Document:

Exhibit 10.17

 

Time
Charter

GOVERNMENT
FORM

Approved
by the New York Produce Exchange

November 6th,
1913 - Amended October 20th, 1921; August 6th, 1931; October 3rd, 1946

 

This Charter Party,
made and concluded in Athens
                                                23rd  day of  February                             19
2007 Between
STAR GAMMA INC. of
Majuro, Marshall Islands, Owners to be                                                                                          
Owners of the good Panama flag                                
Steamship/Motorship “C.
Duckling” TBRN “Star Gamma”                  
of                   
of 29,295                   
tons gross register, and 17,592
                      
tons net register, having engines of                              
indicated horse power and with hull, cargo spaces, machinery and equipment in a
thoroughly efficient state, and classed BV                         
at                              
of about 66,416                      
cubic metres
feet  grain bale
capacity, and about 53,098
metric              
tons (See Clause 31)
of 2240 lbs. deadweight all told capacity (cargo and bunkers, including fresh
water and stores approximately
280 MT excluding fresh water not exceeding one and one half
percent of ship’s deadweight capacity. allowing a minimum of fifty tons) on
a draft of 12.163              
feet metres
      inches on salt          
Summer freeboard, inclusive of permanent bunkers, which are of the
capacity of about      tons of fuel, and capable of
steaming throughout,
for the duration of this
Charter Party, fully laden, under good weather conditions
about 14.00        Knots
on a consumption of about F.O
CST-380 29.0 metric tons M/E of, AUX 1.7MT , BOILER 0.7/MD 0.0. Bunker specifications as
per Clause 32.  best Welsh coal best grade
fuel oil best grade Diesel oil. now trading                                                                                                                                                                            

                                                                              and
TMT Co. Ltd.,                                                       
Charterers of the City of Taipei

 

Witnesseth,
That the said Owners agree to let, and the said Charterers agree to hire the
said vessel, from the time of delivery, for about  min 12 to about 13 months +/- 10
days in Charterers’ option time charter trading, always afloat,                                   
always within Institute
Warranty Limits, always via safe ports, safe berths, safe anchorages, always
via ice free ports/areas        
within below mentioned trading limits.

 

Charterers to have liberty to sublet the vessel for
all or any part of the time covered by this Charter, but Charterers remaining
responsible for the fulfillment of this Charter Party. Acceptance of delivery by Charterers
shall not constitute any waiver of Owners’ obligations hereunder.
Vessel to be placed at the disposal of the Charterers, at any time day or night, Sundays,
holidays, included within 10 working days in Owners’    
Option immediately after the ship completes her current voyage following
Owners’ aquisition of the title to the ship.

 

in such dock
or at such wharf or place (where she may safely lie, always afloat, at all
times of tide, except as otherwise provided in clause No. 6), as the Charterers
may direct. If such dock, wharf or place be not available time to count as
provided for in clause No. 5. Vessel on her delivery
to be clean and in all
respects ready to load any permissible cargo to in a indepedant surveryor’s
satisfaction, failing which she will be placed off-hire form time of rejection
until she is in all respects ready to load  

ready to receive cargo with clean swept holds and tight, staunch, strong
and in every way fitted for ordinary cargo (as permitted under this Charter Party) service and so
be maintained by the Owners throughout the currency of this Charter Party
the service, having water ballast, winches and donkey boiler with
sufficient steam power, or if not equipped with donkey boiler, then other
power sufficient to run all the winches at one and the same time (and with
full complement of officers, seamen, engineers and firemen for a vessel
of her tonnage), to be employed, in carrying lawful merchandise, including
petroleum or its products, in proper containers, excluding                                                                                                                         

 

 

(vessel is not
to be employed in the carriage of Live Stock, but Charterers are to have the
privilege of shipping a small number on deck at their risk, all necessary
fittings and other requirements to be for account of Charterers), in such
lawful trades, between safe port and/or ports in British North America, and/or
United States of America, and/or West Indies, and/or Central America, and/or
Caribbean Sea, and/or Gulf of Mexico, and/or Mexico, and/or South America                                                                                                      
and/or Africa, and/or Asia, and/or Australia, and/or Tasmania, and/or New
Zealand, but excluding Magdalena River, River St. Lawrence between October 31st
and May 15th, Hudson Bay and all unsafe ports; also excluding, when out of
season, White Sea, Black Sea and the Baltic,  Vessel
not to force ice or follow ice breakers.                                                                                            

                                                                                                                                                                                                                   

                                                                                                                                                                                                                   

as the Charterers or their
Agents shall direct, on the following conditions:

 

1. That the Owners shall provide
and pay for all provisions, wages and consular shipping and discharging fees of
the Crew; also
consular fees necessitated because of vessel’s nationality or in respect of
Owners’ business, also all garbage removal requested by Master provided local
authorities permit, but when compulsory to be for Charterers’ account, shall pay for the 

insurance of the vessel, also for all the cabin, deck,
engine-room and other necessary stores, including boiler water and maintain her
class and keep the vessel in a thoroughly efficient state in hull, machinery
and equipment for and during the service.

 

2. That whilst on hire the Charterers
shall provide and pay for all the fuel except as otherwise agreed, Port
Charges, compulsory/customary
Pilotages including Skaw/Dardanelles/Great
Belt/Magellan, Agencies, Commissions, Tallymen,
Stevedores, Municipality and State Taxes, watchmen where compulsory, canal
tolls and dues, Consular Charges (except those pertaining to the
Crew and vessel), and all other usual
expenses for a Time Charterer Including any
taxes/dues on cargo/freight except those before stated, but when
the vessel puts into a port for causes for which vessel is responsible and contrary to Charterers directions,
then all such charges incurred shall be paid by the Owners. Fumigations ordered
because of illness of the crew to be for Owners account. Fumigations ordered
because of cargoes carried or ports visited while vessel is employed under this
charter to be for Charterers account including crews
transportation and/or accommodation occasioned thereby. All
other fumigations to be for of six months or more.

 

Charterers are
to provide necessary dunnage and shifting boards, also any extra fittings
requisite for a special trade or unusual cargo, but Owners to allow them the
use of any dunnage and shifting boards already aboard vessel. Charterers to
have the privilege of using shifting boards for dunnage, they making good any
damage thereto.

 

3.  That the Charterers, at the port of
delivery, and the Owners, at the port of re-delivery, shall take over and pay
for all fuel remaining on board the vessel or the current prices in the
respective ports, the vessel to be delivered with not less than                                                        
tons and not more than                                                     
tons and to be re-delivered with not less than                                                 
tons and not more than                                            
tons.  See Clause 32.

 

4. That the Charterers shall pay for the use and hire of the said
Vessel at the rate of 28,500 United States
Dollars daily including overtime, payable every 15 days in advance.
United States Currency per ton on vessel’s total deedweight carrying
capacity, including bunkers and stores, on                                                
summer freeboard, per Calendar Month, commencing on and from the day and time of her delivery, as
aforesaid, and at and after the same rate for any part of a day month, hire
to continue until the hour of the day of her re-delivery in like good order and
condition, ordinary wear and tear excepted, to the Owners (unless lost) at See Clause 85                                                                                          
unless otherwise mutually agreed. Charterers are to give Owners not less than 25/20/15/10 days approximate and 5/3/2/1 days definite
notice of vessels expected date of re-delivery, and probable port.

 

5. Payment of said hire to be made in Owners’
bank  New York in cash in United States Currency by telegraphic wire swift, every 15 days
semi-monthly in advance. On the first day of this
Charter Party, Owners/Managers to send by email their invoice to Charterers
which will include the first 15 days hire payment and value of bunkers on
delivery. This amount should be credited to Owners bankers latest 3 banking
days from vessels delivery, for the balance period, and Charterers to ensure
the payment is done in such a manner so as to the money reaches the Owners
latest on the due date without any delays., and for the last
half month or 

part of same the approximate amount of hire, and should same not cover the
actual time, hire is to be paid for the balance day by day, as it becomes

 

 

due, if so required by Owners, unless
bank guarantee or deposit is made by the Charterers, otherwise failing the
punctual and regular payment of the hire, or bank guarantee, or on any
breach of this Charter Party, the Owners shall be at liberty to withdraw the
vessel from the service of the Charterers, without prejudice to any claim they
(the Owners) may otherwise have on the Charterers. See
Clause 35 Time to count from 7 a.m. on the working day.

following that on which written notice of readiness has been given to
Charterers or their Agents before 4 p.m. but if required by Charterers, they to
have the privilege of using vessel at once, such time used to count as hire.

 

Cash for
vessel’s ordinary disbursements at any port may be advanced as required by the Owners Captain, by the
Charterers or their Agents, subject to 2 1/2% commission and such
advances shall be deducted from the next hire  payment.
The Charterers, however, shall in no way be responsible for the
application

of such advances.

 

6. That the
cargo or cargoes be laden and/or discharged in any safe
dock or at any safe wharf  or
safe
place, safe berth, safe anchorage, safe port that
Charterers or their Agents may direct, provided the vessel can safely lie
always afloat at any time of tide, except at such places where it is
customary for similar size vessels to safely lie aground.

 

7. That the
whole reach of the Vessel’s Hold, Decks, and usual places of loading (not more
than she can reasonably stow and carry), also accommodations for Supercargo who  is to
sign usual LOI for passengers, if carried, shall be at the
Charterers’ disposal, reserving only proper and sufficient space for Ship’s officers,
crew, tackle, apparel, furniture, provisions, stores and fuel. Charterers
have the privilege of passengers as far as accommodations allow, Charterers
paying Owners                                        
per day per passenger for accommodations and meals. However, it is agreed
that in case any fines or extra expenses are incurred in the consequences of
the carriage of passengers, Charterers are to bear such risk and expense.

 

8. That the
Captain shall prosecute his voyages with the utmost despatch, and shall render
all customary assistance with ship’s crew and boats. The Captain (although
appointed by the Owners), shall be under the orders and directions of the
Charterers as regards employment and agency; and Charterers are to load, stow, and
trim, discharge, lash, unlash, secure, unsecure,
tally the cargo at their expense under the supervision of the
Captain, who is to sign Bills of Lading for cargo as presented, in conformity
with Mate’s or Tally Clerk’s receipts. Bimco
Congen Bills of Lading form to be used only (See Clause 57). Prior arrival at
loading port, Master to advice Charterer of his proposed stowage plan.
Charterers have to ensure that Masters directions as regards vessels strengths
and stability are followed. Charterers leaving ship always in seaworthy trim
and condition between berths/ports.

 

9. That if the
Charterers shall have reason to be dissatisfied with the conduct of the
Captain, Officers, or Engineers, the Owners shall on receiving particulars of
the complaint, investigate the same, and, if necessary, make a change in the
appointments.

 

10. That the
Charterers shall have permission to appoint a Supercargo who
is to sign usual LOI for passengers, who shall accompany the
vessel and see that voyages are prosecuted with the utmost despatch. He is to
be furnished with fee accommodation, and same fare as provided for Captain’s
table, Charterers paying at the rate of US$ 30.00 $1.00
per day. Owners to victual Pilots and Customs Officers, and also, when
authorized by Charterers or their Agents, to victual Tally Clerks, Stevedore’s
Foreman, etc., Charterers paying (See Clause 72) at
the current rate per meal, for all such victualling.

 

11. That the
Charterers shall furnish the Captain from time to time with all  requisite instructions and sailing
directions, in writing, and the Captain shall keep a full and correct Log of
the voyage or voyages, which are to be patent to the Charterers or their
Agents, and furnish the Charterers, their Agents or Supercargo, when required,
with a true copy of daily official deck and engine Logs,
showing the course of the vessel and distance run and the consumption of fuel.

 

12. That the
Captain shall use diligence in caring for the ventilation of the cargo-, pursuant to Charterers’ written instructions.
Vessel has natural ventilation only.

 

13. That the Charterers shall have the option of continuing this
charter for a further period of                                                                     
on giving written notice thereof to the Owners or their Agents             
days previous to the expiration of the first named term, or any declared
option

 

14. That if
required by Charterers, time not  to
commence before                                        and
should vessel not have given written notice of readiness on or before                                                    
but not later than 4 p.m. Charterers or

 

 

and vessel /Owners 
not to be  responsible for
vessel’s reduced speed/increased consumption.                                                              

 

22. Owners shall
maintain the gear of the ship as fitted, providing gear (for all derricks)
capable of  handling lifts up to three
tons, also providing ropes, falls, slings and blocks. If vessel is fitted with
derricks capable of handling heavier lifts. Owners are to provide necessary
gear for same, otherwise equipment and gear for heavier lifts shall be for
Charterers’ account. Owners also to provide on the vessel lanterns and oil for
night work, and vessel to give use of 
electric light  when so fitted,
but any additional lights over those on board to be at Charterers’ expense. The
Charterers to have the use of any gear on board the vessel.

 

23. Shore
cranemen and shore stevedores to be employed and paid for by the Charterers,
i.e. no cranesmen from crew can be used/provided. Vessel to
work night and day, if required by Charterers, and all winches to be at
Charterers’ disposal during loading and discharging; steamer to provide one
winchman per hatch to work winches day and night, as required. Charterers
agreeing to pay officers, engineers, winchmen, deck hands and donkeymen for
overtime work done in accordance with the working hours and rates stated in the
ship’s articles. If the rules of the port, or labor unions, prevent crew from
driving winches, shore Winchmen to be paid by Charterers. In the event of a
disabled winch or winches, or insufficient power to operate winches. Owners to
pay for shore engine, or engines, in lieu thereof, if required, and pay any
loss of time occasioned thereby.

 

24. It is also
mutually agreed that this Charter is subject to all the terms and provisions of
and all the exemptions from liability contained in the Act of Congress of the
United States approved on the 13th day of February, 1893, and entitled “An Act
relating to Navigation of Vessels; etc.,” in respect of all cargo shipped under
this charter to or from the United States of America. It is further subject to
the following clauses, both of which are to be included in all bills of lading
issued hereunder.

 

U.S.A. Clause
Paramount

 

This bill of lading shall have effect subject to the
provisions of the Carriage of Goods by Sea Act of the United States, approved
April 16, 1936, which shall be deemed to 
be incorporated herein, and nothing herein contained shall be deemed a
surrender by the carrier of any of its rights or immunities or an increase of
any of its responsibilities or liabilities under said Act. If any term of this
bill of lading be repugnant to  said Act
to any extent, such term shall be void to that extent, but not further.

 

Both to Blame
Collision Clause

 

If the ship comes into collision with another ship as
a result of the negligence of the other ship and any act, neglect or default of
the Master, mariner, pilot or the servants of the Carrier in the navigation or
in the management of the ship, the owners of the goods carried hereunder will
indemnify the Carrier against all loss or liability to the other or non
carrying ship or her owners in so far as such loss or liability represents loss
of, or damage to, or any claim whatsoever of the owners of said goods, paid or
payable by the other or non-carrying ship or her owners to the owners of said
goods and set off, recouped or recovered by the other or non-carrying ship or
her owners as part of their claim against the carrying ship or carrier.

 

25.  The vessel
shall not be required to enter any ice-bound port, or any port where lights or
light-ships have been or are about to be withdrawn by reason of ice, or where
there is risk that in the ordinary course of things the vessel will not be able
on account of ice to safely enter the port or to get out after having completed
loading or discharging. Vessel not to force ice.
See Clause 34.

 

26. Nothing herein stated
is to be construed as a demise of the vessel to the Time Charterers. The owners
to remain responsible for the navigation of the vessel, acts
of pilots and tugboats, insurance, crew, and all other matters,
same as when trading for their own account.

 

27.  A commission of 2 1/2 per cent is payable by
the Vessel and Owners to

 

No
brokerage commissions are due                                                                                                                                              

on hire earned and paid under this Charter, and also
upon any continuation or extension of this Charter.

 

28.  An
address commission of 2 1/2 per cent payable to              
on the hire earned and paid under this Charter. No
address commissions are due.

 

Clauses 29 to 116 inclusive, as
attached, are deemed to be incorporated in this Charter Party.

 

 

	
  The Owners

  	
   

  	
  The Charterers

  
	
  STAR GAMMA INC. of Majuro

  	
   

  	
  TMT CO., LTD., TAIPEI

  
	
   

  	
   

  	
   

  
	
  Marshall Islands

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  /s/ [ILLEGIBLE]

  	
   

  	
   

  	
  /s/ [ILLEGIBLE]

  	
   

  
					

 

 

This Charter Party is a computer generated copy of the
NYPE (Revised 3rd  October, 1946)
form printed under license from the Association of Ship Brokers & Agents
(U.S.A), Inc., using software which is the copyright of Strategic Software
Limited.

 

It is a precise copy of the original document which
can be modified, amended or added to only by the striking out of original
characters, or the insertion of new characters, such characters being clearly
highlighted by underlining or use of colour or use of a larger font and marked
as having been made by the licensee or end user as appropriate and not by the
author.

 

 

ADDITIONAL CLAUSES
TO M/V C. DUCKLING/TBRN STAR GAMMA 

CHARTER PARTY DATED 23.02.07

 

Clause
29 - Cancellation of the charter party

 

This charter party is
subject to Owners acquiring title to the vessel by way of purchase latest by
June 30th 2007. Should this purchase not materialize for any reason
whatsoever, this charter party shall be null and void as if never concluded.

 

Clause 30 - Surveys

 

Full on-hire/off-hire survey
to prove condition of the vessel and quantity of bunkers on board to be held in
Charterers’ time at first load port and in Owners’ time at last discharge port,
but only actual time lost to be deducted from hire Surveys to be carried out by
one joint surveyor whom to be appointed by Charterers and Owners. If vessel
working during survey at discharge port then vessel remains on hire.

 

Clause 31 - Preloading survey

 

If steel and or newsprint
and/or unpacked manufactured goods, bagged agricultural products or similar
cargoes are loaded preshipment and out-turn condition surveys are to be held on
such cargoes by surveyors appointed by Owners’ PandI Club, cost of such survey
to be for Owners’ time and expense.

 

Clause 32 - Bunker Clause

 

The vessel shall be
delivered with about (tba) mts of IFO, with about (tba) mts MDO and be
redelivered with the same quantities as on delivery, provided that the quantity
of fuels at redelivery is at least sufficient to allow the vessel to safely
reach the nearest port at which fuels of the required type or better are
available.

 

Provided that it can be
accomplished at scheduled ports, without the hindrance to the operation of the
vessel, and by prior arrangement between parties, the owners shall allow the
Charterers to bunker for the account of Charterers prior the delivery and the
Charterers shall allow the Owners to bunker for the account of the Owners prior
to redelivery.

 

The Charterers shall
purchase the fuels on board at delivery at prices as paid last by Owners and
the Owners shall purchase the fuels on board at redelivery at the same prices.

 

The value of bunkers on
delivery shall be paid along with first hire payment.

 

fuel specs:

 

All fuel must not contain
any automotive lubricating oil or otherwaste chemicals nor any aluminium and/or
silicon.

 

Vessel’s main engine burns
mdo when manoeuvring/in approaches/narrow or restricted waters including
canals/rivers/swallow waters/fog etc

 

The vessel is under the ‘DNV
PETROLEUM SERVICES’ fuel quality programme.

 

The physical supplier and
/or the barge has to participate in a joint drip sampling ,at the point of
custody transfer, at the ship’s manifold. Vessel has suitable grip sampling
equipment, approved type, in order to take the samples.

 

1

 

Sufficient volume to be
taken for splitting into minimum 4 samples, duly signed by both parties, one
for the supplier, two to be retained onboard the vessel, and one to be sent for
laboratory testing to ‘DNV’.

 

The samples so taken to be
considered representative of the quality of the product supplied and the result
of the test to be binding to both parties, including the density for quantity
determination.

 

(1) The Charterers shall
supply bunkers of a quality suitable for burning in the Vessel’s engines and
auxiliaries and which conform to the specification(s) mutually agreed under
this Charter.

 

(2) During the currency of
the Charter the Charterers shall ensure that bunker delivery notes are
presented to the Vessel on the delivery of fuel(s) and that during bunkering
representative samples of the fuel(s) supplied shall be taken at the Vessel’s
bunkering manifold and sealed in the presence of competent representatives of
the Charterers and the Vessel.

 

(3) The fuel samples shall
be retained by the Vessel for 90 (ninety) days after the date of delivery or
for whatever period necessary in the case of a prior dispute and any dispute as
to whether the bunker fuels conform to the agreed specification(s) shall be
settled by analysis of the sample(s) by (DNV) whose findings shall be
conclusive evidence as to conformity or otherwise with the bunker fuels
specification(s).

 

(4) The Owners reserve their
right to make a claim against the Charterers for any damage to the main engines
or the auxiliaries caused by the use of unsuitable fuels or fuels not complying
with the agreed specification(s). Additionally, if bunker fuels supplied do not
conform with the mutually agreed specification(s) or otherwise prove unsuitable
for burning in the ship’s engines or auxiliaries the Owners shall not be held
responsible for any reduction in the Vessel’s speed performance and/or
increased bunker consumption nor for any time lost and any other consequences.

 

Clause 33 - Bunker Fuel Sulphur Content Clause
for Time Charter Parties 2005

 

(a) Without prejudice to
anything else contained in this Charter Party, the Charterers shall supply
fuels of such specifications and grades to permit the Vessel, at all times, to
comply with the maximum sulphur content requirements of any emission control
zone when the Vessel is ordered to trade within that zone.

 

The Charterers also warrant
that any bunker suppliers, bunker craft operators and bunker surveyors used by
the Charterers to supply such fuels shall comply with Regulations 14 and 18 of
MARPOL Annex VI, including the Guidelines in respect of sampling and the
provision of bunker delivery notes.

 

The Charterers shall
indemnify, defend and hold harmless the Owners in respect of any loss,
liability, delay, fines, costs or expenses arising or resulting from the
Charterers’ failure to comply with this Sub-clause (a).

 

2

 

(b) Provided always that the Charterers have fulfilled
their obligations in respect of the supply of fuels in accordance with
Sub-clause (a), the Owners warrant that:

 

(i) the Vessel shall comply with Regulations 14 and 18
of MARPOL Annex VI and with the requirements of any emission control zone; and
(ii) the Vessel shall be able to consume fuels of the required sulphur content
when ordered by the Charterers to trade within any such zone.

 

Subject to having supplied the Vessel with fuels in
accordance with Sub-clause (a), the Charterers shall not otherwise be liable
for any loss, delay, fines, costs or expenses arising or resulting from the
Vessel’s failure to comply with Regulations 14 and 18 of MARPOL Annex VI.

 

(c) For the purpose of this Clause, “emission control
zone” shall mean zones as stipulated in MARPOL Annex VI and/or zones regulated
by regional and/or national authorities such as, but not limited to, the EU and
the US Environmental Protection Agency.

 

Clause
34 - Ice Clause for Time Charter Parties

 

(a) The Vessel shall not be obliged to force ice but,
subject to the Owners’ prior approval having due regard to its size,
construction and class, may follow ice-breakers. See Clause 25.

 

(b) The Vessel shall not be required to enter or
remain in any icebound port or area, nor any port or area where lights,
lightships, markers or buoys have been or are about to be withdrawn by reason
of ice, nor where on account of ice there is, in the Master’s sole discretion,
a risk that, in the ordinary course of events, the Vessel will not be able
safely to enter and remain at the port or area or to depart after completion of
loading or discharging. If, on account of ice, the Master in his sole
discretion considers it unsafe to proceed to, enter or remain at the place of
loading or discharging for fear of the Vessel being frozen in and/or damaged,
he shall be at liberty to sail to the nearest ice-free and safe place and there
await the Charterers’ instructions.

 

(c) Any delay or deviation caused by or resulting from
ice shall be for the Charterers’ account and the Vessel shall remain on-hire.

 

(d) Any additional premiums and/or calls required by
the Vessel’s underwriters due to the Vessel entering or remaining in any
icebound port or area, shall be for the Charterers’ account.

 

3

 

Clause
35 - Non-Payment of Hire Clause for Time Charter Parties

 

Referring to lines 60 and 61 of NYPE printed form
where there is default of payment as specified. The Owners will notify the
Charterers whereupon the Charterers shall make payment of the amount due
without interest within three (3) working/banking days of notification from the
Owners, failing which the Owners will have the right to withdraw the vessel
from service of the Charterers without prejudice to any claim the Owners may
otherwise have on the Charterers under this charter.

 

Clause
36 – Requisition clause

 

Should the vessel be requisitioned by the government
of the vessel’s flag during the period of this charter party, the vessel shall
be deemed to be off-hire during the period of such requisition, and any hire
paid by the said government in respect of such requisition period shall be
retained by owners. The period during which the vessel is on requisition to the
said government shall count as part of the period provided for in this charter
party.

 

If the period of requisition exceeds 4 months either
party shall have the option of cancelling this charter party and no
consequential claim may be made by either party.

 

Clause
37 – Seaworthy trim clause

 

Charterers shall leave the Vessel in seaworthy trim
and with cargo on board safely stowed to Master’s satisfaction between loading
berths/ports and between discharging berths/parts, respectively; any expenses
and time resulting therefrom shall be for Charterers’ account.

 

Clause
38 - Lights

 

Owners to provide on the vessel lights for night work
as on board on deck and in all hatches simultaneously and maintain same in
efficient working order, Vessel to work night and day, if required by
charterers.

 

Clause
39 – Weather routing clause for time charter parties

 

(a) The Vessel shall, unless otherwise instructed by
the Charterers, proceed by the customary route, but the Master may deviate from
the route if he has reasonable grounds to believe that such a route will
compromise the safe navigation of the Vessel.

 

(b) In the event the Charterers supply the Master with
weather routeing information, although not obliged to follow such routeing
information, the Master shall comply with the reporting procedure of that
service.

 

Clause
40 - Cancellation due to extended off-hire

 

If the vessel is off-hire consecutively for 40 days or
more due to any causes(s) other than Charterers’ responsibility and repairs,
the Charterers shall have the option to cancel this charter party without
prejudice to any other rights, remedies or claims which the Charterers may
have. Such option shall be exercised by the Charterers provided cargo free by
giving written notice of cancellation to the owners and the vessel shall be

 

4

 

redelivered as soon as practicable thereafter once
free of cargo properly and duly discharged under any applicable contract or
carriage.

 

Clause
41 – Calls at U.S.A.

 

If the vessel calls at any United States Of America
port for the purpose of loading and/or discharging cargo, vessel’s equipment
shall comply with the regulations established by united stated public law no
85/742 part 9 (safety and health regulations for longshoring) and amendments
thereto. If longshoremen are not permitted to work due to failure of the owners
and/or master and/or owners’ agents to comply with the aforementioned
regulations, any delay and expenses resulting therefrom and any stevedore standby
time and all related expenses involved shall be for owners’ account.

 

Clause
42 – U.S. Federal water pollution Act

 

Owners warrant that during the currency of this
charter party they will comply fully with the U.S. Federal water pollution
control Act as amended and/or the law relating to the prevention of marine
pollution and maritime disaster, 1970 of japan any rules and/or regulations
issued thereunder and amendments thereto including opa 90 legislation and any
legislation enacted with respect to pollution of seawaters by oil or any other
substances (including any rules and/or regulations issued thereunder) by any
government, department thereof, or other authorities and also any similar
legislation enforced by any nation of the world. Should any delay or detention
of the vessel occur from failure by owners to comply with the acts, laws,
rules, regulations or legislation, the hire shall cease for the period of such
delay or detention.

 

Owners accept responsibility for and agree to
indemnify charterers against all claims, liabilities, cost (including legal
fees) and all consequences which result from failure by owners to comply with
the said acts, laws, rules regulations or legislation. Time lost for
non-compliance to be considered as off hire.

 

Clause
43 - Oil Pollution Charter Party Clause [Non Tankers]

 

Financial responsibility in respect of pollution (all
ships other than self propelled tank vessels and non self propelled tank
vessels carrying more than 2,000 tons of persistent oil in bulk as cargo)

 

(1) Owners warrant that throughout the currency of
this charter they will provide the vessel with the following certificates:

 

Certificates issued pursuant to Section 1016 (a) of
the Oil Pollution Act 1990, and Section 108 (a) of the Comprehensive Environmental
Response, Compensation and Liability Act 1980, as amended, in accordance with
Part 138 of Coast Guard Regulations 33 CFR, from (indicate the earliest date
upon which the owners may be required to deliver the vessel into the charter),
so long as these can be obtained by the owners from or by (identify the
applicable scheme or schemes).

 

(2) Notwithstanding anything whether printed or typed
herein to the contrary,

 

5

 

(a) save as required for compliance with paragraph (1)
hereof, owners shall not be required to establish or maintain financial
security or responsibility in respect of oil or other pollution damage to
enable the vessel lawfully to enter, remain in or leave any port, place,
territorial or contiguous waters of any country, state or territory in
performance of this charter.

 

(b) Charterers shall indemnify owners and hold them
harmless in respect of any loss, damage, liability or expense (including but
not limited to the costs of any delay incurred by the vessel as a result of any
failure by the charterers promptly to give alternative voyage orders)
whatsoever and howsoever arising which owners may sustain by reason of any
requirement to establish or maintain financial security or responsibility in order
to enter, remain in or leave any port, place or waters, other than to the
extent provided in paragraph (1) hereof.

 

(c) Owners shall not be liable for any loss, damage,
liability or expense whatsoever and howsoever arising which charterers and/or
the holders of any bill of lading issued pursuant to this charter may sustain
by reason of any requirement to establish or maintain financial security or
responsibility in order to enter, remain in or leave any port, place or waters,
other than to the extent provided in paragraph (1) hereof.

 

(3) Charterers warrant that the terms of this clause
will be incorporated effectively into any bill of lading issued pursuant to
this charter.

 

Clause
44 - Stowaways Clause for Time Charters

 

(a) (i) The Charterers warrant to exercise due care
and diligence in preventing stowaways in gaining access to the Vessel by means
of secreting away in the goods and/or containers shipped by the Charterers.

 

(ii) If, despite the exercise of due care and
diligence by the Charterers, stowaways have gained access to the Vessel by
means of secreting away in the goods and/or containers shipped by the
Charterers, this shall amount to breach of charter for the consequences of
which the Charterers shall be liable and shall hold the Owners harmless and
shall keep them indemnified against all claims whatsoever which may arise and
be made against them. Furthermore, all time lost and all expenses whatsoever
and howsoever incurred, including fines, shall be for the Charterers’ account
and the Vessel shall remain on hire.

 

(iii) Should the Vessel be arrested as a result of the
Charterers’ breach of charter according to sub-clause (a)(ii) above, the
Charterers shall take all reasonable steps to secure that, within a reasonable
time, the Vessel is released and at their expense put up bail to secure release
of the Vessel.

 

(b) (i) If, despite the exercise of due care and
diligence by the Owners, stowaways have gained access to the Vessel by means
other than secreting away in the goods and/or containers shipped by the
Charterers, all time lost and all expenses thereby incurred, including fines,
shall be for the Owners’ account.

 

(ii) Should the Vessel be arrested as a result of
stowaways having gained

 

6

 

access to the Vessel by means other than secreting
away in the goods and/or containers shipped by the Charterers, the Owners shall
take all reasonable steps to secure that, within a reasonable time, the Vessel
is released and at their expense put up bail to secure release of the Vessel.

 

Clause
45 - Bunkering privileges

 

Owners certify that the vessel is and will remain so
throughout the duration of this charter, eligible for full bunkering privileges
in the United States of America and its territories and possessions, under all
present and future United States laws and/or regulations and is not, nor will
be restricted, as to bunkering at any other countries or ports of call during
this charter.

 

Clause
46 – Cuba

 

In the event that Cuba becomes a freely tradable country
with no international sanctions/limitations on vessels so doing, then
charterers may trade there and Cuba will no longer be deemed an excluded area.

 

Clause
47 – Hire
payment/Bank account

 

To be advised

 

Clause
48 - Arbitration

 

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 give 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 usd 50,000 (or such other sum as the parties may agree) the
arbitration

 

7

 

shall be conducted in accordance with the Imaa small
claims procedurecurrent at the time when the arbitration proceedings are
commenced.

 

Clause
49 - Deviation

 

If during the currency of this charter there is any
deviation during the course of a voyage, or any loss of time whatsoever, caused
by sickness of or accident of the master, or any member of the crew or any
person on board the vessel, other than under charterer’s auspices, vessel to be
considered as off-hire and hire shall not be paid for the time actually lost
thereby.

 

Clause
50 - Stevedore damage

 

Charterers are not responsible for stevedore or other
damage to the vessel unless the Charterers or their agents are notified in
writing by the captain or owners’ agents within 48 hours of occurrence of
damage or latest by vessel’s sailing port where damage occurred, except in case
of hidden damage which to be notified as soon as practicable after discovered
prior to redelivery. Should a stevedore damage is caused captain is obliged to
try to let stevedore repair the damage and to try to settle the matter directly
with them in the first stage locally. Failing this, captain will try to obtain
signed acknowledgement of the damage and liability for the same of the
stevedore.

 

Any stevedore damage affecting seaworthiness/class and
cargo gear worthiness/trading worthiness/crew safety to be repaired at the
Charterers’ expense and time at port of occurrence. The owners to have the
option to accept redelivery without Charterers repairing any minor stevedore
damages and in such case the Charterers to pay for cost and time, estimated by
joint off-hire surveyor, of repairing such stevedore damages

 

Clause
51 - Quarantine

 

Owners shall be liable for any delay in quarantine
arising from the master, officers or crew having communication with the shore
at any infected area without the written consent of Charterers or their agents,
also for any loss of time through detention by customs or other authorities
caused by smuggling or other infractions of local law on the part of the
master, officers or crew. Any time lost by such causes may be deducted as
off-hire.

 

Clause
52 - Fumigation

 

Vessel to be in possession of a valid deratization or
exemption certificate throughout the duration of the charter party.

 

Clause
53 - Safety and health regulations

 

Owners warrant that the vessel shall be in possession
of the necessary certificates to comply with all crew safety and health
regulations and all current requirements at all ports of call in force by the
time of this charter party agreement, during the currency of this charter,
without hindrance or delay when voyage instructions received from Charterers.
Owners guarantee that throughout this charter, vessel’s equipment shall comply
with regulations and/or requirements in effect at all ports of call, canals and
countries in which vessel will be employed, in force by the time of this
charter party agreement. Owners also guarantee that vessel shall be at all
times in possession of a valid and up-to-dated certificate on board to comply

 

8

 

with such regulations and/or requirements. If
stevedores, longshoremen or other labour are not permitted to work by reason of
any failure of the captain, owners and/or their agents to comply with such
regulations or by reason that the vessel is not in possession of such valid and
up-to-date certificate(s), then owners shall take immediate corrective
measures. Time lost if any to be for Owners’ account.

 

Clause
54 - Tonnage certificate

 

Owners will  obtain
an official international tonnage certificate prior to delivery and required
renewals throughout the charter period, the current valid certificate being on
board the vessel at all times. In the event extra charges are incurred by
reason of lack of international tonnage certificate, same shall be for owners’
account.

 

Clause
55 - Canal transit

 

During the full currency of this charter party, owners
shall keep the vessel fully capable and equipped to transit the Suez Canal and
Panama Canal without delay in accordance with the rules and regulations
governing navigation of the canals mentioned above and promulgated from time to
time by the local authorities.

 

Clause
56 - Third party suits

 

Should vessel be delayed, detained or arrested during
the currency of this charter party at the suit of any party having or
purporting to have a claim against any interest in the vessel, master, her crew
or owners except acts attributed to charterers, hire under this charter party
shall not be payable in respect of any period during which the vessel is not at
charterers’ disposal.

 

Clause
57 – Bills of Lading

 

The charterers and/or their nominees or agents are to
be authorized by the master whenever required to sign bills of lading on
master’s and/or owners’ behalf provided in strict conformity with mate’s
receipts. No liner or through bills of lading to be issued under this charter.
Copies of bills of lading to be faxed to owners upon issuance.

 

Charterers to use their best endeavors to ensure
original bills of lading are available at discharge port(s). In the event that
original bills of lading are not available, owners will permit discharge
against a faxed copy of I o.i., in their p & i cover format signed by
charterers along with copies of all bills of lading in question.

 

Charterers to forward original bill(s) of lading to
owners as soon as possible therafter. Original I o.i also to be forwarded
without delay.

 

Clause
58 – Hamburg Rules Charterparty Clause

 

Neither the  Charterers
nor their Agents shall permit the issue of any bill of lading, waybill or other
document evidencing a contract of carriage (whether or not signed on behalf of
the Owner or on the Charterers’ behalf or on behalf of any Sub-Charterers)
incorporating, where not compulsorily applicable, the Hamburg Rules or any
other legislation giving effect to the Hamburg Rules or any other legislation
imposing liabilities in excess of

 

9

 

Hague or Hague/Visby Rules. Charterers shall indemnify
the Owners against any liability, loss or damage which may result from any
breach of the foregoing provisions of this clause

 

Clause 59 - P and I cover

 

Vessel shall be entered and will remain entered during
the full currency of this charter with, and carry full p and i cover, including
owners’ liability and pollution cover.

 

Charterers to have the benefit of owners p and i cover
insofar as the rules permit.

 

Owners have vessel covered with the: to be advised

 

Hull and machinery value is usd : to be advised

 

Clause
60 - Protectives

 

New both-to-blame collision clause, bimco unique b/I
identifier clause, general average and new jason clause as attached to form
part of this charter party and bills of lading issued under this charter party
also contain the original amended general clause paramount as attached, which
also to be inserted in this charter party. Conwartime 1993, u.s.a clause
paramount and canadian clause paramount to be incorporated in this charter
party and bills of lading issued hereunder. Voywar 1993 to replace conwartime
93 on bills of lacing.

 

Clause
61 - DryDock Clause

 

The Owners shall have the option to drydock the vessel
during the currency of this Charter Party with 30 daysw notice to Charterers,
prior vessel in scheduled drydocking. Exact place and date to be mutually
agreed between Owners and Charterers. The payment of the hire shall cease for
the time thereby lost and cost of bunkers consumed for the time lost to be for
Owners account.

 

Clause
62 - Trading exclusions:

 

The vessel shall be employed for lawfully worldwide
trading between safe port(s), safe berth(s) and safe anchorage(s) where she may
safely lie, always afloat, always accessible, always within Institute Warranty
Limits, excluding any place where being traded to is prohibited by the country
of the vessel’s registry and/or the country of the Owners’ incorporation, as
well as any place tracing to would restrict the vessel’s qualifications to
trade to U.S.A. (including but not limited to gypsy moth regulations) or would
subject the vessel to forfeiture, penalty or increased tonnage taxes under the
law of the U.S.A   Such exclusion from trading limited now comprising
Angola (including Cabinda), Cambodia, Congo (Democratic Republic of, formerly
Zaire), Colombia, Cuba, Eritrea, Haiti, Iraq, Israel, Lebanon, Liberia, Libya
(including Gulf of Sidrel/Sirte), Muldwarka of WC India, Namibia, Nigeria,
North Korea, Oman, Sierra Leone, Sri Lanka, Somalia, Sudan, Syria, former
Yugoslavian countries but Croatia, Koper and Rijeka allowed, and all Russian
pacific ports, Turkish occupied Cyprus, Barents Sea(including Kola Bay),
Iceland, Scandinavia, Great Lakes, Siberian ports including Sakhalin island,
Cape Horn through winter seasonal zone, Ethiopia and/or any place which is
classified as being high risk of asian gypsy moth area, and/or the

 

10

 

countries sanctioned by the
United Nations, U.S.A. and the E.U., and/or war or warlike zones, and/or all
ice-bound areas as well as any place vessel shall either force ice or follow
ice breaker.

 

No direct trading/sailing
between, the countries/areas that is prohibited by political situation such as
the People’s Republic of China and Taiwan and vice versa.

 

In case vessel traded in areas where as per vessel’s h
n m underwriters additional war risk premium becomes payable then same to be
for Charterers account.

 

IWL Clause

 

Charterers have the option to break Institute Warranty
Limits subject to Owners prior written approval which not to be unreasonably
withheld, Charterers paying extra insurance premium according to Owners’
underwriting tariff but same not to exceed what is quoted by Lloyds of London.

 

Clause 63 - Cargo exclusions:

 

The vessel shall be employed only in lawful trades for
the carriage of suitable lawful merchandise excluding asphalt, acid, aggregates,
aluminum ferrosilicon powder/briquettes, aluminum nitrate, aluminum silicon
powder (uncoated), aluminum smelting/remelting by-products, ammonium nitrate,
ammonium nitrate fertilizers, ammunition/arms and/or war materials/equipments,
barium nitrate, calcined pyrites, calcium nitrate (the commercial grades of
calcium nitrate fertilizers are permitted), carbide, castor beans, cement,
charcoal, concentrates, copra and its products, direct reduced iron (dri),
explosives, ferrophosphorus, ferrosilicon, ferrous metal
borings/shavings/turnings/cuttings (including iron/steel swarf),
fishmeal/fishscrap, hot briquette iron (hbi), indian coal/coke, Indonesian
round logs and/or log raw materials for chips, iron oxide/sponge (spent), lead
nitrite, lime (unslaked), livestock/animals and/or any kind of hides/bones,
Iogs, magnesia (unslaked), magnesium nitrate, motor spirits, motor block and/or
turnings, naphtha, peat moss, petcoke, petroleum and/or its products, pitch
prill/prilled coal tar/pencil pitch, potassium nitrate (saltpetre),
radioactive/nuclear materials and/or its products/waste/contaminated objects,
resin, rice in bulk, salt, scraps, seed cake, silicomanganese, silica sand,
sodium nitrate/ehile saltpeter/chilean natural nitrate, sodium nitrate and
potassium nitrate mixture/chilean natural potassium nitrate, sulphur,
tankage/garbage tankage/rough ammonia tankage/tankage fertilizer, zine
ashes/dross/residue/skimmings, and/or all other dangerous, hazardous,
injurious, flammable/combustible or corrosive goods.

 

All cargoes carried under this charter are to comply
with IMO’s regulations/rules and the requirements or recommendations of the
competent authorities of the country of the vessel’s registry and of ports of
shipment and discharge and of any intermediate countries or ports through whose
waters the vessel must pass.

 

11

 

Deck Cargo Clause 

 

Charterers have the option to carry cargo on deck at
their own risk, responsibility and expense whatsoever and/or howsoever caused,
the deck cargo shall be loaded and stowed within vessel’s deck and hatch cover
strength, and vessel’s stability, be in accordance with IMO rules and/or local
regulations, and be subject to master’s prior approval, furthermore, the
stowing, lashing and securing of deck cargo shall be to the satisfaction of the
master.

 

Charterers shall provide and pay for all lashing and
stowing/ securing materials and/or fittings required. If any
stanchions/uprights were requested to use for cargo securing and lasing, the
same shall be made of steel and all installation of stanchions/uprights to
vessel’s sockets on deck shall be under master’s and class supervision and
satisfaction.

 

Bill of Lading covering deck cargo shall be claused:
shipped on deck at Charterers’ shippers’ and receivers’ risk, expense and
responsibility, without liability on the part of the vessel, or her owners for
any loss, damage, expense or delay whatsoever and/or howsoever caused.

 

Charterers have the option to load maximum 5 cargoes
out of petcoke/rock salt/cement/cement clinker/concentrate per annual and
maximum two cargoes each per annual but not last cargo prior to redelivery and
not to be carried on a consecutive basis with owners’ protective clause as
following:

 

Petcoke loading Clause

 

1.                          petroleum
coke mentioned herein is only limited to the type of non hazardous, non
dangerous green delayed type and/or calcined type and metallurgical type.

 

2.                          such
cargo to be loaded, stowed, trimmed, discharged strictly in accordance to
latest IMO and/or any other latest regulations/rules applicable to such cargo.

 

3.                          should
any additional/special wash down of holds before loading be reasonably
recommended proposed required by master, Charterers undertake to arrange the
same at their time/expense.

 

4.                          after
discharge Charterers to arrange at their expense/time of any additional/special
was down of holds carrying such cargo by chemical as master reasonably
considers it necessary.

 

5.                          any
directly related extra expenses resulting there from/incurred thereby such as
hold cleaning to masters satisfaction/hold survey etc. and any detention
through any of the above causes to be for Charterers’ account.

 

6.                          if
last cargo prior to redelivery, Charterers to pay in lieu of hold cleaning
us$13,000.- lumpsum.

 

Rock salt Clause

 

1.                          Charterers
undertake to use holds as less as possible, provided vessel stability trim and
stress permitting.

 

2.                          before loading, all holds assigned for salt
to be lime washed by Charterers at their time /expenses/ risk to the
satisfaction of master and independent surveyors appointed by Charterers at
their time/expenses.

 

3.                          cargo to be loaded/stowed/trimmed/discharged
strictly according to latest imo and/or any other latest regulations/rules
applicable to such

 

12

 

cargo.

 

4.                          all
fresh water used for irrigation on to rock salt during loading/voyage/discharge
to be for Charterers’ account.

 

5.                          after
discharge, Charterers to supply sufficient fresh water at their expenses for
shining down of all holds.

 

6.                          any
extra expenses resulting there from/incurred thereby (such as hold cleaning to
master’s satisfaction/hold survey etc) and any detention through any of above
causes to be for Charterers’ account.

 

7.                          Charterers
are allowed to use ships crew to perform lime washing and removal of same and
repainting as necessary against paying us$15,000.- lumpsum besides normal
intermediate hold cleaning, but always subject to prior consent of master/crew
and local regulations permit and all time so used to be for Charterers’
account, owners/master are not be responsible for passing hold inspection for
loading next cargo and any consequences whatsoever caused due to such
arrangement.

 

8.                          such
cargo not to be last cargo prior to redelivery.

 

Cement clause

 

a) charterers undertake to use as few holds as
possible, provided vessel’s stability trim and stress permitting.

 

b) should any additional/special washdown of holds
before loading be required/recommended by independent surveyors appointed by
charterers at their expenses, such washdown to be arranged by charterers at
their expenses.

 

c) charterer have the optn to cut holes in vsls
h’cover for loading blk cement on following conditions:

 

l)                            all
cutting n restoring of the holes tb fully supervised /attended/approved by vsls
classification surveyor.

 

2)                         after
completion of restoring holds, if vsls class surveyor requires a hose test to
establish intergrity of the rewelding, same to be done at charts time and at
their expense.

 

3)                         all
time for preparing cutting and restoring upto classification surveyor’s
satisfaction as well as all expenses including classification surveyor’s fees
and expenses shall be for charterer’s account, the liberty granted to
charterers herin is subject to charterer’s guarantee that the above-mentioned
commodities will not carried in consecutive shipments/voyages.

 

d)                        after
loading charterers undertake to arrange at their expenses any special/extra
trimming and/or levelling of cargo which shippers may require and same to be
for charts time and expense, cargo to be loaded in accordance with imo
regulation.

 

e)                         such
cargo not to be the last cargo prior to redelivery, concentrates clause

 

Charterers have the option to load concentrate,
however always excluding metal sulphide concentrates, provided following clause
to apply:

 

1.                          charterers
hereby warrant that the cargo is non-corrosive and harmless subject to the imo
regulations and allowed by the cargo exclusion of governing charter party.

 

13

 

2.                          concentrates
cargo shall always be loaded, stowed, carried and discharged in accordance with
appropriate local and national regulations, and in full compliance with imo
regulations.

 

3.                          prior
to commencement of concentrates loading, all cargo shall be analyzed by an independent
surveyor with the time and cost on charterers

 

4.                          an
appropriate certificate shall be furnished to master, indicating the
preshipment moisture contents, flow moisture point, actual transportable
moisture limit, stowage factor, and angle of repose, etc.(as defined by imo) on
shipment.

 

5.                          owners
are allowed to appoint p and i surveyor or independent surveyor at charterers’
time and expenses to carry out cargo sampling and to supervise loading,
stowing, and executing of cargo separation, etc.

 

6.                          prior
to and during loading operation, all necessary cargo separation, if any, shall
be properly erected up to surveyor and master’s satisfaction at charterers’
time and expenses.

 

7.                          after
loading, cargo must be properly trimmed at Charterers’ time and expenses to the
surveyor and master’s satisfaction.

 

Clause 64 - Recommended pilotage Clause

 

Charterers to pay the customary/compulsory pilotage of
Skaw/Dardanelles/Great Belt/Magellan due to same strongly recommended by
relative port authorities.

 

Clause 65
- Hold cleanliness

 

Vessel to be delivered with holds clean, free of loose
rust scales / flakes and/or previous cargo residue/odourless to the
satisfaction of independent surveyors, in case holds are rejected
vessel to be placed off-hire from the time of her rejection till she is ready
to load pro-rata to the number of holds passed survey and commenced loading.

 

Clause
66 - Hold cleaning bonus

 

Lumpsum in lieu of hold
cleaning bonus US$ 4,500.00.- on redelivery always excluding fresh water cost.

 

Intermediate hold cleaning
bonus US$ 500.00. per hold per voyage always excluding fresh water cost.

 

Clause 67 - Hold Cleaning/Residue Disposal Clause For Time
Charter Parties

 

a) The Charterers may
request the Owners to direct the crew to sweep and/or wash and/or clean the
holds between voyages and/or between cargoes against payment at the rate of
US$4,500.- lumpsum excluding fresh water cost, provided the crew is able safely
to undertake such work and is allowed to do so by local regulations. In
connection with any such operation the Owners shall not be responsible if the
Vessel’s holds are not accepted or passed. Time for cleaning shall be for the
Charterers’ account.

 

b) All materials (including chemicals and detergents)
required for cleaning of cargo holds shall be supplied by and paid for by the
Charterers.

 

14

 

c) Throughout the currency of this Charter Party and
at redelivery, the Charterers shall remain responsible for all costs and time,
including deviation, if any, associated with the removal and disposal of cargo
related residues and/or hold washing water and/or chemicals and detergents
and/or waste as defined by MARPOL Annex V, Section 1 or other applicable rules
relating to the disposal of such substances.

 

Clause 68 - Double Banking Clause

 

(a) The Charterers shall have the right, where and
when it is customary and safe for vessels of similar size and type to do so, to
order the Vessel to go, lie or remain alongside another vessel or vessels of
any size or description whatsoever or to order such vessels to come and remain
alongside at such safe dock, wharf, anchorage or other place for transhipment,
loading or discharging of cargo and/or bunkering.

 

(b) The Charterers shall pay for and provide such
assistance and equipment as may be required to enable any of the operations
mentioned in this clause safely to be completed and shall give the Owners such
advance notice as they reasonably can of the details of any such operations.

 

(c) Without prejudice to the generality of the
Charterers’ rights under (a) and (b), it is expressly agreed that the Master
shall have the right to refuse to allow the Vessel to perform as provided in
(a) and (b) if in his reasonable opinion it is not safe so to do.

 

(d) The Charterers shall further indemnify the Owners
for any costs, damage and liabilities resulting from such operation. The Vessel
shall remain on hire for any time lost including periods for repairs as a
result of such operation.

 

(e) Any extra insurance premium charged for such
operation to be for Charterers’ account and the vessel to remain always on hire
whilst any preparatory work is taking place.

 

Clause 69 - Option to sell

 

Head owners have the option to sell the vessel at any
time prior the commencement or during the currency of this charter with this
time charter attached and all terms and conditions of this charter party to
remain in force.

 

Clause 70 - Ballasting/Deballasting

 

Vessel to ballast/deballast clean water ballast tanks
only including floodable hold(s), if required by charterers or their agents at
any time during loading and/or discharging, free of expense to charterers
except fuel/mdo consumption, but in charterers’ time. All
ballasting/deballasting shall be at the discretion of master having due regard to
stability and seaworthiness of the vessel. Whenever practicable or required by
law at the next port of call, the vessel is to replace ballast taken in port or
coastal waters with clean seawater ballast. Owners guarantee that the vessel
will always be maintained in a safe condition during ballast operations. The
vessel is capable of ballasting holds. In such instances owners, master and
crew will do their utmost to deballast and dry such hold as quickly as
possible.

 

15

 

However, it is understood that time used for such
deballasting and drying up of ballast holds is not to be considered as off-hire
time. Owners and master will do their utmost throughout the duration of this
charter to minimize the use of ballast holds for ballast purposes.

 

Clause
71 - Services

 

Hire to include but not limited to the following
services from the vessel’s officers and crew provided local regulations permit;

 

1. Docking and undocking;

 

2. Shifting and warping of the ship during loading
and/or discharging;

 

3. Bunkering;

 

4.                          A)                     opening and
closing of hatches in preparation for, during and after loading and discharging
(including times when weather may adversely affect condition of cargo;

 

B)                       the
officers and crew to shape up the vessel’s hatches as much as possible as far
as weather permits prior to vessel’s arrival at loading and/or discharging port
or place so as to immediately commence loading or discharging operations;

 

5. The crew are to sweep and/or wash the holds and any
other cargo compartments between voyages always in accordance with holds
cleaning clause.

 

6. Supervision of loading and discharging;

 

Clause
72 - Representation

 

Charterers will remit to owners with each hire payment
a lumpsum equivalent of us$1200.00.- per month or pro rata for the timecharter
period

 

Clause
73 - Charterers equipment

 

The master is to keep a record of all charterers gear,
equipment, dunnage and/or stores supplied to the vessel and to maintain same in
condition as when supplied as much as possible, time and expense therefore to
be for charterers account. Such gear, equipment, dunnage and/or stores to be
returned to charterers prior to redelivery of the vessel to owners, or if
requested by charterers at any time during the period of charter, in condition
as supplied (fair wear and tear excepted).

 

Clause
74 - Blacklist

 

Owners warrant that to the best of their knowledge the
vessel is not blacklisted by any country and they will not, during the currency
of the charter, cause the vessel to be blacklisted by any country, except for
case vessel should become blacklisted by any country for reason of port(s)
called by vessel earlier under this charter party. Owners guarantee that vessel
has no relationship to ex-yugoslavia in vessel’s flag/ownership/crew etc.

 

Vessel is free from asian gypsy moth, its eggs or
larvae and vessel is not blacklisted by trading countries due to asian gypsy
moth infestation. Owners guarantee that vessel has not called any cis pacific
or siberian ports under their ownership.

 

16

 

Charterers warrant they will not call ports or places
where vessel may be exposed to asian gypsy moth or any other moth due to
vessel’s trading or its eggs failing which the shall indemnify owners for any loss
or damage sustained by the owners including but not limited to delays,
expenses, fines cost of removal of the moths and their eggs and or even
transshipment of cargo on board and any restriction of her trading
capabilities.

 

Clause
75 – Weather conditions

 

The words “good weather conditions” in lines 9/10 of
the charter party shall mean any weather condition in which the wind does not
exceed force four (4) of the beaufort scale and douglas sea state 3.

 

Clause
76 – Agents

 

Owners to have the option of using charterers’ agents
at ports of call for minor ordinary owners’ matters at no extra fee, but all
expenses involved to be for owners’ account.

 

Chtrs are not allowed to deduct owrs’ expenses because
owrs will appoint their own protective agents to handle owrs’ own major
matters.

 

Clause
77 – Watchmen

 

Compulsory watchmen related to vessel’s port call or
cargo operation to be for charterers account.

 

Clause
78 - Passengers

 

Supercargo or other passenger to be insured by
charterers and evidence of same/documents to be presented to master before
boarding.

 

Clause
79 – Diesel oil in port

 

The vessel to have the liberty of using diesel oil
when entering and leaving port and for maneuvering in shallow, restricted,
narrow waters.

 

Clause
80 – Taxes

 

All taxes and/or dues on the vessel and/or cargo
and/or charter hire and/or freight (except income tax and/or tax on timecharter
hire levied in the country of the vessel and/or her owners domicile) arising
out of cargoes carried or ports visited under the charter party shall be for
charterers’ account.

 

Clause
81 – Itinerary of vessel

 

Charterers undertake to inform owners during the
period of charter as regards the itinerary of the vessel and the names and full
styles of their agents at ports of call whenever required by owners.

 

Clause
82 – Discharging equipment

 

Charterers have the right to utilize cargo handling
equipment/machinery in vessels holds in order to facilitate stowage and/or
trimming, always subject to tanktop restrictions and master’s approval, which
not to be unreasonably withheld. Rolling equipment to have rubber wheels.

 

17

 

Clause
83 - Stowage

 

Charterers’ right to request and obtain information
from owners and/or master regarding stowage, trim of the vessel and any other
information is usually discussed between onwers/charterers so as to enable the
best possible coordination between charterers and owners.

 

The master shall supervise stowage of the cargo
thoroughly together with charterers’ representative, and let one of his
officers assist to supervise all loading, handling and discharge of the cargo.

 

Clause
84 - Instructions

 

Charterers shall furnish master from time to time with
all requisite instructions and sailing directions, in writing or by telegram,
and the master shall keep a full and correct log of the voyage or voyages,
showing interalia the course of the vessel and distance run and the consumption
of fuel oil, which is to be patent to the charterers or their agents, a true
copy of which is to be sent to charterers from each port of call on the voyage
and immediately after completion of the voyage, together with any other
information which the master deems necessary. Charterers to keep owners closely
advised of vessel’s itinerary.

 

Master to assist charterers with any information
required.

 

Clause
85 – Redelivery

 

On dropping last outward sea pilot in charterers’ option

 

a)                        One
safe port Aden/Japan range (if PG/AG then will be passing PMO and Aden)

 

b)                       One
safe port Vancouver/Valparaiso range in Charterers’ option

 

c)                        One
safe port Skaw/Passero range including UK/Eire and full Med/Black Sea in
Charterers’ option but not Lebanon and Israel or Cyprus.

 

d)                       One
safe port Australia/New Zealand

 

e)                        One
safe port Montreal/Bahia Blanca range any time, day or night, Sundays and
Holidays included.

 

Clause
86 – Hire calculation

 

Delivery and redelivery times to be calculated basis
local time, but gmt to apply for hire calculation purposes.

 

Clause
87 - ISM

 

Owners warrant that the vessel is fully ism in order
with smc/doc certificates.

 

Bimco standard ism clause for voyage and time
charterparties

 

From the date of coming into force of the
international safety management (ism} code in relation to the vessel and
thereafter during the currency of this charterparty, the owners shall procure
that both the vessel and “the company” (as defined by the ism code) shall
comply with the requirements of the ism code. Upon request the owners shall
provide a copy of the relevant

 

18

 

document of compliance (doc) and safety management
certificate (smc) to the charterers.

 

Except as otherwise provided in this charterparty,
loss, damage, expense or delay caused by failure on the part of the owners or
“the company” to comply with the ism code shall be for the owners’ account.”

 

Clause
88 - Vessel’s supplies

 

Charterers undertake that they will not procure, nor
permit to be procured, for the vessel any supplies, necessities or services
(including but not limited to port services/utilities, bunkers, agency
attendence etc.) On the credit of the owners and/or vessel and/or managers.
Charterers also undertake to make the concerned head
supplier/intermediaries/phyfsical supplier/ furnisher aware of that the
supplies, bunkers, necessities or services etc. are being furnished on the
credit of the charterers alone and not on the credit of the vessel/owners/managers.

 

Owners/master have the right to issue
notices/disclaimers to the suppliers/furnishers to make them aware that the
supplies, necessities, services which are not ordered in writing by
master/owners/managers, are rendered to the vessel solely on behalf of the
charterers, after having surrendered their rights to claim maritime lien of the
vessel.

 

Clause
89 - ITF

 

In the event of the vessel being boycotted by i.t.f.,
delayed or rendered inoperative by strikes, labour stoppages, or by any other
difficulties due to vessel’s flag, ownership, crew, terms of employment of
officers or crew, time lost is to be considered off-hire.

 

Clause
90 - Certificates

 

Throughout the period of the charter vessel will have
on board all necessary certificates to enable the vessel and her crew to carry
the cargoes and trade within the trading limits allowed under this charter.
Notwithstanding the above if during the charter regulations change for a cargo
or port/country and vessel is not in compliance or its not possible to become
in compliance, then this cargo or port/country is automatically considered as
excluded unless charterers/owners agree upon mutual termination of the charter
party with no claims to each other.

 

Clause
91 - ST Lawernce seaway / IWL

 

Charterers agree not to trade the vessel to
st.lawrence seaway west of montreal, as well as to st.lawrence river (between
1st december and 30rd april). In any case vessel always to trade within
institute warranty limits.

 

Clause
92 - Blacklist

 

The owners warrant that the vessel is not blacklisted
by the arab or other countries within the agreed trading limits. Charterers
trading of this vessel not to expose owners/vessel to blacklisting.

 

19

 

Clause
93 - Hatch covers

 

Owners guarantee that vessel’s hatchcovers are to be
water tight all throughout this charter period and if any hatchcover found
defective, same to be rectified at owners time and expenses to independent
surveyor’s satisfaction.

 

Clause
94 - Gear

 

Owners shall maintain the gear of the ship as fitted,
providing gear for all cranes capable of handling lifts up to (see Clause 30).
Owners also to provide on the vessel lights for night work as on board on deck
and in all hatches simultaneously and maintain same in efficient working order.

 

All stevedore standby time (for the present shift
actually affected by breakdown) occasioned by deficiency of cranes unless such
deficiency is caused by Charterers and/or their servants, and/or stevedores,
and/or their cranedrivers shall be the responsibility of the Owners and hire
shall be proportionately reduced according to the number of cargo holds in
which work is prevented due to such inefficiency.

 

The Charterers have the use of all the cranes on board
the vessel except provisions crane. In the event of a disabled crane or
insufficient power to operate cranes, unless such disablement or insufficiency
is caused by Charterers and/or their servants, and/or stevedores. Owners to
have the option, to pay for suitable shore engine(s) or crane(s) and/or their
cranedrivers but then vessel remains on full hire.

 

Clause
95 - Bimco bunker quality control Clause for
Time Charterers

 

1) the charterers shall supply bunkers of a quality
suitable for burning in the Vessel’s engines and auxiliaries and which conform
to the specification(s) Mutually agreed under this charter.

 

2) at the time of delivery of the vessel the owners
shall place at the disposal  Of the
charterers, the bunker delivery note(s) and any samples relating to the Fuels
existing on board.

 

3) during the currency of the charter the charterers
shall ensure that bunker Delivery notes are presented to the vessel on the
delivery of fuel(s) and that During bunkering representative samples of the
fuel(s) supplied shall be taken At the vessel’s bunkering manifold and sealed
in the presence of competent Representatives of the charterers and the vessel.

 

4) the fuel samples shall be retained by the vessel
for 90 (ninety) days after The date of delivery or for whatever period
necessary in the case of a prior Dispute and any dispute as to whether the
bunker fuels conform to the agreed Specification(s) shall be settled by
analysis of the sample(s) by (  .) Or by Another mutually agreed
fuels analyst whose findings shall be conclusive Evidence as  to conformity or otherwise with the
bunker fuels specification(s).

 

5) the owners reserve their right to make a claim
against the charterers for Any damage to the main engines or the auxiliaries
caused by the use of Unsuitable fuels or fuels not complying with the agreed
specification(s). Owners to present such claim latest 30 days after vessel’s
redelivery. Additionally, if bunker fuels supplied do not conform with the
mutually agreed

 

20

 

Specification(s) or otherwise prove unsuitable for
burning in the ship’s Engines or auxiliaries the owners shall not be held
responsible for any Reduction in the vessel’s speed performance and/or
increased bunker consumption

 

Nor for any time lost and any other consequences.

 

Clause
96- Separations

 

Vessel to provide hold wise separations only. In case
of loading different bulk commodities in the vessel, the stowage of these
cargoes shall be subject to masters satisfaction and subject to natural
separation or segregation only. While charterers have the option to load two or
more cargoes in the same hold, charterers are to supply, erect, dismantle and
dispose of any and all separations required, at their risk and expense.
Notwithstanding any other provisions in the charter party, any claims arising
from contamination or sweat damage or admixture to cargo carried in the same
hold to be for charterers account. Charterers are to leave the vessel in  safe and seaworthy trim and with cargo on
board safely stowed, dunnaged and secured to the master’s satisfaction for all
shiftings between berths and all passages between ports under this charter in
their time and at their expenses.

 

Clause
97 -War risk Clause

 

A) charterers shall pay to owners any increase in
premium and/or any additional premium related to vsl’s calls in areas where
additional extra war risk insurance apply to war risk underwriters and/or to
any mutually war risks association for the war risks insurance of the vessel,
her officers and crew (including insurance of detention and diversion expenses
and insurance against the risks of blocking and trapping). Ewri not to exceed
Iloyd’s of london scale.

 

B) charterers shall reimburse owners the premia
referred to in the preeceding sub-clause immediately upon presentation to them
of the original premium debit notes from the vessel’s war risk underwriters
and/or mutually war risks association net of any rebates.

 

C) the owners, master and crew shall be entitled to
follow all and any instructions or directions which may be given to the vessel/owners
by the vessel war risks underwriters or mutual war risks association.

 

D) charterers shall pay crew war risk bonuses

 

Clause
98 - Performance claims

 

Any claim by charterers relating to the performance of
the vessel and/or the vessels equipment including speed claim are to be
submitted to owners in the form of a statement of claim with supporting docs
within 30 days of completion of the current voyage or otherwise to be waived
and nullified.

 

If during tie chartered period the vessel falls below
or exceeds the Performance described herein then if such shortfall or excess
results :

 

21

 

(i) from a reduction or an increase in the speed of
the vessel, compared to the speed  which
would have been achieved had the vessel performed as described in this Charter
Party, then an amount equal to the value at the hire rate of the time so lost
or gained, as the case may be, shall be deducted from or added to the hire
paid.

 

(ii) from an increase or a decrease in the total
bunkers consumed, compared to the total bunkers which would have been Consumed
had the vessel performed as described in clause 37, an amount equivalent to the
value of the additional bunkers Consumed or the bunkers saved, as the case may
be, based on the Charter party prices, shall be deducted from or added to the
hire paid.

 

Excessive days in Port

 

The Charterers will waive their claim on the vessel’s
performance affected by the fouling of the vessel’s bottom arising from the
prolonged stay exceeding thirty (30) days in port for Charterers’ business.
However Owners, on Charterers’ request, will take actions to rectify vessel’s
performance (e.g.: by underwater cleaning) at first favorable occasion at
Owners’ time and expense.

 

Clause
99 - Cargo claims

 

Cargo claims to be settled in accordance with NYPE
Interclub Agreement and any amendments thereto. With respect to responsibility
for cargo claims as between Owners and Charterers, the New York Produce
Exchange Agreement: (Interclub Agreement) as amended in 1996 (the so called
Produce Fromula) shall apply.

 

Charterers/Owners are not allowed to negotiate or
settle any cargo (or other claims including fines) and are also not allowed to
grant time extensions for those claims without having Owners/Charterers
previous written approval of consent. It is understood that Owners/Charterers
will keep each other properly and timely advised for all such claims and also
will furnish each other with all relative documents and information in
Owners/Charterers possession.

 

Clause
100 - Sublet

 

Charterers not to sublet the vessel to nigerians,
haitians, nicaraguans, israeli, iraqui
registered/based/controlled/owned/domiciled companies. Charterers also not to
sublet vessel to the companies based / owned /registered / controlled /
domiciled in the countries against whom u.n sanctions may be imposed time to
time.

 

Clause
101 - Grain

 

Owners warrant that the vessel is suitable for
carrying a full cargo of grain in all holds without requiring any grain
fittings and/or bagging or securing and/or strapping etc. Vessel has on board
valid grain loading booklet in accordance with solas 1974 regulations and imco
resolutions a-264 (viii) as adapted in 1974. Furtermore, vessel to have on
board approved table of heeling movements for “filled holds- untrimmed ends” in
accordance with imco be xix/inf. 4. It is understood that grain loading to be
according to imo regulations and per vessel’s grain loading booklet.

 

22

 

Clause
102 - Customs fines

 

Owners to be responsible for customs fines and to put
up security in case of necessity if owners’ vessel is proven responsible and if
so demanded by local authorities for owners’ matter. Any dispute as to ultimate
liability arising insofar to be decided according to the terms and conditions
of this charter party. In case vessel is stopped by port authorities or any
other coast guard authority and/or hindered by them in any way to operate under
the currency of this charter party for reasons which owners/vessel/master/crew
are responsible, vessel to be off-hire for all such time lost and owners to be
responsible for all directly related expenses that charterers may Suffer
resulting from the above.

 

Clause
103 - Bulk carrier safety clause

 

(a) the charterers shall instruct the terminal
operators or their representatives to co-operate with the master in completing
the imo ship/shore safety checklist and shall arrange all cargo operations
strictly in accordance with the guidelines set out therein.

 

(b) in addition to the above and notwithstanding any
provision in this charter party in respect of loading/discharging rates, the
charterers shall instruct the terminal operators to load/discharge the vessel
in accordance with the loading/discharging plan, which shall be approved by the
master with due regard to the vessel’s draught, trim, stability, stress or any
other factor which may affect the safety of the vessel.

 

(c) at any time during cargo operations the master
may, if he deems it necessary for reasons of safety of the vessel, instruct the
terminal operators or their representatives to slow down or stop the loading or
discharging.

 

(d) compliance with the provisions of this clause
shall not affect the counting of laytime.

 

Clause
104 - Lien clause for time charters

 

In addition, to the right of lien conferred on the
owners according to the provisions of the charter-party lien clause, the owners
also to have a lien over bunkers on board, as well as over any sums due to time
charterers under any sub-charterparties (in addition to freights and sub-
freights), for any amounts due under this charter-party. Further, in the event
of the owners’ exercise of their liberty to withdraw the vessel in accordance
with the provisions of the charter-party withdrawal clause, the ownership of
any bunkers remaining on board shall thereupon vest in owners, who shall allow
to time charterers by way of credit against any sums due to owners the value of
such bunkers calculated in accordance with the provisions of the charter-party bunkers
clause applicable on redelivery.

 

Clause
105 - U.S. Income tax

 

U.S. Income tax - time charters notwithstanding
anything else contained in this charter party. Any tax imposed by the
provisions of the u.s. Tax reform act of 1986, as amended from time to time,
and set forth at section 887 of the internal revenue code of the u.s.,
(including any successor  provision
thereto and any

 

23

 

regulations applied by the u.s.internal revenue
services in respect of such tax) and payable by the owners in respect of gross
transportation income derived under this charter party from the vessel’s
operation to and from u.s. Ports and from cargoes delivered to or shipped from
u.s. Ports, shall be covered by charterers and paid to owners together with the
relevant hire payment due at the time, on the presentation of owners’
calculation/invoice. Owners shall not be required to seek exemption from said
tax, even if they could qualify for such 
exemption.

 

Clause
106 - Captions

 

The captions of clauses herein are inserted for
convenience only and shall not be construed to have any restive effect on the
text herein.

 

Clause
107 - ISPS/MTSA clause for time charter parties 2005

 

(a)(i) The Owners
shall comply with the requirements of the International Code for the Security
of Ships and of Port Facilities and the relevant amendments to Chapter XI of
SOLAS (ISPS Code) relating to the Vessel and “the Company” (as defined by the
ISPS Code). If trading to or from the United States or passing through United
States waters, the Owners shall also comply with the requirements of the US
Maritime Transportation Security Act 2002 (MTSA) relating to the Vessel and the
“Owner” (as defined by the MTSA).

 

(ii) Upon request
the Owners shall provide the Charterers with a copy of the relevant
International Ship Security Certificate (or the Interim International Ship
Security Certificate) and the full style contact details of the Company
Security Officer (CSO).

 

(iii) Loss,
damages, expense or delay (excluding consequential loss, damages, expense or
delay) caused by failure on the part of the Owners or “the Company”/”Owner” to
comply with the requirements of the ISPS Code/MTSA or this Clause shall be for
the Owners’ account, except as otherwise provided in this Charter Party.

 

(b)(i) The
Charterers shall provide the Owners and the Master with their full style
contact details and, upon request, any other information the Owners require to
comply with the ISPS Code/MTSA. Where sub-letting is permitted under the terms
of this Charter Party, the Charterers shall ensure that the contact details of
all sub-charterers are likewise provided to the Owners and the Master.
Furthermore, the Charterers shall ensure that all sub-charter parties they
enter into during the period of this Charter Party contain the following
provision:

 

“The Charterers shall provide the
Owners with their full style contact details and, where sub-letting is
permitted under the terms of the charter party, shall ensure that the contact
details of all sub-charterers are likewise provided to the Owners”.

 

(ii) Loss, damages,
expense or delay (excluding consequential loss, damages, expense or delay)
caused by failure on the part of the Charterers to comply with this Clause
shall be for the Charterers’ account, except as otherwise provided in this
Charter Party.

 

24

 

(c) Notwithstanding
anything else contained in this Charter Party all delay, costs or expenses
whatsoever arising out of or related to security regulations or measures
required by the port facility or any relevant authority in accordance with the
ISPS Code/MTSA including, but not limited to, security guards, launch services,
vessel escorts, security fees or taxes and inspections, shall be for the
Charterers’ account, unless such costs or expenses result solely from the
negligence of the Owners, Master or crew. All measures required by the Owners
to comply with the Ship Security Plan shall be for the Owners’ account.

 

(d) If either party
makes any payment which is for the other party’s account according to this
Clause, the other party shall indemnify the paying party.

 

Clause
108 - Both to blame collision Clause

 

If the vessel comes into collision with another ship
as a result of the negligence of the other ship and any act, neglect or default
of the master, mariner, pilot or the servants of the carrier in the navigation
or in the management of the vessel, the owners of the cargo carried hereunder
will indemnify the carrier against all loss or liability to the other or
non-carrying ship or her owners in so far as such loss or liability represents
loss of, or damage to, or any claim whatsoever of the owners of said cargo,
paid or payable by the other or non-carrying ship or her owners to the owners of
said cargo and set-off, recouped or recovered by the other or non-carrying ship
or her owners as part of their claim against the carrying vessel or carrier.
The foregoing provisions shall also apply where the owners, operators or those
in charge of any ship or ships or objects other than, or in addition to, the
colliding ships or objects are at fault in respect of a collision or contact.

 

Clause
109 – U.S. Trade - Unique Bill Of Lading Identifier Clause

 

The Charterers warrant that each transport document accompanying
a shipment of cargo destined to a port or place in the United States of America
shall have been endorsed with a Unique Bill of Lading Identifier as required by
the U.S. Customs Regulations (19 CFR Part 4 Section 4.7.a) including subsequent
changes, amendments or modifications thereto, not later than the first port of
call.

 

Non-compliance with the provisions of this Clause
shall amount to breach of warranty for the consequences of which the Charterers
shall be liable and shall hold the Owners harmless and shall keep them
indemnified against all claims whatsoever which may arise and be made against
them.

 

Furthermore, all time lost and all expenses incurred
including fines as a result of the Charterers’ breach of the provisions of this
Clause shall be for the Charterers’ account.

 

Clause
110 General average and the New Jason Clause

 

General average shall be payable according to the
york/antwerp rules 1974, but where the adjustment is made in accordance with
the law and practice of the united states of america, the following clause
shall apply:-

 

25

 

New Jason Clause

 

In the event of accident, danger, damage or disaster
before or after the commencement of the voyage, resulting from any cause
whatsoever, whether due to negligence or not, for which, or for the consequence
of which, the carrier is not responsible, by statute, contract or otherwise,
the goods shall contribute with the carrier in general average to the payment
of any sacrifices, losses or expenses of a general average nature that may be
made or incurred and shall pay salvage and special charges incurred in respect
of the goods.

 

If a salving ship is owned or operated by the carrier,
salvage shall be paid for as fully as if the said salving ship or ships
belonged to strangers. Such deposit as the carrier or his agents may deem
sufficient to cover the estimated contribution of the goods and any salvage and
special charges thereon shall, if required be made by the goods shippers,
consignees or owners of the goods to the carrier before delivery.

 

And the charterers shall procure that all bills of
lading issued under this charter party shall contain the same clause.

 

Clause 111 - General paramount Clause

 

It is hereby mutually agreed that all bills of lading
issued pursuant to this charter party shall bear the following clauses:

 

“all terms, provisions and conditions of the rules
contained in the international convention of certain rules relating to bills of
lading dated brussels, the 25th august, 1924 (commonly known as the
hague rules) shall apply to the contract in this bill of lading, but if in the
country of shipment or delivery of the cargo a special law has been enacted in
order to incorporate the rules of the said convention then all the terms,
provisions and conditions of the said convention with and subject to such
modifications and additions, if any, as are imposed by such special law shall
apply. Nothing herein contained shell be deemed to be a surrender by the
carrier of any of his rights or immunities or an increase of any of his
responsibilities under the said rules or enactment’s.

 

The carrier is to be entitled to the benefit of all
such privileges, rights and immunities as are contained in the said rules or
enactment’s as if the same were herein specifically set out, and if anything
herein contained be inconsistent with the said rules or enactment’s it shall,
to the extent of such inconistency and no further be null and void.”

 

Clause 112 – U.S. Anti Drug Abuse Act 1986 Clause for Time Charters

 

In pursuance of the provisions of the U.S. Anti Drug
Abuse Act 1986, or any re-enactment thereof, the Charterers warrant to exercise
the highest degree of care and diligence in preventing unmanifested narcotic
drugs and marijuana to be loaded or concealed on board the Vessel.

 

Non-compliance with the provisions of this Clause
shall amount to breach of warranty for the consequences of which the Charterers
shall be liable and shall hold the Owners, the Master and the crew of the
Vessel harmless and shall keep them indemnified against all claims whatsoever
which may arise and be made against them individually or jointly.

 

26

 

Furthermore, all time lost and all expenses incurred,
including fines, as a result of the Charterers’ breach of the provisions of
this Clause shall be for the Charterers’ account and the Vessel shall remain on
hire.

 

Should the Vessel be arrested as a result of the
Charterers’ non-compliance with the provisions of this Clause, the Charterers
shall at their expense take all reasonable steps to secure that within a
reasonable time the Vessel is released and at their expense put up bail to
secure release of the Vessel.

 

The Owners shall remain responsible for all time lost
and all expenses incurred, including fines, in the event that unmanifested
narcotic drugs and marijuana are found in the possession or effects of the
Vessel’s personnel.

 

Clause
113 – U.S. Customs Advance Notification/AMS Clause for Time Charter Parties

 

(a) If the Vessel loads or carries cargo destined for
the US or passing through US ports in transit, the Charterers shall comply with
the current US Customs Regulations (19 CFR 4.7) or any subsequent amendments
thereto and shall undertake the role of carrier for the purposes of such
regulations and shall, in their own name, time and expense:

 

i) Have in place a SCAC (Standard Carrier Alpha Code);

 

ii) Have in place an ICB (International Carrier Bond);

 

iii) Provide the Owners with a timely confirmation of
i) and ii) above; and

 

iv) Submit a cargo declaration by AMS (Automated
Manifest System) to the US Customs and provide the Owners at the same time with
a copy thereof.

 

(b) The Charterers assume liability for and shall
indemnify, defend and hold harmless the Owners against any loss and/or damage
whatsoever (including consequential loss and/or damage) and/or any expenses,
fines, penalties and all other claims of whatsoever nature, including but not
limited to legal costs, arising from the Charterers’ failure to comply with any
of the provisions of sub-clause (a). Should such failure result in any delay
then, notwithstanding any provision in this Charter Party to the contrary, the
Vessel shall remain on hire.

 

(c) If the Charterers’ ICB is used to meet any
penalties, duties, taxes or other charges which are solely the responsibility
of the Owners, the Owners shall promptly reimburse the Charterers for those
amounts.

 

(d) The assumption of the role of carrier by the
Charterers pursuant to this Clause and for the purpose of the US Customs
Regulations (19 CFR 4.7) shall be without prejudice to the identity of carrier
under any bill of lading, other contract, law or regulation.

 

Clause
114 – U.S. Trade - Unique bill of lading Identifier Clause

 

the charterers warrant that each transport document
accompanying a shipment of cargo destined to a port or place in the united
states of america shall have been endorsed with a unique bill of lading
identifier as required by the u.s. Customs regulations (19 cfr part 4 section
4.7.a) including

 

27

 

subsequent changes, amendments or modifications
thereto, not later than the first port of call.

 

Non-compliance with the
provisions of this clause shall amount to breach of warranty or the
consequences of which the charterers shall be liable and shall hold the owners
harmless and shall keep them indemnified against all claims whatsoever which
may arise and be made against them.

 

Furthermore, all time lost
and all expenses incurred including fines as a result of the charterers’ breach
of the provisions of this clause shall be for the charterers’ account.

 

Clause 115 - Bimco standard war risks Clause for Time
Charters, 1993 Code name: “conwartime 1993”

 

(1) For the purpose of
this Clause, the words:

 

(a) “Owners” shall
include the shipowners, bareboat charterers, disponent Owners, managers or
other operators who are charged with the management of the Vessel, and the
Master; and

 

(b) “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, in the reasonable judgement of the Master and/or the Owners,
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.

 

(2) The Vessel, unless
the written consent of the Owners be first obtained, shall not be ordered to or
required to continue to or through, any port, place, area or zone (whether of
land or sea), or any waterway or canal, where it appears that the Vessel, her
cargo, crew or other persons on board the Vessel, in the reasonable judgement
of the Master and/or 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 her entry
into it, she shall be at liberty to leave it.

 

(3) The Vessel shall not
be required to 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 belligerents right of search
and/or confiscation.

 

28

 

(4)
(a) The Owners may effect war risks insurance in respect of the Hull and
Machinery of the Vessel and their other interests (including, but not limited
to, loss of earnings and detention, the crew and their Protection and Indemnity
Risks), and the premiums and/or calls therefor shall be for their account.

 

(b)
If the Underwriters of such insurance 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
Underwriters as being subject to additional premiums because of War Risks, then
such premiums and/or calls shall be reimbursed by the Charterers to the Owners
at the same time as the next payment of hire is due.

 

(5)
If the Owners become liable under the terms of employment to pay to the crew
any bonus or additional wages in respect of sailing into an area which is
dangerous in the manner defined by the said terms, then such bonus or
additional wages shall be reimbursed to the Owners by the Charterers at the
same time as the next time as the next payment of hire is due.

 

(6)
The vessel shall have liberty:-

 

(a)
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 other Government to whose laws the Owners are subject, or any other Government,
body or group whatsoever acting with the power to compel compliance with their
orders or directions;

 

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

 

(c)
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 Supernational 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;

 

(d)
to divert and discharge at any other port any cargo or part thereof which may
render the Vessel liable to confiscation as a contraband carrier;

 

(e)
to divert and call at any other port to change the crew or any part thereof or
other persons on board the Vessel when there is reason to believe that they may
be subject to internment, imprisonment or other sanctions.

 

29

 

(7) If in accordance with
their rights under the foregoing provisions of this Clause, the Owners shall
refuse to proceed to the loading or discharging ports, or any one or more of
them, they shall immediately inform the Charterers. No cargo shall be
discharged at any alternative port without first giving the Charterers notice
of the Owners’ intention to do so and requesting them to nominate a safe port
for such discharge. Failing such nomination by the Charterers within 48 hours
of the receipt of such notice and request, the Owners may discharge the cargo
at any safe port of their own choice.

 

(8) If in compliance with
any of the provisions of sub-clauses (2) to (7) of this Clause anything is done
or not done, such shall not be deemed a deviation, but shall be considered as
due fulfillment of this Charter Party.

 

Clause
116 - Vessel’s description and Baltic standard questionnaire

 

*** All and each detail “about” ***

 

	
  1.

  	
   

  	
  VESSELS NAME M.V. C. Duckling

  
	
   

  	
   

  	
  VESSEL TO BE RENAMED M.V. STAR
  GAMMA

  
	
  2.

  	
   

  	
  VESSELS EX NAMES M.V. SUN BULKER

  
	
  3.

  	
   

  	
  OWNERS

  
	
  4.

  	
   

  	
  Manager/Operator

  
	
  5.

  	
   

  	
  BUILDERS Oshima Shipbuilding, Japan

  
	
  6.

  	
   

  	
  BUILT Nov, 2002

  
	
  7.

  	
   

  	
  CALL SIGN: HOOR

  
	
  8.

  	
   

  	
  IMO NO.: 9249300

  
	
  9.

  	
   

  	
  PORT OF REGISTRY & REGISTRY
  No.: PANAMA/30650-PEXT-2

  
	
  10.

  	
   

  	
  FLAG PANAMA

  
	
  11.

  	
   

  	
  CLASS: BV

  
	
  12.

  	
   

  	
  HULL & MACHINERY INSURED WITH

  
	
  13.

  	
   

  	
  H&M INSURED VALUE

  
	
  14.

  	
   

  	
  P & I CLUB

  
	
  15.

  	
   

  	
  SHIPS CLASSIFICATION: Bureau
  Veritas I 3/3 E Bulk Carrier, ESP, ALT

  
	
   

  	
   

  	
  (Holds
  No. 2 & 4 maybe Empty) Deep Sea, AUT-MS

  
	
   

  	
   

  	
   

  
	
  16.

  	
   

  	
  HOLDS/HATCHES 5HO/5HA BULK CARRIER
  SELF TRIMMING.

  
	
  17.

  	
   

  	
  SDWT

  	
  53,098 MTS ON 12.163 MTRS

  	
   

  
	
  18.

  	
   

  	
  WDWT

  	
  51,715 MTS ON 11.910 MTRS

  	
   

  
	
  19.

  	
   

  	
  TDWT

  	
  54,484 MTS ON 12.416 MTRS

  	
   

  
	
  20.

  	
   

  	
  FDWT

  	
  53,096 MTS ON 12.440 MTRS

  	
   

  
	
  21.

  	
   

  	
  GRT/NRT 29,295MT/17,592 MT

  
	
  22.

  	
   

  	
  SUEZ GRT/NRT 30,476.87/28,110.14

  
	
  23.

  	
   

  	
  PANAMA GRT/NRT                    /24,323.00

  
	
  24.

  	
   

  	
  LOA/BEAM/LBP 188.50/32.26/l79.91
  Mtrs

  
	
  25.

  	
   

  	
  DEPTH                                 17.18
  mtrs

  
	
  26.

  	
   

  	
  LIGHTSHIP       7,670

  
	
  27.

  	
   

  	
  FWA         277
  MM

  
	
  28.

  	
   

  	
  TPC/SUMMER 54.73 MT

  
	
  29.

  	
   

  	
  TPC/TROPICAL 54.80 MT

  
	
  30.

  	
   

  	
  TPC/WINTER 54.70 MT

  
	
  31.

  	
   

  	
  HOLD GRAIN /BALE 66,416/65,295 CBM

  
	
  32.

  	
   

  	
  CRANES 4X30 MTS x 26 m IHI
  ELECTROHYDRAULIC JIB

  
	
  33.

  	
   

  	
  CRANE MAX OUT REACH 8.0 MTRS AT 25
  DEG. 30 T SWL

  
	
  34.

  	
   

  	
  GRABS 4X12 CBM/ HYDRAULIC TYPE

  
	
  35.

  	
   

  	
  HOISTING SPEED AT FULL WORK LOAD 19
  MTRS/MIN

  

 

30

 

	
  36.

  	
   

  	
  HOISTING
  SPEED AT HALF WORK LOAD 24 MTRS/MIN

  
	
  37.

  	
   

  	
  HOISTING
  SPEED AT NO WORK LOAD 50 MTRS/MIN

  
	
  38.

  	
   

  	
  SLEWING
  SPEED AT FULL WORK LOAD 0.55 RPM

  
	
   

  	
   

  	
  SLEWING SPEED AT HALF WORK LOAD
  0.55 RPM

  
	
  39.

  	
   

  	
  SLEWING
  SPEED AT NO WORK LOAD 0.6 RPM

  
	
  40.

  	
   

  	
  TOPPING
  SPEED AT FULL WORK LOAD 52 SECONDS, MIN 3.5 M, MAX 26 M

  
	
  41.

  	
   

  	
  TOPPING
  SPEED AT HALF WORK LOAD 52 SECONDS, MIN 3.5 M , MAX 26 M

  
	
  42.

  	
   

  	
  TOPPING
  SPEED AT NO WORK LOAD 52 SECONDS, MIN 19 M

  
	
  43.

  	
   

  	
  LOCATION
  OF CRANES CENTRE LINE BETWEEN HATCHES 1/2, 2/3, 3/4, 4/5

  
	
  44.

  	
   

  	
  SAFETY
  DISTANCE FROM CRANE JIB TO HOOK 4.5 M

  
	
  45.

  	
   

  	
  ONE MAIN
  ENGINE Kawasaki MAN B&W 6S50MC-Cb(Derating) 10,450 PS AT 107 RPM

  
	
   

  	
   

  	
  CONTINUOUS
  SERVICE OUTPUT 8,885 PS AT 101.4RPM

  
	
  46.

  	
   

  	
  GENERATORS
  Yanmar 3X625 KW AC 450 V 60HZ

  
	
  47.

  	
   

  	
  SPEED
  & CONSUMPTIONS

  
	
   

  	
   

  	
  IN BALLAST
  14.5 KTS ABT F.O CST-380 27.6MT M/E, AUX 1.7MT, BOILER 0.7 MT/MDO 0.0

  
	
   

  	
   

  	
  IN LADEN
  14.0 KTS ABT F.O CST-380 29.0MT M/E, AUX 1.7MT, BIILER 0.7 MT/MDO 0.0

  
	
   

  	
   

  	
  IN PORT
  IDLE CST-380 IFO 1.4MT AUX, BOILER 1.1MT/MDO 0.0

  
	
   

  	
   

  	
  IN PORT 24
  HRS GEAR WORKING 4.6 MTS CST-380 IFO/MDO 0.0

  
	
   

  	
   

  	
  VSL USE
  MDO FOR IN/OUT PORT AND LIMITED WATER MANOEUVRING

  
	
  48.

  	
   

  	
  BUNKER
  SPECIFICATION - IFO 380 CST- RMG 380 -SULPHUR<3.37% ISO 8217 1996(E)

  
	
  49.

  	
   

  	
  BUNKER
  SPECIFICATION- MGO/BLENDED

  
	
  50.

  	
   

  	
  FUEL TANK
  CAPACITIES

  
	
   

  	
   

  	
  •  FUEL OIL 1544
  MTS(96% FULL) Density 0.950

  	
   

  
	
   

  	
   

  	
  •  DIESEL OIL 148
  MTS(96% FULL) Density 0.880

  	
   

  
	
  51. 

  	
   

  	
  HOLD
  CAPACITIES GRAIN/ BALE- CBM

  

 

	
  Cargo Holds

  	
   

  	
  Hatch Coaming

  	
   

  
	
  NO.1

  	
  10,551/10,389

  	
   

  	
  294

  	
   

  
	
  NO.2

  	
  14,507/13,776

  	
   

  	
  450

  	
   

  
	
  NO.3

  	
  13,197/12,917

  	
   

  	
  424

  	
   

  
	
  NO.4

  	
  13,937/13,664

  	
   

  	
  487

  	
   

  
	
  NO.5

  	
  12,511/12,390

  	
   

  	
  508

  	
   

  
	
  TOTAL  64,253/63,132

  	
   

  	
  Total 2163.0

  	
   

  

 

	
  52.

  	
   

  	
  HATCH SIZE

  
	
   

  	
   

  	
  No.1

  	
  16.74 X
  18.60 MTRS

  
	
   

  	
   

  	
  No.2

  	
  21.39 X
  18.60 MTR

  
	
   

  	
   

  	
  No.3

  	
  18.60 X
  18.60 MTR

  
	
   

  	
   

  	
  No.4

  	
  21.39 X
  18.60 MTR

  
	
   

  	
   

  	
  No.5

  	
  22.32 X
  18.60 MTR

  
	
   

  	
   

  	
   

  
	
  53.

  	
   

  	
  HOLD
  DIMENSIONS LX B(F) X B(A)- MTRS

  
	
   

  	
   

  	
  NO.1

  	
  27 X 8.8 X
  22

  
	
   

  	
   

  	
  NO.2

  	
  30.6 X 22

  
	
   

  	
   

  	
  NO.3

  	
  27.8 X 22

  
	
   

  	
   

  	
  NO.4

  	
  30.4 X 22

  
	
   

  	
   

  	
  NO.5

  	
  31.4 X 22
  X 10.4

  
	
   

  	
   

  	
   

  
	
  54.

  	
   

  	
  TANK TOP
  STRENGTHS

  
	
   

  	
   

  	
  NO.1

  	
  22.70
  MTS/M2

  
	
   

  	
   

  	
  NO.2

  	
  15.00
  MTS/M2

  
	
   

  	
   

  	
  NO.3

  	
  25.80
  MTS/M2

  
	
   

  	
   

  	
  NO.4

  	
  15.00
  MTS/M2

  
	
   

  	
   

  	
  NO.5

  	
  21.70
  MTS/M2

  
	
   

  	
   

  	
   

  
	
  55.

  	
   

  	
  STRENGTH
  MAIN DECK: No.1 2.4 MTS/M2, No.2–5 3.4mt/M2

  

 

31

 

	
  56.

  	
   

  	
  STRENGTH
  HATCH COVERS 1.75 MTS/M2 (No cargo to be considering loading on h/covers)

  
	
  57.

  	
   

  	
  TYPE OF
  HATCH COVERS : Weather-Tight Folding Type /HYDRAULIC

  
	
  58.

  	
   

  	
  HOLD NO. 3
  ALSO FOR BALLAST ALTERNATE HOLD LOADING 2+4 may empty

  
	
  59.

  	
   

  	
  DISTANCE
  BETWEEN HATCHES 6.0 MTRS

  
	
  60.

  	
   

  	
  DISTANCE FORWARD END OF NO.1 HOLD TO AFT END OF NO.5 HOLD
  148.8 MTRS

  
	
  61.

  	
   

  	
  DISTANCE
  FROM BOW TO AFT OF LAST HATCH 161.0 MTRS

  
	
  62.

  	
   

  	
  BALLAST
  WATER CAPACITY 29,719 MTS (including N0.3 Cargo hold 13,962MT) Density 1.025

  
	
   

  	
   

  	
  (deballast
  water l000cbm/hr, working by 1-set pump)

  
	
  63.

  	
   

  	
  FRESH
  WATER CAPACITY 344 MTS (Density 1.00)

  
	
  64.

  	
   

  	
  CONSTANT
  EXCLUDING FRESH WATER 280 MT

  
	
  65. 

  	
   

  	
  FRESH
  WATER EVAPORATOR CAPACITY 12~15 MT/DAY

  
	
   

  	
   

  	
  FRESH
  WATER DAILY CONSUMPTION 8~10 MT/DAY

  
	
  66.

  	
   

  	
  DISTANCE
  FROM KEEL TO TOP OF HATCH COAMING 19.566 MTRS

  
	
  67.

  	
   

  	
  DISTANCE
  FROM KEEL TO TOP OF THE MAST 44.19 MTRS

  
	
  68.

  	
   

  	
  AIRDRAFT
  IN FULLY LADEN CONDITION 32.02 MTRS (as per Master report)

  
	
  69.

  	
   

  	
  DISTANCE
  FROM WATERLINE TO TOP OF HATCH COAMING

  
	
   

  	
   

  	
  IN HEAVY
  BALLAST CONDITION 11.086 M

  
	
   

  	
   

  	
  IN LIGHT
  BALLAST CONDITION 15.006 M

  
	
  70.

  	
   

  	
  DISTANCE
  FROM WATERLINE TO HIGHEST POINT

  
	
   

  	
   

  	
  IN HEAVY
  BALLAST CONDITION 35.72 M

  
	
   

  	
   

  	
  IN LIGHT
  BALLAST CONDITION 39.66 M

  
	
   

  	
   

  	
  IN LADEN
  CONDITION 32.04 M

  
	
  71.

  	
   

  	
  DISTANCE
  FROM TANKTOP TO UNDERSIDE OF CLOSED HATCH COVERS No.2–4/17.3m, No.1/17.9m

  
	
  72.

  	
   

  	
  DISTANCE FROM
  TANKTOP TO UNDERSIDE WEATHERDECK 17.0 M

  
	
  73.

  	
   

  	
  DISTANCE
  FROM TOP OF HOPPER TO UNDERSIDE WEATHERDECK 11.0 M

  
	
  74.

  	
   

  	
  DISTANCE
  FROM TOP OF HOPPER TO BOTTOM OF WING TANKS 6.6 M

  
	
  75.

  	
   

  	
  DISTANCE
  FROM SHIPS RAIL TO INSIDE OF HATCH COAMING 6.8 M

  
	
  76.

  	
   

  	
  DISTANCE
  FROM DECK TO UNDERSIDE OF CRANE PEDESTAL 10.0 M

  
	
  77.

  	
   

  	
  DISTANCE
  FROM DECK TO TOP OF HATCH COVER 2.6 M

  
	
  78.

  	
   

  	
  DISTANCE
  FROM HATCH COVER TO UNDERSIDE OF CRANE JIB 7.2 M

  
	
  79.

  	
   

  	
  DISTANCE
  FROM TANKTOP TO TOP OF HATCHCOVERS No.2–4/18.15m, No.1/18.76m

  
	
  80.

  	
   

  	
  DISTANCE
  FROM CRANE TO SHIPSIDE 16.13 M

  
	
  81.

  	
   

  	
  DISTANCE
  BETWEEN CRANES 29.0 M

  
	
  82.

  	
   

  	
  CEMENT
  FEEDER HOLES ON HATCH COVERS 2- SETS OF HOLES 750 MM DIA/COVER

  
	
  83.

  	
   

  	
  IS VESSEL
  GRAIN FITTED?, YES

  
	
  84.

  	
   

  	
  IS VESSEL
  CO2 FITTED?, FOR E/R ONLY.

  
	
  85.

  	
   

  	
  IS VSL
  SUEZ, PANAMA CANAL FITTED?, YES

  
	
  86.

  	
   

  	
  HOLD
  VENTILATION (NATURAL OR ELECTRIC), NATURAL

  
	
  87.

  	
   

  	
  VESSEL ICE
  CLASS/ STRENGTHENED?, NO

  
	
  88.

  	
   

  	
  DOES VSL
  HAVE AUSTRALIAN HOLD LADDERS?, YES

  
	
  89.

  	
   

  	
  IS VESSEL
  ITF FITTED?, YES

  
	
  90.

  	
   

  	
  IS VESSEL
  LOG FITTED, INCLUDING LASHING MATERIALS, STANCHIONS ETC?, NO

  

 

32

 

	
  91.

  	
   

  	
  INMARSAT TELEPHONE:

  
	
  92.

  	
   

  	
  MASTERS NATIONALITY

  
	
  93.

  	
   

  	
  NUMBER AND NATIONALITY OF CREW

  

 

 

	
  The
  Owners

  	
   

  	
  The
  Charterers

  
	
   

  	
   

  	
   

  
	
  Star Gamma Inc.
  of Majuro, Marshall Islands

  	
   

  	
  TMT CO. , LTD. TAIPEI

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  /s/ [ILLEGIBLE]

  	
   

  	
   

  	
  /s/ [ILLEGIBLE]

  	
   

  
					

 

33

 

Athens, 8th
March 2007

 

ADDENDUM No. 1

 

To the “C.
Duckling TBRN Star Gamma” Charter
Party dated, 23rd February 2007

 

It has been agreed between:

 

Messrs STAR GAMMA INC. of Majuro, Marshall Islands, as
Owners

 

and

 

Messrs TMT Co. Ltd,.
of the city of Taipei, as Charterers

 

This Charter Party is subject to the Owners obtaining
title to the ship, failing which it shall be
considered null and void and both parties will be released without one party asserting
any claim against the other.

 

All other terms, conditions and exceptions of the
above mentioned Charter Party to remain unaltered and in full force.

 

 

	
  THE
  OWNERS

  	
   

  	
  THE
  CHARTERERS

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  /s/ [ILLEGIBLE]

  	
   

  	
   

  	
  /s/ [ILLEGIBLE]

  	
   

  
	
  Star Gamma Inc. of Majuro, Marshall Islands

  	
   

  	
  TMT CO., LTD. TAIPEIExhibit 10.18

 

Time Charter

 

GOVERNMENT
FORM

Approved by the New York
Produce Exchange

November
6th, 1913 - Amended October 20th, 1921; August 6th, 1931; October 3rd, 1946

 

This
Charter Party, made and concluded in Athens
           26th day of February          
192007 Between STAR IOTA INC OF MAJURO, MARSHALL ISLANDS Owners to
be                
Owners of the good Panama flag
           Steamship/Motorship
“Mommy Duckling” TBRN “Star Iota”           
of            of 45,773             tons gross register, and 24,230          tons
net register, having engines of           
indicated horse power and with hull, cargo
spaces, machinery and equipment in a thoroughly efficient state,
and classed BV           
at            of about 2,993,694.9          cubic
feet grain
bale capacity, and about 78,585
metric           
tons (See Clause 31)  of 2240 lbs.
deadweight all told
capacity (cargo and bunkers, including fresh water and stores approximately 400 MT
excluding fresh water not exceeding one and half percent of ship’s deadweight
capacity.

allowing a minimum of
fifty tons) on a draft of 14.479
            feet  metres
    inches on salt     
Summer freeboard, inclusive of
permanent bunkers. which  are
of the capacity of about     tons of fuel, and
capable of steaming throughout, for the duration of this Charter Party
fully laden,
under good weather

conditions about 12.75      knots on a consumption of about  44.3 long     
tons  (L) of 1FO (180 CST) AND ABOUT 1.5 LT MDO at sea. Bunker specifications
as per Clause 32. best
Welsh coal best grade fuel oil best grade Diesel oil, 
 now trading            and
TMT Co. Ltd,            Charterers
of the City of Taipei          

 

Witnesseth,
That the said Owners agree to let, and the said Charterers agree to hire the
said vessel, from the time of delivery, for about  min 12 to about 13 months +/- 10 days in Charterers’
option time charter trading, always afloat,            always within Institute Warranty
Limits, always via safe ports, safe berths, safe anchorages, always via ice free
ports/areas    within
below  mentioned trading limits.

Charterers to have
liberty to sublet the vessel for all or any part of the time covered by this
Charter, but Charterers remaining responsible for the fulfillment of this Charter Party. Acceptance of delivery by
Charterers shall not constitute any waiver of Owners’ obligations
hereunder.  Vessel to be placed
at the disposal of the Charterers, at  any time day or night, Sundays, holidays, included
within 10 working days in Owners’      option immediately
after the ship completes her current voyage following Owners’ aquisition  of the title to the ship.

 

in such dock or at such wharf or place (where she may
safely lie, always afloat, at all times of tide, except as otherwise provided
in clause-No.6), as the Charterers may direct. If such dock, wharf or place be
not available time to count as provided for in clause No. 5.
Vessel on her delivery to be clean and in all
respects ready to load any permissible cargo to in a indepedant surveyor’s
satisfaction, failing which she will be placed off-hire from time of rejection
until she is in all respects ready to load

ready to receive cargo
with-clean swept holds and
tight, staunch, strong and in every way fitted for ordinary cargo (as permitted under this Charter Party) service and so be maintained by the
Owners throughout the currency of this Charter Party  the service, having water ballast, Winches and

donkey boiler with sufficient steam power, or if not equipped with donkey
boiler, then other power sufficient to run all the winches at one and the same
time (and with full complement of officers, seamen, engineers and
firemen for a vessel of her tonnage), to be employed, in carrying lawful
merchandise including petroleum or its products,-in proper containers,
excluding           

 

 

(vessel is not to be employed in the carriage of Live
Stock, but Charterers are to have the privilege of shipping a small number on
deck at their risk, all necessary fittings and other requirements to be for
account of Charterers), in such lawful trades, between safe port and/or ports
in British North  America, and/or United
States of America, and/or West Indies, and/or Central  America,
and/or Caribbean Sea, and/or Gulf of Mexico, and/or  Mexico, and/or South America          and/or
Europe

 

 and/or Africa, and/or Asia,
and/or Australia, and/or Tasmania, and/or New Zealand, but excluding Magdalena
River, River St. Lawrence between October 31st and May 15th, Hudson Bay and all
unsafe ports also excluding, when out of season, White Sea, Black Sea and the
Baltic,Vessel not to
force ice or follow ice breakers.            

as the Charterers or their Agents shall direct, on the following
conditions:

 

1. That the Owners shall
provide and pay for all provisions, wages and consular shipping and discharging
fees of the Crew; also
consular fees necessitated because of vessel’s nationality or in respect of
Owners, business, also all garbage removal requested by Master provided local
authorities permit, but when compulsory to be for charterers’ account,
shall pay for the insurance of the vessel, also for all the cabin, deck,
engine-room and other necessary stores, including boiler water and maintain her
class and keep  the vessel in a
thoroughly efficient state in hull, machinery and equipment for and during the
service.

 

2. That whilst on hire the
Charterers shall provide and pay for all the fuel except as otherwise agreed,
Port Charges, compulsory/customary
Pilotages including Skaw/Dardanelles/Great Belt/Magellan,
Agencies, Commissions, Tallymen,
Stevedores, Municipality and States Taxes, watchmen where compulsory, canal
tolls and dues,

 

Consular Charges (except
those pertaining to the Crew and vessel ), and all other usual expenses for a Time  Charterer
including any taxes/dues on cargo/freight  except those before stated, but when the
vessel puts into a port for causes for which vessel is responsible and contrary to Charterers
directions, then all such charges incurred shall be paid by the
Owners. Furnigations ordered because of illness of the crew to be for Owners
account. Furnigations ordered because of cargoes carried or ports visited while
vessel is employed under this  charter to
be for Charterers account including
crews transportation and/or accommodation occasioned thereby.
All other furnigations to be for Charterers account after vessel has been on
charter for a continuous period 
of six months or more.

 

Charterers are to provide
necessary dunnage and shifting boards, also any extra fittings requisite for a
special trade or unusual cargo, but Owners to allow them the use of any dunnage
and shifting boards already aboard vessel. Charterers to have the privilege of
using shifting boards for dunnage, they making good any damage thereto.

 

3. That the Charterers,
at the port at delivery, and the Owners, at the port of re delivery, shall take
over and pay for all fuel remaining on board the vessel of the current prices
in the respective ports, the vessel to be delivered with not less than
           tons and not
more than            tons
and to be re delivered with not less than           
tons and not more than.          
tons.  See Clause
32

 

4. That the charterers
shall pay for the use and hire of the said Vessel at the rate of 18,000 United States Dollars daily
including overtime, payable every 15 days in advance. United
States Currency per ton on vessel’s total deadweight carrying capacity,
including bunkers and  stores, on
           summary
freeboard, per Calendar Month, commencing on and from the day and time of her
delivery, as aforesaid, and at and after the same rate for any parts of a day
month; hire to continue until the hour of the day of her re-delivery in
like good order and condition, ordinary wear and tear excepted, to the Owners
(unless lost) at See
Clause 85           
unless otherwise mutually agreed. Charterers are to give Owners not less than 25/20/15/10 days approximate
and 5/3/2/1 days definite notice of vessels expected date
of re-delivery, and probable port.

 

5. Payment of said hire
to be made in Owners’
bank  New York in cash in United States Currency by telegraphic wire swift, every 15
days  semi monthly in advance. On the first day of this Charter
Party, Owners/Managers to send by email their invoice to Charterers which will
include the first 15 days hire payment and value of bunkers on delivery. This
amount should be credited to Owners bankers latest 3 banking days from vessels
delivery. for the balance period, and Charterers to ensure the payment is done
in such a manner so as to the money reaches the Owners latest on the due date
without any delays, and for the last half month or part of same
the approximate amount of hire, and should same not cover the actual time, hire
is to be paid for the balance day by day, as it becomes

 

 

due, if so required by
Owners, unless bank guarantee or deposit is made by the Charterers,
otherwise failing the punctual and regular payment of the hire, or bank
guarantee, or on any breach of this Charter Party, the Owners shall be at
liberty to withdraw the vessel from the service of the Charterers, without prejudice
to any claim they (the Owners) may otherwise have on the Charterers. See Clause 35 Time
to count from 7 a.m. on the working day  following that on which written
notice of readiness has been given to Charterers or their Agents before 4 p.m.,
but if required by Charterer, they to have the privilege of using vessal at
once, such time used to count as hire.

 

Cash for vessel’s
ordinary disbursements at any port may be advanced as required by the Owners Captain,
by the Charterers or their Agents, Subject to 2 1/2% commission and such
advances shall be deducted from the next hire payment. The Charterers, however, shall
in no way be responsible for the application

of such advances.

 

6. That the cargo
or cargoes be laden and/or discharged in any safe dock or at any safe wharf or safe place, safe berth, safe anchorage, safe
port that Charteres or their Agents may

direct, provided the
vessel can safely lie always afloat at any time of tide, except at such
places where it is customary for similar size vessels to safely lie aground.

 

7. That the whole
reach of the Vessel’s Hold, Decks, and usual places of loading (not more than
she can reasonably stow and carry), also accommodations for Supercargo who is to sign usual LOI for
passengers, if carried, shall be at the Charterers’ disposal,
reserving only proper and sufficient space for Ship’s officers, crew, tackle,
apparel, furniture, provisions, stores and fuel. Charteres have the
privilege of passengers as for as accommodations allow, Charterers paying
Owners           . per
day per passenger for accommodations and meals. However, it is agreed that in
case any fines or extra expenses are incurred in the consequences of the
carriage of passengers, Charteres are to bear such risk and expense.

 

8. That the
Captain shall prosecute his voyages with the utmost dispatch, and shall render
all customary assistance with ship’s crew and boats. The Captain (although
appointed by the Owners), shall be under the orders and directions of the
Charterers as regards employment and agency; and Charterers are to load, stow, and
trim, discharge, lash,
unlash, secure,
unsecure, tally the cargo at their expense under the supervision
of the Captain, who is to sign Bills of Lading for cargo as presented, in
conformity with Mate’s or Tally Clerk’s receipts. Bimco Congen Bills of Lading from to
be used only (See Clause 57). Prior arrival at loading port, Master to advise
Charterer of his proposed stowage plan. Charteres have to ensure that Masters
directions as regards vessels strengths and stability are followed. Charteres
leaving ship always in seaworthy trim and condition between berths/ports.

 

9. That if the
Charteres shall have reason to be dissatisfied with the conduct of the Captain,
Officers, or Engineers, the Owners shall on receiving particulars of the
complaint, investigate the same, and, if necessary, make a change in the
appointments.

 

10. That the
Charterers shall have permission to appoint a Supercargo who is to sign usual LOI for
passengers, who shall accompany the vessel and see that voyages
are prosecuted with the utmost dispatch. He is to be furnished with free
accommodation, and same fare as provided for Captain’s table, Charteres paying
at the rate of US$ 30.00
$1.00 per day. Owners to victual Pilots and Customs
Officers, and also, when authorized by Charterers or their Agents, to victual
Tally Clerks, Stevedore’s Foreman, etc., Charterers paying (See Clause 72) at
the current rate per meal, for all such victualling.

 

11. That the
Charterers shall furnish the Captain from time to time with all requisite
instructions and sailing directions, in writing, and the Captain shall keep a
full and correct Log of the voyage or voyages, which are to be patent to the
Charterers or their Agents, and furnish the Charteres, their Agents or Supercargo,
when required, with a true copy of daily official  deck and engine Logs, showing
the course of the vessel and distance run and the consumption of fuel.

 

12. That the
Captain shall use diligence in caring for the ventilation of the cargo. pursuant to Charterers’
written instructions.
Vessel has natural ventilation only.

 

13. That the
Charteres shall have the option of continuing this charter for a further period
of           

          
on giving written notice thereof to the Owners of their Agents           
days previous to the expiration of the first named term, or any declared
option.

 

14. That if
required by Charterers, time not to commence before           

                    and
should vessel not have given written notice of readiness on or before                     
but not later than 4 p.m. Charterers or

 

 

their Agents to have the
option of canceling this Charter at any time not later than the day of vessel’s
readiness.

 

15. That in the
event of the loss of time arising
or resulting from any strike or work stoppage by the vessel’s Master, Officers
or seamen, whether partioal or general  from  deficiency and default of crewmen or
lock out of crewmen, sickness of crewmen accidents to any of the crew,
deficiency or defect stores, fire, breakdown  from deficiency
of men or stores, fire, breakdown or damages to hull, machinery or
equipment, grounding, detention by average accidents to ship or cargo,
drydocking for the purpose of examination or painting bottom, or by any other
cause preventing the full working of the vessel unless same caused by Charterers and/or their servants
and/or stevedores, the payment of hire shall cease for the time
thereby lost; and if upon the voyage the speed be reduced by defect in or
breakdown of any part of her hull, machinery or equipment, the time so lost,
and the cost of any extra fuel consumed in consequence thereof, and all extra directly related, duly supported
port expenses shall be deducted 
from the hire.

 

16. That should
the Vessel be lost, money paid in advance and not carried (reckoning from the
date of loss or being last heard of) shall be returned to the Charterers at
once. The act of God, enemies, fire, restraint of Princes, Rulers and People,
and all dangers and accidents of the Seas, Rivers, Machinery, Boilers and Steam
Navigation, and errors of Navigation throughout this Charter Party, always
mutually excepted.

The vessel shall
have the liberty to sail with or without pilots, to tow and to be towed, to
assist vessels in distress, and to deviate for the purpose of saving life and
property.

 

17. That should
any dispute arise between Owners and the Charterers, the matter in dispute
shall be referred to three persons at New York, one to be appointed by each of
the parties hereto, and third by the two so chosen; their decision or that of
any two of them, shall be final, and for the purpose of enforcing any award,
this agreement may be made a rule of Court. The Arbitrators shall be commercial
men. See Clause 48

 

18. That the
Owners shall have a lien upon all cargoes, and all sub-freights or sub-hires for any
amounts due under this Charter, including General Average contributions, and
the Charterers to have a lien on the Ship for all monies paid in advance and
not earned, and any overpaid hire or excess deposit to be returned at once.
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. English Law to apply. See Clause 48

 

19. That all
derelicts and salvage shall be for Owners’ and Charterers’ equal benefit after
deducting Owners’ and Charterers’ expenses and Crew’s proportion. General
Average shall be adjusted, stated and settled, according to Rules 1 to 15,
inclusive 17 to 22, inclusive, and Rule F of York-Antwerp Rules 1974 as amended 1994 and its latest
amendments thereto  1924, at such port or place in London  the United
States as may be selected by the carrier, and as to matters not provided for by
these

Rules, according to the laws and usages at the port of New York. In such
adjustment disbursements in foreign currencies shall be exchanged into United
States money at the rate prevailing on the dates made and allowances for damage
to cargo claimed in foreign currency shall be converted at the rate prevailing
on the last day of discharge at the port or place of final discharge of such
damaged cargo from the ship. Average agreement or bond and such additional
security, as may be required by the carrier, must be furnished before delivery
of the goods. Such cash deposit as the carrier or his agents may deem
sufficient as additional security for the contribution of the goods and for any
salvage and special charges thereon, shall, if required be made by the goods,
shippers,  consignees or owners of the
goods to the carrier before delivery. Such deposit shall, at the option of the
carrier, be payable in the United States money and be remitted to the adjuster.
When so remitted the deposit shall be held in a special account at the place of
adjustment in the name of the adjuster pending settlement of the General
Average and refunds or credit balances, if any, shall be paid in United States
money.  Hire not to
contribute to general average.

In the event of
accident, danger, damage, or disaster, before of after commencement of the
voyage resulting from any cause whatsoever, whether due to negligence or not,
for which, or for the consequence of which, the carrier is not responsible, by
statute, contract, or otherwise, the goods, the shipper and the consignee
jointly and severally, shall contribute with the carrier in general average to
the payment of any sacrifices, losses, or expenses of a general average nature
that may be made or incurred and shall pay salvage and special charges incurred
in respect of the goods. If a salving ship is owned or operated by the carrier,
salvage shall be paid for as fully and in the same manner as if such salving
ship or ships belonged to strangers.

Provisions as to
General Average in accordance with the New Jason Clause  above are to be
included in all bills of lading issued hereunder.

 

20. Fuel used by
the vessel while off hire, also for cooking, condensing water, or for grates
and stoves to be agreed to as to quantity, and the cost of replacing same,
to be allowed by Owners.

 

21. That as the
vessel may be from time to time employed in tropical waters during the term of
this Charter Vessel is to be decked at a convenient place, bottom cleaned and
painted whenever Charterers and Captain think necessary, at least once in every
six months, reckoning from time of last painting and payment of the hire to be
suspended until she is again in proper state for the service.

In case
vessel employed under present Charter in tropical waters over 30 days then any
bottom cleaning to be for Charterers’ account

 

 

and vessel/Owners
not to be responsible for vessel’s reduced speed/increased consumption.          

 

22. Owners
shall maintain the gear of the ship as fitted providing gear (for all derricks)
capable of handling lifts up to three tons, also providing ropes, falls, slings
and blocks if vessel is fitted with derricks capable of handling heavier lifts.
Owners are to provide necessary gear for same otherwise equipment and gear for
heavier lifts shall be for Charterers account. Owners also to provide on the
vessel lanterns and oil for night work, and vessel to give use of electric
light when so filled, but any additional lights over those on board to be at
Charterers’ expense. The Charters to have the use of any gear on board the vessel.

 

23. Vessel to
work night and day, if required by Charterers, and all winches to be at
Charterers’ disposal during loading and discharging, steamer to provide one
winchman per hatch to work winches day and night, as required, Charterers
agreeing to pay officers, engineers, winchman deck hands and donkeymen for
overtime work done in accordance with the working hours and rates stated in the
ship’s articles. If the rules of the port or labor unions, prevent crew from
driving winches shore Winchman to be paid by Charterers. In the event of a
disabled winch of winches, or insufficient power to operate winches, Owners to
pay for shore engine, or engines, in lieu thereof, if required, and pay any
loss of time occasioned therby.

 

24. It is also
mutually agreed that this Charter is subject to all the terms and provisions of
and all the exemptions from liability contained in the Act of Congress of the
United States approved on the 13th day of February, 1893, and entitled “An Act
relating to Navigation of Vessels etc.,” in respect of all cargo shipped under
this charter to or from the United States of America. It is further subject to
the following clauses, both of which are to be included in all bills of lading
issued hereunder

U.S.A. Clause Paramount

This bill of lading shall
have effect subject to the provision of the Carriage of Goods by Sea Act of the
United States, approved April 16, 1936, which shall be deemed to be
incorporated herein, and nothing herein contained shall be deemed a surrender
by the carrier of any of its rights or immunities or an increase of any of its
responsibilities or liabilities under said Act. If any term of this bill of
lading be repugnant to said Act to any extent, such term shall be void to that
extent, but no further.

Both to Blame Collision Clause

If the ship comes into
collision with another ship as a result of the negligence of the other ship and
any act, neglect or default of the Master, mariner, pilot or the servants of
the Carrier in the navigation or in the management of the ship, the owners of
the goods carried hereunder will indemnify the Carrier against all loss or
liability to the other or non carrying ship or her owners in so far as such
loss or liability represents loss of, or damage to, or any claim whatsoever of
the owners of said goods, paid or payable by the other or non carrying ship or
her owners  to the owners of said goods
and set off, recouped or recovered by the other or non owners as part of their
claim against the carrying ship or carrier.

 

25. The vessel
shall not be required to enter any ice-bound port, or any port where lights or
light-ships have been or are about to be with- drawn by reason of ice, or where
there is risk that in the ordinary course of things the vessel will not be able
on account of ice to safely enter the port or to get out after having completed
loading or discharging. Vessel
not to force ice. See Clause 34.

 

26. Nothing herein
stated is to be construed as a demise of the vessel to the Time Charterers. The
owners to remain responsible for the navigation of the vessel, acts of pilots and tugboats,
insurance, crew and all other matters, same as when trading for their own
account.

 

27. A commision
of 2 1/2per cent is payable by the Vessel and Owners to

 

No brokerage commisions are due                               
on hire earned and paid under this Charter, and also upon any continuation
or extension of this Charter.

 

28. An address
commission of 2 1/2 per cent payable to           
on the hire earned and paid under this Charter.  No address commissions are due.

 

Clauses 29 to 115 inclusive, as attached, are deemed to be
incorporatd in this Charter Party.

 

 

	
  /s/ [ILLEGIBLE]

  	
   

  	
  /s/ [ILLEGIBLE]

  	
   

  
	
  The Owners

  	
  The Charterers

  
	
  STAR IOTA INC. of Majuro

  	
  TMT Co. Ltd,. Taipei

  
	
  Marshall Islands

  	
   

  

 

 

This Charte Party is a
computer generated copy of the NYPE (Revised 3rd October, 1946) form printed
under licence from the Association of Ship Brokers & Agents (U.S.A.), Inc.,
using software which is the copyright of Starategic Software Limited.

 

It is a precise copy of
the original document which can be modified, amended or added to only by the
striking out of original characters, or the insertion of new characters, such
characters being clearly highlighted or use of colour or use of a larger font
and marked as having been made by the licensee or end user as appropriate and
not by the author.

 

 

ADDITIONAL CLAUSES TO M/V MOMMY
DUCKLING/TBRN STAR IOTA

CHARTER PARTY DATED 26.02.2007

 

Clause 29 – Cancellation
of the charter party

 

This charter party is
subject to Owners acquiring title to the vessel by way of purchase latest by
June 30th 2007. Should this purchase not materialize for any reason
whatsoever, this charter party shall be null and void as if never concluded.

 

Clause 30 - Surveys

 

Full on-hire/off-hire
survey to prove condition of the vessel and quantity of bunkers on board to be
held in Charterers’ time at first load port and in Owners’ time at last
discharge port, but only actual time lost to be deducted from hire. Surveys to
be carried out by one joint surveyor whom to be appointed by Charterers and
Owners. If vessel working during survey at discharge port then vessel remains
on hire.

 

Clause 31 - Preloading
survey

 

If steel and or newsprint
and/or unpacked manufactured goods, bagged agricultural products or similar
cargoes are loaded preshipment and out-turn condition surveys are to be held on
such cargoes by surveyors appointed by Owners’ Pandl Club, cost of such survey
to be for Owners time and expense.

 

Clause 32 – Bunker Clause

 

The vessel shall be delivered
with about (tba) mts of IFO, with about (tba) mts MDC and be redelivered with
the same quantities as on delivery, provided that the quantity of fuels at
redelivery is at least sufficient to allow the vessel to safely reach the
nearest port at which fuels of the required type or better are available.

 

Provided that it can be
accomplished at scheduled ports, without the hindrance to the operation of the
vessel, and by prior arrangement between parties, the owners shall allow the
Charterers to bunker for the account of Charterers prior the delivery and the
Charterers shall allow the Owners to bunker for the account of the Owners prior
to redelivery.

 

The Charterers shall
purchase the fuels on board at delivery at prices as paid last by Owners and
the Owners shall purchase the fuels on board at redelivery at the same prices.

 

The value of bunkers on
delivery shall be paid along with first hire payment.

 

fuel specs:

 

Intermediate fuel oil 180
cst grade ISO 8217, fuel standard, revision CD 2005 and any subsequent revision
thereof: RME 180

 

Marine diesel oil: ISO
8217, fuel standard revision, CD 2005 and any subsequent revision thereof: DMA
or DMB distillate diesel oil,

 

All fuel must not contain
any automotive lubricating oil or other waste chemicals nor any aluminium
and/or silicon.

 

Vessel’s main engine
burns mdo when manoeuvring /in approaches/ narrow or restricted waters
including canals/rivers/swallow waters/fog etc

 

1

 

ADDITIONAL CLAUSES TO M/V MOMMY DUCKLING/TBRN STAR
IOTA 

CHARTER PARTY DATED 26.02.2007

 

The vessel is under the ‘DNV
PETROLEUM SERVICES’ fuel quality programme.

 

The physical supplier and
/or the barge has to participate in a joint drip sampling at the point of
custody transfer, at the ship’s manifold. Vessel has suitable drip sampling equipment, approved
type, in order to take the samples.

 

Sufficient volume to be
taken for splitting into minimum 4 samples, duly signed by both parties, one
for the supplier, two to be retained onboard the vessel, and one to be sent for
laboratory testing to ‘DNV’.

 

The samples so taken to
be considered representative of the quality of the product supplied and the
result of the test to be binding to both parties, including the density for
quantity determination.

 

(1) The Charterers shall
supply bunkers of a quality suitable for burning in this Vessel’s engines and
auxiliaries and which conform to the specification(s) mutually agreed under
this Charter.

 

(2) During the currency
of the Charter the Charterers shall ensure that bunker delivery notes are
presented to the Vessel on the delivery of fuel(s) and that during bunkering
representative samples of the fuel(s) supplied shall be taken at the Vessel’s
bunkering manifold and sealed in the presence of competent representatives of
the Charterers and the Vessel.

 

(3) The fuel samples
shall be retained by the Vessel for 90 (ninety) days after the date of delivery
or for whatever period necessary in the case of a prior dispute and any dispute
as to whether the bunker fuels conform to the agreed specification(s) shall be
settled by analysis of the sample(s) by (DNV) whose findings shall be
conclusive evidence as to conformity or otherwise with the bunker fuels
specification(s).

 

(4) The Ovners reserve
their right to make a claim against the Charterers for any damage to the main
engines or the auxiliaries caused by the use of unsuitable fuels or fuels not
complying with the agreed specification(s). Additionally, if bunker fuels
supplied do not conform with the mutually agreed specification(s) or otherwise
prove unsuitable for burning in the ship’s engines or auxiliaries the Owners
shall not be held responsible for any reduction in the Vessel’s speed
performance and/or increased bunker consumption nor for any time lost and any other
consequences.

 

Clause
33 - Bunker Fuel Sulphur Content Clause for Time Charter Parties 2005

 

(a) Without prejudice to
anything else contained in this Charter Party, the Charterers shall supply
fuels of such specifications and grades to permit the Vessel, at all times, to
comply with the maximum sulphur content requirements of any emission control
zone when the Vessel is ordered to trade within that zone.

 

The Charterers also
warrant that any bunker suppliers, bunker craft operators and bunker surveyors
used by the Charterers to supply such fuels

 

2

 

shall comply with
Regulations 14 and 18 of MARPOL Annex VI, including the Guidelines in respect
of sampling and the provision of bunker delivery notes. The Charterers shall
indemnify, defend and hold harmless the Owners in respect of any loss,
liability, delay, fines, costs or expenses arising or resulting from the
Charterers’ failure to comply with this Sub-clause (a).

 

(b) Provided always that
the Charterers have fulfilled their obligations in respect of the supply of
fuels in accordance with Sub-clause (a), the Owners warrant that:

 

(i) the Vessel shall
comply with Regulations 14 and 18 of MARPOL Annex VI and with the requirements
of any emission control zone; and (ii) the Vessel shall be able to consume
fuels of the required sulphur content when ordered by the Charterers to trade
within any such zone.

 

Subject to  having supplied the Vessel with fuels in
accordance with Sub-clause (a), the Charterers shall not otherwise be liable
for any loss, delay, fines, costs or expenses arising or resulting from the
Vessel’s failure to comply with Regulations 14 and 18 of MARPOL Annex VI.

 

(c) For the purpose of
this Clause, “emission control zone” shall mean zones as stipulated in MARPOL
Annex VI and/or zones regulated by regional and/or national authorities such
as, but not limited to, the EU and the US Environmental Protection Agency.

 

Clause 34 - Ice Clause
for Time Charter Parties

 

(a) The Vissel shall not
be obliged to force ice but, subject to the Owners’ prior approval having due
regard to its size, construction and class, may follow ice-breakers. See Clause
26.

 

(b) The Vessel shall not
be required to enter or remain in any icebound port or area, nor any port or
area where lights, lightships, markers or buoys have been or are about to be
withdrawn by reason of ice, nor where on account of ice there is, in the Master’s
sole discretion, a risk that, in the ordinary course of events, the Vessel will
not be able safely to enter and remain at the port or area or to depart after
completion of loading or discharging. If, on account of ice, the Master in his
sole discretion considers it unsafe to proceed to, enter or remain at the place
of loading or discharging for fear of the Vessel being frozen in and/or
damaged, he shall be at liberty to sail to the nearest ice-free and safe place
and there await the Charterers’ instructions.

 

(c) Any delay or
deviation caused by or resulting from ice shall be for the Charterers’ account
and the Vessel shall remain on-hire.

 

(d) Any additional
premiums and/or calls required by the Vessel’s underwriters due to the Vessel
entering or remaining in any icebound port or area, shall be for the Charterers’
account.

 

3

 

Clause 35 - Non-Payment
of Hire Clause for Time Charter Parties

 

(a) If the hire is not
received by the Owners by midnight on the due date, the Owners may immediately
following such non-payment suspend the performance of any or all of their
obligations under this Charter Party (and, if they so suspend, inform the
Charterers accordingly) until such time as the payment due is received by the
Owners. Throughout any period of suspended performance under this Clause, the
Vessel is to be and shall remain on hire. The Owners’ right to suspend
performance under this Clause shall be without prejudice to any other rights
they may have under this Charter Party.

 

(b) The Owners shall
notify the Charterers in writing within 24 running hours that the payment is
overdue and must be received within 72 running hours from the time hire was
due. If the payment is not received by the Owners within the number of running
hours stated, the Owners may by giving written notice within 12 running hours
withdraw the Vessel. The right to withdraw the Vessel shall not be dependent
upon the Owners first exercising the right to suspend performance of their
obligations under this Charter Party pursuant to sub-clause (a). Further, such
right of withdrawal shall be without prejudice to any other rights that the
Owners may have under this Charter Party.

 

(c) The Charterers shall
indemnify the Owners in respect of any liabilities incurred by the Owners under
the Bill of Lading or any other contract of carriage as a consequence of the
Owners’ suspension of and/or withdrawal from any or all of their obligations
under this Charter party.

 

(d) If, notwithstanding
anything to the contrary in this Clause, the Owners choose not to exercise any
of the rights afforded to them by this Clause in respect of any particular late
payment of hire or a series of late payments of hire, this shall not be
construed as a waiver of their right either to suspend performance under
sub-clause (a) or to withdraw the Vessel under sub-clause (b) in respect of any
subsequent late payment under this Charter Party.

 

Clause 36 – Requisition
clause

 

Should the vessel be
requisitioned by the government of the vessel’s flag during the period of this
charter party, the vessel shall be deemed to be off-hire during the period of
such requisition, and any hire paid by the said government in respect of such
requisition period shall be retained by owners. The period during which the
vessel is on requisition to the said government shall count as part of the
period provided for in this charter party.

 

If the period of
requisition exceeds 4 months either party shall have the option of cancelling
this charter party and no consequential claim may be made by either party.

 

Clause 37 – Seaworthy
trim clause

 

Charterers shall leave
the Vessel in seaworthy trim and with cargo on board safely stowed to Master’s
satisfaction between loading berths/ports and between discharging berths/ports,
respectively; any expenses and time resulting therefrom shall be for Charterers’
account.

 

4

 

Clause 38 - Lights

 

Owners to provide on the
vessel lights for night work as on board on deck and in all hatches
simultaneously and maintain same in efficient working order. Vessel to work
night and day, if required by Charterers.

 

Clause 39 – Weather
routing clause for time charter parties

 

Charterers have the right
to appoint Ocean Routes or a similar weather routing service to monitor vessel’s
performance during sea passages. Owners will request Master to cooperate with
the appointed weather routing service and follow their recommendations as far
as practical. Weather reports to be taken from vessel’s deck log and / or Ocean
Routes or similar weather routing service if so elected by Charterers. In the
event of consistent discrepancies between the two sources the above weather
service to be taken as final.

 

Clause 40 - Cancellation
due to extended off-hire

 

If the vessel is off-hire
consecutively for 40 days or more due to any causes(s) other than charterers’ responsibility
and repairs, the charterers shall have the option to cancel this charter party
without prejudice to any other rights, remedies or claims which the charterers
may have. Such option shall be exercised by the charterers provided cargo free
by giving written notice of cancellation to the owners and the vessel shall be
redelivered as soon as practicable thereafter once free of cargo properly and
duly discharged under any applicable contract or carriage.

 

Clause 41 – Calls at
U.S.A.

 

If the vessel calls at
any United States Of America port for the purpose of loading and/or discharging
cargo, vessel’s equipment shall comply with the regulations established by
united stated public law no 85/742 part 9 (safety and health regulations for
longshoring) and amendments thereto. If longshoremen are not permitted to work
due to failure of the owners and/or master and/or owners’ agents to comply with
the aforementioned regulations, any delay and expenses resulting therefrom and
any stevedore standby time and all related expenses involved shall be for
owners’ account.

 

Clause 42 – U.S. Federal water
pollution Act

 

Owners warrant that
during the currency of this charter party they will comply fully with the U.S.
Federal water pollution control Act as amended and/or the law relating to the
prevention of marine pollution and maritime disaster, 1970 of japan any rules
and/or regulations issued thereunder and amendments thereto including opa 90
legislation and any legislation enacted with respect to pollution of seawaters
by oil or any other substances (including any rules and/or regulations issued
thereunder) by any government, department thereof, or other authorities and
also any similar legislation enforced by any nation of the world. Should any
delay or detention of the vessel occur from failure by owners to comply with
the acts, laws, rules, regulations or legislation, the hire shall cease for the
period of such delay or detention.

 

Owners accept
responsibility for and agree to indemnify charterers against all claims,
liabilities, cost (including legal fees) and all consequences which result from
failure by owners to comply with the said acts, laws, rules

 

5

 

regulations or
legislation. Time lost for non-compliance to be considered as off hire.

 

Clause 43 - Oil Pollution
Charter Party Clause [Non Tankers]

 

Financial responsibility
in respect of pollution (all ships other than self propelled tank vessels and
non self propelled tank vessels carrying more than 2,000 tons of persistent oil
in bulk as cargo)

 

(1) Owners warrant that
throughout the currency of this charter they will provide the vessel with the
following certificates:

 

Certificates issued
pursuant to Section 1016 (a) of the Oil Pollution Act 1990, and Section 108 (a)
of the Comprehensive Environmental Response, Compensation and Liability Act
1980, as amended, in accordance with Part 138 of Coast Guard Regulations 33
CFR, from (indicate the earliest date upon which the owners may be required to
deliver the vessel into the charter), so long as these can be obtained by the
owners from or by (identify the applicable scheme or schemes).

 

(2) Notwithstanding
anything whether printed or typed herein to the contrary,

 

(a) save as required for
compliance with paragraph (1) hereof, owners shall not be required to establish
or maintain financial security or responsibility in respect of oil or other
pollution damage to enable the vessel lawfully to enter, remain in or leave any
port, place, territorial or contiguous waters of any country, state or
territory in performance of this charter.

 

(b) Charterers shall
indemnify owners and hold them harmless in respect of any loss, damage,
liability or expense (including but not limited to the costs of any delay
incurred by the vessel as a result of any failure by the charterers promptly to
give alternative voyage orders) whatsoever and howsoever arising which owners
may sustain by reason of any requirement to establish or maintain financial
security or responsibility in order to enter, remain in or leave any port,
place or waters, other than to the extent provided in paragraph (1) hereof.

 

(c) Owners shall not be
liable for any loss, damage, liability or expense whatsoever and howsoever
arising which charterers and/or the holders of any bill of lading issued
pursuant to this charter may sustain by reason of any requirement to establish
or maintain financial security or responsibility in order to enter, remain in
or leave any port, place or waters, other than to the extent provided in paragraph
(1) hereof,

 

(3) Charterers warrant
that the terms of this clause will be incorporated effectively into any bill of
lading issued pursuant to this charter.

 

6

 

Clause 44 - Stowaways
Clause for Time Charters

 

(a) (i) The Charterers
warrant to exercise due care and diligence in preventing stowaways in gaining
access to the Vessel by means of secreting away in the goods and/or containers
shipped by the Charterers.

 

(ii) If, despite the
exercise of due care and diligence by the Charterers, stowaways have gained
access to the Vessel by means of secreting away in the goods and/or containers
shipped by the Charterers, this shall amount to breach of charter for the
consequences of which the Charterers shall be liable and shall hold the Owners
harmless and shall keep them indemnified against all claims whatsoever which
may arise and be made against them. Furthermore, all time lost and all expenses
whatsoever and howsoever incurred, including fines, shall be for the Charterers’
account and the Vessel shall remain on hire.

 

(iii) Should the Vessel
be arrested as a result of the Charterers’ breach of charter according to
sub-clause (a)(ii) above, the Charterers shall take all reasonable steps to
secure that, within a reasonable time, the Vessel is released and at their
expense put up bail to secure release of the Vessel.

 

(b) (i) If, despite the
exercise of due care and diligence by the Owners, stowaways have gained access
to the Vessel by means other than secreting away in the goods and/or containers
shipped by the Charterers, all time lost and all expenses thereby incurred,
including fines, shall be for the Owners’ account.

 

(ii) Should the Vessel be
arrested as a result of stowaways having gained access to the Vessel by means
other than secreting away in the goods and/or containers shipped by the
Charterers, the Owners shall take all reasonable steps to secure that, within a
reasonable time, the Vessel is released and at their expense put up bail to
secure release of the Vessel.

 

Clause 45 - Bunkering
privileges

 

Owners certify that the
vessel is and will remain so throughout the duration of this charter, eligible
for full bunkering privileges in the united states of america and its
territories and possessions, under all present and future United States laws
and/or regulations and is not, nor will be restricted, as to bunkering at any
other countries or ports of call during this charter.

 

Clause 46 – Cuba

 

In the event that Cuba
becomes a freely tradable country with no international sanctions/limitations
on vessels so doing, then charterers may trade there and Cuba will no longer be
deemed an excluded area.

 

Clause 47 – Hire
payment/Bank account

 

To be advised

 

7

 

Clause 48 - Arbitration

 

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 usd 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.

 

Clause 49 - Deviation

 

If during the currency of
this charter there is any deviation during the course of a voyage, or any loss
of time whatsoever, caused by sickness of or accident of the master, or any
member of the crew or any person on board the vessel, other than under
charterer’s auspices, vessel to be considered as off-hire and hire shall not be
paid for the time actually lost thereby.

 

Clause 50 - Stevedore
damage

 

Stevedores to be
appointed and paid by the Charterers/Shippers/Receiver but to work under the
supervision of the Master.

 

Charterers are not
responsible for stevedore or other damage to the vessel unless the charterers
or their agents are notified in writing by the captain or owners’ agents within
24 hours of occurrence of damage or latest by vessel’s sailing port where
damage occurred, except in case of hidden damage which to be notified as soon
as practicable after discovered prior to redelivery. Should a stevedore damage
is caused captain is obliged to try to let stevedore repair the damage and to
try to settle the matter directly with them in the first stage locally. Failing
this, captain will try to obtain signed acknowledgement of the damage and
liability for the same of the stevedore.

 

8

 

Any stevedore damage
affecting seaworthiness/class and cargo gear worthiness/trading worthiness/crew
safety to be repaired at the charterers’ expense and time at port of
occurrence. The owners to have the option to accept redelivery without
charterers repairing any minor stevedore damages and in such case the
charterers to pay for cost and time, estimated by joint off-hire surveyor, of
repairing such stevedore damages.

 

Clause 51 - Quarantine

 

Owners shall be liable
for any delay in quarantine arising from the master, officers or crew having
communication with the shore at any infected area without the written consent
of charterers or their agents, also for any loss of time through detention by
customs or other authorities caused by smuggling or other infractions of local
law on the part of the master, officers or crew. Any time lost by such causes
may be deducted as off-hire.

 

Clause 52 - Fumigation

 

Vessel to be in
possession of a valid deratization or exemption certificate throughout the
duration of the charter party.

 

Clause 53 - Safety and
health regulations

 

Owners warrant that the
vessel shall be in possession of the necessary certificates to comply with all
crew safety and health regulations and all current requirements at all ports of
call in force by the time of this charter party agreement, during the currency
of this charter, without hindrance or delay when voyage instructions received
from charterers. Owners guarantee that throughout this charter, vessel’s
equipment shall comply with regulations and/or requirements in effect at all
ports of call, canals and countries in which vessel will be employed, in force
by the time of this charter party agreement. Owners also guarantee that vessel
shall be at all times in possession of a valid and up-to-dated certificate on
board to comply with such regulations and/or requirements. If stevedores,
longshoremen or other labour are not permitted to work by reason of any failure
of the captain, owners and/or their agents to comply with such regulations or
by reason that the vessel is not in possession of such valid and up-to-date
certificate(s), then owners shall take immediate corrective measures. Time lost
if any to be for Owners’ account.

 

Clause 54 - Tonnage
certificate

 

Owners will obtain an
official international tonnage certificate prior to delivery and required
renewals throughout the charter period, the current valid certificate being on
board the vessel at all times. In the event extra charges ere incurred by
reason of lack of international tonnage certificate, same shall be for owners’
account.

 

Clause 55 - Canal transit

 

During the full currency
of this charter party, owners shall keep the vessel fully capable and equipped
to transit the Suez Canal and Panama Canal without delay in accordance with the
rules and regulations governing navigation of the canals mentioned above and
promulgated from time to time by the local authorities.

 

9

 

Clause 56 - Third party
suits

 

Should vessel be delayed,
detained or arrested during the currency of this charter party at the suit of
any party having or purporting to have a claim against any interest in the
vessel, master, her crew or owners except acts attributed to charterers, hire
under this charter party shall not be payable in respect of any period during
which the vessel is not at charterers’ disposal.

 

Clause 57 – Bills of
Lading

 

The charterers and/or
their nominees or agents are to be authorized by the master whenever required
to sign bills of lading on master’s and/or owners’ behalf provided in strict
conformity with mate’s receipts. No liner or through bills of lading to be
issued under this charter, Copies of bills of lading to be faxed to owners upon
issuance.

 

Charterers to use their
best endeavors to ensure original bills of lading are available at discharge
port(s). In the event that original bills of lading are not available, owners
will permit discharge against a faxed copy of l.o.i., in their p & i cover
format signed by charterers along with copies of all bills of lading in
question.

 

Charterers to forward
original bill(s) of lading to owners as soon as possible therafter. Original
l.o.i. also to be forwarded without delay.

 

Clause 58 – Hamburg Rules
Charterparty Clause

 

Neither the Charterers
nor their Agents shall permit the issue of any bill of lading, waybill or other
document evidencing a contract of carriage (whether or not signed on behalf of
the Owner or on the Charterers’ behalf or on behalf of any Sub-Charterers)
incorporating, where not compulsorily applicable, the Hamburg Rules or any
other legislation giving effect to the Hamburg Rules or any other legislation
imposing liabilities in excess of Hague or Hague/Visby Rules. Charterers shall
indemnify the Owners against any liability, loss or damage which may result
from any breach of the foregoing provisions of this clause

 

Clause 59 - P and I cover

 

Vessel shall be entered
and will remain entered during the full currency of this charter with, and
carry full p and i cover, including owners’ liability and pollution cover.

 

Charterers to have the
benefit of owners p and i cover insofar as the rules permit.

 

Owners have vessel
covered with the: to be advised

 

Hull and machinery value
is usd: to be advised

 

Clause 60 – Protectives

 

New both-to-blame
collision clause, bimco unique b/1 identifier clause, general average and new
jason clause as attached to form part of this charter party and bills of lading
issued under this charter party also contain the original amended general
clause paramount as attached, which also to be inserted in this charter party.
Conwartime 1993, u.s.a clause paramount and canadian clause paramount to be
incorporated in this charter party and bills of lading issued hereunder. Voywar
1993 to replace conwartime 93 on bills of lading.

 

10

 

Clause 61 – DryDock
Clause

 

The Owners shall have the
option to drydock the vessel during the currency of this charter party. Exact
place and date to be mutually agreed between Owners and Charterers. The payment
of the hire shall cease for the time thereby lost and cost of bunkers consumed
for the time lost to be for Owners account.

 

The Owners, unless in
case of an emergency, are to give the Charterers not less than 5 months prior
notice of approximate date and place of dry docking and further 3 months prior
intended date.

 

Clause 62 - Trading
exclusions:

 

World wide trading via
sbs, sps, sas always afloat always accessible always within iwl, warranted not
in breach of united nations sanctions and excluding :

 

Albania, Israel or
Israeli controlled countries/areas, Algeria, Libya (including Gulf of
Sidra/Sirte), Former Yugoslavia (but Koper, Ploce, Bakar and Rijeka are
allowed), Lebanon, Syria, Turkish Occupied Cyprus, the coast ports of and Sea
of Azov including Kerchensky Strait, Georgia (including Abkhazia), Jordan, Gulf
of Aqaba, Iraq, Kuwait, Bahrain, Qatar, Uae, Yemen, Pakistan, Bangladesh, Sri
Lanka, Sudan, Eritrea, Djibouti, Somalia, Mozambique, Madagascar, Namibia,
Angola (including Cabinda), Democratic Republic of Congo (formerly Zaire),
Equatorial Guinea, Nigeria and the Bakassi Peninsular, Benin, Ivory Coast,
Liberia, Sierra Leone, Guinea, Guinca-Bissau, Barents Sea including Kola Bay,
Iceland, Murmansk, Scandinavia, Great Lakes, River Amazon, River Orinoco
excluding Boca Grande, Alaska, River St. Lawrence out of Season (permitted in
Season only), Cuba, Haiti, Belize, Honduras, Nicaragua, Costa Rica, El
Salvador, Guatemala, Suriname, Kiribati, Solomon Islands, Nauru, Cambodia,
North Korea, Pacific Russian/C.I.S./Siberian Ports including Sakhalin Island,
Magellan Strait, Great Lakes, Ethiopia, Namimbia.

 

No direct calling between
Taiwan and P.R.C., war and war-like zones and other countries having
hostilities with vessel’s flag, places which may be excluded by authority of
vessel’s flag. Any ice-bound port(s) where vessel will not be able to reach or
leave after and/or before loading and/or discharging. Vessel not to force ice
and not to follow ice breaker under any circumstance.

 

Trading always within
institute warranty limits, but charterers have the option to trade beyond
Institute Warranty Limits subject to owners’ and their underwriters’ prior consent,
against paying to Owners additional insurance premium (if any) on hull and
machinery as per vouchers from vessel’s underwriters, but such additional
premium not to exceed the amount charged if vessel had been insured by Lloyds
in London.

 

Chrtrs may trade to Yemen
and Sudan subject to owners and their hull and war underwriters’ prior consent
which is not to be unreasonably withheld, chrtrs paying any extra additional
premium imposed by the underwriters for trading in these countries including
for blocking and trapping risks. When trading in these countries, all
associated delays and shortage cargo claims to be for the tchrtrs account who
will respond to the cargo claimants.

 

11

 

In case vessel is
required to call Argentina upriver, vessel is only allowed to trade upto San
Lorenzo and not north of t6.

 

Clause 63 - Cargo
exclusions:

 

following cargoes /
merchandise are excluded :

 

It  is understood that the vessel is not to
be employed in the carriage of fishmeal, raw cotton, livestock, injuries,
inflammable/combustible, hazardous or dangerous goods (such as but not limited
to acids, explosives, arms, ammunition or warlike materials, nuclear or
radioactive products or wastes, calcium carbide, ferro silicon, naphtha, motor
spirit, tar or any of their products ), ammonium nitrate, direct reduced iron
ore, logs, lumber, petroleum or its products, (but petcoke allowed), asphalt in
bulk, scrap, motor block, turnings, hot briquetted iron, ammonium nitrate
fertilizer, pig iron, concentrates ( except iron ore concentrates, lead
concentrates and zinc concentrates which must be handled in accordance with the
code of safe practice for solid bulk cargo as recommended by IMO), calcium
Hypochlorite, sugar, sulphur.

 

Charterers are allowed to
carry any kind of grain /grain products / agricultural products such as meals,
pellets (excluding sunflower seed expellers and other products possessing
chemicals hazards) in bulk which are to be loaded in accordance with BC code
recommended by IMO and vessel’s cargo certificates.

 

Charterers are allowed to
load maximum two cargoes of green delayed petcoke which not to be as last
cargo.

 

Charterers have the right
to load max two cargoes of cement clinker during currency of this charter in which
case following Protective Cement Clinker clause to apply;

 

Any deck cargoes /
breakbulk cargoes are fully excluded.

 

All cargoes to be loaded,
stowed, trimmed, separated, discharged in accordance with IMO and local
authorities’ rules, guidelines, recommendations.

 

Cement clinker clause:

 

•                  Charterers
undertake to use holds as less as possible, provided vessel’s stability trim
and stress permitting.

•                  Charterers
undertake to pay and supply of necessary equipment/chemicals to Remove
cement/cement clinker against owners’ request.

•                  After
loading chrts undertake to arrange at their expenses any special/extra trimming
and/or leveling of ego to master’s satisfaction and also chrts to give
reasonable time to allow for the ego to settle and any air to escape before vsl’s
departure from load berth/port

•                  owners
to seal all loaded hatches by Ramnek or equivalent tape at charterer’s time and
cost

 

12

 

•                  Charterers
to indemnify owners against all possible cargo solidification in the cargo
holds or other ship’s parts, due to sweating
or any other reason except seawater.

•                  Clinker
not to be loaded with cargo temp exceeding 55 degrees centigrade.

•                  Charterers
to be responsible and to indemnify owners for damages/consequences which may
occur as a result of hot cargo, including damage to the cargo hold coating.

•                  Chrts/shipppers
to provide owners/master with sealed samples of cargo at load

•                  Cement
clinker not to be the last cargo under this charter.

 

Clause 64 - Recommended pilotage
Clause

 

Charterers to pay the
customary/compulsory pilotage of Skaw/Dardanelles/Great Belt/magellan due to
same strongly recommended by relative port authorities.

 

Clause 65 - Hold
cleanliness

 

Vessel to be delivered
with, holds clean, free of loose rust scales/flakes and/or previous cargo
residue/odourless to the satisfaction of independent surveyors, in case holds
are rejected vessel to be placed off-hire from the time of her rejection till
she is ready to load pro-rata to the number of holds passed survey and
commenced loading.

 

Clause 66 - Hold cleaning
bonus

 

Cleaning enroute

 

Intermediage cleaning of
holds to be done by crew as far as shore regulations permit, if required by
Charterers, Charterers paying US$ 600/- per hold for sweeping/ washing or
US$ 300/- per hold for sweeping only. Crew will render their utmost assistance
to clean the holds always provided time between discharging port and next
loading port is sufficient for the crew to perform adequate cleaning and
weather permitting, however vessel/ owners are not responsible for the result.
If shore regulations do not permit crew to carry out hold cleaning, cost of
shore labour to be for Charterers’ account.

 

When, however, after the
customary cleaning of remaining cargo by vessel’s crew and / or shore labour in
application of this clause, the vessel is refused by competent authorities to
load grain, alumina or similar clean bulk cargo owing to loose rust scale in
cargo compartments, all expenses incurred in preparing her for the intended cargo
service to be for owners’ account and for the time lost she will be considered
off-hire. In case of loading petcoke (same not to be last cargo prior
redelivery) charterers to supply the required chemicals / materials /equipments
and reimburse owners with extra us$ 700/- per hold used for the relevant
cleaning.

 

13

 

Clause 67 - Hold
Cleaning/Residue Disposal Clause For Time Charter Parties

 

a) The Charterers may
request the Owners to direct the crew to sweep and/or wash and/or clean the
holds between voyages and/or between cargoes against payment at the rate of US$
4,500.- lumpsum excluding fresh water cost, provided the crew is able safely to
undertake such work and is allowed to do so by local regulations. In connection
with any such operation the Owners shall not be responsible if the Vessel’s
holds are not accepted or passed. Time for cleaning shall be for the Charterers’
account.

 

b) All materials
(including chemicals and detergents) required for cleaning of cargo holds shall
be supplied by and paid for by the Charterers.

 

c) Throughout the
currency of this Charter Party and at redelivery, the Charterers shall remain
responsible for all costs and time, including deviation, if any, associated
with the removal and disposal of cargo related residues and/or hold washing
water and/or chemicals and detergents and/or waste as defined by MARPOL Annex
V, Section 1 or other applicable rules relating to the disposal of such
substances.

 

Clause
68 - Double Banking Clause

 

(a) The Charterers shall
have the right, where and when it is customary and safe for vessels of similar
size and type to do so, to order the Vessel to go, lie or remain alongside
another vessel or vessels of any size or description whatsoever or to order
such vessels to come and remain alongside at such safe dock, wharf, anchorage
or other place for transhipment, loading or discharging of cargo and/or
bunkering.

 

(b) The Charterers shall
pay for and provide such assistance and equipment as may be required to enable
any of the operations mentioned in this clause safely to be completed and shall
give the Owners such advance notice as they reasonably can of the details of
any such operations.

 

(c) Without prejudice to
the generality of the Charterers’ rights under (a) and (b), it is expressly
agreed that the Master shall have the right to refuse to allow the Vessel to
perform as provided in (a) and (b) if in his reasonable opinion it is not safe
so to do.

 

(d) The Charterers shall
further indemnify the Owners for any costs, damage and liabilities resulting
from such operation. The Vessel shall remain on hire for any time lost
including periods for repairs as a result of such operation.

 

(e) Any extra insurance
premium charged for such operation to be for Charterers’ account and the vessel
to remain always on hire whilst any preparatory work is taking place.

 

14

 

Clause 69 - Option to
sell

 

Head owners have the
option to sell the vessel at any time prior the commencement or during the
currency of this charter with this time charter attached and all terms and
conditions of this charter party to remain in force.

 

Clause 70 -
Ballasting/Deballasting

 

Vessel to
ballast/deballast clean water ballast tanks only including floodable hold(s),
if required by charterers or their agents at any time during loading and/or
discharging, free of expense to charterers except fuel/mdo consumption, but in
charterers’ time. All ballasting/deballasting shall be at the discretion of master
having due regard to stability and seaworthiness of the vessel. Whenever
practicable or required by law at the next port of call, the vessel is to
replace ballast taken in port or coastal waters with clean seawater ballast.
Owners guarantee that the vessel will always be maintained in a safe condition
during ballast operations. The vessel is capable of ballasting holds. In such
instances owners, master and crew will do their utmost to deballast and dry
such hold as quickly as possible. However, it is understood that time used for
such deballasting and drying up of ballast holds is not to be considered as
off-hire time. Owners and master will do their utmost throughout the duration
of this charter to minimize the use of ballast holds for ballast purposes.

 

Clause 71 - Services

 

Hire to include but not
limited to the following services from the vessel’s officers and crew provided
local regulations permit:

 

1. Docking and undocking;

2. Shifting and warping
of the ship during loading and/or discharging;

3. Bunkering;

4. A) opening and closing
of hatches in preparation for, during and after loading and discharging
(including times when weather may adversely affect condition of cargo;

    B) the officers and crew to shape up the
vessel’s hatches as much as possible as far as weather permits prior to vessel’s
arrival at loading and /or discharging port or place so as to immediately
commence loading or discharging operations;

5. The crew are to sweep
and/or wash the holds and any other cargo compartments between voyages always
in accordance with holds cleaning clause.

6. Supervision of loading
and discharging;

 

Clause 72 -
Representation

 

Charterers will remit to
owners with each hire payment a lumpsum equivalent of us$ 1200.00.- per month
or pro rata for the timecharter period.

 

Clause 73 - Charterers
equipment

 

The master is to keep a
record of all charterers gear, equipment, dunnage and/or stores supplied to the
vessel and to maintain same in condition as when supplied as much as possible,
time and expense therefore to be for charterers’ account. Such gear, equipment,
dunnage and/or stores to be

 

15

 

returned to charterers
prior to redelivery of the vessel to owners, or if requested by charterers at
any time during the period of charter, in condition as supplied (fair wear and
tear excepted).

 

Clause 74 - Blacklist

 

Owners warrant that to
the best of their knowledge the vessel is not blacklisted by any country and
they will not, during the currency of the charter, cause the vessel to be
blacklisted by any country, except for case vessel should become blacklisted by
any country for reason of port(s) called by vessel earlier under this charter
party. Owners guarantee that vessel has no relationship to ex-yugoslavia in vessel’s
flag/ownership/crew etc.

 

Vessel is free from asian
gypsy moth, its eggs or larvae and vessel is not blacklisted by trading
countries due to asian gypsy moth infestation. Owners guarantee that vessel has
not called any cis pacific or Siberian ports under their ownership.

 

Charterers warrant they
will not call ports or places where vessel may be exposed to asian gypsy moth
or any other moth due to vessel’s trading or its eggs failing which the shall
indemnify owners for any loss or damage sustained by the owners including but
not limited to delays, expenses, fines, cost of removal of the moths and their
eggs and or even transshipment of cargo on board and any restriction of her
trading capabilities.

 

Clause 75 – Weather
conditions

 

The words “good weather
conditions” in lines 9/10 of the charter party shall mean any weather condition
in which the wind does not exceed force four (4) of the beaufort scale and
douglas sea state 3.

 

Clause 76 – Agents

 

Owners to have the option
of using charterers’ agents at ports of call for minor ordinary owners’ matters
at no extra fee, but all expenses involved to be for owners’ account.

 

Charterers are not
allowed to deduct Owners’ expenses because Owners will appoint their own
protective agents to handle Owners’ own major matters.

 

Clause 77 – Watchmen

 

Compulsory watchmen
related to vessel’s port call or cargo operation to be for charterers account.

 

Clause 78 - Passengers

 

Supercargo or other
passenger to be insured by charterers and evidence of same/documents to be presented
to master before boarding.

 

Clause 79 – Diesel oil in
port

 

The vessel to have the
liberty of using diesel oil when entering and leaving port and for maneuvering
in shallow, restricted, narrow waters.

 

Clause 80 – Taxes

 

All taxes and/or dues on
the vessel and/or cargo and/or charter hire and/or freight (except income tax
and/or tax on timecharter hire levied in the country of the vessel and/or her
owners domicile) arising out of cargoes

 

16

 

carried or ports visited
under the charter party shall be for charterers’ account.

 

Clause 81 – Itinerary of
vessel

 

Charterers undertake to
inform owners during the period of charter as regards the itinerary of the
vessel and the names and full styles of their agents at ports of call whenever
required by owners.

 

Clause 82 – Discharging
equipment

 

Charterers have the right
to utilize cargo handling equipment/machinery in vessels holds in order to
facilitate stowage and/or trimming, always subject to tanktop restrictions and
master’s approval, which not to be unreasonably withheld. Rolling equipment to
have rubber wheels.

 

Clause 83 - Stowage

 

Charterers’ right to
request and obtain information from owners and/or master regarding stowage,
trim of the vessel and any other information is usually discussed between
onwers/charterers so as to enable the best possible coordination between
charterers and owners.

 

The master shall
supervise stowage of the cargo thoroughly together with charterers’
representative, and let one of his officers assist to supervise all loading,
handling and discharge of the cargo.

 

Clause 84 - Instructions

 

Charterers shall furnish
master from time to time with all requisite instructions and sailing
directions, in writing or by telegram, and the master shall keep a full and
correct log of the voyage or voyages, showing interalia the course of the
vessel and distance run and the consumption of fuel oil, which is to be patent
to the charterers or their agents, a true copy of which is to be sent to charterers
from each port of call on the voyage and immediately after completion of the
voyage, together with any other information which the master deems necessary.
Charterers to keep owners closely advised of vessel’s itinerary.

 

Master to assist
charterers with any information required.

 

Clause 85 – Redelivery

 

On dropping last outward
sea pilot in charterers’ option

 

•                       One
safe port Aden/Japan range (if PG/AG then will be passing PMO and Aden)

•                       One
safe port Vancouver/full west coast Mexico range charterers’ option

•                       One
safe port Skaw/Passero range including UK/Eire and full Med charterers’ option
but not Lebanon and Israel or Cyprus.

•                       One
safe port Australia/New Zealand

•                       One
safe port Montreal/Buenos Aires range any time, day or night, Sundays and holidays
included.

 

Clause 86 – Hire
calculation

 

Delivery and redelivery
times to be calculated basis local time, but gmt to apply for hire calculation
purposes.

 

17

 

Clause 87 - ISM

 

Owners warrant that the
vessel is fully ism in order with smc/doc certificates.

 

Bimco standard ism clause
for voyage and time charterparties

 

From the date of coming
into force of the international safety management (ism) code in relation to the
vessel and thereafter during the currency of this charterparty, the owners
shall procure that both the vessel and “the company” (as defined by the ism
code) shall comply with the requirements of the ism code. Upon request the
owners shall provide a copy of the relevant document of compliance (doc) and
safety management certificate (smc) to the charterers.

 

Except as otherwise
provided in this charterparty, loss, damage, expense or delay caused by failure
on the part of the owners or “the company” to comply with the ism code shall be
for the owners’ account.”

 

Clause 88 - Vessel’s
supplies

 

Charterers undertake that
they will not procure, nor permit to be procured, for the vessel any supplies,
necessities or services (including but not limited to port services/utilities,
bunkers, agency attendence etc.) On the credit of the owners and/or vessel
and/or managers. Charterers also undertake to make the concerned head
supplier/intermediaries/phyfsical supplier/furnisher aware of that the
supplies, bunkers, necessities or services etc. are being furnished on the
credit of the charterers alone and not on the credit of the
vessel/owners/managers.

 

Owners/master have the
right to issue notices/disclaimers to the suppliers/furnishers to make them
aware that the supplies, necessities, services which are not ordered in writing
by master/owners/managers, are rendered to the vessel solely on behalf of the
charterers, after having surrendered their rights to claim maritime lien of the
vessel.

 

Clause 89 – ITF

 

In the event of the
vessel being boycotted by i.t.f., delayed or rendered inoperative by strikes,
labour stoppages, or by any other difficulties due to vessel’s flag, ownership,
crew, terms of employment of officers or crew, time lost is to be considered
off-hire.

 

Clause 90 – Certificates

 

Throughout the period of
the charter vessel will have on board all necessary certificates to enable the
vessel and her crew to carry the cargoes and trade within the trading limits
allowed under this charter. Notwithstanding the above if during the charter
regulations change for a cargo or port/country and vessel is not in compliance
or its not possible to become in compliance, then this cargo or port/country is
automatically considered as excluded unless charterers/owners agree upon mutual
termination of the charter  party
with no claims to each other.

 

18

 

Clause
91 - ST Lawrence seaway / IWL

 

Charterers
agree not to trade the vessel to St. Lawrence seaway west of Montreal, as well
as to St. Lawrence river (between 1st December and 30th April).

 

Clause
92 - Blacklist

 

The owners warrant that
the vessel is not blacklisted by the arab or other countries within the agreed
trading limits. Charterers trading of this vessel not to expose owners/vessel
to blacklisting.

 

Clause
93 - Hatch covers

 

Owners guarantee that
vessel’s hatchcovers are to be water tight all throughout this charter period
and if any hatchcover found defective, same to be rectified at owners time and
expenses to independent surveyor’s satisfaction.

 

Clause
94 - Bimco bunker quality control Clause for Time Charterers

 

1) the Charterers shall
supply bunkers of a quality suitable for burning in the vessel’s engines and
auxiliaries and which conform to the specification(s) mutually agreed under
this charter.

 

2) at the time of
delivery of the vessel the owners shall place at the disposal of the
Charterers, the bunker delivery note(s) and any samples relating to the fuels
existing on board.

 

3) during the currency of
the charter the Charterers shall ensure that bunker delivery notes arc
presented to the vessel on the delivery of fuel(s) and that during bunkering
representative samples of the fuel(s) supplied shall be taken at the vessel’s
bunkering manifold and sealed in the presence of competent representatives of
the Charterers and the vessel.

 

4) the fuel samples shall
be retained by the vessel for 90 (ninety) days after the date of delivery or
for whatever period necessary in the case of a prior dispute and any dispute as
to whether the bunker fuels conform to the agreed Specification(s) shall be
settled by analysis of the sample(s) by (...) or by another mutually agreed
fuels analyst whose findings shall be conclusive evidence as to conformity or
otherwise with the bunker fuels specification(s).

 

5) the owners reserve their
right to make a claim against the charterers for any damage to the main engines
or the auxiliaries caused by the use of unsuitable fuels or fuels not complying
with the agreed specification(s). Owners to present such claim latest 30 days
after vessel’s redelivery.

 

Additionally, if bunker
fuels supplied do not conform with the mutually agreed specification(s) or
otherwise prove unsuitable for burning in the ship’s engines or auxiliaries the
owners shall not be held responsible for any reduction in the vessel’s speed
performance and/or increased bunker consumption nor for any time lost and any
other consequences.

 

Clause
95 - Separations

 

Vessel
to provide hold wise separations only. In case of loading different bulk
commodities in the vessel, the stowage of these cargoes shall be subject to
masters satisfaction and subject to natural separation or segregation only.
While charterers have the option to load two or more cargoes in the same hold,
charterers are to supply, erect, dismantle and dispose of any and all
separations required, at their risk and expense. Notwithstanding any other
provisions in the charter party, any claims arising from contamination or sweat
damage or admixture to cargo carried in the same hold to be for

 

19

 

charterers account.
Charterers are to leave the vessel in safe and seaworthy trim and with cargo on
board safely stowed, dunnaged and secured to the master’s satisfaction for all
shiftings between berths and all passages between ports under this charter in
their time and at their expenses.

 

Clause
96 - War risk Clause

 

A) charterers shall pay
to owners any increase in premium and/or any additional premium related to vsl’s
calls in areas where additional extra war risk insurance apply to war risk
underwriters and/or to any mutually war risks association for the war risks
insurance of the vessel, her officers and crew (including insurance of
detention and diversion expenses and insurance against the risks of blocking
and trapping). Ewri not to exceed lloyd’s of london scale.

 

B) charterers shall
reimburse owners the premia referred to in the preeceding sub-clause
immediately upon presentation to them of the original premium debit notes from
the vessel’s war risk underwriters and/or mutually war risks association net of
any rebates.

 

C) the owners, master and
crew shall be entitled to follow all and any instructions or directions which
may be given to the vessel/owners by the vessel war risks underwriters or
mutual war risks association.

 

D) charterers shall pay
crew war risk bonuses

 

Clause 97  - Performance claims

 

Any
claim by charterers relating to the performance of the vessel and/or the
vessels equipment including speed claim are to be submitted to owners in the
form of a statement of claim with supporting docs within 30 days of completion
of the current voyage or otherwise to be waived and nullified.

 

If
during the chartered period the vessel falls below or exceeds the Performance
described herein then if such shortfall or excess results :

 

(i)
from a reduction or an increase in the speed of the vessel, compared to the
speed which would have been achieved had

The
vessel performed as described in this Charter Party , then an amount equal to
the value at the hire rate of the time so lost or gained, as the case may be,
shall be deducted from or added to the hire paid.

 

(ii)
from an increase or a decrease in the total bunkers consumed, compared to the
total bunkers which would have been Consumed had the vessel performed as
described in clause 37, an amount equivalent to the value of the additional
bunkers Consumed or the bunkers saved, as the case may be, based on the Charter
party prices, shall be deducted from or added to the hire paid.

 

20

 

Excessive days in Port

 

The
Charterers will waive their claim on the vessel’s performance affected by the
fouling of the vessel’s bottom arising from the prolonged stay exceeding thirty
(30) days in port for Charterers’ business. However Owners, on Charterers’
request, will take actions to rectify vessel’s performance (e.g.: by underwater
cleaning) at first favorable occasion at Owners’ time and expense.

 

Clause 98 - Cargo claims

 

Cargo
claims to be settled in accordance with NYPE lnterclub Agreement and any
amendments thereto. With respect to responsibility for cargo claims as between
Owners and Charterers, the New York Produce Exchange Agreement (Interclub
Agreement) as amended in 1996 (the so called Produce Fromula) shall apply.

 

Charterers/Owners
are not allowed to negotiate or settle any cargo (or other claims including
fines) and are also not allowed to grant time extensions for those claims
without having Owners/Charterers previous written approval of consent. It is
understood that Owners/Charterers will keep each other properly and timely
advised for all such claims and also will furnish each other with all relative
documents and information in Owners/Charterers possession.

 

Clause 99 - Sublet

 

Charterers not to sublet
the vessel to nigerians, haitians, nicaraguans, israeli, iraqui
registered/based/controlled/owned/domiciled companies.

 

Charterers also not to
sublet vessel to the companies based / owned /registered / controlled /
domiciled in the countries against whom u.n sanctions may be imposed time to
time.

 

Clause 100 - Grain

 

Owners
warrant that the vessel is suitable for carrying a full cargo of grain in all
holds without requiring any grain fittings and/or bagging or securing and/or
scrapping etc. Vessel has on board valid grain loading booklet in accordance
with solas 1974 regulations and imco resolutions a-264 (viii) as adapted in
1974. Furtermore, vessel to have on board approved table of heeling movements
for “filled holds- untrimmed ends” in accordance with imco be xix/inf. 4. It is
understood that grain loading to be according to imo regulations and per vessel’s
grain loading booklet.

 

Clause 101 - Customs fines

 

Owners
to be responsible for customs fines and to put up security in case of necessity
if owners’ vessel is proven responsible and if so demanded by local authorities
for owners’ matter. Any dispute as to ultimate liability arising insofar to be
decided according to the terms and conditions of this charter party. In case
vessel is stopped by port authorities or any other coast guard authority and/or
hindered by them in any way to operate under the currency of this charter party
for reasons which owners/vessel/master/crew are responsible, vessel to be
off-hire for all such time lost and owners to be responsible for all directly
related expenses that charterers may Suffer resulting from the above.

 

21

 

Clause 102 – Bulk carrier
safety clause

 

(a) the charterers shall
instruct the terminal operators or their representatives to co-operate with the
master in completing the imo ship/shore safety checklist and shall arrange all
cargo operations strictly in accordance with the guidelines set out therein.

 

(b)
in addition to the above and notwithstanding any provision in this charter
party in respect of loading/discharging rates, the charterers shall instruct
the terminal operators to load/discharge the vessel in accordance with the
loading/discharging plan, which shall be approved by the master with due regard
to the vessel’s draught, trim, stability, stress or any other factor which may
affect the safety of the vessel.

 

(c)
at any time during cargo operations the master may, if he deems it necessary
for reasons of safety of the vessel, instruct the terminal operators or their
representatives to slow down or stop the loading or discharging.

 

(d)
compliance with the provisions of this clause shall not affect the counting of
laytime.

 

Clause 103 – Lien clause
for time charters

 

In addition to the right
of lien conferred on the owners according to the provisions of the
charter-party lien clause, the owners also to have a lien over bunkers on
board, as well as over any sums due to time charterers under any
sub-charterparties (in addition to freights and sub- freights), for any amounts
due under this charter-party. Further, in the event of the owners’ exercise of
their liberty to withdraw the vessel in accordance with the provisions of the
charter-party withdrawal clause, the ownership of any bunkers remaining on
board shall thereupon vest in owners, who shall allow to time charterers by way
of credit against any sums due to owners the value of such bunkers calculated
in accordance with the provisions of the charter-party bunkers clause
applicable on redelivery.

 

Clause 104 – U.S. Income
tax

 

U.S. Income tax - time
charters notwithstanding anything else contained in this charter party,

 

Any tax imposed by the
provisions of the u.s. Tax reform act of 1986, as amended from time to time,
and set forth at section 887 of the internal revenue code of the u.s., (including
any successor provision thereto and any regulations applied by the u.s.
internal revenue services in respect of such tax) and payable by the owners in
respect of gross transportation income derived under this charter party from
the vessel’s operation to and from u.s. Ports and from cargoes delivered to or
shipped from u.s. Ports, shall be covered by charterers and paid to owners
together with the relevant hire payment due at the time, on the presentation of
owners’ calculation/invoice. Owners shall not be required to seek exemption
from said tax, even if they could qualify for such exemption.

 

Clause 105 – Captions

 

The captions of clauses
herein are inserted for convenience only and shall not be construed to have any
restive effect on the text herein.

 

22

 

Clause 106 - ISPS/MTSA
clause for time charter parties 2005

 

(a)(i)  The Owners shall comply with the
requirements of the International Code for the Security of Ships and of Port
Facilities and the relevant amendments to Chapter XI of SOLAS (ISPS Code)
relating to the Vessel and “the Company” (as defined by the ISPS Code). If
trading to or from the United States or passing through United States waters,
the Owners shall also comply with the requirements of the US Maritime
Transportation Security Act 2002 (MTSA) relating to the Vessel and the “Owner”
(as defined by the MTSA).

 

(ii)
Upon request the Owners shall provide the Charterers with a copy of the
relevant International Ship Security Certificate (or the Interim International
Ship Security Certificate) and the full style contact details of the Company
Security Officer (CSO).

 

(iii) Loss,
damages, expense or delay (excluding consequential loss, damages, expense or
delay) caused by failure on the part of the Owners or “the Company”/”Owner” to
comply with the requirements of the ISPS Code/MTSA or this Clause shall be for
the Owners’ account, except as otherwise provided in this Charter Party.

 

(b)(i)
The Charterers shall provide the Owners and the Master with their full style
contact details and, upon request, any other information the Owners require to
comply with the ISPS Code/MTSA. Where sub-letting is permitted under the terms
of this Charter Party, the Charterers shall ensure that the contact details of
all sub-charterers are likewise provided to the Owners and the Master.
Furthermore, the Charterers shall ensure that all sub-charter parties they
enter into during the period of this Charter Party contain the following
provision:

 

“The
Charterers shall provide the Owners with their full style contact details and,
where sub-letting is permitted under the terms of the charter party, shall
ensure that the contact details of all sub-charterers are likewise provided to
the Owners”.

 

(ii)
Loss, damages, expense or delay (excluding consequential loss, damages, expense
or delay) caused by failure on the part of the Charterers to comply with this
Clause shall be for the Charterers’ account, except as otherwise provided in
this Charter Party.

 

(c)
Notwithstanding anything else contained in this Charter Party all delay, costs
or expenses whatsoever arising out of or related to security regulations or
measures required by the port facility or any relevant authority in accordance
with the ISPS Code/MTSA including, but not limited to, security guards, launch
services, vessel escorts, security fees or taxes and inspections, shall be for
the Charterers’ account, unless such costs or expenses result solely from the
negligence of the Owners, Master or crew. All measures required by the Owners
to comply with the Ship Security Plan shall be for the Owners’ account.

 

(d)
If either party makes any payment which is for the other party’s account  according to this Clause, the other party
shall indemnify the paying party.

 

23

 

Clause 107 - Both to
blame collision Clause

 

If the vessel comes into
collision with another ship as a result of the negligence of the other ship and
any act, neglect or default of the master, mariner, pilot or the servants of
the carrier in the navigation or in the management of the vessel, the owners of
the cargo carried hereunder will indemnify the carrier against all loss or
liability to the other or non-carrying ship or her owners in so far as such
loss or liability represents loss of, or damage to, or any claim whatsoever of
the owners of said cargo, paid or payable by the other or non-carrying ship or
her owners to the owners of said cargo and set-off, recouped or recovered by
the other or non-carrying ship or her owners as part of their claim against the
carrying vessel or carrier. The foregoing provisions shall also apply where the
owners, operators or those in charge of any ship or ships or objects other
than, or in addition to, the colliding ships or objects are at fault in respect
of a collision or contact.

 

Clause 108 – U.S. Trade -
Unique Bill Of Lading Identifier Clause

 

The Charterers warrant
that each transport document accompanying a shipment of cargo destined to a
port or place in the United States of America shall have been endorsed with a
Unique Bill of Lading Identifier as required by the U.S. Customs Regulations
(19 CFR Part 4 Section 4.7.a) including subsequent changes, amendments or
modifications thereto, not later than the first port of call.

 

Non-compliance with the
provisions of this Clause shall amount to breach of warranty for the
consequences of which the Charterers shall be liable and shall hold the Owners
harmless and shall keep them indemnified against all claims whatsoever which
may arise and be made against them.

 

Furthermore, all time
lost and all expenses incurred including fines as a result of the Charterers’
breach of the provisions of this Clause shall be for the Charterers’ account.

 

Clause 109 General
average and the New Jason Clause

 

General average shall be
payable according to the york/antwerp rules 1974, but where the adjustment is
made in accordance with the law and practice of the united states of america,
the following clause shall apply:-

 

New Jason Clause

 

In the event of accident,
danger, damage or disaster before or after the commencement of the voyage,
resulting from any cause whatsoever, whether due to negligence or not, for
which, or for the consequence of which, the carrier is not responsible, by
statute, contract or otherwise, the goods shall contribute with the carrier in
general average to the payment of any sacrifices, losses or expenses of a
general average nature that may be made or incurred and shall pay salvage and
special charges incurred in respect of the goods.

 

If a salving ship is
owned or operated by the carrier, salvage shall be paid for as fully as if the
said salving ship or ships belonged to strangers. Such deposit as the carrier
or his agents may deem sufficient to cover the estimated contribution of the
goods and any salvage and special charges

 

24

 

thereon shall, if
required be made by the goods shippers, consignees or owners of the goods to
the carrier before delivery.

 

And the charterers shall
procure that all bills of lading issued under this charter party shall contain
the same clause.

 

Clause 110 - General
paramount Clause

 

It is hereby mutually
agreed that all bills of lading issued pursuant to this charter party shall
bear the following clauses:

 

“all terms, provisions
and conditions of the rules contained in the international convention of
certain rules relating to bills of lading dated brussels, the 25th
august, 1924 (commonly known as the hague rules) shall apply to the contract in
this bill of lading, but if in the country of shipment or delivery of the cargo
a special law has been enacted in order to incorporate the rules of the said
convention then all the terms, provisions and conditions of the said convention
with and subject to such modifications and additions, if any, as are imposed by
such special law shall apply. Nothing herein contained shall be deemed to be a
surrender by the carrier of any of his rights or immunities or an increase of
any of his responsibilities under the said rules or enactment’s.

 

The carrier is to be
entitled to the benefit of all such privileges, rights and immunities as are
contained in the said rules or enactment’s as if the same were herein
specifically set out, and if anything herein contained be inconsistent with the
said rules or enactment’s it shall, to the extent of such inconistency and no
further be null and void.”

 

Clause 111 – U.S. Anti
Drug Abuse Act 1986 Clause for Time Charters

 

In pursuance of the
provisions of the U.S. Anti Drug Abuse Act 1986, or any re-enactment thereof,
the Charterers warrant to exercise the highest degree of care and diligence in
preventing unmanifested narcotic drugs and marijuana to be loaded or concealed
on board the Vessel.

 

Non-compliance with the
provisions of this Clause shall amount to breach of warranty for the
consequences of which the Charterers shall be liable and shall hold the Owners,
the Master and the crew of the Vessel harmless and shall keep them indemnified
against all claims whatsoever which may arise and be made against them
individually or jointly.

 

Furthermore, all time
lost and all expenses incurred, including fines, as a result of the Charterers’
breach of the provisions of this Clause shall be for the Charterers’ account
and the Vessel shall remain on hire.

 

Should the Vessel be
arrested as a result of the Charterers’ non-compliance with the provisions of
this Clause, the Charterers shall at their expense take all reasonable steps to
secure that within a reasonable time the Vessel is released and at their expense
put up bail to secure release of the Vessel.

 

The Owners shall remain
responsible for all time lost and all expenses incurred, including fines, in
the event that unmanifested narcotic drugs and marijuana are found in the
possession or effects of the Vessel’s personnel.

 

25

 

Clause 112 – U.S. Customs
Advance Notification/AMS Clause for Time Charter Parties

 

(a) If the Vessel loads
or carries cargo destined for the US or passing through US ports in transit, the
Charterers shall comply with the current US Customs regulations (19 CFR 4.7) or
any subsequent amendments thereto and shall undertake the role of carrier for
the purposes of such regulations and shall, in their own name, time and
expense:

 

i)                            Have
in place a SCAC (Standard Carrier Alpha Code);

ii)                         Have in
place an ICB (International Carrier Bond);

iii)                      Provide the
Owners with a timely confirmation of i) and ii) above; and

iv)                     Submit a
cargo declaration by AMS (Automated Manifest System) to the US Customs and
provide the Owners at the same time with a copy thereof.

 

(b) The Charterers assume
liability for and shall indemnify, defend and hold harmless the Owners against
any loss and/or damage whatsoever (including consequential loss and/or damage)
and/or any expenses, fines, penalties and all other claims of whatsoever
nature, including but not limited to legal costs, arising from the Charterers’
failure to comply with any of the provisions of sub-clause (a). Should such
failure result in any delay then, notwithstanding any provision in this Charter
Party to the contrary, the Vessel shall remain on hire.

 

(c) If the Charterers’
ICB is used to meet any penalties, duties, taxes or other charges which are
solely the responsibility of the Owners, the Owners shall promptly reimburse
the Charterers for those amounts.

 

(d) The assumption of the
role of carrier by the Charterers pursuant to this Clause and for the purpose
of the US Customs Regulations (19 CFR 4.7) shall be without prejudice to the
identity of carrier under any bill of lading, other contract, law or
regulation.

 

Clause 213 – U.S. Trade -
Unique bill of lading identifier Clause

 

the charterers warrant
that each transport document accompanying a shipment of cargo destined to a
port or place in the united states of america shall have been endorsed with a
unique bill of lading identifier as required by the u.s. Customs regulations
(19 cfr part 4 section 4.7.a) including subsequent changes, amendments or
modifications thereto, not later than the first port of call.

 

Non-compliance with the
provisions of this clause shall amount to breach of warranty for the
consequences of which the charterers shall be liable and shall hold the owners
harmless and shall keep them indemnified against all claims whatsoever which
may arise and be made against them.

 

Furthermore, all time
lost and all expenses incurred including fines as a result of the charterers’
breach of the provisions of this clause shall be for the charterers’ account.

 

26

 

Clause
114 -Bimco standard war risks Clause for Time Charters, 1993 Code name: “conwartime
1993”

 

(1) For the
purpose of this Clause, the words:

 

(a) “Owners” shall
include the shipowners, bareboat charterers, disponent Owners, managers or other
operators who are charged with the management of the Vessel, and the Master;
and

 

(b) “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, in the reasonable judgement of the Master and/or the Owners, 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.

 

(2) The Vessel,
unless the written consent of the Owners be first obtained, shall not be
ordered to or required to continue to or through, any port, place, area or zone
(whether of land or sea), or any waterway or canal, where it appears that the
Vessel, her cargo, crew or other persons on board the Vessel, in the reasonable
judgement of the Master and/or 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 her
entry into it, she shall be at liberty to leave it.

 

(3) The Vessel
shall not be required to 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
belligerents right of search and/or confiscation.

 

(4) (a) The Owners
may effect war risks insurance in respect of the Hull and Machinery of the
Vessel and their other interests (including, but not limited to, loss of
earnings and detention, the crew and their Protection and Indemnity Risks), and
the premiums and/or calls therefor shall be for their account.

 

(b) If the
Underwriters of such insurance 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
Underwriters as being subject to additional premiums because of War Risks, then
such premiums and/ or calls shall

 

27

 

be reimbursed by the
Charterers to the Owners at the same time as the next payment of hire is due.

 

(5) If the Owners
become liable under the terms of employment to pay to the crew any bonus or
additional wages in respect of sailing into an area which is dangerous in the
manner defined by the said terms, then such bonus or additional wages shall be
reimbursed to the Owners by the Charterers at the same time as the next time as
the next payment of hire is due.

 

(6) The vessel
shall have liberty:-

 

(a) 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 other Government
to whose laws the Owners are subject, or any other Government, body or group
whatsoever acting with the power to compel compliance with their orders or
directions;

 

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

 

(c) 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
Supernational 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;

 

(d) to divert and
discharge at any other port any cargo or part thereof which may render the
Vessel liable to confiscation as a contraband carrier;

 

(e) to divert and
call at any other port to change the crew or any part thereof or other persons
on board the Vessel when there is reason to believe that they may be subject to
internment, imprisonment or other sanctions.

 

(7) If in
accordance with their rights under the foregoing provisions of this Clause, the
Owners shall refuse to proceed to the loading or discharging ports, or any one
or more of them, they shall immediately inform the Charterers. No cargo shall
be discharged at any alternative port without first giving the Charterers
notice of the Owners’ intention to do so and requesting them to nominate a safe
port for such discharge. Failing such nomination by the Charterers within 48
hours of the receipt of such notice and request, the Owners may discharge the
cargo at any safe port of their own choice.

 

28

 

(8) If in compliance with any of the provisions of sub-clauses (2) to
(7) of this Clause anything is done or not done, such shall not be deemed a
deviation, but shall be considered as due fulfillment of this Charter Party.

 

Clause .15 - Vessel’s description and Baltic standard
questionnaire

 

All
and each detail “about”

 

Mv
Mommy Duckling tbr Mv Star Iota 

About 78,585 dwt on 14.479 m ssw tpc 72mt 

Built 1983 - flag Panamanian

243m loa 32.25m beam depth 20.0 m

Gt/nt: 45773/24230 

9hoha - ha dim (1) 12.6 lm*(b) 14m

Total gr cap 2,993,694.9 cbft(84,772.9 m3 )

1-9: grain cubic breakdown (cbm)

No. 1-9; 7,478.8/9,689.3/9,835.2/9,814.8

/ 9,723.5 / 10,186.8 / 9,814,8 / 9,774.4 / 8,454.4cbm

Total-: 84,772.9 cbm

Hatchcover type: 2-paneled rack side rolling

Under good weather conditions upto /incl bfc-4/d’gls-3 & no adverse current

About 13.25(b) / 12.75 (1) knots on about 43.3 / 44.3 mt ifol80 plus about

l.5mt mdo

Port
cons: idle about 3.8rnt ifo and about 2.5mt mdo

working
about 4.8-7.5rnt fo and about 2.5mt mdo

All details are about and
without guarantee

 

	
  The
  Owners

  	
   

  	
  The
  Charterers

  
	
   

  	
   

  
	
  Star Iota Inc. of
  Majuro, Marshall Islands

  	
   

  	
  TMT Co, Ltd, Taipei

  
	
  /s/ [ILLEGIBLE]

  	
   

  	
   

  	
  /s/ [ILLEGIBLE]

  	
   

  
						

 

29

 

Athens,
8th March 2007

 

ADDENDUM
No. 1

 

To the “Mommy Duckling TBRN Star Iota” Charter
Party dated, 26th February 2007

 

It has been agreed
between:

 

Messrs STAR IOTA INC. of
Majuro, Marshall Islands, as Owners

 

and

 

Messrs TMT Co,  Ltd,.
of the city of Taipei, as Charterers

 

This Charter Party is
subject to the Owners obtaining title to the ship, failing which it shall be
considered null and void and both parties will be released without one party
asserting any claim against the other.

 

All other terms,
conditions and exceptions of the above mentioned Charter Party to remain
unaltered and in full force.

 

 

	
  THE OWNERS

  	
  THE CHARTERERS

  
	
   

  	
   

  
	
  /s/ [ILLEGIBLE]

  	
   

  	
  /s/ [ILLEGIBLE]

  	
   

  
	
  Star
  Iota Inc. of Majuro, Marshall Islands

  	
  TMT Co. Ltd., Taipei

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