the Approved Manager or any Security Party under
the Finance Documents have been paid; 

  

	 	(b)	 no amount is owing or has accrued (without yet having become due for payment) under any Finance Document;

  

	 	(c)	 neither the Borrower, the Approved Manager nor any Security Party has any future or contingent liability under
Clauses 20, 21 or 22 or any other provision of this Agreement or another Finance Document; and 

  

	 	(d)	 the Agent, the Mandated Lead Arranger, the Security Trustee and the Majority Lenders do not consider that there
is a significant risk that any payment or transaction under a Finance Document would be set aside, or would have to be reversed or adjusted, in any present or possible future bankruptcy of the Borrower, the Approved Manager or a Security Party or in
any present or possible future proceeding relating to a Finance Document or any asset covered (or previously covered) by a Security Interest created by a Finance Document; 

“Security Trustee” means Hamburg Commercial Bank AG, acting in such capacity through its office at Gerhart-Hauptmann-Platz 50,
D-20095, Hamburg, Germany, or any successor of it appointed under clause 5 of the Agency and Trust Agreement; 

“Servicing Bank” means the Agent or the Security Trustee; 

  
 14 

 “Shareholder” means Navios Maritime Midstream Operating L.L.C., a limited
liability company formed in the Republic of the Marshall Islands, having its registered address at Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, the Marshall Islands MH96960; 

“Ship” shall have the meaning given to this term in Schedule 8; 

“Specified Time” means 11.00 a.m. London time; 

“Total Loss” means: 
  

	 	(a)	 actual, constructive, compromised, agreed or arranged total loss of the Ship; 

 

	 	(b)	 any expropriation, confiscation, requisition or acquisition of the Ship, whether for full or part
consideration, a consideration less than its proper value, a nominal consideration or without any consideration, which is effected by any government or official authority or by any person or persons claiming to be or to represent a government or
official authority unless it is within one month from the date of such occurrence redelivered to the full control of the Borrower excluding a requisition for hire for a fixed period not exceeding 90 days without any right to an extension;

  

	 	(c)	 any condemnation of the Ship by any tribunal or by any person or person claiming to be a tribunal; and

  

	 	(d)	 any arrest, capture, seizure, confiscation or detention of the Ship (including any hijacking or theft) unless
it is within the Relevant Period redelivered to the full control of the Borrower; 

 “Relevant Period”
means: 
  

	 	(i)	 in the case of any arrest, capture, seizure, confiscation or detention of the Ship (including any hijacking or
theft), other than piracy, within 90 days; and 

  

	 	(ii)	 in the case of piracy, if the relevant underwriters confirm to the Agent in writing prior to the end of the 90-day period referred to in (i) above that the Ship is subject to an approved piracy insurance cover, the earlier of 270 days after the date on which the Ship is captured by pirates and the date on which the
piracy insurance cover expires; 

 “Total Loss Date” means: 

 

	 	(a)	 in the case of an actual loss of the Ship, the date on which it occurred or, if that is unknown, the date when
the Ship was last heard of; 

  

	 	(b)	 in the case of a constructive, compromised, agreed or arranged total loss of the Ship, the earlier of:

  

	 	(i)	 30 days after the date on which a notice of abandonment is given to the insurers; and 

 

	 	(ii)	 the date of any compromise, arrangement or agreement made by or on behalf of the Borrower with the Ship’s
insurers in which the insurers agree to treat the Ship as a total loss; and 

  
 15 

	 	(c)	 in the case of any other type of total loss, on the date (or the most likely date) on which it appears to the
Agent that the event constituting the total loss occurred; 

 “Transfer Certificate” has the meaning given
in Clause 26.2; 
 “Trust Property” has the meaning given in clause 3.1 of the Agency and Trust Agreement; 

“Underlying Documents” means any Assignable Charters and, in the singular, means any of them; 

“US” means the United States of America; 

“US GAAP” means generally accepted accounting principles as from time to time in effect in the US; and 

“US Tax Obligor” means: 
  

	 	(a)	 the Borrower which is resident for tax purposes in the US; or 

 

	 	(b)	 the Borrower or a Security Party some or all whose payments under the Finance Documents are from sources within
the US for US federal income tax purposes. 

  

	1.2	 Construction of certain terms 

In this Agreement: 

“administration notice” means a notice appointing an administrator, a notice of intended appointment and any other notice
which is required by law (generally or in the case concerned) to be filed with the court or given to a person prior to, or in connection with, the appointment of an administrator; 

“approved” means, for the purposes of Clause 13, approved in writing by the Agent at its discretion; 

“asset” includes every kind of property, asset, interest or right, including any present, future or contingent right to any
revenues or other payment; 
 “company” includes any partnership, joint venture and unincorporated association; 

“consent” includes an authorisation, consent, approval, resolution, licence, exemption, filing, registration, notarisation and
legalisation; 
 “contingent liability” means a liability which is not certain to arise and/or the amount of which remains
unascertained; 
 “document” includes a deed; also a letter or fax; 

“excess risks” means the proportion of claims for general average, salvage and salvage charges not recoverable under the hull
and machinery policies in respect of the Ship in consequence of its insured value being less than the value at which the Ship is assessed for the purpose of such claims; 

“expense” means any kind of cost, charge or expense (including all legal costs, charges and expenses) and any applicable value
added or other tax; 

  
 16 

 “gross negligence” means a form of negligence which is distinct from
ordinary negligence, in which the due diligence and care which are generally to be exercised have been disregarded to a particularly high degree, in which the plainest deliberations have not been made and that which should be most obvious to
everybody has not been followed; 
 “law” includes any order or decree, any form of delegated legislation, any treaty or
international convention and any regulation or resolution of the Council of the European Union, the European Commission, the United Nations or its Security Council; 

“legal or administrative action” means any legal proceeding or arbitration and any administrative or regulatory action or
investigation; 
 “liability” includes every kind of debt or liability (present or future, certain or contingent), whether
incurred as principal or surety or otherwise; 
 “months” shall be construed in accordance with Clause 1.3; 

“obligatory insurances” means all insurances effected, or which the Borrower is obliged to effect in respect of the Ship,
under Clause 13 or any other provision of this Agreement or another Finance Document; 
 “parent company” has the
meaning given in Clause 1.4; 
 “person” includes any individual, any partnership, any company; any state, political sub-division of a state and local or municipal authority; and any international organisation; 

“policy” in relation to any insurance, includes a slip, cover note, certificate of entry or other document evidencing the
contract of insurance or its terms; 
 “protection and indemnity risks” means the usual risks covered
by a protection and indemnity association managed in London, including pollution risks and the proportion (if any) of any sums payable to any other person or persons in case of collision which are not recoverable under the hull and machinery
policies by reason of the incorporation in them of clause 1 of the Institute Time Clauses (Hulls) (1/10/82) or clause 8 of the Institute Time Clauses (Hulls) (1/11/1995) or the Institute Amended Running Down Clause (1/10/71) or any equivalent
provision; 
 “regulation” includes any regulation, rule, official directive, request or guideline (whether or not having
the force of law) of any governmental, intergovernmental or supranational body, agency (monetary or otherwise), department, central bank, regulatory, self-regulatory or other authority or organisation; 

“subsidiary” has the meaning given in Clause 1.4; 

“successor” includes any person who is entitled (by assignment, novation, merger or otherwise) to any person’s rights
under this Agreement or any other Finance Document (or any interest in those rights) or who, as administrator, liquidator or otherwise, is entitled to exercise those rights; and in particular references to a successor include a person to whom those
rights (or any interest in those rights) are transferred or pass as a result of a merger, division, reconstruction or other reorganisation of it or any other person; 

“tax” includes any present or future tax, duty, impost, levy or charge of any kind which is imposed by any state, any
political sub-division of a state or any local or municipal authority (including any such imposed in connection with exchange controls), and any connected penalty, interest or fine; and 

  
 17 

 “war risks” includes the risk of mines and all risks excluded by clause 29
of the International Hull Clauses (1/11/02 or 1/11/03), clause 24 of the Institute Time Clauses (Hulls)(1/11/95) or clause 23 of the Institute Time Clauses (Hulls) (1/10/83). 
  

	1.3	 Meaning of “month” 

A period of one or more “months” ends on the day in the relevant calendar month numerically corresponding to the day of the
calendar month on which the period started (“the numerically corresponding day”), but: 
  

	(a)	 on the Business Day following the numerically corresponding day if the numerically corresponding day is not a
Business Day or, if there is no later Business Day in the same calendar month, on the Business Day preceding the numerically corresponding day; or 

  

	(b)	 on the last Business Day in the relevant calendar month, if the period started on the last Business Day in a
calendar month or if the last calendar month of the period has no numerically corresponding day, 

 and
“month” and “monthly” shall be construed accordingly. 
  

	1.4	 Meaning of “subsidiary” 

A company (S) is a subsidiary of another company (P) if a majority of the issued shares in S (or a majority of the issued shares in S
which carry unlimited rights to capital and income distributions) are directly owned by P or are indirectly attributable to P and any company of which S is a subsidiary is a parent company of S. 

 

	1.5	 General Interpretation 

In this Agreement: 
  

	 	(a)	 references to, or to a provision of, a Finance Document or any other document are references to it as amended
or supplemented, whether before the date of this Agreement or otherwise; 

  

	 	(b)	 references to, or to a provision of, any law include any amendment, extension,
re-enactment or replacement, whether made before the date of this Agreement or otherwise; 

  

	 	(c)	 words denoting the singular number shall include the plural and vice versa; and 

 

	 	(d)	 Clauses 1.1 to 1.5 apply unless the contrary intention appears. 

 

	1.6	 Headings 

In interpreting a Finance Document or any provision of a Finance Document, all clause, sub-clause and
other headings in that and any other Finance Document shall be entirely disregarded. 

  
 18 

	2	 FACILITY 

  

	2.1	 Amount of facility 

Subject to the other provisions of this Agreement, the Lenders shall make available to the Borrower a senior secured term loan facility of up
to the lesser of (A) $31,800,000 and (B) 60 per cent. of the Initial Market Value of the Ship, in one advance, for the purpose stated in the preamble to this Agreement. 
  

	2.2	 Lenders’ participations in Loan 

Subject to the other provisions of this Agreement, each Lender shall participate in the Loan in the proportion which, as at the Drawdown Date,
its Commitment bears to the Total Commitments. 
  

	2.3	 Purpose of Loan 

The Borrower undertakes with each Creditor Party to use the Loan only for the purpose stated in the preamble to this Agreement. 

 

	3	 POSITION OF THE LENDERS 

 

	3.1	 Interests several 

The rights of the Lenders under this Agreement are several. 
  

	3.2	 Individual right of action 

Each Lender shall be entitled to sue for any amount which has become due and payable by the Borrower to it under this Agreement without joining
the Agent, the Security Trustee or any other Lender as additional parties in the proceedings. 
  

	3.3	 Proceedings requiring Majority Lender consent 

Except as provided in Clause 3.2, no Lender may commence proceedings against the Borrower, the Approved Manager or any Security Party in
connection with a Finance Document without the prior consent of the Majority Lenders. 
  

	3.4	 Obligations several 

The obligations of the Lenders under this Agreement are several; and a failure of a Lender to perform its obligations under this Agreement
shall not result in: 
  

	(a)	 the obligations of the other Lenders being increased; nor 

 

	(b)	 the Borrower, the Approved Manager, any Security Party or any other Lender being discharged (in whole or in
part) from its obligations under any Finance Document; 

 and in no circumstances shall a Lender have any responsibility
for a failure of another Lender to perform its obligations under this Agreement. 

  
 19 

	4	 DRAWDOWN 

  

	4.1	 Request for the Loan 

Subject to the following conditions, the Borrower may request the Loan to be borrowed by ensuring that the Agent receives the completed
Drawdown Notice not later than 11.00 a.m. (Hamburg time) three Business Days prior to the relevant Drawdown Date. 
  

	4.2	 Availability 

The conditions referred to in Clause 4.1 are that: 
  

	(a)	 the Drawdown Date has to be a Business Day during the Availability Period; 

 

	(b)	 the Loan shall not exceed the Maximum Loan Amount; 

 

	(c)	 any undrawn portion of the Total Commitments in respect of the Loan, upon the determination of the Initial
Market Value of the Ship, shall be automatically cancelled as at the Drawdown Date; and 

  

	(d)	 the amount of the Loan shall not exceed the Total Commitments. 

 

	4.3	 Notification to Lenders of receipt of the Drawdown Notice 

The Agent shall promptly notify the Lenders that it has received the Drawdown Notice and shall inform each Lender of: 

 

	(a)	 the amount of the Loan and the Drawdown Date; 

 

	(b)	 the amount of that Lender’s participation in the Loan; and 

 

	(c)	 the duration of the first Interest Period in respect of the Loan. 

 

	4.4	 Drawdown Notice irrevocable 

The Drawdown Notice must be signed by a duly authorised signatory of the Borrower; and once served, the Drawdown Notice cannot be revoked
without the prior consent of the Agent, acting on the authority of the Lenders. 
  

	4.5	 Lenders to make available Contributions 

Subject to the provisions of this Agreement, each Lender shall, on and with value on the Drawdown Date, make available to the Agent for the
account of the Borrower the amount due from that Lender on the Drawdown Date under Clause 2.2. 
  

	4.6	 Disbursement of Loan 

Subject to the provisions of this Agreement, the Agent shall on the Drawdown Date pay to the Borrower the amounts which the Agent receives from
the Lenders under Clause 4.5 and that payment to the Borrower shall be made: 
  

	(a)	 to the account which the Borrower specifies in the Drawdown Notice; and 

 

	(b)	 in like funds as the Agent received the payments from the Lenders. 

  
 20 

 The payment by the Agent under this Clause 4.6 shall constitute the making of the Loan and
the Borrower shall at that time become indebted, as principal and direct obligor, to each Lender in an amount equal to that Lender’s participation in the Loan. 
  

	5	 INTEREST 

  

	5.1	 Payment of normal interest 

Subject to the provisions of this Agreement, interest on the Loan in respect of each Interest Period shall be paid by the Borrower on the last
day of that Interest Period. 
  

	5.2	 Normal rate of interest 

Subject to the provisions of this Agreement, the rate of interest on the Loan in respect of an Interest Period shall be the aggregate of
(i) the Margin, (ii) the Mandatory Cost (if any), (iii) LIBOR for that Interest Period and (iv) if a Lender (the “Applicable Lender”) notifies the Agent at least 5 Business Days before the start of that Interest
Period that its Cost of Funding exceeds LIBOR (including the amount of such excess) on the Quotation Date for that Interest Period, additionally in respect of that Applicable Lender’s Contribution in the Loan, the Correction Rate applicable to
the Applicable Lender for that Interest Period. 
  

	5.3	 Payment of accrued interest 

In the case of an Interest Period of longer than three months (subject to the prior agreement of the Agent in accordance with paragraph
(b) of Clause 6.2), accrued interest shall be paid every three months during that Interest Period and on the last day of that Interest Period. 
  

	5.4	 Notification of Interest Periods and rates of normal interest 

The Agent shall notify the Borrower and each Lender of: 
  

	(a)	 each rate of interest; and 

 

	(b)	 the duration of each Interest Period, 

as soon as reasonably practicable after each is determined. 
  

	5.5	 Obligation of Reference Banks to quote 

A Reference Bank which is a Lender shall use all reasonable efforts to supply the quotation required of it for the purposes of fixing a rate of
interest under this Agreement unless that Reference Bank ceases to be a Lender pursuant to Clause 26.19. 
  

	5.6	 Absence of quotations by Reference Banks 

If any Reference Bank fails to supply a quotation, the Agent shall determine the relevant LIBOR on the basis of the quotations supplied by the
other Reference Bank(s) but if two or more of the Reference Banks fail (or, if at any time there is only one Reference Bank, that Reference Bank fails) to provide a quotation, the relevant rate of interest shall be set in accordance with the
following provisions of this Clause 5. 

  
 21 

	5.7	 Market disruption 

The following provisions of this Clause 5 apply if: 
  

	(a)	 no rate is quoted on the Screen Rate, it is not possible to calculate an Interpolated Screen Rate for that
Interest Period and two or more of the Reference Banks do not (or, if at any time there is only one Reference Bank, that Reference Bank does not), before 1.00 p.m. (London time) on the Quotation Date for an Interest Period, provide a quotation to
the Agent in order to fix LIBOR; or 

  

	(b)	 at least three Business Days before the start of an Interest Period, the Agent is notified by a Lender (the
“Affected Lender”) that for any reason it is unable to obtain Dollars in the Relevant Interbank Market in order to fund its Contribution (or any part of it) during the Interest Period. 

 

	5.8	 Notification of market disruption 

The Agent shall promptly notify the Borrower and each of the Lenders stating the circumstances falling within Clause 5.7 which have caused its
notice to be given. 
  

	5.9	 Suspension of drawdown 

If the Agent’s notice under Clause 5.8 is served before the Loan is borrowed: 

 

	(a)	 In a case falling within paragraph (a) of Clause 5.7, the Lender’s obligation to make the Loan
available; and 

  

	(b)	 In a case falling within paragraph (b) of Clause 5.7, the Affected Lender’s obligation to participate
in the Loan, 

 shall be suspended while the circumstances referred to in the Agent’s notice continue. 

 

	5.10	 Negotiation of alternative rate of interest 

 

	(a)	 If the Agent’s notice under Clause 5.8 is served after the Loan is borrowed, the Borrower, the Agent, the
Lenders (subject to Clause 27.5) or (as the case may be) the Affected Lender shall use reasonable endeavours to agree, within 30 days after the date on which the Agent serves its notice under Clause 5.8 (the “Negotiation Period”),
an alternative interest rate or (as the case may be) an alternative basis for the Lenders or (as the case may be) the Affected Lender to fund or continue to fund their or its Contribution during the Interest Period concerned. 

 

	(b)	 During the Negotiation Period the Agent shall, with the agreement of each Lender or (as the case may be) the
Affected Lender, set an interest period and interest rate representing the Cost of Funding of the Lenders or (as the case may be) the Affected Lender in Dollars, in each case as determined by the relevant Lender, or in any available currency of
their or its Contribution plus the Margin and the Mandatory Cost (if any). 

  

	5.11	 Application of agreed alternative rate of interest 

Any alternative interest rate or an alternative basis which is agreed during the Negotiation Period shall take effect in accordance with the
terms agreed. 
  

	5.12	 Alternative rate of interest in absence of agreement 

If an alternative interest rate or alternative basis is not agreed within the Negotiation Period, and the relevant circumstances are continuing
at the end of the Negotiation Period, then the procedure provided for in paragraph (b) of Clause 5.10 shall be repeated at the end of the interest period set by the Agent pursuant to that Clause. 

  
 22 

	5.13	 Notice of prepayment 

If the Borrower does not agree with an interest rate set by the Agent under Clause 5.12, the Borrower may give the Agent not less than 5
Business Days’ notice of their intention to prepay the Loan at the end of the interest period set by the Agent. 
  

	5.14	 Prepayment; termination of Commitments 

A notice under Clause 5.13 shall be irrevocable; the Agent shall promptly notify the Lenders or (as the case may require) the Affected Lender
of the Borrower’s notice of intended prepayment; and: 
  

	(a)	 on the date on which the Agent serves that notice, the Total Commitments or (as the case may require) the
Commitment of the Affected Lender shall be cancelled; and 

  

	(b)	 on the last Business Day of the interest period set by the Agent, the Borrower shall prepay (without premium or
penalty) the Loan or, as the case may be, the Affected Lender’s Contribution, together with accrued interest thereon at the applicable rate plus the Margin and the Mandatory Cost (if any). 

 

	5.15	 Application of prepayment 

The provisions of Clause 8 shall apply in relation to the prepayment. 
  

	6	 INTEREST PERIODS 

 

	6.1	 Commencement of Interest Periods 

The first Interest Period shall commence on the Drawdown Date and each subsequent Interest Period shall commence on the expiry of the preceding
Interest Period. 
  

	6.2	 Duration of normal Interest Periods 

Subject to Clauses 6.3 and 6.4, each Interest Period shall be: 
  

	(a)	 3 or 6 months; or 

  

	(b)	 such other period (as proposed by the Borrower to the Agent not later than 11:00 a.m. (Hamburg time) 5 Business
Days before the commencement of the Interest Period) as the Agent may, with the authorisation of the Majority Lenders, agree with the Borrower (failing which the Interest Period shall be three months). 

 

	6.3	 Duration of Interest Periods for Instalments 

In respect of an amount due to be repaid under Clause 8 on a particular Repayment Date, an Interest Period to which that Repayment Date relates
shall end on that Repayment Date. 
  

	6.4	 Non-availability of matching deposits for Interest Period selected

 If, after the Borrower has proposed and the Lenders have agreed an Interest Period longer than three months, any
Lender notifies the Agent by 11.00 a.m. (Hamburg time) on the third Business Day before the commencement of the Interest Period that it is not satisfied that deposits in Dollars for a period equal to the Interest Period will be available to it in
the Relevant Interbank Market when the Interest Period commences, the Interest Period shall be of three months. 

  
 23 

	7	 DEFAULT INTEREST 

 

	7.1	 Payment of default interest on overdue amounts 

The Borrower shall pay interest in accordance with the following provisions of this Clause 7 on any amount payable by the Borrower under any
Finance Document which the Agent, the Security Trustee or the other designated payee does not receive on or before the relevant date, that is: 
  

	(a)	 the date on which the Finance Documents provide that such amount is due for payment; or 

 

	(b)	 if a Finance Document provides that such amount is payable on demand, the date on which the demand is served;
or 

  

	(c)	 if such amount has become immediately due and payable under Clause 19.4, the date on which it became
immediately due and payable. 

  

	7.2	 Default rate of interest 

Interest shall accrue on an overdue amount from (and including) the relevant date until the date of actual payment (as well after as before
judgment) at the rate per annum determined by the Agent to be 4 per cent. above: 
  

	(a)	 in the case of an overdue amount of principal, the higher of the rates set out at paragraph (a) and (b) of
Clause 7.3; or 

  

	(b)	 in the case of any other overdue amount, the rate set out at paragraph (b) of Clause 7.3.

  

	7.3	 Calculation of default rate of interest 

The rates referred to in Clause 7.2 are: 
  

	(a)	 the rate applicable to the overdue principal amount immediately prior to the relevant date (but only for any
unexpired part of any then current Interest Period applicable to it); 

  

	(b)	 the aggregate of the Margin, any Correction Rate and the Mandatory Cost (if any) plus, in respect of successive
periods of any duration (including at call) up to three months which the Agent may select from time to time: 

  

	 	(i)	 LIBOR; or 

  

	 	(ii)	 if the Agent (after consultation with the Reference Banks) determines that Dollar deposits for any such period
are not being made available to any Reference Bank by leading banks in the Relevant Interbank Market in the ordinary course of business, a rate from time to time determined by the Agent by reference to the cost of funds to the Reference Banks from
such other sources as the Agent (after consultation with the Reference Banks) may from time to time determine. 

  
 24 

	7.4	 Notification of interest periods and default rates 

The Agent shall promptly notify the Lenders and the Borrower of each interest rate determined by the Agent under Clause 7.3 and of each period
selected by the Agent for the purposes of paragraph (b) of Clause 7.3; but this shall not be taken to imply that the Borrower is liable to pay such interest only with effect from the date of the Agent’s notification. 

 

	7.5	 Payment of accrued default interest 

Subject to the other provisions of this Agreement, any interest due under this Clause shall be paid on the last day of the period by reference
to which it was determined; and the payment shall be made to the Agent for the account of the Creditor Party to which the overdue amount is due. 
  

	7.6	 Compounding of default interest 

Any such interest which is not paid at the end of the period by reference to which it was determined shall be compounded every 6 months and
shall be payable on demand. 
  

	8	 REPAYMENT AND PREPAYMENT 

 

	8.1	 Amount of Instalments 

The Borrower shall repay the Loan by: 
  

	(a)	 4 equal consecutive quarterly instalments, each in the amount of $846,000 (each an
“Instalment” and, together, the “Instalments”); and 

  

	(b)	 a balloon instalment in the amount of $28,416,000 (the “Balloon Instalment”),

 Provided that, if the amount of the Loan advanced is less than $31,800,000, the aggregate amount of the
Instalments and the Balloon Instalment shall be reduced by an amount equal to the undrawn amount on a pro rata basis. 
  

	8.2	 Repayment Dates 

The first Instalment shall be repaid on the date falling three months after the Drawdown Date, each subsequent Instalment shall be repaid at
three-monthly intervals thereafter and the last Instalment, shall be repaid together with the Balloon Instalment, on the Final Repayment Date. 
  

	8.3	 Final Repayment Date 

On the Final Repayment Date, the Borrower shall additionally pay to the Agent for the account of the Creditor Parties all other sums then
accrued or owing under any Finance Document. 
  

	8.4	 Voluntary prepayment 

Subject to the following conditions, the Borrower may prepay the whole or any part of the Loan on the last day of an Interest Period or on such
other date agreed between the Borrower and the Agent. 

  
 25 

	8.5	 Conditions for voluntary prepayment 

The conditions referred to in Clause 8.4 are that: 
  

	(a)	 a partial prepayment shall be $500,000 or a higher integral multiple thereof (or such other amount acceptable
to the Agent in its sole discretion); 

  

	(b)	 the Agent has received from the Borrower at least 3 Business Days’ prior irrevocable written notice (each,
a “Prepayment Notice”) specifying the amount to be prepaid and the date on which the prepayment is to be made; 

  

	(c)	 the Borrower has provided evidence satisfactory to the Agent that any consent required by the Borrower or any
Security Party in connection with the prepayment has been obtained and remains in force, and that any regulation relevant to this Agreement which affects the Borrower or any Security Party has been complied with; and 

 

	(d)	 the Borrower is in compliance with Clause 8.10 on or prior to the date of prepayment. 

 

	8.6	 Optional facility cancellation 

The Borrower shall be entitled, upon giving to the Agent not less than 5 Business Days’ prior written notice, to cancel, in whole or in
part, and, if in part, by an aggregate amount not less than $500,000 or a higher multiple thereof (or such other amount acceptable to the Agent in its sole discretion), the undrawn balance of the Total Commitments (the “Cancellation
Notice”) which notice shall be irrevocable. Upon such cancellation taking effect on expiry of a Cancellation Notice the several obligations of the Lenders to make their respective Commitments available in relation to the portion of the
Total Commitments to which such Cancellation Notice relates shall terminate. 
  

	8.7	 Cancellation Notice or Prepayment Notice 

The Agent shall notify the Lenders promptly upon receiving a Cancellation Notice or Prepayment Notice, and shall provide, in the case of a
Prepayment Notice, any Lender which so requests with a copy of any document delivered by the Borrower under paragraph (c) of Clause 8.5. 
  

	8.8	 Mandatory prepayment 

The Borrower shall be obliged to prepay the Loan if the Ship: 
  

	(a)	 is sold, on or before the date on which the sale is completed by delivery of the Ship to the buyer; or

  

	(b)	 becomes a Total Loss, on the earlier of the date falling 90 days after the Total Loss Date and the date of
receipt by the Security Trustee of the proceeds of insurance relating to such Total Loss. 

  

	8.9	 Effect of Prepayment Notice and Cancellation Notice 

Neither a Prepayment Notice nor a Cancellation Notice may be withdrawn or amended without the consent of the Agent, given with the
authorisation of the Majority Lenders, and: 
  

	(a)	 in the case of a Prepayment Notice, the amount specified in that Prepayment Notice shall become due and payable
by the Borrower on the date for prepayment specified in that Prepayment Notice; and 

  
 26 

	(b)	 in the case of a Cancellation Notice, the amount cancelled shall be permanently cancelled and may not be
borrowed. 

  

	8.10	 Amounts payable on prepayment 

A prepayment shall be made together with accrued interest (and any other amount payable under Clause 21 or otherwise) in respect of the amount
prepaid and, if the prepayment is not made on the last day of an Interest Period, together with any sums payable under Clause 21.2 but without premium or penalty. 
  

	8.11	 Application of partial prepayment or cancellation 

Each partial prepayment: 
  

	(a)	 if made pursuant to Clauses 8.4, shall be applied in order of maturity against the Instalments and the Balloon
Instalment; and 

  

	(b)	 if made pursuant to Clauses 5.13, 15.2, 19.2, 23.3 or 24.6, shall be applied pro rata against the Instalments
and the Balloon Instalment. 

  

	8.12	 No reborrowing 

No amount prepaid or cancelled may be (re)borrowed. 
  

	9	 CONDITIONS PRECEDENT 

 

	9.1	 Documents, fees and no default 

Each Lender’s obligation to contribute to the Loan is subject to the following conditions precedent: 

 

	(a)	 that, on or before the date of this Agreement, the Agent receives the documents described in Part A of Schedule
3 in form and substance satisfactory to the Agent and its lawyers; 

  

	(b)	 that, on or before the Drawdown Date but prior to the borrowing of the Loan, the Agent receives;

  

	 	(i)	 the documents and conditions described in Part B of Schedule 3 in form and substance satisfactory to the Agent
and its lawyers; 

  

	 	(ii)	 payment in full of the structuring fee payable pursuant to paragraph (a) of Clause 20.1 and of any
commitment fee payable pursuant to paragraph (b) of Clause 20.1; and 

  

	 	(iii)	 payment of any expenses payable pursuant to Clause 20.2 which are due and payable on the Drawdown Date,

  

	 	(iv)	 save for any documents and conditions that the Agent agrees, in its absolute sole discretion, at the
Borrower’s request to receive after any prepositioning of funds but before the release of the Loan; 

  
 27 

	(c)	 that both at the date of the Drawdown Notice and at the Drawdown Date: 

 

	 	(i)	 no Event of Default or Potential Event of Default has occurred or would result from the borrowing of the Loan;

  

	 	(ii)	 the representations and warranties in Clause 10 and those of the Borrower, the Approved Manager or any Security
Party which are set out in the other Finance Documents would be true and not misleading if repeated on each of those dates with reference to the circumstances then existing; 

 

	 	(iii)	 none of the circumstances contemplated by Clause 5.7 has occurred and is continuing; and 

 

	 	(iv)	 there has been no Material Adverse Change; and 

 

	(d)	 that, if the Security Cover Ratio were applied immediately following the borrowing of the Loan, the Borrower
would not be obliged to provide additional security or prepay part of the Loan under that Clause; and 

  

	(e)	 that the Agent has received, and found to be acceptable to it, any further opinions, consents, agreements and
documents in connection with the Finance Documents which the Agent may, with the authorisation of the Majority Lenders, request by notice to the Borrower prior to the Drawdown Date. 

 

	9.2	 Waiver of conditions precedent 

If the Majority Lenders, at their discretion, permit the Loan to be borrowed before certain of the conditions referred to in Clause 9.1 are
satisfied, the Borrower shall ensure that those conditions are satisfied within 5 Business Days after the Drawdown Date (or such longer period as the Agent may, with the authorisation of the Majority Lenders, specify). 

 

	10	 REPRESENTATIONS AND WARRANTIES 

 

	10.1	 General 

The Borrower represents and warrants to each Creditor Party as follows. 

 

	10.2	 Status 

The Borrower is duly incorporated, validly existing and in good standing under the laws of the Republic of the Marshall Islands. 

 

	10.3	 Share capital and ownership 

The Borrower has an authorised share capital of 500 registered shares with par value of $1 each, all of which shares have been issued and fully
paid, and the legal title and beneficial ownership of all those shares is held, free of any Security Interest or other claim, by the Shareholder. 

  
 28 

	10.4	 Corporate power 

The Borrower has the corporate capacity, and has taken all corporate action and obtained all consents necessary for it: 

 

	(a)	 to execute the Underlying Documents to which it is a party and to maintain the Ship in its ownership under the
applicable Approved Flag; 

  

	(b)	 to execute the Finance Documents to which the Borrower is a party; and 

 

	(c)	 to borrow under this Agreement and to make all the payments contemplated by, and to comply with, those Finance
Documents to which the Borrower is a party. 

  

	10.5	 Consents in force 

All the consents referred to in Clause 10.4 remain in force and nothing has occurred which makes any of them liable to revocation. 

 

	10.6	 Legal validity; effective Security Interests 

The Finance Documents to which the Borrower is a party, does now or, as the case may be, will, upon execution and delivery (and, where
applicable, registration as provided for in the Finance Documents): 
  

	(a)	 constitute the Borrower’s legal, valid and binding obligations enforceable against the Borrower in
accordance with their respective terms (having the requisite corporate benefit which is legally and economically sufficient); and 

  

	(b)	 create legal, valid and binding Security Interests (having the priority specified in the relevant Finance
Document) enforceable in accordance with their respective terms over all the assets to which they, by their terms, relate, 

subject to any relevant insolvency laws affecting creditors’ rights generally. 

 

	10.7	 No third party Security Interests 

Without limiting the generality of Clause 10.6, at the time of the execution and delivery of each Finance Document to which the Borrower is a
party: 
  

	(a)	 the Borrower will have the right to create all the Security Interests which that Finance Document purports to
create; and 

  

	(b)	 no third party will have any Security Interest (except for Permitted Security Interests) or any other interest,
right or claim over, in or in relation to any asset to which any such Security Interest, by its terms, relates. 

  

	10.8	 No conflicts 

The execution by the Borrower, the Approved Manager and each other Security Party of each Finance Document and each Underlying Document to
which it is a party, and the borrowing by the Borrower of the Loan (or any part thereof), and its compliance with each Finance Document and each Underlying Document to which it is a party: 

 

	(a)	 will not involve or lead to a contravention of: 

 

	 	(i)	 any law or regulation; or 

 

	 	(ii)	 the constitutional documents of the Borrower, the Approved Manager or other Security Party; or

  
 29 

	 	(iii)	 any contractual or other obligation or restriction which is binding on the Borrower, the Approved Manager or
other Security Party or any of its assets, and 

  

	(b)	 will not have a Material Adverse Effect; and 

 

	(c)	 is for the corporate benefit of the Borrower or each other Security Party. 

 

	10.9	 No withholding taxes 

All payments which the Borrower is liable to make under the Finance Documents to which it is a party may be made without deduction or
withholding for or on account of any tax payable under any law of any Pertinent Jurisdiction. 
  

	10.10	 No default 

No Event of Default or Potential Event of Default has occurred. 
  

	10.11	 Information 

All information which has been provided in writing by or on behalf of the Borrower, the Approved Manager or any Security Party to any Creditor
Party in connection with any Finance Document satisfied the requirements of Clause 11.5; all audited and unaudited accounts and financial statements which have been so provided satisfied the requirements of Clause 11.7 and are true, correct and not
misleading and present fairly and accurately the financial position of the Borrower, Navios Acquisition or the Group (as the case may be); and there has been no change in the financial position or state of affairs of the Borrower, Navios Acquisition
or the Group (or any member thereof) from that disclosed in the latest of those accounts which is likely to have a Material Adverse Effect. 
  

	10.12	 No litigation 

No legal or administrative action involving the Borrower, the Approved Manager or any Security Party (including action relating to any alleged
or actual breach of the ISM Code or the ISPS Code) has been commenced or taken or, to the Borrower’s knowledge, is likely to be commenced or taken which would, in either case, be likely to have a Material Adverse Effect. 

 

	10.13	 Validity and completeness of Underlying Documents 

Each Underlying Document constitutes valid, binding and enforceable obligations of the parties thereto in accordance with its terms and: 

 

	(a)	 each of the copies of that Underlying Document delivered to the Agent before the date of this Agreement is a
true and complete copy; and 

  

	(b)	 no amendments or additions to that Underlying Document have been agreed nor has any party which is the party to
that Underlying Document, waived any of their respective rights thereunder. 

  

	10.14	 Compliance with certain undertakings 

At the date of this Agreement, the Borrower is in compliance with Clauses 11.2, 11.4, 11.9, 11.13, 13, 14.3 and 14.10 and none of the events
listed in paragraph (g) of Clause 19.1 has occurred in respect of either the Borrower or any Security Party. 

  
 30 

	10.15	 Taxes paid 

The Borrower has paid all taxes applicable to, or imposed on or in relation to the Borrower, its business or the Ship. 

 

	10.16	 ISM Code and ISPS Code compliance 

All requirements of the ISM Code and the ISPS Code as they relate to the Borrower, the Approved Manager and the Ship have been complied with.

  

	10.17	 No Money laundering 

The Borrower: 
  

	(a)	 will not, and will procure that neither the Approved Manager nor any Security Party, to the extent applicable,
will, in connection with this Agreement or any of the other Finance Documents, contravene or permit any subsidiary to contravene, any law, official requirement or other regulatory measure or procedure implemented to combat “money
laundering” (as defined in Article 1 of the Directive 2015/849/EC of the European Parliament and of the Council of the European Communities) and comparable United States Federal and state laws. The Borrower shall further submit any documents
and declarations on request, if such documents or declarations are required by any Creditor Party to comply with its domestic money laundering and/or legal identification requirements; and 

 

	(b)	 confirms that it is the beneficiary within the meaning of the German Anti Money Laundering Act (Gesetz
über das Aufspüren von Gewinnen aus schweren Straftaten (Geldwäschegesetz)), acting for its own account and not for or on behalf of any other person for each part of the Loan made or to be made available to it under this Agreement.
That is to say, it acts for its own account and not for or on behalf of anyone else. 

 The Borrower will promptly inform
the Agent by written notice, if it is not or ceases to be the beneficiary and will provide in writing the name and address of the beneficiary. 

The Agent shall promptly notify the Lenders of any written notice it receives under this Clause 10.17. 

 

	10.18	 No immunity 

Neither the Borrower nor any of its assets is entitled to immunity on grounds of sovereignty or otherwise from any legal action or proceeding
(including, without limitation, suit, attachment prior to judgement, execution or other enforcement). 
  

	10.19	 Choice of law 

The choice of the laws of England to govern this Agreement and those other Finance Documents which are expressed to be governed by the laws of
England, the laws of Germany to govern the Account Pledges and the laws of the applicable Approved Flag State to govern the Mortgage, constitutes a valid choice of law and the submission by the Borrower or, as the case may be, the relevant Security
Parties thereunder to the non-exclusive jurisdiction of the Courts of England and, in the case of the Account Pledges, Germany or, in the case of the Mortgage, the applicable Approved Flag State is a valid
submission and does not contravene the laws of England or, in the case of the Account Pledges, Germany or, in the case of the Mortgage, the applicable Approved Flag State or the laws of any other Pertinent Jurisdiction,

  
 31 

 
will be applied by the courts of any Pertinent Jurisdiction if this Agreement or those other Finance Documents or any claim thereunder comes under their jurisdiction upon proof of the relevant
provisions of the laws of England or, in the case of the Account Pledges, Germany or, in the case of the Mortgage, the applicable Approved Flag State. 
  

	10.20	 Pari passu ranking 

The obligations of the Borrower and each Security Party under the Finance Documents to which it is a party are direct, general and
unconditional obligations and rank at least pari passu with the claims of all its other unsecured and unsubordinated creditors except for obligations mandatorily preferred by law applying to companies generally. 

 

	10.21	 Repetition 

The representations and warranties in this Clause 10 shall be deemed to be repeated by the Borrower: 

 

	(a)	 on the date of service of the Drawdown Notice; 

 

	(b)	 on the Drawdown Date; and 

 

	(c)	 with the exception of Clauses 10.9 and 10.14, on the first day of each Interest Period and on the date of any
Compliance Certificate issued pursuant to Clause 11.20, 

 as if made with reference to the facts and circumstances
existing on each such day. 
  

	11	 GENERAL UNDERTAKINGS 

 

	11.1	 General 

The Borrower undertakes with each Creditor Party to comply with the following provisions of this Clause 11 at all times during the Security
Period except as the Agent, acting with the authorisation of the Majority Lenders, may otherwise permit in writing. 
  

	11.2	 Title and negative pledge 

The Borrower will: 
  

	(a)	 hold the legal title to, and own the entire beneficial interest in its Ship, her Insurances and Earnings, free
from all Security Interests and other interests and rights of every kind, except for those created by the Finance Documents and the effect of assignments contained in the Finance Documents and except for Permitted Security Interests; and

  

	(b)	 not create or permit to arise any Security Interest (except for Permitted Security Interests) over any other
asset, present or future. 

  

	11.3	 No disposal of assets 

Subject to Clause 8.8, the Borrower will not transfer, lease or otherwise dispose of: 

 

	(a)	 all or a substantial part of its assets, whether by one transaction or a number of transactions, whether
related or not; or 

  
 32 

	(b)	 any debt payable to it or any other right (present, future or contingent right) to receive a payment, including
any right to damages or compensation, 

 but paragraph (a) does not apply to any charter of the Ship. 

 

	11.4	 No other liabilities or obligations to be incurred 

The Borrower will not enter into any other investments, any sale and leaseback agreements, or any
off-balance sheet transaction not incur any other liability or obligation (including, without limitation, any Financial Indebtedness or any obligations under a guarantee) except: 

 

	(a)	 liabilities and obligations under the Finance Documents and the Underlying Documents to which it is or, as the
case may be, will be a party; and 

  

	(b)	 liabilities or obligations reasonably incurred in the normal course of its business of trading, operating and
chartering, maintaining and repairing the Ship. 

  

	11.5	 Information provided to be accurate 

All financial and other information, including but not limited to factual information, exhibits and reports, which is provided in writing by or
on behalf of the Borrower under or in connection with any Finance Document will be true, correct and not misleading and will not omit any material fact or consideration. 
  

	11.6	 Provision of financial statements 

The Borrower will send or procure that there are sent to the Agent: 
  

	(a)	 as soon as possible, but in no event later than 180 days after the end of each Financial Year of Navios
Acquisition, the consolidated audited annual financial statements of Navios Acquisition for that Financial Year (commencing, in each case, with the financial statements for the Financial Year ending on 31 December 2019); 

 

	(b)	 as soon as possible, but in no event later than 90 days after the end of the
6-month period ending on 30 June in each Financial Year of Navios Acquisition, the consolidated semi-annual unaudited financial statements of Navios Acquisition, in each case, for that 6-month period (commencing with the financial statements for the 6-month period ending on 30 June 2020), duly certified as to their correctness by an officer of Navios
Acquisition; and 

  

	(c)	 promptly after each request by the Agent, such further financial or other information in respect of the
Borrower, the Ship, the Security Parties and the Group (including, without limitation, any information regarding any sale and purchase agreements, investment brochures, shipbuilding contracts and charter agreements) as may be requested by the Agent.

  

	11.7	 Form of financial statements 

All accounts delivered under Clause 11.6 will: 
  

	(a)	 be prepared in accordance with all applicable laws and US GAAP and, in the case of any audited financial
statements, be certified by an independent and reputable auditor having requisite experience selected and appointed by Navios Acquisition; 

  
 33 

	(b)	 fairly represent the financial condition of the Borrower, Navios Acquisition and the Group at the date of those
accounts and of their profit for the period to which those accounts relate; and 

  

	(c)	 fully disclose or provide for all significant liabilities of the Borrower, Navios Acquisition and the Group and
each of its/their subsidiaries. 

  

	11.8	 Shareholder and creditor notices 

The Borrower will send the Agent copies of any relevant press releases and, promptly upon its request, copies of all communications which are
despatched to the Borrower’s shareholders or creditors or any class of them. 
  

	11.9	 Consents 

The Borrower will maintain in force and promptly obtain or renew, and will promptly send certified copies to the Agent of, all consents
required: 
  

	(a)	 for the Borrower to perform its obligations under any Finance Document or any Underlying Document to which it
is a party; 

  

	(b)	 for the validity or enforceability of any Finance Document or any Underlying Document to which it is a party;

  

	(c)	 for the Borrower to continue to own and operate the Ship, 

and the Borrower will comply with the terms of all such consents. 
  

	11.10	 Maintenance of Security Interests 

The Borrower will: 
  

	(a)	 at its own cost, do all that it reasonably can to ensure that any Finance Document validly creates the
obligations and the Security Interests which it purports to create; and 

  

	(b)	 without limiting the generality of paragraph (a), at its own cost, promptly register, file, record or enrol any
Finance Document with any court or authority in all Pertinent Jurisdictions, pay any stamp, registration or similar tax in all Pertinent Jurisdictions in respect of any Finance Document, give any notice or take any other step which, in the opinion
of the Majority Lenders, is or has become necessary or desirable for any Finance Document to be valid, enforceable or admissible in evidence or to ensure or protect the priority of any Security Interest which it creates. 

 

	11.11	 Notification of litigation 

The Borrower will provide the Agent with details of any legal or administrative action involving the Borrower, the Ship, the Earnings or the
Insurances, any Security Party or the Approved Manager, as soon as such action is instituted or it becomes apparent to the Borrower that it is likely to be instituted, unless it is clear that the legal or administrative action cannot be considered
material in the context of any Finance Document, and the Borrower shall procure that all reasonable measures are taken to defend any such legal or administrative action. 

  
 34 

	11.12	 No amendment to Underlying Documents 

The Borrower will not waive or fail to enforce, the Underlying Documents to which it is a party or any of its provisions and shall promptly
notify the Agent of any amendment or supplement to any Underlying Document. 
  

	11.13	 Principal place of business 

The Borrower will maintain its place of business, and keep its corporate documents and records, at the address stated in paragraph (a) of
Clause 28.2; and the Borrower will not establish, or do anything as a result of which it would be deemed to have, a place of business in the United Kingdom or the United States. 

 

	11.14	 Confirmation of no default 

The Borrower will, within two Business Days after service by the Agent of a written request, serve on the Agent a notice which is signed by an
officer of the Borrower and which: 
  

	(a)	 states that no Event of Default or Potential Event of Default has occurred; or 

 

	(b)	 states that no Event of Default or Potential Event of Default has occurred, except for a specified event or
matter, of which all material details are given. 

 The Agent may serve requests under this Clause 11.14 from time to time
but only if asked to do so by a Lender or Lenders having Contributions exceeding 10 per cent. of the Loan or (if the Loan has not been borrowed) Commitments exceeding 10 per cent. of the Total Commitments; and this Clause 11.14 does not
affect the Borrower’s obligations under Clause 11.15. 
  

	11.15	 Notification of default 

The Borrower will notify the Agent as soon as the Borrower becomes aware of: 

 

	(a)	 the occurrence of an Event of Default or a Potential Event of Default; or 

 

	(b)	 any matter which indicates that an Event of Default or a Potential Event of Default may have occurred,

 and will keep the Agent fully up-to-date
with all developments. 
  

	11.16	 Provision of further information 

The Borrower will, as soon as practicable after receiving the request, provide the Agent with any additional financial or other information
relating: 
  

	(a)	 to the Borrower, the Ship, the Earnings or the Insurances; or 

 

	(b)	 to any other matter relevant to, or to any provision of, a Finance Document, 

which may be requested by the Agent, the Security Trustee or any Lender at any time. 

 

	11.17	 Provision of copies and translation of documents 

The Borrower will supply the Agent with a sufficient number of copies of the documents referred to above to provide one copy for each Creditor
Party; and if the Agent so requires in respect of any of those documents, the Borrower will provide a certified English translation prepared by a translator approved by the Agent. 

  
 35 

	11.18	 “Know your customer” checks 

If: 
  

	(a)	 the introduction of or any change in (or in the interpretation, administration or application of) any law or
regulation made after the date of this Agreement; 

  

	(b)	 any change in the composition of the shareholders of the Borrower or any Security Party after the date of this
Agreement; or 

  

	(c)	 a proposed assignment or transfer by a Lender of any of its rights and obligations under this Agreement to a
party that is not a Lender prior to such assignment or transfer, 

 obliges the Agent or any Lender (or, in the case of
paragraph (c), any prospective new Lender) to comply with “know your customer” or similar identification procedures in circumstances where the necessary information is not already available to it, the Borrower shall promptly upon the
request of the Agent or the Lender concerned supply, or procure the supply of, such documentation and other evidence as is reasonably requested by the Agent (for itself or on behalf of any Lender) or the Lender concerned (for itself or, in the case
of the event described in paragraph (c), on behalf of any prospective new Lender) in order for the Agent, the Lender concerned or, in the case of the event described in paragraph (c), any prospective new Lender to carry out and be satisfied it has
complied with all necessary “know your customer” or other similar checks under all applicable laws and regulations pursuant to the transactions contemplated in the Finance Documents. 

 

	11.19	 Minimum Liquidity 

The Borrower shall maintain in the Minimum Liquidity Account credit balances in an aggregate amount of not less than $300,000 (the
“Minimum Liquidity”) commencing from the Drawdown Date and at all times thereafter throughout the remainder of the Security Period. 
  

	11.20	 Compliance Certificate 

 

	(a)	 The Borrower shall supply to the Agent, together with each set of financial statements delivered pursuant to
paragraphs 11.6(a) and 11.6(b) of Clause 11.6, a Compliance Certificate. 

  

	(b)	 Each Compliance Certificate shall be duly signed by an officer of Navios Acquisition, evidencing (inter
alia) the Borrower’s compliance (or not, as the case may be) with the provisions of Clause 11.19 and Clause 15.1 

  

	12	 CORPORATE UNDERTAKINGS 

 

	12.1	 General 

The Borrower also undertakes with each Creditor Party to comply with the following provisions of this Clause 12 at all times during the
Security Period except as the Agent, acting with the authorisation of the Majority Lenders, may otherwise permit in writing (such permission not to be unreasonably withheld in respect of Clause 12.3(g)). 

  
 36 

	12.2	 Maintenance of status 

The Borrower will maintain its separate corporate existence and remain in good standing under the laws of the Republic of the Marshall Islands.

  

	12.3	 Negative undertakings 

The Borrower will not: 
  

	(a)	 change the nature of its business or carry on any business other than the ownership, chartering and operation
of the Ship; 

  

	(b)	 pay any dividend or make any other form of distribution or effect any form of redemption, purchase or return of
share capital if an Event of Default has occurred and is continuing at the relevant time or an Event of Default will result from the payment of a dividend or the making of any other form of distribution; 

 

	(c)	 provide any form of credit or financial assistance to: 

(i) a person who is directly or indirectly interested in the Borrower’s share or loan capital; or 

(ii) any company in or with which such a person is directly or indirectly interested or connected, 

or enter into any transaction with or involving such a person or company on terms which are, in any respect, less favourable to the Borrower
than those which it could obtain in a bargain made at arms’ length; 
  

	(d)	 open or maintain any account with any bank or financial institution except accounts with the Agent, the Account
Bank and the Security Trustee for the purposes of the Finance Documents; 

  

	(e)	 issue, allot or grant any person a right to any shares in its capital or repurchase or reduce its issued share
capital; 

  

	(f)	 acquire any shares or other securities other than short term debt obligations or Treasury bills issued by the
US, the UK or a Participating Member State and certificates of deposit issued by major North American or European banks, or enter into any transaction in a derivative; or 

 

	(g)	 enter into any form of amalgamation, merger or de-merger, acquisition,
divesture, split-up or any form of reconstruction or reorganisation; or 

  

	(h)	 change its Financial Year. 

 

	12.4	 Members of the Group 

The Borrower shall provide the Agent with a list of all members of the Group at the date of this Agreement (together with information requested
by the Agent pursuant to paragraph (c) of Clause 11.6 in respect of such members of the Group) and shall promptly update this list from time to time to advise the Agent of any amendments to the information included in the original list
delivered to the Agent, unless such information is included in the financial statement or periodic public filings of Navios Acquisition. 

  
 37 

	13	 INSURANCE 

  

	13.1	 General 

The Borrower also undertakes with each Creditor Party to comply with the following provisions of this Clause 13 at all times during the
Security Period except as the Agent, acting with the authorisation of the Majority Lenders, may otherwise permit in writing (such permission not to be unreasonably withheld in respect of a change relating to the class or classification society under
Clause 13.11(b)). 
  

	13.2	 Maintenance of obligatory insurances 

The Borrower shall keep the Ship insured at the expense of the Borrower against: 

 

	(a)	 fire and usual marine risks (including hull and machinery and excess risks); 

 

	(b)	 war risks (including, without limitation, protection and indemnity war risks with a separate limit not less
than hull value of the Ship); 

  

	(c)	 protection and indemnity risks (including, without limitation, protection and indemnity war risks in excess of
the amount for war risks (hull) and oil pollution liability risks) in each case in the highest amount available in the international insurance market; and 

  

	(d)	 any other risks the insurance of which the Security Trustee (acting on the instructions of the Majority
Lenders), having regard to practices, recommendations and other circumstances prevailing at the relevant time, may from time to time require by notice to the Borrower. 

 

	13.3	 Terms of obligatory insurances 

The Borrower shall effect such insurances in such amounts in such currency and upon such terms and conditions (including, without limitation,
any LSW 1189 or, in the opinion of the Security Trustee, comparable mortgage clause) as shall from time to time be approved in writing by the Security Trustee in its sole discretion, but in any event as follows: 

 

	(a)	 in Dollars; 

  

	(b)	 in the case of fire and usual marine risks and war risks, on an agreed value basis in an amount equal to at
least the higher of (i) an amount which is equal to 120 per cent. of the aggregate of (A) the Loan and (B) the principal amount secured by any equal or prior ranking Security Interest on the Ship and (ii) the Market Value of
the Ship; 

  

	(c)	 in the case of oil pollution liability risks, for an amount equal to the highest level of cover from time to
time available under basic protection and indemnity club entry (with the International Group of Protection and Indemnity Clubs) and the international marine insurance market (currently $1,000,000,000 for any one accident or occurrence);

  

	(d)	 in relation to protection and indemnity risks in respect of the full value and tonnage of the Ship;

  

	(e)	 in relation to war risks insurance, extended to cover piracy and terrorism where excluded under the fire and
usual marine risks insurance; 

  

	(f)	 on approved terms and conditions; 

  
 38 

	(g)	 such other risks of whatever nature and howsoever arising in respect of which insurance would be maintained by
a prudent owner of a vessel similar to the Ship; and 

  

	(h)	 through approved brokers and with approved insurance companies and/or underwriters which have a
Standard & Poor’s rating of at least BBB- or a comparable rating by any other rating agency acceptable to the Security Trustee (acting on the instructions of the Majority Lenders) or, in the case
of war risks and protection and indemnity risks, in approved war risks and protection and indemnity risks associations which are members of the International Group of Protection and Indemnity Clubs. 

 

	13.4	 Further protections for the Creditor Parties 

In addition to the terms set out in Clause 13.3, the Borrower shall and shall procure that: 

 

	(a)	 it and any and all third parties who are named assured or co-assured
under any obligatory insurance shall assign their interest in any and all obligatory insurances and other Insurances if so required by the Agent; 

  

	(b)	 whenever the Security Trustee requires, the obligatory insurances name (or be amended to name) the Security
Trustee as additional named assured for its rights and interests, warranted no operational interest and with full waiver of rights of subrogation they may have under any applicable law against the Security Trustee but without the Security Trustee
thereby being liable to pay (but having the right to pay) premiums, calls or other assessments in respect of such insurance; 

  

	(c)	 the interest of the Security Trustee as assignee and as loss payee shall be duly endorsed on all slips, cover
notes, policies, certificates of entry or other instruments of insurance in respect of the obligatory insurances; 

  

	(d)	 the obligatory insurances shall name the Security Trustee as sole loss payee with such directions for payment
as the Security Trustee may specify; 

  

	(e)	 the obligatory insurances shall provide that all payments by or on behalf of the insurers under the obligatory
insurances to the Security Trustee shall be made without set-off, counterclaim or deductions or condition whatsoever; 

  

	(f)	 the obligatory insurances shall provide that the insurers shall waive, to the fullest extent permitted by
English law, their entitlement (if any) (whether by statute, common law, equity, or otherwise) to be subrogated to the rights and remedies of the Security Trustee in respect of any rights or interests (secured or not) held by or available to the
Security Trustee in respect of the Secured Liabilities, until the Secured Liabilities shall have been fully repaid and discharged, except that the insurers shall not be restricted by the terms of this paragraph (f) from making personal claims
against persons (other than the Borrower or any Creditor Party) in circumstances where the insurers have fully discharged their liabilities and obligations under the relevant obligatory insurances; 

 

	(g)	 the obligatory insurances shall provide that the obligatory insurances shall be primary without right of
contribution from other insurances effected by the Security Trustee or any other Creditor Party; 

  

	(h)	 the obligatory insurances shall provide that the Security Trustee may make proof of loss if the Borrower fails
to do so; and 

  
 39 

	(i)	 the obligatory insurances shall provide that if any obligatory insurance is cancelled, or if any substantial
change is made in the coverage which adversely affects the interest of the Security Trustee, or if any obligatory insurance is allowed to lapse for non-payment of premium, such cancellation, charge or lapse
shall only be effective against the Security Trustee 14 days (or 7 days in the case of war risks) after receipt by the Security Trustee of prior written notice from the insurers of such cancellation, change or lapse. 

 

	13.5	 Renewal of obligatory insurances 

The Borrower shall: 
  

	(a)	 at least 14 days before the expiry of any obligatory insurance effected by it: 

 

	 	(i)	 notify the Security Trustee of the brokers, underwriters, insurance companies and any protection and indemnity
or war risks association through or with whom the Borrower proposes to renew that obligatory insurance and of the proposed terms and conditions of renewal; and 

 

	 	(ii)	 seek the Security Trustee’s approval to the matters referred to in paragraph (i); 

 

	(b)	 at least 7 days before the expiry of any obligatory insurance, renew that obligatory insurance in accordance
with the Security Trustee’s approval pursuant to paragraph (a); and 

  

	(c)	 procure that the approved brokers and/or the war risks and protection and indemnity associations with which
such a renewal is effected shall promptly after the renewal notify the Security Trustee in writing of the terms and conditions of the renewal. 

  

	13.6	 Copies of policies; letters of undertaking 

The Borrower shall ensure that all approved brokers provide the Security Trustee with pro forma copies of all cover notes and policies relating
to the obligatory insurances which they are to effect or renew and of a letter or letters of undertaking in a form required by the Security Trustee and including undertakings by the approved brokers that: 

 

	(a)	 they will have endorsed on each policy, immediately upon issue, a loss payable clause and a notice of
assignment complying with the provisions of Clause 13.4; 

  

	(b)	 they will hold such policies, and the benefit of such insurances, to the order of the Security Trustee in
accordance with the said loss payable clause; 

  

	(c)	 they will advise the Security Trustee immediately of any material change to the terms of the obligatory
insurances; 

  

	(d)	 they will notify the Security Trustee, not less than 14 days before the expiry of the obligatory insurances, in
the event of their not having received notice of renewal instructions from the Borrower or its agents and, in the event of their receiving instructions to renew, they will promptly notify the Security Trustee of the terms of the instructions; and

  

	(e)	 they will not set off against any sum recoverable in respect of a claim relating to the Ship under such
obligatory insurances any premiums or other amounts due to them or any other person whether in respect of the Ship or otherwise, they waive any lien on the policies, or any sums received under them, which they might have in respect of such premiums
or other amounts, and they will not cancel such obligatory insurances by reason of non-payment of such premiums or other amounts, and will arrange for a separate policy to be issued in respect of the Ship
forthwith upon being so requested by the Security Trustee. 

  
 40 

	13.7	 Copies of certificates of entry; letters of undertaking 

The Borrower shall ensure that any protection and indemnity and/or war risks associations in which the Ship is entered provides the Security
Trustee with: 
  

	(a)	 a certified copy of the certificate of entry for the Ship; 

 

	(b)	 a letter or letters of undertaking in such form as may be required by the Security Trustee;

  

	(c)	 where required to be issued under the terms of insurance/indemnity provided by the Borrower’s protection
and indemnity association, a certified copy of each United States of America voyage quarterly declaration (or other similar document or documents) made by the Borrower in accordance with the requirements of such protection and indemnity association;
and 

  

	(d)	 a certified copy of each certificate of financial responsibility for pollution by oil or other Environmentally
Sensitive Material issued by the relevant certifying authority or, as the case may be, protection and indemnity associations in relation to the Ship (if applicable). 

 

	13.8	 Deposit of original policies 

The Borrower shall ensure that all policies relating to obligatory insurances effected by it are deposited with the approved brokers through
which the insurances are effected or renewed. 
  

	13.9	 Payment of premiums 

The Borrower shall punctually pay all premiums or other sums payable in respect of the obligatory insurances effected by it and produce all
relevant receipts when so required by the Security Trustee. 
  

	13.10	 Guarantees 

The Borrower shall ensure that any guarantees required by a protection and indemnity or war risks association are promptly issued and remain in
full force and effect. 
  

	13.11	 Compliance with terms of insurances 

The Borrower shall not do nor omit to do (nor permit to be done or not to be done) any act or thing which would or might render any obligatory
insurance invalid, void, voidable or unenforceable or render any sum payable under an obligatory insurance repayable in whole or in part; and, in particular it shall: 
  

	(a)	 take all necessary action and comply with all requirements which may from time to time be applicable to the
obligatory insurances, and (without limiting the obligation contained in paragraph (c) of Clause 13.6) ensure that the obligatory insurances are not made subject to any exclusions or qualifications to which the Security Trustee has not given
its prior approval; 

  

	(b)	 not make any changes relating to the classification or classification society or manager or operator of the
Ship approved by the underwriters of the obligatory insurances; 

  
 41 

	(c)	 make (and promptly supply copies to the Agent) of all quarterly or other voyage declarations which may be
required by the protection and indemnity risks association in which the Ship is entered to maintain cover for trading to the United States of America and Exclusive Economic Zone (as defined in the United States Oil Pollution Act 1990 or any other
applicable legislation) and, if applicable, shall procure that the Approved Manager complies with this requirement; and 

  

	(d)	 not employ the Ship, nor allow it to be employed, otherwise than in conformity with the terms and conditions of
the obligatory insurances, without first obtaining the consent of the insurers and complying with any requirements (as to extra premium or otherwise) which the insurers specify. 

 

	13.12	 Alteration to terms of insurances 

The Borrower shall neither make nor agree to any alteration to the terms of any obligatory insurance or waive any right relating to any
obligatory insurance. 
  

	13.13	 Settlement of claims 

The Borrower shall not settle, compromise or abandon any claim under any obligatory insurance for Total Loss or for a Major Casualty, and shall
do all things necessary and provide all documents, evidence and information to enable the Security Trustee to collect or recover any moneys which at any time become payable in respect of the obligatory insurances and shall do all things necessary to
ensure such collection or recovery is made. 
  

	13.14	 Provision of copies of communications 

The Borrower shall provide the Security Trustee, when so requested, copies of all written communications between the Borrower and: 

 

	(a)	 the approved brokers; 

 

	(b)	 the approved protection and indemnity and/or war risks associations; and 

 

	(c)	 the approved insurance companies and/or underwriters, which relate directly or indirectly to:

  

	 	(i)	 the Borrower’s obligations relating to the obligatory insurances including, without limitation, all
requisite declarations and payments of additional premiums or calls; and 

  

	 	(ii)	 any credit arrangements made between the Borrower and any of the persons referred to in paragraphs (a), (b) or
(c) relating wholly or partly to the effecting or maintenance of the obligatory insurances. 

  

	13.15	 Provision of information and further undertakings 

In addition, the Borrower shall promptly provide the Security Trustee (or any persons which it may designate) with any information which the
Security Trustee (or any such designated person) requests for the purpose of: 
  

	(a)	 obtaining or preparing any report from an independent marine insurance broker as to the adequacy of the
obligatory insurances effected or proposed to be effected; and/or 

  
 42 

	(b)	 effecting, maintaining or renewing any such insurances as are referred to in Clause 13.16 or dealing with or
considering any matters relating to any such insurances, 

 and the Borrower shall: 

 

	 	(i)	 do all things necessary and provide the Agent and the Security Trustee with all documents and information to
enable the Security Trustee to collect or recover any moneys in respect of the Insurances which are payable to the Security Trustee pursuant to the Finance Documents; and 

 

	 	(ii)	 promptly provide the Agent with full information regarding any Major Casualty in consequence whereof the Ship
has become or may become a Total Loss and agree to any settlement of such casualty or other accident or damage to the Ship only with the Agent’s prior written consent, 

and the Borrower shall, forthwith upon demand, indemnify the Security Trustee in respect of all fees and other expenses incurred by or for the
account of the Security Trustee in connection with any such report as is referred to in paragraph (a). 
  

	13.16	 Mortgagee’s interest and additional perils insurances 

The Security Trustee shall be entitled from time to time to effect, maintain and renew all or any of the following insurances in such amounts,
on such terms, through such insurers and generally in such manner as the Majority Lenders may from time to time consider appropriate: 
  

	(a)	 a mortgagee’s interest insurance providing for the indemnification of the Creditor Parties for any losses
under or in connection with any Finance Document (in an amount of up to the aggregate of (i) 120 per cent. of the Loan and (ii) the principal amount secured by any equal or prior ranking Security Interest on the Ship) which directly or
indirectly result from loss of or damage to the Ship or a liability of the Ship or of the Borrower, being a loss or damage which is prima facie covered by an obligatory insurance but in respect of which there is a non-payment (or reduced payment) by the underwriters by reason of, or on the basis of an allegation concerning: 

  

	 	(i)	 any act or omission on the part of the Borrower, of any operator, charterer, manager or sub-manager of the Ship or of any officer, employee or agent of the Borrower or of any such person, including any breach of warranty or condition or any non-disclosure
relating to such obligatory insurance; 

  

	 	(ii)	 any act or omission, whether deliberate, negligent or accidental, or any knowledge or privity of the Borrower,
any other person referred to in paragraph (i) above, or of any officer, employee or agent of the Borrower or of such a person, including the casting away or damaging of the Ship and/or the Ship being unseaworthy; and/or 

 

	 	(iii)	 any other matter capable of being insured against under a mortgagee’s interest marine insurance policy
whether or not similar to the foregoing; and 

  

	(b)	 a mortgagee’s interest additional perils insurance providing for the indemnification of the Creditor
Parties against, among other things, any possible losses or other consequences of any Environmental Claim, including the risk of expropriation, arrest or any form of detention of the Ship, the imposition of any Security Interest over the Ship and/or
any other matter capable of being insured against under a mortgagee’s interest additional perils policy whether or not similar to the foregoing, and in an amount of up to (i) 110 per cent. of the Loan and (ii) the principal amount
secured by any equal or prior ranking Security Interest on the Ship, 

  
 43 

 and the Borrower shall upon demand fully indemnify the Security Trustee in respect of all
premiums and other expenses which are incurred in connection with or with a view to effecting, maintaining or renewing any such insurance or dealing with, or considering, any matter arising out of any such insurance. 

 

	13.17	 Review of insurance requirements 

The Security Trustee shall be entitled to review the requirements of this Clause 13 from time to time in order to take account of any changes
in circumstances after the date of this Agreement which are, in the opinion of the Agent (acting on the instructions of the Majority Lenders), significant and capable of affecting the Borrower, the Ship and its Insurances (including, without
limitation, changes in the availability or the cost of insurance coverage or the risks to which the Borrower may be subject) and the Borrower shall upon demand fully indemnify the Agent in respect of all fees and other expenses incurred by or for
the account of the Agent in appointing an independent marine insurance broker or adviser to conduct such review. 
  

	13.18	 Modification of insurance requirements 

The Security Trustee shall notify the Borrower of any proposed modification under Clause 13.17 to the requirements of this Clause 13 which the
Security Trustee reasonably considers appropriate in the circumstances, and such modification shall take effect on and from the date it is notified in writing to the Borrower as an amendment to this Clause 13 and shall bind the Borrower accordingly.

  

	13.19	 Compliance with mortgagee’s instructions 

The Security Trustee shall be entitled (without prejudice to or limitation of any other rights which it may have or acquire under any Finance
Document) to require the Ship to remain at any safe port or to proceed to and remain at any safe port designated by the Security Trustee until the Borrower implements any amendments to the terms of the obligatory insurances and any operational
changes required as a result of a notice served under Clause 13.18. 
  

	14	 SHIP COVENANTS 

 

	14.1	 General 

The Borrower also undertakes with each Creditor Party to comply with the following provisions of this Clause 14 at all times during the
Security Period except as the Agent, acting with the authorisation of the Majority Lenders, may otherwise permit in writing (such permission not to be unreasonably withheld in respect of a change of an Approved Flag under Clause 14.2). 

 

	14.2	 Ship’s name and registration 

The Borrower shall keep the Ship registered in its name under an Approved Flag; shall not do, omit to do or allow to be done anything as a
result of which such registration might be cancelled or imperilled; and shall not change the name or port of registry of the Ship. 

  
 44 

	14.3	 Repair and classification 

The Borrower shall, and shall procure that the Approved Manager shall, keep the Ship in a good and safe condition and state of repair, sea and
cargo worthy in all respects: 
  

	(a)	 consistent with first-class ship ownership and management practice; 

 

	(b)	 so as to maintain the highest class free of overdue recommendations and conditions, with a classification
society which is a member of IACS (other than the China Classification Society and the Russian Maritime Registry of Shipping) and acceptable to the Agent; and 

 

	(c)	 so as to comply with all laws and regulations applicable to vessels registered at ports in the applicable
Approved Flag State or to vessels trading to any jurisdiction to which the Ship may trade from time to time, including but not limited to the ISM Code and the ISPS Code, 

and the Agent shall be given power of attorney in the form attached as Schedule 6 to act on behalf of the Borrower in order to, inspect the
class records and any files held by the classification society and to require the classification society to provide the Agent or any of its nominees with any information, document or file, it might request and the classification society shall be
fully entitled to rely hereon without any further inquiry. 
  

	14.4	 Classification society undertaking 

The Borrower shall instruct the classification society referred to in Clause 14.3 (and procure that the classification society undertakes with
the Security Trustee) in relation to the Ship: 
  

	(a)	 to send to the Security Trustee, following receipt of a written request from the Security Trustee, certified
true copies of all original class records and any other related records held by the classification society in relation to the Ship; 

  

	(b)	 to allow the Security Trustee (or its agents), at any time and from time to time, to inspect the original class
and related records of the Ship at the offices of the classification society and to take copies of them; 

  

	(c)	 to notify the Security Trustee immediately in writing if the classification society: 

 

	 	(i)	 receives notification from the Borrower or any person that the Ship’s classification society is to be
changed; or 

  

	 	(ii)	 becomes aware of any facts or matters which may result in or have resulted in a change, suspension,
discontinuance, withdrawal or expiry of the Ship’s class under the rules or terms and conditions of the Borrower’s or the Ship’s membership of the classification society; 

 

	(d)	 following receipt of a written request from the Security Trustee: 

 

	 	(i)	 to confirm that the Borrower is not in default of any of its contractual obligations or liabilities to the
classification society and, without limiting the foregoing, that it has paid in full all fees or other charges due and payable to the classification society; or 

 

	 	(ii)	 if the Borrower is in default of any of its contractual obligations or liabilities to the classification
society, to specify to the Security Trustee in reasonable detail the facts and circumstances of such default, the consequences thereof, and any remedy period agreed or allowed by the classification society. 

  
 45 

	14.5	 Modification 

The Borrower shall not make any modification or repairs to, or replacement of, the Ship or equipment installed on it which would or might
materially alter the structure, type or performance characteristics of the Ship or materially reduce its value. 
  

	14.6	 Removal of parts 

The Borrower shall not remove any material part of the Ship, or any item of equipment installed on the Ship unless the part or item so removed
is forthwith replaced by a suitable part or item which is in the same condition as or better condition than the part or item removed, is free from any Security Interest or any right in favour of any person other than the Security Trustee and becomes
on installation on the Ship the property of the Borrower and subject to the security constituted by the relevant Mortgage Provided that the Borrower may install equipment owned by a third party if the equipment can be removed without any risk
of damage to the Ship. 
  

	14.7	 Surveys 

The Borrower shall submit the Ship regularly to all periodical or other surveys which may be required for classification purposes and, if so
required by the Security Trustee provide the Security Trustee, with copies of all survey reports. 
  

	14.8	 Inspection 

The Borrower shall permit the Security Trustee (by surveyors or other persons appointed by it for that purpose) to board the Ship at all
reasonable times to inspect its condition or to satisfy themselves about proposed or executed repairs and shall afford all proper facilities for such inspections at the Borrower’s expense (which if no Event of Default has occurred and is
continuing shall be limited to once in each calendar year). 
  

	14.9	 Prevention of and release from arrest 

The Borrower shall promptly discharge: 
  

	(a)	 all liabilities which give or may give rise to maritime or possessory liens on or claims enforceable against
the Ship, the Earnings or the Insurances; 

  

	(b)	 all taxes, dues and other amounts charged in respect of the Ship, the Earnings or the Insurances; and

  

	(c)	 all other outgoings whatsoever in respect of the Ship, the Earnings or the Insurances, 

and, forthwith upon receiving notice of the arrest of the Ship, or of its detention in exercise or purported exercise of any lien or claim, the
Borrower shall procure its release by providing bail or otherwise as the circumstances may require. 

  
 46 

	14.10	 Compliance with laws etc. 

The Borrower shall: 
  

	(a)	 comply, or procure compliance with the ISM Code, the ISPS Code, all Environmental Laws and all other laws or
regulations relating to the Ship, its ownership, operation and management or to the business of the Borrower; 

  

	(b)	 not employ the Ship nor allow its employment in any manner contrary to any law or regulation in any relevant
jurisdiction including but not limited to the ISM Code and the ISPS Code; and 

  

	(c)	 in the event of hostilities in any part of the world (whether war is declared or not), not cause or permit the
Ship to enter or trade to any zone which is declared a war zone by any government or by the Ship’s war risks insurers unless the prior written consent of the Security Trustee has been given and the Borrower has (at its expense) effected any
special, additional or modified insurance cover which the Security Trustee may require. 

  

	14.11	 Provision of information 

The Borrower shall promptly provide the Security Trustee with any information which it requests regarding: 

 

	(a)	 the Ship, its employment, position and engagements; 

 

	(b)	 the Earnings and payments and amounts due to the master and crew of the Ship; 

 

	(c)	 any expenses incurred, or likely to be incurred, in connection with the operation, maintenance or repair of the
Ship and any payments made in respect of the Ship; 

  

	(d)	 any towages and salvages; and 

 

	(e)	 its compliance, the Approved Manager’s compliance and the compliance of the Ship with the ISM Code and the
ISPS Code, 

 and, upon the Security Trustee’s request, provide copies of any current charter relating to the Ship, of
any current charter guarantee and copies of the Borrower’s or the Approved Manager’s Document of Compliance, Safety Management Certificate and the ISSC. 
  

	14.12	 Notification of certain events 

The Borrower shall: 
  

	(a)	 before entering into: 

 

	 	(i)	 any demise charter for any period in respect of the Ship; or 

 

	 	(ii)	 any other Assignable Charter, 

notify the Agent and provide copies of any draft charter relating to the Ship and, if applicable, any draft charter guarantee and the Borrower
shall be entitled to enter into such charter without the consent of the Creditor Parties Provided that: 
  

	 	(A)	 that Borrower executes in favour of the Security Trustee a specific assignment of all its rights, title and
interest in and to such charter and any charter guarantee in the Agreed Form of a Charterparty Assignment; 

  
 47 

	 	(B)	 the charterer and any charter guarantor receive a notice (1) of the specific assignment of such charter
and charter guarantee and (2) that the Mortgage has been registered prior to the entry into such charter; 

  

	 	(C)	 in the case where such charter is a demise charter the charterer undertakes to the Security Trustee (1) to
comply with all of the Borrower’s undertakings with regard to the employment, insurances, operation, repairs and maintenance of the Ship contained in this Agreement, the Deed of Covenant and the General Assignment and (2) to provide an
assignment of its interest in the insurances of the Ship in the Agreed Form; 

  

	 	(D)	 the Borrower provides certified true and complete copies of the charter relating to the Ship and of any current
charter guarantee, if any, promptly after its execution; 

  

	 	(E)	 the Agent’s receipt of a copy of the charter and its failure or neglect to act, delay or acquiescence in
connection with the Borrower’s entering into such charter shall not in any way constitute an acceptance by the Agent of whether or not the Earnings under the charter are sufficient to meet the debt service requirements under this Agreement nor
shall it in any way affect the Agent’s or the Security Trustee’s entitlement to exercise its rights under the Finance Documents pursuant to Clause 19 upon the occurrence of an Event of Default arising as a result of an act or omission of
the charterer; and 

  

	 	(F)	 the Borrower delivers to the Agent such other documents equivalent to those referred to at paragraphs 2, 3, 4,
5, 7, 8 and 9 of Schedule 3, Part A as the Agent may require; and 

  

	(b)	 immediately notify the Security Trustee by letter, of: 

 

	 	(i)	 its entry into any agreement or arrangement for the postponement of any date on which any Earnings are due, the
reduction of the amount of any Earnings or otherwise for the release or adverse alteration of any right of the Borrower to any Earnings; 

  

	 	(ii)	 its entry into any time or consecutive voyage charter in respect of the Ship for a term which exceeds, or which
by virtue of any optional extensions may exceed, 12 months; 

  

	 	(iii)	 any casualty which is or is likely to be or to become a Major Casualty; 

 

	 	(iv)	 any occurrence as a result of which the Ship has become or is, by the passing of time or otherwise, likely to
become a Total Loss; 

  

	 	(v)	 any requirement, overdue condition or recommendation made by any insurer or classification society or by any
competent authority which is not complied with in accordance with its terms; 

  

	 	(vi)	 any arrest or detention of the Ship, any exercise or purported exercise of any lien on the Ship or its Earnings
or any requisition of the Ship for hire; 

  

	 	(vii)	 any unscheduled dry docking of the Ship; 

 

	 	(viii)	 any Environmental Claim made against the Borrower or in connection with the Ship, or any Environmental
Incident; 

  
 48 

	 	(ix)	 any claim for breach of the ISM Code or the ISPS Code being made against the Borrower, the Approved Manager or
otherwise in connection with the Ship; 

  

	 	(x)	 its intention to de-activate or lay up the Ship; or

  

	 	(xi)	 any other matter, event or incident, the effect of which will or could lead to the ISM Code or the ISPS Code
not being complied with, 

 and the Borrower shall keep the Security Trustee advised in writing on a regular basis and in
such detail as the Security Trustee shall require of the Borrower’s, the Approved Manager’s or any other person’s response to any of those events or matters. 
  

	14.13	 Restrictions on chartering, appointment of managers etc. 

The Borrower shall not, in relation to the Ship: 
  

	(a)	 enter into any charter in relation to the Ship under which more than two months’ hire (or the equivalent)
is payable in advance; 

  

	(b)	 charter the Ship otherwise than on bona fide arm’s length terms at the time when the Ship is fixed;

  

	(c)	 appoint a manager of the Ship other than the Approved Manager; or 

 

	(d)	 put the Ship into the possession of any person for the purpose of work being done upon it in an amount
exceeding or likely to exceed $500,000 (or the equivalent in any other currency) unless that person has first given to the Security Trustee and in terms satisfactory to it a written undertaking not to exercise any lien on the Ship or its Earnings
for the cost of such work or for any other reason. 

  

	14.14	 Notice of Mortgage 

The Borrower shall keep the Mortgage registered against the Ship as a valid first preferred or, as the case may be, priority mortgage, carry on
board the Ship a certified copy of the Mortgage and place and maintain in a conspicuous place in the navigation room and the Master’s cabin of the Ship a framed printed notice stating that the Ship is mortgaged by the Borrower to the Security
Trustee. 
  

	14.15	 Sharing of Earnings 

The Borrower shall not enter into any agreement or arrangement for the sharing of any Earnings (other than (i) any profit sharing
agreement with a charterer which takes effect above an agreed minimum charter hire rate payable to the Borrower under a charter to which the Borrower is a party and (ii) any pool agreement, in either case, on bona fide arm’s length terms).

  

	14.16	 ISPS Code 

The Borrower shall comply with the ISPS Code and in particular, without limitation, shall: 

 

	(a)	 procure that the Ship and the company responsible for the Ship’s compliance with the ISPS Code comply with
the ISPS Code; and 

  
 49 

	(b)	 maintain for the Ship an ISSC; and 

 

	(c)	 notify the Agent immediately in writing of any actual or threatened withdrawal, suspension, cancellation or
modification of the ISSC. 

  

	15	 SECURITY COVER 

 

	15.1	 Minimum required security cover 

Clause 15.2 applies if the Agent notifies the Borrower that the Security Cover Ratio is below 125 per cent. 

 

	15.2	 Prepayment; provision of additional security 

If the Agent serves a notice on the Borrower under Clause 15.1, the Borrower shall prepay such part at least of the Loan as will eliminate the
shortfall on or before the date falling 14 Business Days after the date on which the Agent’s notice is served under Clause 15.1 (the “Prepayment Date”) unless at least five calendar days before the Prepayment Date the Borrower
has provided, or ensured that a third party has provided, additional security which, in the reasonable opinion of the Majority Lenders, has a net realisable value at least equal to the shortfall and is documented in such terms as the Agent may, with
the authorisation of the Majority Lenders, approve or require. 
  

	15.3	 Valuation of the Ship 

The Market Value of the Ship: 
  

	(a)	 for the purposes of the Initial Market Value, is that shown in one valuation addressed to the Agent issued by
one Approved Broker to be nominated and appointed by the Agent. If the Borrower does not agree with such valuation, the Borrower can nominate another Approved Broker to provide a second valuation addressed to the Agent and appointed by the Agent, in
which case the Initial Market Value is that shown by taking the arithmetic average of such two valuations. If the difference between these two valuations is greater than 15 per cent. paragraph (c) of this Clause 15.3 shall be applicable;
and 

  

	(b)	 at any other date is that shown in a valuation addressed to the Agent to be issued by an Approved Broker,
nominated and appointed by the Borrower and addressed to the Agent (the “First Valuation”) unless the Agent obtains a second valuation issued by an Approved Broker nominated and appointed by the Agent (the “Second
Valuation”) in which case the Market Value of the Ship at the relevant date is that shown: 

  

	 	(i)	 if the difference between the First Valuation and the Second Valuation is less than, or equal to, 10 per
cent., by the First Valuation; and 

  

	 	(ii)	 if the difference between the First Valuation and the Second Valuation is greater than 10 per cent. but
less than, or equal to, 15 per cent., by taking the arithmetic average of such two valuations, 

 each valuation
issued pursuant to paragraphs (a) and (b) of this Clause 15.3 to be prepared: 
  

	 	(A)	 as at a date not more than 30 days previously; 

  
 50 

	 	(B)	 with or without physical inspection of that Ship (as the Agent may require); and 

 

	 	(C)	 on the basis of a sale for prompt delivery for cash on normal arm’s length commercial terms as between a
willing seller and a willing buyer, free of any existing charter or other contract of employment; and 

  

	(c)	 if the difference between 2 valuations in respect of the Ship obtained at any time, in each case, pursuant to
this Clause 15.3 is greater than 15 per cent. a valuation shall be commissioned from a third Approved Broker selected and appointed by the Agent. Such valuation to be conducted in accordance with this Clause 15.3 and the Market Value of that
Ship in such circumstances shall be the arithmetic average of all three valuations. 

  

	15.4	 Value of additional vessel security 

The net realisable value of any additional security which is provided under Clause 15.2 and which consists of a Security Interest over a vessel
shall be that shown by a valuation complying with the requirements of Clause 15.3. 
  

	15.5	 Valuations binding 

Any valuation under Clause 15.2, 15.3 or 15.4 shall be binding and conclusive as regards the Borrowers, as shall be any valuation which the
Majority Lenders make of any additional security which does not consist of or include a Security Interest. 
  

	15.6	 Provision of information 

The Borrower shall promptly provide the Agent and any Approved Broker or expert acting under Clause 15.3 or 15.4 with any information which the
Agent or that Approved Broker or expert may request for the purposes of the valuation; and, if the Borrower fails to provide the information by the date specified in the request, the valuation may be made on any basis and assumptions which that
Approved Broker or the Majority Lenders (or the expert appointed by them) consider prudent. 
  

	15.7	 Payment of valuation expenses 

Without prejudice to the generality of the Borrower’s obligations under Clauses 20.2, 20.3 and 21.3, the Borrower shall, on demand, pay
the Agent the amount of the fees and expenses of any Approved Broker or expert instructed by the Agent under this Clause and all legal and other expenses incurred by any Creditor Party in connection with any matter arising out of this Clause. 

 

	15.8	 Frequency of valuations 

The Borrower shall provide the Agent with a valuation of the Ship, dated as of June or, as the case may be, December, on the date on which the
Agent receives any financial statements in accordance with paragraphs (a) and (b) of Clause 11.6 for the period ending on the dates referred to above in respect of which the Market Value of the Ship will be determined and the Agent may,
otherwise, request valuations to determine the Borrower’s compliance under Clause 15.1 not less than twice during each 12-month period during the Security Period. 

  
 51 

	16	 PAYMENTS AND CALCULATIONS 

 

	16.1	 Currency and method of payments 

All payments to be made by the Lenders or by the Borrower under a Finance Document shall be made to the Agent or to the Security Trustee, in
the case of an amount payable to it: 
  

	(a)	 by not later than 11.00 a.m. (New York City time) on the due date; 

 

	(b)	 in same day Dollar funds settled through the New York Clearing House Interbank Payments System (or in such
other Dollar funds and/or settled in such other manner as the Agent shall specify as being customary at the time for the settlement of international transactions of the type contemplated by this Agreement); 

 

	(c)	 in the case of an amount payable by a Lender to the Agent or by the Borrower to the Agent or any Lender, to the
account of the Agent at J.P. Morgan Chase Bank (SWIFT Code CHASUS33) (Account No. 001 1331 808 in favour of Hamburg Commercial Bank AG, SWIFT Code HSHNDEHH; Reference “Lefkada Shipping Corporation”) or to such other account with such
other bank as the Agent may from time to time notify to the Borrower and the other Creditor Parties; and 

  

	(d)	 in the case of an amount payable to the Security Trustee, to such account as it may from time to time notify to
the Borrower and the other Creditor Parties. 

  

	16.2	 Payment on non-Business Day 

If any payment by the Borrower under a Finance Document would otherwise fall due on a day which is not a Business Day: 

 

	(a)	 the due date shall be extended to the next succeeding Business Day; or 

 

	(b)	 if the next succeeding Business Day falls in the next calendar month, the due date shall be brought forward to
the immediately preceding Business Day, 

 and interest shall be payable during any extension under paragraph (a) at
the rate payable on the original due date. 
  

	16.3	 Basis for calculation of periodic payments 

All interest and commitment fee and any other payments under any Finance Document which are of an annual or periodic nature shall accrue from
day to day and shall be calculated on the basis of the actual number of days elapsed and a 360 day year. 
  

	16.4	 Distribution of payments to Creditor Parties 

Subject to Clauses 16.5, 16.6 and 16.7: 
  

	(a)	 any amount received by the Agent under a Finance Document for distribution or remittance to a Lender or the
Security Trustee shall be made available by the Agent to that Lender or, as the case may be, the Security Trustee by payment, with funds having the same value as the funds received, to such account as the Lender or the Security Trustee may have
notified to the Agent not less than five Business Days previously; and 

  
 52 

	(b)	 amounts to be applied in satisfying amounts of a particular category which are due to the Lenders generally
shall be distributed by the Agent to each Lender pro rata to the amount in that category which is due to it. 

  

	16.5	 Permitted deductions by Agent 

Notwithstanding any other provision of this Agreement or any other Finance Document, the Agent may, before making an amount available to a
Lender, deduct and withhold from that amount any sum which is then due and payable to the Agent from that Lender under any Finance Document or any sum which the Agent is then entitled under any Finance Document to require that Lender to pay on
demand. 
  

	16.6	 Agent only obliged to pay when monies received 

Notwithstanding any other provision of this Agreement or any other Finance Document, the Agent shall not be obliged to make available to the
Borrower or any Lender any sum which the Agent is expecting to receive for remittance or distribution to the Borrower or that Lender until the Agent has satisfied itself that it has received that sum. 

 

	16.7	 Refund to Agent of monies not received 

If and to the extent that the Agent makes available a sum to the Borrower or a Lender, without first having received that sum, the Borrower or
(as the case may be) the Lender concerned shall, on demand: 
  

	(a)	 refund the sum in full to the Agent; and 

 

	(b)	 pay to the Agent the amount (as certified by the Agent) which will indemnify the Agent against any funding or
other loss, liability or expense incurred by the Agent as a result of making the sum available before receiving it. 

  

	16.8	 Agent may assume receipt 

Clause 16.7 shall not affect any claim which the Agent has under the law of restitution, and applies irrespective of whether the Agent had any
form of notice that it had not received the sum which it made available. 
  

	16.9	 Creditor Party accounts 

Each Creditor Party shall maintain accounts showing the amounts owing to it by the Borrower and each Security Party under the Finance Documents
and all payments in respect of those amounts made by the Borrower and any Security Party. 
  

	16.10	 Agent’s memorandum account 

The Agent shall maintain a memorandum account showing the amounts advanced by the Lenders and all other sums owing to the Agent, the Security
Trustee and each Lender from the Borrower and each Security Party under the Finance Documents and all payments in respect of those amounts made by the Borrower and any Security Party. 

  
 53 

	16.11	 Accounts prima facie evidence 

If any accounts maintained under Clauses 16.9 and 16.10 show an amount to be owing by the Borrower or a Security Party to a Creditor Party,
those accounts shall be prima facie evidence that that amount is owing to that Creditor Party. 
  

	17	 APPLICATION OF RECEIPTS 

 

	17.1	 Normal order of application 

Except as any Finance Document may otherwise provide, any sums which are received or recovered by any Creditor Party under or by virtue of any
Finance Document shall be applied: 
  

	(a)	 FIRST: in or towards satisfaction of any amounts then due and payable under the Finance Documents in the
following order and proportions: 

  

	 	(i)	 firstly, in or towards satisfaction pro rata of all amounts then due and payable to the Creditor Parties under
the Finance Documents (including, but without limitation, all amounts payable by the Borrower under Clauses 20, 21 and 22 of this Agreement or by the Borrower or any Security Party under any corresponding or similar provision in any other Finance
Document) other than those amounts referred to at paragraphs (ii) and (iii); 

  

	 	(ii)	 secondly, in or towards satisfaction pro rata of any and all amounts of interest or default interest payable to
the Creditor Parties under the Finance Documents; and 

  

	 	(iii)	 thirdly, in or towards satisfaction of the Loan; and 

 

	(b)	 SECONDLY: in retention of an amount equal to any amount not then due and payable under any Finance Document but
which the Agent, by notice to the Borrower, the Security Parties and the other Creditor Parties, states in its opinion will either or may become due and payable in the future and, upon those amounts becoming due and payable, in or towards
satisfaction of them in accordance with the provisions of paragraph (a) of Clause 17.1; and 

  

	(c)	 THIRDLY: any surplus shall be paid to the Borrower or to any other person appearing to be entitled to it.

  

	17.2	 Application by any covered bond Lender 

If and to the extent that any Lender includes the Loan and/or a Mortgage in its covered bond register, any enforcement proceeds recovered under
the Finance Documents and attributable to it under the relevant Finance Document shall, notwithstanding the provisions of paragraph (a) of Clause 17.1, be applied by it first to the part of the Loan that corresponds to that Lender’s
Contribution registered in its covered bond register and thereafter in the following order: 
  

	(a)	 firstly, in or towards satisfaction of the amounts set out under paragraph (a)(i) of Clause 17.1;

  

	(b)	 secondly, in or towards satisfaction of the amounts set out under paragraph (a)(ii) of Clause 17.1; and

  

	(c)	 thirdly, in or towards satisfaction of any part of the Loan that corresponds to any unregistered part of that
Lender’s contribution. 

  
 54 

	17.3	 Variation of order of application 

The Agent may, with the authorisation of the Majority Lenders, by notice to the Borrower, the Security Parties and the other Creditor Parties
provide for a different manner of application from that set out in Clause 17.1 (but not, for the avoidance of doubt, that set out in Clause 17.2) either as regards a specified sum or sums or as regards sums in a specified category or categories.

  

	17.4	 Notice of variation of order of application 

The Agent may give notices under Clause 17.3 from time to time; and such a notice may be stated to apply not only to sums which may be received
or recovered in the future, but also to any sum which has been received or recovered on or after the third Business Day before the date on which the notice is served. 
  

	17.5	 Appropriation rights overridden 

This Clause 17 and any notice which the Agent gives under Clause 17.3 shall override any right of appropriation possessed, and any
appropriation made, by the Borrower or any Security Party. 
  

	18	 APPLICATION OF EARNINGS 

 

	18.1	 Payment of Earnings 

The Borrower undertakes with each Creditor Party that, throughout the Security Period (and subject only to the provisions of the General
Assignment): 
  

	(a)	 it shall not maintain any other bank accounts, except for: 

 

	 	(i)	 the Accounts, which shall be held with the Account Bank; and 

 

	 	(ii)	 any accounts existing as at the date of this Agreement, which shall be closed within 45 days from the date of
this Agreement; 

  

	(b)	 it shall ensure that all Earnings of the Ship are paid to the Earnings Account; and 

 

	(c)	 the Minimum Liquidity amount required pursuant to Clause 11.19 shall be maintained in the Minimum Liquidity
Account. 

  

	18.2	 Monthly retentions 

The Borrower undertakes with each Creditor Party to ensure that, on and from the date falling one month after the Drawdown Date and at monthly
intervals thereafter during the Security Period, there are transferred in respect of Loan drawn on the Drawdown Date to the Retention Account out of the Earnings received in the Earnings Account during the preceding month: 

 

	(a)	 one-third of the amount of the relevant Instalment falling due in
respect of the Loan under Clause 8.1 on the next Repayment Date; and 

  

	(b)	 the relevant fraction of the aggregate amount of interest on the Loan which is payable on the next due date for
payment of interest under this Agreement, 

  
 55 

	(c)	 and the Borrower irrevocably authorises the Agent to make those transfers (in its sole discretion and without
any obligation) if the Borrower fails to do so. 

 The “relevant fraction”, in relation to paragraph (b),
is a fraction of which the numerator is 1 and the denominator the number of months comprised in the then current Interest Period (or if the current Interest Period in respect of the Loan ends after the next due date for payment of interest under
this Agreement, the number of months from the later of the commencement of the current Interest Period in respect of the Loan or the last due date for payment of interest to the next due date for payment of interest in respect of the Loan under this
Agreement). 
  

	18.3	 Shortfall in Earnings 

If the aggregate Earnings received in the Earnings Account are insufficient at any time for the required amount to be transferred to the
Retention Account under Clause 18.2, the Borrower shall immediately pay the amount of the insufficiency into the Retention Account. 
  

	18.4	 Application of retentions 

 

	(a)	 Until an Event of Default or a Potential Event of Default occurs, the Agent shall, to the extent there are
sufficient funds standing to the credit of the Retention Account, on each Repayment Date and on each due date for the payment of interest under this Agreement distribute to the Lenders in accordance with Clause 16.4 so much of the then balance on
the Retention Account as equals: 

  

	(b)	 the Instalment due on that Repayment Date pursuant to Clause 8.1; or 

 

	(c)	 the amount of interest in respect of the Loan payable on that interest payment date, 

in discharge of the Borrower’s liability for that Instalment or that interest. 

 

	18.5	 Interest accrued on the Accounts 

Any credit balance on each Account shall bear interest at the rate from time to time offered by the Agent to its customers for Dollar deposits
of similar amounts and for periods similar to those for which such balances appear to the Agent likely to remain on that Account. 
  

	18.6	 Release of accrued interest 

Interest accruing under Clause 18.5 shall be credited to the relevant Account and may be released to the Borrower pursuant to Clause 18.10.

  

	18.7	 Location of Accounts 

The Borrower shall promptly: 
  

	(a)	 comply with any requirement of the Agent as to the location or
re-location of the Accounts (or any of them); and 

  

	(b)	 execute any documents which the Agent specifies to create or maintain in favour of the Security Trustee a
Security Interest over (and/or rights of set-off, consolidation or other rights in relation to) the Accounts. 

  
 56 

	18.8	 Debits for fees, expenses etc. 

The Agent shall be entitled (but not obliged) from time to time to debit the Earnings Account without prior notice in order to discharge any
amount due and payable under Clauses 20 or 21 to a Creditor Party or payment of which any Creditor Party has become entitled to demand under Clauses 20 or 21. 
  

	18.9	 Borrower’s obligations unaffected 

The provisions of this Clause 18 (as distinct from a distribution effected under Clause 18.4) do not affect: 

 

	(a)	 the liability of the Borrower to make payments of principal and interest on the due dates; or

  

	(b)	 any other liability or obligation of the Borrower or any Security Party under any Finance Document.

  

	18.10	 Restriction on withdrawal 

During the Security Period no sum may be withdrawn by the Borrower from the Minimum Liquidity Account or the Retention Account (other than
interest pursuant to Clause 18.6, provided that no Event of Default or Potential Event of Default has occurred which is continuing), without the prior written consent of the Agent. 

The Borrower may, in any calendar month, after having transferred and/or after having taken into account all amounts due or which will become
due to be transferred to the Retention Account in such calendar month in accordance with Clause 18.2, withdraw any surplus (a “Surplus”) from the Earnings Account as it may think fit for purposes permitted by this Agreement and the
other Finance Documents Provided always no Event of Default or Potential Event of Default has occurred which is continuing in which case any Surplus shall remain on the Earnings Account and the Borrower may only withdraw the Surplus (or any
part thereof) with the prior written consent of the Agent (acting upon the instructions of the Majority Lenders in order to satisfy the documented and properly incurred operating expenses of the Ship. 

 

	19	 EVENTS OF DEFAULT 

 

	19.1	 Events of Default 

An Event of Default occurs if: 
  

	(a)	 the Borrower or any Security Party fails to pay when due or (if so payable) on demand any sum payable under a
Finance Document or under any document relating to a Finance Document unless: 

  

	 	(i)	 its failure to pay is caused by administrative or technical error or a Disruption Event; and

  

	 	(ii)	 payment is made within three Business Days; or 

 

	(b)	 any breach occurs of Clause 9.2, 11.2, 11.3, 11.18, 11.19, 12.2, 12.3 or 15.2; or 

  
 57 

	(c)	 any breach by the Borrower, the Approved Manager or any Security Party occurs of any provision of a Finance
Document (other than a breach covered by paragraphs (a) or (b)) which, in the reasonable opinion of the Majority Lenders, is capable of remedy, and such default continues unremedied 30 Business Days (or any other grace period agreed by the
Agent) after written notice from the Agent requesting action to remedy the same; or 

  

	(d)	 (subject to any applicable grace period specified in the Finance Documents) any material breach by the
Borrower, the Approved Manager or any Security Party occurs of any provision of a Finance Document (other than a breach falling within paragraphs (a), (b) or (c)); or 

 

	(e)	 any representation, warranty or statement made or repeated by, or by an officer of, the Borrower, the Approved
Manager or a Security Party in a Finance Document or in the Drawdown Notice or any other notice or document relating to a Finance Document is untrue or misleading in any material respect when it is made or repeated; or 

 

	(f)	 any of the following occurs in relation to any Financial Indebtedness of a Relevant Person:

  

	 	(i)	 any Financial Indebtedness of a Relevant Person is not paid when due unless the Relevant Person is contesting
its obligation to pay the relevant amount in good faith and on substantial grounds and by appropriate proceedings and adequate reserves have been set aside for its payment if such proceedings fail; or 

 

	 	(ii)	 any Financial Indebtedness of a Relevant Person which in the case of any Relevant Person other than the
Borrower exceeds $15,000,000 (or the equivalent in any other currency in aggregate), becomes due and payable or capable of being declared due and payable prior to its stated maturity date as a consequence of any event of default; or

  

	 	(iii)	 any overdraft, loan, note issuance, acceptance credit, letter of credit, guarantee, foreign exchange or other
facility, or any swap or other derivative contract or transaction, relating to any Financial Indebtedness of a Relevant Person which in the case of any Relevant Person other than the Borrower exceeds $15,000,000 (or the equivalent in any other
currency in aggregate) ceases to be available or becomes capable of being terminated as a result of any event of default, or cash cover is required, or becomes capable of being required, in respect of such a facility as a result of any event of
default; or 

  

	 	(iv)	 any Security Interest securing any Financial Indebtedness of a Relevant Person, which in the case of any
Relevant Person other than the Borrower exceeds an amount of $15,000,000 (or the equivalent in any other currency in aggregate), becomes enforceable; or 

  

	(g)	 any of the following occurs in relation to a Relevant Person: 

 

	 	(i)	 a Relevant Person becomes, in the reasonable opinion of the Majority Lenders, unable to pay its debts as they
fall due; or 

  

	 	(ii)	 any assets of a Relevant Person are subject to any form of execution, attachment, arrest, sequestration or
distress or any form of freezing order, which in the case of any Relevant Person other than the Borrower exceeds $15,000,000 (or the equivalent in any other currency in aggregate), and such execution, attachment, arrest, sequestration, distress or
freezing order is not withdrawn within thirty (30) Business Days; or 

  
 58 

	 	(iii)	 any administrative or other receiver is appointed over any asset of a Relevant Person; or

  

	 	(iv)	 an administrator is appointed (whether by the court or otherwise) in respect of a Relevant Person; or

  

	 	(v)	 any formal declaration of bankruptcy or any formal statement to the effect that a Relevant Person is insolvent
or likely to become insolvent is made by a Relevant Person or by the directors or officers of a Relevant Person or, in any proceedings, by a lawyer acting for a Relevant Person; or 

 

	 	(vi)	 a provisional liquidator is appointed in respect of a Relevant Person, a winding up order is made in relation
to a Relevant Person or a winding up resolution is passed by a Relevant Person; or 

  

	 	(vii)	 a resolution is passed, an administration notice is given or filed, an application or petition to a court is
made or presented or any other step is taken by (aa) a Relevant Person, (bb) the shareholders, directors or officers of a Relevant Person, (cc) a holder of Security Interests which together relate to all or substantially all of the assets of a
Relevant Person, or (dd) a government minister or public or regulatory authority of a Pertinent Jurisdiction for or with a view to the winding up of that or another Relevant Person or the appointment of a provisional liquidator or administrator in
respect of that or another Relevant Person, or that or another Relevant Person ceasing or suspending business operations or payments to creditors, save that this paragraph does not apply to a fully solvent winding up of a Relevant Person other than
the Borrower which is, or is to be, effected for the purposes of an amalgamation or reconstruction previously approved by the Majority Lenders and effected not later than three months after the commencement of the winding up; or

  

	 	(viii)	 an administration notice is given or filed, an application or petition to a court is made or presented or any
other step is taken by a creditor of a Relevant Person (other than a holder of Security Interests which together relate to all or substantially all of the assets of a Relevant Person) for the winding up of a Relevant Person or the appointment of a
provisional liquidator or administrator in respect of a Relevant Person in any Pertinent Jurisdiction, unless the proposed winding up, appointment of a provisional liquidator or administration is being contested in good faith, on substantial grounds
and not with a view to some other insolvency law procedure being implemented instead and either (aa) the application or petition is dismissed or withdrawn within 60 days of being made or presented, or (bb) within 60 days of the administration notice
being given or filed, or the other relevant steps being taken, other action is taken which will ensure that there will be no administration and (in both cases (aa) or (bb)) the Relevant Person will continue to carry on business in the ordinary way
and without being the subject of any actual, interim or pending insolvency law procedure; or 

  

	 	(ix)	 a Relevant Person or its directors or officers take any steps (whether by making or presenting an application
or petition to a court, or submitting or presenting a document setting out a proposal or proposed terms, or otherwise) with a view to obtaining, in relation to that or another Relevant Person, any form of moratorium, suspension or deferral of
payments, reorganisation of debt (or certain debt) or arrangement with all or a substantial proportion (by number or value) of creditors or of any class of them or any such moratorium, suspension or deferral of payments, reorganisation or
arrangement is effected by court order, by the filing of documents with a court, by means of a contract or in any other way at all; or 

  
 59 

	 	(x)	 any meeting of the shareholders or directors, or of any committee of the board or senior management, of a
Relevant Person is held or summoned for the purpose of considering a resolution or proposal to authorise or take any action of a type described in paragraphs (iv) to (ix) or a step preparatory to such action, or (with or without such a meeting)
the shareholders, directors or such a committee resolve or agree that such an action or step should be taken or should be taken if certain conditions materialise or fail to materialise; or 

 

	 	(xi)	 in a Pertinent Jurisdiction other than England, any event occurs, any proceedings are opened or commenced or
any step is taken which, in the reasonable opinion of the Majority Lenders is similar to any of the foregoing; or 

  

	(h)	 the Borrower ceases or suspends carrying on its business or a part of its business which, in the reasonable
opinion of the Majority Lenders, is material in the context of this Agreement; or 

  

	(i)	 it becomes unlawful in any Pertinent Jurisdiction or impossible: 

 

	 	(i)	 for the Borrower, the Approved Manager or any Security Party to discharge any liability under a Finance
Document or to comply with any other obligation which the Majority Lenders consider material under a Finance Document; or 

  

	 	(ii)	 for the Agent, the Security Trustee or the Lenders to exercise or enforce any right under, or to enforce any
Security Interest created by, a Finance Document; or 

  

	(j)	 any official consent necessary to enable the Borrower to own, operate or charter the Ship or to enable the
Borrower, the Approved Manager or any Security Party to comply with any provision which the Majority Lenders reasonably consider material of a Finance Document or any Underlying Document is not granted, expires without being renewed, is revoked or
becomes liable to revocation or any condition of such a consent is not fulfilled unless such revocation is validly contested in good faith by the Borrower, the Approved Manager or, as the case may be, that Security Party; or 

 

	(k)	 it appears to the Majority Lenders that, without their prior consent, Navios Acquisition has ceased being the
beneficial owner of the majority of the share capital in the Borrower and of the voting rights attaching to those shares; or 

  

	(l)	 any provision which the Majority Lenders reasonably consider material of a Finance Document proves to have been
or becomes invalid or unenforceable, or a Security Interest created by a Finance Document proves to have been or becomes invalid or unenforceable or such a Security Interest proves to have ranked after, or loses its priority to, another Security
Interest or any other third party claim or interest (excluding any Permitted Security Interests); or 

  

	(m)	 the security constituted by a Finance Document is in any way imperilled or in jeopardy; or

  

	(n)	 the Borrower, the Approved Manager or any Security Party or any other person (other than a Creditor Party)
repudiates any of the Finance Documents to which the Borrower, the Approved Manager or that Security Party or person is a party or evidences an intention to do so; or 

  
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	(o)	 any other event occurs or any other circumstances arise or develop including, without limitation:

  

	 	(i)	 a change in the financial position, state of affairs or prospects of the Borrower or any Security Party; or

  

	 	(ii)	 the commencement of legal or administrative action involving the Borrower, the Ship, the Approved Manager or
any Security Party; or 

  

	 	(iii)	 the withdrawal of any material license or governmental or regulatory approval in respect of the Ship, the
Borrower, the Approved Manager or the Borrower’s or Approved Manager’s business (unless such withdrawal can be contested with the effect of suspension and is in fact so contested in good faith by the Borrower or the Approved Manager),

 which in the reasonable opinion of the Lenders constitutes a Material Adverse Change. 

 

	19.2	 Actions following an Event of Default 

On, or at any time after, the occurrence of an Event of Default: 
  

	(a)	 the Agent may, and if so instructed by the Majority Lenders, the Agent shall: 

 

	 	(i)	 serve on the Borrower a notice stating that all or part of the Commitments and of the other obligations of each
Lender to the Borrower under this Agreement are cancelled; and/or 

  

	 	(ii)	 serve on the Borrower a notice stating that all or part of the Loan together with accrued interest and all
other amounts accrued or owing under this Agreement are immediately due and payable or are due and payable on demand; and/or 

  

	 	(iii)	 take any other action which, as a result of the Event of Default or any notice served under paragraph
(i) or (ii), the Agent and/or the Lenders are entitled to take under any Finance Document or any applicable law; and/or 

  

	(b)	 the Security Trustee may, and if so instructed by the Agent, acting with the authorisation of the Majority
Lenders, the Security Trustee shall take any action which, as a result of the Event of Default or any notice served under paragraph (a)(i) or (a)(ii), the Security Trustee, the Agent, the Mandated Lead Arranger and/or the Lenders are entitled to
take under any Finance Document or any applicable law. 

  

	19.3	 Termination of Commitments 

On the service of a notice under paragraph (a)(i) of Clause 19.2, the Commitments and all other obligations of each Lender to the Borrower
under this Agreement shall be cancelled. 
  

	19.4	 Acceleration of Loan 

On the service of a notice under paragraph (a)(ii) of Clause 19.2, all or, as the case may be, the part of the Loan specified in the notice
together with accrued interest and all other amounts accrued or owing from the Borrower or any Security Party under this Agreement and every other Finance Document shall become immediately due and payable or, as the case may be, payable on demand.

  
 61 

	19.5	 Multiple notices; action without notice 

The Agent may serve notices under paragraphs (a)(i) and (a)(ii) of Clauses 19.2 simultaneously or on different dates and it and/or the Security
Trustee may take any action referred to in Clause 19.2 if no such notice is served or simultaneously with or at any time after the service of both or either of such notices. 
  

	19.6	 Notification of Creditor Parties and Security Parties 

The Agent shall send to each Lender, the Security Trustee, the Approved Manager and each Security Party a copy or the text of any notice which
the Agent serves on the Borrower under Clause 19.2; but the notice shall become effective when it is served on the Borrower, and no failure or delay by the Agent to send a copy or the text of the notice to any other person shall invalidate the
notice or provide the Borrower, the Approved Manager or any Security Party with any form of claim or defence. 
  

	19.7	 Creditor Party rights unimpaired 

Nothing in this Clause shall be taken to impair or restrict the exercise of any right given to individual Lenders under a Finance Document or
the general law; and, in particular, this Clause is without prejudice to Clause 3.1. 
  

	19.8	 Exclusion of Creditor Party liability 

No Creditor Party, and no receiver or manager appointed by the Security Trustee, shall have any liability to the Borrower or a Security Party:

  

	(a)	 for any loss caused by an exercise of rights under, or enforcement of a Security Interest created by, a Finance
Document or by any failure or delay to exercise such a right or to enforce such a Security Interest; or 

  

	(b)	 as mortgagee in possession or otherwise, for any income or principal amount which might have been produced by
or realised from any asset comprised in such a Security Interest or for any reduction (however caused) in the value of such an asset, 

except that this does not exempt a Creditor Party or a receiver or manager from liability for losses shown to have been directly and mainly
caused by gross negligence, the dishonesty or the wilful misconduct of such Creditor Party’s own officers and employees or (as the case may be) such receiver’s or manager’s own partners or employees. 

 

	19.9	 Relevant Persons 

In this Clause 19, a “Relevant Person” means the Borrower or any Security Party; and for the purposes of Clause 19.1(f) it,
also, means any member of the Group. 
  

	19.10	 Interpretation 

In paragraph (f) of Clause 19.1 references to an event of default or a termination event include any event, howsoever described, which is
similar to an event of default in a facility agreement or a termination event in a finance lease; and in paragraph (g) of Clause 19.1 “petition” includes an application. 

  
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	20	 FEES AND EXPENSES 

 

	20.1	 Structuring and commitment fees 

The Borrower shall pay to the Agent: 
  

	(a)	 a non-refundable structuring fee in the amount of $318,000
(representing 1 per cent. of the Total Commitments) which shall be due and payable to the Agent (for its own account) on the earliest of (i) the Drawdown Date, (ii) the last day of the Availability Period and (iii) the date of
cancellation of the Total Commitment; and 

  

	(b)	 a non-refundable commitment fee, at the rate of 1.00 per cent. per
annum on the undrawn or uncancelled amount of the Total Commitments, payable quarterly in arrears for distribution among the Lenders pro rata to their Commitments, during the period from (and including) 18 September 2019 (being the date of
acceptance of the firm offer) to the earlier of (i) the Drawdown Date and (ii) the last day of the Availability Period (and on the last day of such period). 

 

	20.2	 Costs of negotiation, preparation etc. 

The Borrower shall pay to the Agent on its demand the amount of all legal and other expenses incurred by the Agent or the Security Trustee in
connection with the negotiation, preparation, execution or registration of any Finance Document or any related document or with any transaction contemplated by a Finance Document or a related document. 

 

	20.3	 Costs of variations, amendments, enforcement etc. 

The Borrower shall pay to the Agent, on the Agent’s demand, for the account of the Creditor Party concerned, the amount of all legal and
other expenses incurred by a Creditor Party in connection with: 
  

	(a)	 any amendment or supplement (or any proposal for such an amendment or supplement) requested (or, in the case of
a proposal, made) by or on behalf of the Borrower and relating to a Finance Document or any other Pertinent Document; 

  

	(b)	 any consent, waiver or suspension of rights by the Lenders, the Majority Lenders or the Creditor Party
concerned or any proposal for any of the foregoing requested (or, in the case of a proposal, made) by or on behalf of the Borrower under or in connection with a Finance Document or any other Pertinent Document; 

 

	(c)	 the valuation of any security provided or offered under and pursuant to Clause 15 or any other matter relating
to such security; 

  

	(d)	 any step taken by the Creditor Party concerned with a view to the preservation, protection, exercise or
enforcement of any rights or Security Interest created by a Finance Document or for any similar purpose including, without limitation, any proceedings to recover or retain proceeds of enforcement or any other proceedings following enforcement
proceedings until the date all outstanding indebtedness to the Creditor Parties under the Finance Documents and any other Pertinent Document is repaid in full; or 

 

	(e)	 any amendment or supplement (or any proposal for such an amendment or supplement) in connection with a Finance
Document or any other Pertinent Document required as contemplated in Clause 27.5. 

  
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 There shall be recoverable under paragraph (d) the full amount of all legal expenses,
whether or not such as would be allowed under rules of court or any taxation or other procedure carried out under such rules. 
  

	20.4	 Documentary taxes 

The Borrower shall promptly pay any tax payable on or by reference to any Finance Document, and shall, on the Agent’s demand, fully
indemnify each Creditor Party against any claims, expenses, liabilities and losses resulting from any failure or delay by the Borrower to pay such a tax. 
  

	20.5	 Certification of amounts 

A notice which is signed by two officers of a Creditor Party, which states that a specified amount, or aggregate amount, is due to that
Creditor Party under this Clause 20 and which indicates (without necessarily specifying a detailed breakdown) the matters in respect of which the amount, or aggregate amount, is due shall be prima facie evidence that the amount, or aggregate
amount, is due. 
  

	21	 INDEMNITIES 

  

	21.1	 Indemnities regarding borrowing and repayment of Loan 

The Borrower shall fully indemnify the Agent and each Lender on the Agent’s demand and the Security Trustee on its demand in respect of
all claims, expenses, liabilities and losses which are made or brought against or incurred by that Creditor Party, or which that Creditor Party reasonably and with due diligence estimates that it will incur, as a result of or in connection with:

  

	(a)	 The Loan not being borrowed on the date specified in the Drawdown Notice for any reason other than a default by
the Lender claiming the indemnity after the Drawdown Notice has been served in accordance with the provisions of this Agreement; 

  

	(b)	 the receipt or recovery of all or any part of the Loan or an overdue sum otherwise than on the last day of an
Interest Period or other relevant period; 

  

	(c)	 any failure (for whatever reason) by the Borrower to make payment of any amount due under a Finance Document on
the due date or, if so payable, on demand (after giving credit for any default interest paid by the Borrower on the amount concerned under Clause 7) including but not limited to any costs and expenses of enforcing any Security Interests created by
the Finance Documents and any claims, liabilities and losses which may be brought against, or incurred by, a Creditor Party when enforcing any Security Interests created by the Finance Documents; and 

 

	(d)	 the occurrence and/or continuance of an Event of Default or a Potential Event of Default and/or the
acceleration of repayment of the Loan under Clause 19, 

 and in respect of any tax (other than tax on its overall net
income and a FATCA Deduction) for which a Creditor Party is liable in connection with any amount paid or payable to that Creditor Party (whether for its own account or otherwise) under any Finance Document. 

  
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	21.2	 Break Costs 

If a Lender (the “Notifying Lender”) notifies the Agent that as a consequence of receipt or recovery of all or any part of the
Loan (a “Payment”) on a day other than the last day of an Interest Period applicable to the sum received or recovered the Notifying Lender has or will, with effect from a specified date, incur Break Costs: 

 

	(a)	 the Agent shall promptly notify the Borrower of a notice it receives from a Notifying Lender under this Clause
21.2; 

  

	(b)	 the Borrower shall, within five Business Days of the Agent’s demand, pay to the Agent for the account of
the Notifying Lender the amount of such Break Costs; and 

  

	(c)	 the Notifying Lender shall, as soon as reasonably practicable, following a request by the Borrower, provide a
certificate confirming the amount of the Notifying Lender’s Break Costs for the Interest Period in which they accrue, such certificate to be, in the absence of manifest error, conclusive and binding on the Borrower. 

In this Clause 21.2, “Break Costs” means, in relation to a Payment the amount (if any) by which: 

 

	 	(i)	 the interest which the Notifying Lender, should have received in accordance with Clause 5 in respect of the sum
received or recovered from the date of receipt or recovery of such Payment to the last day of the then current Interest Period applicable to the sum received or recovered had such Payment been made on the last day of such Interest Period;

 exceeds 
  

	 	(ii)	 the amount which the Notifying Lender, would be able to obtain by placing an amount equal to such Payment on
deposit with a leading bank in the Relevant Interbank Market for a period commencing on the Business Day following receipt or recovery of such Payment (as the case may be) and ending on the last day of the then current Interest Period applicable to
the sum received or recovered. 

  

	21.3	 Other breakage costs 

Without limiting its generality, Clause 21.1 covers any claim, expense, liability or loss, including (without limitation) (i) a loss of a
prospective profit, incurred by a Lender in borrowing, liquidating or re-employing deposits from third parties acquired, contracted for or arranged to fund, effect or maintain all or any part of its
Contribution and/or any overdue amount (or an aggregate amount which includes its Contribution or any overdue amount) other than claims, expenses, liabilities and losses which are shown to have been directly and mainly caused by the gross negligence
or wilful misconduct of the officers or employees of the Creditor Party concerned and (ii) any applicable legal fees. 
  

	21.4	 Miscellaneous indemnities 

The Borrower shall fully indemnify each Creditor Party severally on their respective demands, without prejudice to any of their other rights
under any of the Finance Documents, in respect of all claims, expenses, liabilities and losses which may be made or brought against or sustained or incurred by a Creditor Party, in any country, as a result of or in connection with: 

 

	(a)	 any action taken, or omitted or neglected to be taken, under or in connection with any Finance Document by the
Agent, the Security Trustee or any other Creditor Party or by any receiver appointed under a Finance Document; 

  
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	(b)	 investigating any event which the Creditor Party concerned reasonably believes constitutes an Event of Default
or Potential Event of Default; or 

  

	(c)	 acting or relying on any notice, request or instruction which the Creditor Party concerned reasonably believes
to be genuine, correct and appropriately authorised, 

 other than claims, expenses, liabilities and losses which are shown
to have been directly and mainly caused by the dishonesty, gross negligence or wilful misconduct of the officers or employees of the Creditor Party concerned. 
  

	21.5	 Environmental Indemnity 

Without prejudice to the generality of Clause 21.4, this Clause 21.5 covers any claims, demands, proceedings, liabilities, taxes, losses,
liabilities or expenses of every kind which arise, or are asserted, under or in connection with any law relating to safety at sea, the ISM Code or the ISPS Code, any Environmental Law. 

 

	21.6	 Currency indemnity 

If any sum due from the Borrower or any Security Party to a Creditor Party under a Finance Document or under any order, award or judgment
relating to a Finance Document (a “Sum”) has to be converted from the currency in which the Finance Document provided for the Sum to be paid (the “Contractual Currency”) into another currency (the “Payment
Currency”) for the purpose of: 
  

	(a)	 making, filing or lodging any claim or proof against the Borrower or any Security Party, whether in its
liquidation, any arrangement involving it or otherwise; or 

  

	(b)	 obtaining an order, judgment or award from any court or other tribunal in relation to any litigation or
arbitration proceedings; or 

  

	(c)	 enforcing any such order, judgment or award, 

the Borrower shall as an independent obligation, within three Business Days of demand, indemnify the Creditor Party to whom that Sum is due
against any cost, loss or liability arising when the payment actually received by that Creditor Party is converted at the available rate of exchange back into the Contractual Currency including any discrepancy between (A) the rate of exchange
actually used to convert the Sum from the Payment Currency into the Contractual Currency and (B) the available rate of exchange. 
 In
this Clause 21.6, the “available rate of exchange” means the rate at which the Creditor Party concerned is able at the opening of business (London time) on the Business Day after it receives the Sum to purchase the Contractual
Currency with the Payment Currency. 
 The Borrower waives any right it may have in any jurisdiction to pay any amount under the Finance
Documents in a currency other than that in which it is expressed to be payable. 

  
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 If any Creditor Party receives any Sum in a currency other than the Contractual Currency,
the Borrower shall indemnify in full the Creditor Party concerned against any cost, loss or liability arising directly or indirectly from any conversion of such Sum to the Contractual Currency. 

This Clause 21.6 creates a separate liability of the Borrower which is distinct from its other liabilities under the Finance Documents and
which shall not be merged in any judgment or order relating to those other liabilities. 
  

	21.7	 Certification of amounts 

A notice which is signed by two officers of a Creditor Party, which states that a specified amount, or aggregate amount, is due to that
Creditor Party under this Clause 21 and which indicates (without necessarily specifying a detailed breakdown) the matters in respect of which the amount, or aggregate amount, is due shall be prima facie evidence that the amount, or aggregate
amount, is due. 
  

	21.8	 Sums deemed due to a Lender 

For the purposes of this Clause 21, a sum payable by the Borrower to the Agent or the Security Trustee for distribution to a Lender shall be
treated as a sum due to that Lender. 
  

	22	 NO SET-OFF OR TAX DEDUCTION 

 

	22.1	 No deductions 

All amounts due from the Borrower under a Finance Document shall be paid: 

 

	(a)	 without any form of set-off, counter-claim, cross-claim or condition;
and 

  

	(b)	 free and clear of any tax deduction except a tax deduction which the Borrower is required by law to make.

  

	22.2	 Grossing-up for taxes 

If, at any time, the Borrower is required by law, regulation or regulatory requirement to make a tax deduction from any payment due under a
Finance Document: 
  

	(a)	 the Borrower shall notify the Agent as soon as it becomes aware of the requirement; 

 

	(b)	 the amount due in respect of the payment shall be increased by the amount necessary to ensure that, after the
making of such tax deduction, each Creditor Party receives on the due date for such payment (and retains free from any liability relating to the tax deduction) a net amount which is equal to the full amount which it would have received had no such
tax deduction been required to be made; and 

  

	(c)	 the Borrower shall pay the full amount of the tax required to be deducted to the appropriate taxation authority
promptly in accordance with the relevant law, regulation or regulatory requirement, and in any event before any fine or penalty arises. 

  
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	22.3	 Indemnity and evidence of payment of taxes 

The Borrower shall fully indemnify each Creditor Party on the Agent’s demand in respect of all claims, expenses, liabilities and losses
incurred by any Creditor Party by reason of any failure of the Borrower to make any tax deduction or by reason of any increased payment not being made on the due date for such payment in accordance with Clause 22.2. Within 30 days after making any
tax deduction, the Borrower shall deliver to the Agent any receipts, certificates or other documentary evidence satisfactory to the Agent that the tax had been paid to the appropriate taxation authority. 

 

	22.4	 Exclusion of tax on overall net income 

In this Clause 22 “tax deduction” means any deduction or withholding from any payment due under a Finance Document for or on
account of any present or future tax except: 
  

	 	(a)	 tax on a Creditor Party’s overall net income; and 

 

	 	(b)	 a FATCA Deduction. 

  

	22.5	 FATCA Information 

 

	(a)	 Subject to paragraph (c) below, each Party shall, within ten Business Days of a reasonable request by
another Party: 

  

	 	(i)	 confirm to that other Party whether it is: 

 

	 	(A)	 a FATCA Exempt Party; or 

 

	 	(B)	 not a FATCA Exempt Party; and 

 

	 	(ii)	 supply to that other Party such forms, documentation and other information relating to its status under FATCA
as that other Party reasonably requests for the purposes of that other Party’s compliance with FATCA; and 

  

	 	(iii)	 supply to that other Party such forms, documentation and other information relating to its status as that other
Party reasonably requests for the purposes of that other Party’s compliance with any other law, regulation or exchange of information regime. 

  

	(b)	 If a Party confirms to another Party pursuant to sub-paragraph
(i) of paragraph (a) above that it is a FATCA Exempt Party and it subsequently becomes aware that it is not, or has ceased to be a FATCA Exempt Party, that Party shall notify that other Party reasonably promptly. 

 

	(c)	 Paragraph (a) above shall not oblige any Creditor Party to do anything and
sub-paragraph (iii) of paragraph (a) above shall not oblige any other Party to do anything which would or might in its reasonable opinion constitute a breach of: 

 

	 	(i)	 any law or regulation; 

 

	 	(ii)	 any fiduciary duty; or 

 

	 	(iii)	 any duty of confidentiality. 

 

	(d)	 If a Party fails to confirm whether or not it is a FATCA Exempt Party or to supply forms, documentation or
other information requested in accordance with sub-paragraphs (i) or (ii) of paragraph (a) above (including, for the avoidance of doubt, where paragraph (c) above applies), then such Party shall
be treated for the purposes of the Finance Documents (and payments under them) as if it is not a FATCA Exempt Party until such time as the Party in question provides the requested confirmation, forms, documentation or other information.

  
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	(e)	 If a Lender knows or has reason to know that the Borrower is a US Tax Obligor, or where the Agent reasonably
believes that its obligations under FATCA require it, each Lender shall, within ten Business Days of: 

  

	 	(i)	 where the Lender knows or has reason to know that the Borrower is a US Tax Obligor and the relevant Lender is a
Party as at the date of this Agreement, the date of this Agreement; 

  

	 	(ii)	 where the Lender knows or has reason to know that the Borrower is a US Tax Obligor and the relevant Lender
became a Party after the date of this Agreement, the date on which the relevant Transfer Certificate became effective; or 

  

	 	(iii)	 the date of a request from the Agent, 

supply to the Agent: 
  

	 	(iv)	 a withholding certificate on US Internal Revenue Service Form W-8 or
Form W-9 (or any successor form) (as applicable); or 

  

	 	(v)	 any withholding statement and other documentation, authorisations and waivers as the Agent may require to
certify or establish the status of such Lender under FATCA. 

 The Agent shall provide any withholding certificate,
withholding statement, documentation, authorisations and waivers it receives from a Lender pursuant to this paragraph (e) to the Borrower, to the extent required for compliance with FATCA or any other law or regulation, and shall be entitled to
rely on any such withholding certificate, withholding statement, documentation, authorisations and waivers provided without further verification. The Agent shall not be liable for any action taken by it under or in connection with this paragraph
(e). 
  

	(f)	 Each Lender agrees that if any withholding certificate, withholding statement, documentation, authorisations
and waivers provided to the Agent pursuant to paragraph (e) above is or becomes materially inaccurate or incomplete, it shall promptly update such withholding certificate, withholding statement, documentation, authorisations and waivers or
promptly notify the Agent in writing of its legal inability to do so. The Agent shall provide any such updated withholding certificate, withholding statement, documentation, authorisations and waivers to the Borrower, to the extent required for
compliance with FATCA or any other law or regulation. The Agent shall not be liable for any action taken by it under or in connection with this paragraph (f). 

 

	22.6	 FATCA Deduction 

 

	(a)	 Each Party may make any FATCA Deduction as it reasonably determines it is required to make by FATCA, and any
payment required in connection with that FATCA Deduction, and no Party shall be required to increase any payment in respect of which it makes such a FATCA Deduction or otherwise compensate the recipient of the payment for that FATCA Deduction.

  

	(b)	 Each Party shall promptly, upon becoming aware that it must make a FATCA Deduction (or that there is any change
in the rate or the basis of such FATCA Deduction), notify the Party to whom it is making the payment and, in addition, shall notify the Borrower and the Agent and the Agent shall notify the other Creditor Parties. 

  
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	23	 ILLEGALITY, ETC. 

 

	23.1	 Illegality 

This Clause 23 applies if a Lender (the “Notifying Lender”) notifies the Agent that it has become, or will with effect from a
specified date, become: 
  

	(a)	 unlawful or prohibited as a result of the introduction of a new law, an amendment to an existing law or a
change in the manner in which an existing law is or will be interpreted or applied; or 

  

	(b)	 contrary to, or inconsistent with, any regulation, 

for the Notifying Lender to perform, maintain or give effect to any of its obligations under this Agreement in the manner contemplated by this
Agreement or to fund or maintain the Loan. 
  

	23.2	 Notification of illegality 

The Agent shall promptly notify the Borrower, the Security Parties, the Security Trustee and the other Lenders of the notice under Clause 23.1
which the Agent receives from the Notifying Lender. 
  

	23.3	 Prepayment; termination of Commitment 

On the Agent notifying the Borrower under Clause 23.2, the Notifying Lender’s Commitment shall be immediately cancelled; and thereupon or,
if later, on the date specified in the Notifying Lender’s notice under Clause 23.1 as the date on which the notified event would become effective the Borrower shall prepay the Notifying Lender’s Contribution on the last day of the then
current Interest Period in accordance with Clauses 8.10 and 8.11. 
  

	24	 INCREASED COSTS 

 

	24.1	 Increased costs 

This Clause 24 applies if a Lender (the “Notifying Lender”) notifies the Agent that the Notifying Lender considers that as a
result of: 
  

	(a)	 the introduction or alteration after the date of this Agreement of a law or an alteration after the date of
this Agreement in the manner in which a law is interpreted or applied (disregarding any effect which relates to the application to payments under this Agreement of a tax on the Lender’s overall net income); or 

 

	(b)	 complying with any regulation (including any which relates to capital adequacy or liquidity controls or which
affects the manner in which the Notifying Lender allocates capital resources to its obligations under this Agreement) which is introduced, or altered, or the interpretation or application of which is altered, after the date of this Agreement; or

  

	(c)	 the implementation or application of or compliance with the “International Convergence of Capital
Measurement and Capital Standards, a Revised Framework” published by the Basel Committee on Banking Supervision in June 2004 in the form existing on the date of this Agreement (the “Basel II Accord”) or any other law or
regulation implementing the Basel II Accord or any of the approaches provided for and allowed to be used by banks under or in connection with the Basel II Accord, in each case when compared to the cost of complying with such regulations as
determined by the Agent (or parent company of it) on the date of this Agreement (whether such implementation, application or compliance is by a government, regulator, supervisory authority, the Notifying Lender or its holding company); or

  
 70 

	(d)	 the implementation or application of or compliance with Basel III or any law or regulation which implements or
applies Basel III (regardless of the date on which it is enacted, adopted or issued and regardless of whether any such implementation, application or compliance is by a government, regulator, the Notifying Lender or any of its affiliates),

 the Notifying Lender (or a parent company of it) has incurred or will incur an “increased cost”. 

 

	24.2	 Meaning of “increased cost” 

In this Clause 24, “increased cost” means, in relation to a Notifying Lender: 

 

	 	(a)	 an additional or increased cost incurred as a result of, or in connection with, the Notifying Lender having
entered into, or being a party to, this Agreement or a Transfer Certificate, of funding or maintaining its Commitment or Contribution or performing its obligations under this Agreement, or of having outstanding all or any part of its Contribution or
other unpaid sums; 

  

	 	(b)	 a reduction in the amount of any payment to the Notifying Lender under this Agreement or in the effective
return which such a payment represents to the Notifying Lender or on its capital; 

  

	 	(c)	 an additional or increased cost of funding all or maintaining all or any of the advances comprised in a class
of advances formed by or including the Notifying Lender’s Contribution or (as the case may require) the proportion of that cost attributable to the Contribution; or 

 

	 	(d)	 a liability to make a payment, or a return foregone, which is calculated by reference to any amounts received
or receivable by the Notifying Lender under this Agreement, 

 but not an item attributable to a change in the rate of tax
on the overall net income of the Notifying Lender (or a parent company of it) or an item covered by the indemnity for tax in Clause 21.1 or by Clause 22 or a FATCA Deduction required to be made by a Party. 

For the purposes of this Clause 24.2 the Notifying Lender may in good faith allocate or spread costs and/or losses among its assets and
liabilities (or any class of its assets and liabilities) on such basis as it considers appropriate. 
  

	24.3	 Notification to Borrower of claim for increased costs 

The Agent shall promptly notify the Borrower and the Security Parties of the notice which the Agent received from the Notifying Lender under
Clause 24.1. 
  

	24.4	 Payment of increased costs 

The Borrower shall pay to the Agent, within 5 Business Days after the Agent’s demand, for the account of the Notifying Lender the amounts
which the Agent from time to time notifies the Borrower that the Notifying Lender has specified to be necessary to compensate the Notifying Lender for the increased cost. 

  
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	24.5	 Notice of prepayment 

If the Borrower is not willing to continue to compensate the Notifying Lender for the increased cost under Clause 24.4, the Borrower may give
the Agent not less than 14 days’ notice of their intention to prepay the Notifying Lender’s Contribution at the end of an Interest Period. 
  

	24.6	 Prepayment; termination of Commitment 

A notice under Clause 24.5 shall be irrevocable; the Agent shall promptly notify the Notifying Lender of the Borrower’s notice of intended
prepayment; and: 
  

	(a)	 on the date on which the Agent serves that notice, the Commitment of the Notifying Lender shall be cancelled;
and 

  

	(b)	 on the date specified in its notice of intended prepayment, the Borrower shall prepay (without premium or
penalty) the Notifying Lender’s Contribution, together with accrued interest thereon at the applicable rate plus the Margin and the Mandatory Cost (if any). 

 

	24.7	 Application of prepayment 

 

	 	Clause	 8 shall apply in relation to the prepayment. 

 

	25	 SET-OFF 

 

	25.1	 Application of credit balances 

Each Creditor Party may without prior notice to the Borrower but with prior notice to the Agent: 

 

	(a)	 apply any balance (whether or not then due) which at any time stands to the credit of any account in the name
of the Borrower at any office in any country of that Creditor Party in or towards satisfaction of any sum then due from the Borrower to that Creditor Party under any of the Finance Documents; and 

 

	(b)	 for that purpose: 

  

	 	(i)	 break, or alter the maturity of, all or any part of a deposit of the Borrower; 

 

	 	(ii)	 convert or translate all or any part of a deposit or other credit balance into Dollars; and

  

	 	(iii)	 enter into any other transaction or make any entry with regard to the credit balance which the Creditor Party
concerned considers appropriate. 

  

	25.2	 Existing rights unaffected 

No Creditor Party shall be obliged to exercise any of its rights under Clause 25.1; and those rights shall be without prejudice and in addition
to any right of set-off, combination of accounts, charge, lien or other right or remedy to which a Creditor Party is entitled (whether under the general law or any document). 

 

	25.3	 Sums deemed due to a Lender 

For the purposes of this Clause 25, a sum payable by the Borrower to the Agent or the Security Trustee for distribution to, or for the account
of, a Lender shall be treated as a sum due to that Lender; and each Lender’s proportion of a sum so payable for distribution to, or for the account of, the Lenders shall be treated as a sum due to such Lender. 

  
 72 

	25.4	 No Security Interest 

This Clause 25 gives the Creditor Parties a contractual right of set-off only, and does not create any
equitable charge or other Security Interest over any credit balance of the Borrower. 
  

	26	 TRANSFERS AND CHANGES IN LENDING OFFICES 

 

	26.1	 Transfer by Borrower 

The Borrower may not assign or transfer any of its rights, liabilities or obligations under any Finance Document. 

 

	26.2	 Transfer by a Lender 

Subject to Clause 26.4, a Lender (the “Transferor Lender”) may at any time, without the consent of the Borrower or any
Security Party, but after consultation with the Borrower, cause: 
  

	(a)	 its rights in respect of all or part of its Contribution; or 

 

	(b)	 its obligations in respect of all or part of its Commitment; or 

 

	(c)	 a combination of (a) and (b); or 

 

	(d)	 all or part of its credit risk under this Agreement and the other Finance Documents, 

to be syndicated to or, (in the case of its rights) assigned, pledged or transferred to, or (in the case of its obligations) pledged or assumed
by, any other bank or financial institution or to a trust, fund or other entity, provided such other entity is regularly engaged in, or established for the purpose of, making, purchasing or investing in loans, securities or other financial assets (a
“Transferee Lender”) by delivering to the Agent a completed certificate in the form set out in Schedule 5 with any modifications approved or required by the Agent (a “Transfer Certificate”) executed by the
Transferor Lender and the Transferee Lender. 
 However, any rights and obligations of the Transferor Lender in its capacity as Agent or
Security Trustee will have to be dealt with separately in accordance with the Agency and Trust Agreement. 
 All costs and expenses relating
to a transfer effected pursuant to this Clause 26.2 shall be borne by the Transferee Lender. 
  

	26.3	 Transfer Certificate, delivery and notification 

As soon as reasonably practicable after a Transfer Certificate is delivered to the Agent, it shall (unless it has reason to believe that the
Transfer Certificate may be defective): 
  

	(a)	 sign the Transfer Certificate on behalf of itself, the Borrower, the Security Parties, the Security Trustee and
each of the other Lenders; 

  

	(b)	 on behalf of the Transferee Lender, send to the Borrower and each Security Party letters or faxes notifying
them of the Transfer Certificate and attaching a copy of it; and 

  
 73 

	(c)	 send to the Transferee Lender copies of the letters or faxes sent under paragraph (b) above.

  

	26.4	 Effective Date of Transfer Certificate 

A Transfer Certificate becomes effective on the date, if any, specified in the Transfer Certificate as its effective date Provided that
it is signed by the Agent under Clause 26.3 on or before that date. 
  

	26.5	 No transfer without Transfer Certificate 

Except as provided in Clause 26.18, no assignment or transfer of any right or obligation of a Lender under any Finance Document is binding on,
or effective in relation to, the Borrower, any Security Party, the Agent or the Security Trustee unless it is effected, evidenced or perfected by a Transfer Certificate. 
  

	26.6	 Lender re-organisation 

However, if a Lender enters into any merger, de-merger or other reorganisation as a result of which all
its rights or obligations vest in another person (the “successor”), the successor shall become a Lender with the same Commitment and Contribution as were held by the predecessor Lender only upon receipt by the Agent of a notice to
this effect and evidence that all rights and obligations have automatically and by operation of law vested in the successor by virtue of the merger, de-merger or other reorganisation, without the need for the
execution and delivery of a Transfer Certificate; the Agent shall in that event inform the Borrower and the Security Trustee accordingly. 
  

	26.7	 Effect of Transfer Certificate 

A Transfer Certificate takes effect in accordance with English law as follows: 

 

	(a)	 to the extent specified in the Transfer Certificate, all rights and interests (present, future or contingent)
which the Transferor Lender has under or by virtue of the Finance Documents are assigned to the Transferee Lender absolutely, free of any defects in the Transferor Lender’s title and of any rights or equities which the Borrower or any Security
Party had against the Transferor Lender; 

  

	(b)	 the Transferor Lender’s Commitment is discharged to the extent specified in the Transfer Certificate;

  

	(c)	 the Transferee Lender becomes a Lender with the Contribution previously held by the Transferor Lender and a
Commitment of an amount specified in the Transfer Certificate; 

  

	(d)	 the Transferee Lender becomes bound by all the provisions of the Finance Documents which are applicable to the
Lenders generally, including those about pro-rata sharing and the exclusion of liability on the part of, and the indemnification of, the Agent and the Security Trustee and, to the extent that the Transferee
Lender becomes bound by those provisions (other than those relating to exclusion of liability), the Transferor Lender ceases to be bound by them; 

  

	(e)	 any part of the Loan which the Transferee Lender advances after the Transfer Certificate’s effective date
ranks in point of priority and security in the same way as it would have ranked had it been advanced by the transferor, assuming that any defects in the transferor’s title and any rights or equities of the Borrower or any Security Party against
the Transferor Lender had not existed; 

  
 74 

	(f)	 the Transferee Lender becomes entitled to all the rights under the Finance Documents which are applicable to
the Lenders generally, including but not limited to those relating to the Majority Lenders and those under Clause 5.7 and Clause 20, and to the extent that the Transferee Lender becomes entitled to such rights, the Transferor Lender ceases to be
entitled to them; and 

  

	(g)	 in respect of any breach of a warranty, undertaking, condition or other provision of a Finance Document or any
misrepresentation made in or in connection with a Finance Document, the Transferee Lender shall be entitled to recover damages by reference to the loss incurred by it as a result of the breach or misrepresentation, irrespective of whether the
original Lender would have incurred a loss of that kind or amount. 

 The rights and equities of the Borrower or any
Security Party referred to above include, but are not limited to, any right of set off and any other kind of cross-claim. 
  

	26.8	 Maintenance of register of Lenders 

During the Security Period the Agent shall maintain a register in which it shall record the name, Commitment, Contribution and administrative
details (including the lending office) from time to time of each Lender holding a Transfer Certificate and the effective date (in accordance with Clause 26.4) of the Transfer Certificate; and the Agent shall make the register available for
inspection by any Lender, the Security Trustee and the Borrower during normal banking hours, subject to receiving at least three Business Days’ prior notice. 
  

	26.9	 Reliance on register of Lenders 

The entries on that register shall, in the absence of manifest error, be conclusive in determining the identities of the Lenders and the
amounts of their Commitments and Contributions and the effective dates of Transfer Certificates and may be relied upon by the Agent and the other parties to the Finance Documents for all purposes relating to the Finance Documents. 

 

	26.10	 Authorisation of Agent to sign Transfer Certificates 

The Borrower, the Security Trustee and each Lender irrevocably authorises the Agent to sign Transfer Certificates on its behalf. The Borrower
and each Security Party irrevocably agree to the transfer procedures set out in this Clause 26 and to the extent the cooperation of the Borrower and/or any Security Party shall be required to effect any such transfer, the Borrower and such Security
Party shall take all necessary steps to afford such cooperation Provided that this shall not result in any additional costs to the Borrower or such Security Party. 
  

	26.11	 Sub-participation; subrogation assignment 

A Lender may sub-participate or include in a securitisation or similar transaction all or any part of
its rights and/or obligations under or in connection with the Finance Documents without the Borrower’s prior consent and without serving a notice thereon; the Lenders may assign without the Borrower’s prior consent but after consultation
with the Borrower, in any manner and terms agreed by the Majority Lenders, the Agent and the Security Trustee, all or any part of those rights to an insurer or surety who has become subrogated to them. 

  
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	26.12	 Registration fee 

In respect of any Transfer Certificate, the Agent shall be entitled to recover a registration fee of $2,500 from the Transferor Lender or (at
the Agent’s option) the Transferee Lender. 
  

	26.13	 Sub-division, split, modification or
re-tranching 

 Any Lender may, in its sole discretion, sub-divide, split, sever, modify or re-tranche its Contribution into one or more parts subject to the overall cost of its Contribution to the Borrower remaining unchanged, if
such changes are necessary in order to achieve a successful execution of a securitisation, syndication or any other capital market exit in respect of its Contribution (or any applicable part thereof). 

 

	26.14	 Disclosure of information 

A Lender may, without the prior consent of the Borrower or any Security Party, disclose to a potential Transferee Lender or sub participant as
well as, where relevant, to rating agencies, trustees and accountants, any financial or other information which that Lender has received in relation to the Loan, the Borrower and any Security Party or their affairs and collateral or security
provided under or in connection with any Finance Document, their financial circumstances and any other information whatsoever, as that Lender may deem reasonably necessary or appropriate in connection with the potential syndication, the assessment
of the credit risk and the ongoing monitoring of the Loan by any potential Transferee Lender and that Lender shall be released from its obligation of secrecy and from banking confidentiality. 

This permission is given for the purposes of giving relief from banking secrecy and confidentiality requirements. It is not intended as and is
no declaration of consent in accordance with the DS_GVO (DS-GVO refers to Datenschutz-Grundverordnung, the German term for General Data Protection Regulation) (EU Regulation 2016/679, General Data Protection
Regulation). 
 In the event any such potential Transferee Lender, sup-participant, rating agency,
trustee or accountant is not already bound by any legal obligation of secrecy or banking confidentiality, the Lender concerned may only give, disclose or reveal such information as Navios Acquisition is entitled to disclose by rules and regulations
of the SEC and the New York Stock Exchange applicable to Navios Acquisition and shall require such other party to sign a confidentiality agreement. The Borrower shall, and shall procure that Navios Acquisition and any other Security Party shall:

  

	(a)	 provide the Creditor Parties (or any of them) with all information deemed, reasonably, necessary by the
Creditor Parties (or any of them) for the purposes of any transfer, syndication or sub-participation to be effected pursuant to this Clause 26; 

 

	(b)	 procure that the directors and officers of the Borrower or any Security Party, are available to participate in
any meeting with any Transferee Lender or any rating agency at such times and places as the Creditor Parties may reasonably request following prior notice (to be served on the Borrower reasonably in advance) to the Borrower or that Security Party;
and 

  

	(c)	 permit any Transferee Lender to board the Ship at all reasonable times and locations to inspect its condition
in accordance with Clause 14.8. 

  
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	26.15	 Confidentiality 

Any publicity regarding the Loan or any of the terms thereof shall be agreed in advance by Navios Acquisition and the Agent (acting on the
instructions of the Majority Lenders) unless otherwise required in connection with Navios Acquisition’s reporting obligations under or in connection with the rules and regulations of the SEC and the New York Stock Exchange applicable to Navios
Acquisition. 
  

	26.16	 Change of lending office 

A Lender may change its lending office by giving notice to the Agent and the change shall become effective on the later of: 

 

	(a)	 the date on which the Agent receives the notice; and 

 

	(b)	 the date, if any, specified in the notice as the date on which the change will come into effect.

  

	26.17	 Notification 

On receiving such a notice, the Agent shall notify the Borrower and the Security Trustee; and, until the Agent receives such a notice, it shall
be entitled to assume that a Lender is acting through the lending office of which the Agent last had notice. 
  

	26.18	 Security over Lenders’ rights 

In addition to the other rights provided to Lenders under this Clause 26, each Lender may without consulting with or obtaining consent from,
the Borrower or any Security Party, at any time charge, assign or otherwise create a Security Interest in or over (whether by way of collateral or otherwise) all or any of its rights under any Finance Document to secure obligations of that Lender
including, without limitation: 
  

	(a)	 any charge, assignment or other Security Interest to secure obligations to a federal reserve or central bank;
and 

  

	(b)	 in the case of any Lender which is a fund, any charge, assignment or other Security Interest granted to any
holders (or trustee or representatives of holders) of obligations owed, or securities issued, by that Lender as security for those obligations or securities; 

except that no such charge, assignment or Security Interest shall: 
  

	 	(i)	 release a Lender from any of its obligations under the Finance Documents or substitute the beneficiary of the
relevant charge, assignment or Security Interest for the Lender as a party to any of the Finance Documents; or 

  

	 	(ii)	 require any payments to be made by the Borrower or any Security Party or grant to any person any more extensive
rights than those required to be made or granted to the relevant Lender under the Finance Documents. 

  

	26.19	 Replacement of a Reference Bank 

If any Reference Bank ceases to be a Lender or is unable on a continuing basis to supply quotations for the purposes of Clause 5 then, unless
the Borrower, the Agent and the Majority Lenders otherwise agree, the Agent, acting on the instructions of the Majority Lenders, and after consulting the Borrower, shall appoint another bank (whether or not a Lender) to be a replacement Reference
Bank; and, when that appointment comes into effect, the first-mentioned Reference Bank’s appointment shall cease to be effective. 

  
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	26.20	 Securitisation 

The Borrower shall, and the Borrower shall procure that each Security Party will, assist the Agent and/or any Lender in achieving a successful
securitisation (or similar transaction) in respect of the Loan and the Finance Documents and such Security Party’s reasonable costs for providing such assistance shall be met by the relevant Lender. 

 

	26.21	 No additional costs 

If a Transferor Lender assigns or transfers any of its rights or obligations under the Finance Documents and as a result of circumstances
existing at the date the assignment or transfer occurs, the Borrower or a Security Party would be obliged to make a payment to the Transferee Lender under Clause 22.2 or under that clause as incorporated by reference or in full in any other Finance
Document, then the Transferee Lender is only entitled to receive payment under that clause to the same extent as the Transferor Lender would have been if the assignment or transfer had not occurred. 

 

	27	 VARIATIONS AND WAIVERS 

 

	27.1	 Required consents 

 

	(a)	 Subject to Clause 27.2 (Exceptions) any term of the Finance Documents may be amended or waived only with
the consent of the Majority Lenders and the Borrower and any such amendment or waiver will be binding on all Creditor Parties and the Borrower. 

  

	(b)	 Any instructions given by the Majority Lenders will be binding on all the Creditor Parties.

  

	(c)	 The Agent may effect, on behalf of any Creditor Party, any amendment or waiver permitted by this Clause.

  

	27.2	 Exceptions 

  

	(a)	 An amendment or waiver that has the effect of changing or which relates to: 

 

	 	(i)	 the definition of “Majority Lenders” or “Finance Documents” in Clause 1.1 (Definitions);

  

	 	(ii)	 an extension to the date of payment of any amount under the Finance Documents; 

 

	 	(iii)	 a reduction in the Margin or a reduction in the amount of any payment of principal, interest fees, commission
or other amount payable under any of the Finance Documents; 

  

	 	(iv)	 an increase in or an extension of any Lender’s Commitment; 

 

	 	(v)	 any provision which expressly requires the consent of all the Lenders; 

 

	 	(vi)	 Clause 3 (Position of the Lenders), Clause 11.5 (Information provided to be accurate), Clause
11.6 (Provision of financial statements), Clause 11.7 (Form of financial statements), Clause 11.6 (Provision of further information), Clause 26 (Transfers and Changes in Lending Offices) or this Clause 27.2;

  
 78 

	 	(vii)	 any release of any Security Interest, guarantee, indemnities or subordination arrangement created by any
Finance Document; 

  

	 	(viii)	 any change of the currency in which the Loan is provided or any amount is payable under any of the Finance
Documents; 

  

	 	(ix)	 an extension of the Availability Period; or 

 

	 	(x)	 a change in Clauses 16.4 (Distribution of payment to Creditor Parties) or 22
(Grossing-up), 

 may not be effected without the prior written consent of all
Lenders. 
  

	(b)	 An amendment or waiver which relates to the rights or obligations of the Agent, the Mandated Lead Arranger or
the Security Trustee may not be effected without the consent of the Agent, the Mandated Lead Arranger or the Security Trustee, as the case may be. 

  

	27.3	 Exclusion of other or implied variations 

Except for a document which satisfies the requirements of Clauses 27.1 and 27.2, no document, and, subject to Clause 27.4, no act, course of
conduct, failure or neglect to act, delay or acquiescence on the part of the Creditor Parties or any of them (or any person acting on behalf of any of them) shall result in the Creditor Parties or any of them (or any person acting on behalf of any
of them) being taken to have varied, waived, suspended or limited, or being precluded (permanently or temporarily) from enforcing, relying on or exercising: 
  

	(a)	 a provision of this Agreement or another Finance Document; or 

 

	(b)	 an Event of Default; or 

 

	(c)	 a breach by the Borrower, the Approved Manager or a Security Party of an obligation under a Finance Document or
the general law; or 

  

	(d)	 any right or remedy conferred by any Finance Document or by the general law, 

and there shall not be implied into any Finance Document any term or condition requiring any such provision to be enforced, or such right or
remedy to be exercised, within a certain or reasonable time. 
  

	27.4	 Deemed consent 

With respect to any amendment, variation, waiver, suspension or limit requested by any Party and which requires the approval of all the Lenders
or the Majority Lenders (as the case may be), other than an amendment or supplement (or any proposal for such an amendment or supplement) in connection with a Finance Document or any other Pertinent Document required as contemplated in Clause 27.5,
the Agent shall provide each Lender with written notice of such request accompanied by such detailed background information as may be reasonably necessary (in the opinion of the Agent) to determine whether to approve such action. A Lender shall be
deemed to have approved such action if such Lender fails to object to such action by written notice to the Agent within 10 days of that Lender’s receipt of the Agent’s notice or such other time as the Agent may state in the relevant notice
as being the time available for approval of such action. 

  
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	27.5	 Replacement of Screen Rate 

 

	(a)	 Subject to paragraph (b) of Clause 27.2, if a Screen Rate Replacement Event has occurred in relation to
the Screen Rate for dollars, any amendment or waiver which relates to: 

  

	 	(i)	 providing for the use of a Replacement Benchmark in relation to (or in addition to) that currency in place of
that Screen Rate; and 

  

	 	(ii)	 

  

	 	(A)	 aligning any provision of any Finance Document to the use of that Replacement Benchmark; 

 

	 	(B)	 enabling that Replacement Benchmark to be used for the calculation of interest under this Agreement (including,
without limitation, any consequential changes required to enable that Replacement Benchmark to be used for the purposes of this Agreement); 

  

	 	(C)	 implementing market conventions applicable to that Replacement Benchmark; 

 

	 	(D)	 providing for appropriate fallback (and market disruption) provisions for that Replacement Benchmark; or

  

	 	(E)	 adjusting the pricing to reduce or eliminate, to the extent reasonably practicable, any transfer of economic
value from one Party to another as a result of the application of that Replacement Benchmark (and if any adjustment or method for calculating any adjustment has been formally designated, nominated or recommended by the Relevant Nominating Body, the
adjustment shall be determined on the basis of that designation, nomination or recommendation), 

 may be made with the
consent of the Agent (acting on the instructions of the Majority Lenders) and the Borrower. 
  

	(b)	 If any Lender fails to respond to a request for an amendment or waiver described in paragraph (a) above
within 5 Business Days (or such longer time period in relation to any request which the Borrower and the Agent may agree) of that request being made: 

  

	 	(i)	 its Commitment shall not be included for the purpose of calculating the Total Commitments when ascertaining
whether any relevant percentage of Total Commitments has been obtained to approve that request; and 

  

	 	(ii)	 its status as a Lender shall be disregarded for the purpose of ascertaining whether the agreement of any
specified group of Lenders has been obtained to approve that request. 

  
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	28	 NOTICES 

  

	28.1	 General 

Unless otherwise specifically provided, any notice under or in connection with any Finance Document shall be given by letter or fax; and
references in the Finance Documents to written notices, notices in writing and notices signed by particular persons shall be construed accordingly. 
  

	28.2	 Addresses for communications 

A notice by letter or fax shall be sent: 
  

	(a)	 to the Borrower: 

c/o Navios Tankers Management Inc. 

85 Akti Miaouli 
 Piraeus 185 38

 Greece 
 Fax No: +30 210 417
2070 
 for the attention of: Vassiliki Papaefthymiou 
  

	(b)	 to a Lender: 

At the address below its name in Schedule 1 or (as the case may require) in the relevant Transfer Certificate. 

 

	(c)	 to the Agent and Security Trustee: 

for general matters: 
 Hamburg
Commercial Bank AG 
 BU Asset Based Finance/Shipping 

Gerhart-Hauptmann-Platz 50 
 20095
Hamburg 
 Germany 
 Fax No: +30
210 429 5323 
 Attn: Mr. Loukas Lagaras/Mr Solon Merikas 

for credit administrative matters: 

Hamburg Commercial Bank AG 
 BU
Business Operations 
 Loan & Collateral Operations 

Gerhart-Hauptmann-Platz 50 
 20095
Hamburg 
 Germany 

  
 81 

 Fax No: +49 40 3333 34167, 

or to such other address as the relevant Party may notify the Agent or, if the relevant Party is the Agent or the Security Trustee, the
Borrower, the Lenders and the Security Parties. 
  

	28.3	 Effective date of notices 

Subject to Clauses 28.4 and 28.5: 
  

	(a)	 a notice which is delivered personally or posted shall be deemed to be served, and shall take effect, at the
time when it is delivered; and 

  

	(b)	 a notice which is sent by fax shall be deemed to be served, and shall take effect, two hours after its
transmission is completed. 

  

	28.4	 Service outside business hours 

However, if under Clause 28.3 a notice would be deemed to be served: 
  

	(a)	 on a day which is not a business day in the place of receipt; or 

 

	(b)	 on such a business day, but after 5 p.m. local time, 

the notice shall (subject to Clause 28.5) be deemed to be served, and shall take effect, at 9 a.m. on the next day which is such a business
day. 
  

	28.5	 Illegible notices 

Clauses 28.3 and 28.4 do not apply if the recipient of a notice notifies the sender within one hour after the time at which the notice would
otherwise be deemed to be served that the notice has been received in a form which is illegible in a material respect. 
  

	28.6	 Valid notices 

A notice under or in connection with a Finance Document shall not be invalid by reason that its contents or the manner of serving it do not
comply with the requirements of this Agreement or, where appropriate, any other Finance Document under which it is served if: 
  

	(a)	 the failure to serve it in accordance with the requirements of this Agreement or other Finance Document, as the
case may be, has not caused any party to suffer any significant loss or prejudice; or 

  

	(b)	 in the case of incorrect and/or incomplete contents, it should have been reasonably clear to the party on which
the notice was served what the correct or missing particulars should have been. 

  

	28.7	 Electronic communication 

Any communication from the Agent or the other Creditor Parties made by electronic means will be sent unsecured and without electronic
signature, however, the Borrower may request the Agent and the other Creditor Parties at any time in writing to change the method of electronic communication from unsecured to secured electronic mail communication. 

  
 82 

 The Borrower hereby acknowledges and accepts the risks associated with the use of unsecured
electronic mail communication including, without limitation, risk of delay, loss of data, confidentiality breach, forgery, falsification and malicious software. The Agent and the other Creditor Parties shall not be liable in any way for any loss or
damage or any other disadvantage suffered by the Borrower resulting from such unsecured electronic mail communication. 
 If the Borrower or
any other Security Party wish to cease all electronic communication, they shall give written notice to the Agent and the other Creditor Parties accordingly after receipt of which notice the Parties shall cease all electronic communication. 

For as long as electronic communication is an accepted form of communication, the Parties shall: 

 

	(a)	 notify each other in writing of their electronic mail address and/or any other information required to enable
the sending and receipt of information by that means; and 

  

	(b)	 notify each other of any change to their respective addresses or any other such information supplied to them;
and 

 in case electronic communication is sent to recipients with the domain <domain with ending>, the parties shall
without undue delay inform each other if there are changes to the said domain or if electronic communication shall thereafter be sent to individual e-mail addresses. 

 

	28.8	 English language 

Any notice under or in connection with a Finance Document shall be in English. 

 

	28.9	 Meaning of “notice” 

In this Clause 28, “notice” includes any demand, consent, authorisation, approval, instruction, waiver or other communication.

  

	29	 SUPPLEMENTAL 

  

	29.1	 Rights cumulative, non-exclusive 

The rights and remedies which the Finance Documents give to each Creditor Party are: 

 

	(a)	 cumulative; 

  

	(b)	 may be exercised as often as appears expedient; and 

 

	(c)	 shall not, unless a Finance Document explicitly and specifically states so, be taken to exclude or limit any
right or remedy conferred by any law. 

  

	29.2	 Severability of provisions 

If any provision of a Finance Document is or subsequently becomes void, unenforceable or illegal, that shall not affect the validity,
enforceability or legality of the other provisions of that Finance Document or of the provisions of any other Finance Document. 
  

	29.3	 Counterparts 

A Finance Document may be executed in any number of counterparts. 

  
 83 

	29.4	 Third party rights 

A person who is not a party to this Agreement has no right under the Contracts (Rights of Third Parties) Act 1999 to enforce or to enjoy the
benefit of any term of this Agreement. 
  

	29.5	 Benefit and binding effect 

The terms of this Agreement shall be binding upon, and shall enure to the benefit of, the Parties and their respective (including subsequent)
successors and permitted assigns and transferees. 
  

	30	 LAW AND JURISDICTION 

 

	30.1	 English law 

This Agreement and any non-contractual obligations arising out of or in connection with it shall be
governed by, and construed in accordance with, English law. 
  

	30.2	 Exclusive English jurisdiction 

Subject to Clause 30.3, the courts of England shall have exclusive jurisdiction to settle any Dispute. 

 

	30.3	 Choice of forum for the exclusive benefit of the Creditor Parties 

Clause 30.2 is for the exclusive benefit of the Creditor Parties, each of which reserves the right: 

 

	(a)	 to commence proceedings in relation to any Dispute in the courts of any country other than England and which
have or claim jurisdiction to that Dispute; and 

  

	(b)	 to commence such proceedings in the courts of any such country or countries concurrently with or in addition to
proceedings in England or without commencing proceedings in England. 

 The Borrower shall not commence any proceedings in
any country other than England in relation to a Dispute. 
  

	30.4	 Process agent 

The Borrower irrevocably appoints Hill Dickinson LLP at their office for the time being, presently at The Broadgate Tower, 20 Primrose Street,
London EC2A 2EW, England to act as its agent to receive and accept on its behalf any process or other document relating to any proceedings in the English courts which are connected with a Dispute. 

 

	30.5	 Creditor Party rights unaffected 

Nothing in this Clause 30 shall exclude or limit any right which any Creditor Party may have (whether under the law of any country, an
international convention or otherwise) with regard to the bringing of proceedings, the service of process, the recognition or enforcement of a judgment or any similar or related matter in any jurisdiction. 

30.6 Meaning of “proceedings” and “Dispute” 

In this Clause 30, “proceedings” means proceedings of any kind, including an application for a provisional or protective
measure and a “Dispute” means any dispute arising out of or in connection with this Agreement (including a dispute relating to the existence, validity or termination of this Agreement) or any
non-contractual obligation arising out of or in connection with this Agreement. 
  

	THIS	 AGREEMENT has been entered into on the date stated at the beginning of this Agreement.

  
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