Document:

Exhibit 4.63

 

SHARE PURCHASE AGREEMENT

This Share Purchase Agreement ("Agreement"), dated as of 16 day of September 2016, is made by and between Evita Shareholders Limited of Marshall Islands (the "Buyer"), whose performance is hereby guaranteed by TMS Bulkers Ltd. (the "Buyers' Guarantor") and Iason Shareholdings Limited , a corporation organized under the laws of the Republic of the Marshall Islands (the "Seller"), whose performance is hereby guaranteed by Dryships Inc. of Marshall Islands (the "Seller's Guarantor")

RECITALS

WHEREAS, the Seller directly owns shares, constituting all of the issued and outstanding capital stock of Iason Owning Company Limited, a corporation organized under the laws of the Republic of the Marshall Islands (the "Owner");

WHEREAS, the Owner owns a bulk carrier under the name m/v "OREGON", registered under Malta flag, IMO Number 9214123 (the "Vessel");

WHEREAS, the Seller wishes to sell and Buyer wishes to buy, all of the issued outstanding capital stock of the Owner (the "Shares"), on the terms and conditions contained herein;

NOW, THEREFORE, in consideration of the premises and the respective representations, warranties, covenants and agreements stated herein, the parties agree as follows:

ARTICLE I

DEFINITIONS

Capitalized terms used in this Agreement have the meanings specified in (a) the preamble, (b) the recitals, (c) this Article I or (d) elsewhere in this Agreement, as the case may be:

Claim means any claim, demand, assessment, judgment, order, decree, action, cause of action, litigation, suit, investigation or other Proceeding.

Debt means a loan agreement dated 16th November 2007 as amended and supplemented from time to time and made between (1) the Owner as borrower and (2) Eurobank Ergasias S.A. as lender for an amount of up to a maximum of United States Dollars forty seven million ($47,000,000)

Laws means all statutes, treaties, codes, ordinances, decrees, rules, regulations, municipal bylaws, judicial or arbitral or administrative or ministerial or departmental or regulatory judgments, orders, decisions, rulings or awards, policies, certificates, codes, licenses, permits, approvals, guidelines, voluntary restraints, inspection reports, or any provisions of such laws, including general principles of common law and equity and the requirements of all Governmental Bodies, binding or affecting the Person referred to in the context in which such word is used; and "Law" means any one of them.

Lien means (whether the same is consensual or nonconsensual or arises by contract, operation of law, legal process or otherwise): (i) any mortgage, lien, security

interest, pledge, attachment, levy or other charge or encumbrance of any kind thereupon or in respect thereof; or (ii) any other arrangement under which the same is transferred, sequestered or otherwise identified with the intention-of subjecting the same to, or making the same available for, the payment or performance of any liability in priority to the payment of the ordinary, unsecured creditors, and which under applicable law has the foregoing effect, including any adverse Claim.

Orders means judgments, writs, decrees, compliance agreements, injunctions, rules, awards, settlement agreements or orders of any governmental body or arbitrator.

Person means any individual, firm, corporation, partnership, limited liability company, joint venture, association, trust, unincorporated organization, government or agency or subdivision thereof or any other entity.

Proceeding means an action, suit, litigation, claim, investigation, legal, administrative or arbitration proceeding.

ARTICLE II

PURCHASE OF SHARES; CLOSING

Section 2.1          Purchase of Shares.  Upon the terms and subject to the conditions of this Agreement, and on the basis of the representations and warranties hereinafter set forth, the Seller agrees to sell, transfer, convey, assign and deliver to the Buyer, and the Buyer agrees to acquire and buy from the Seller, the Shares.

Section 2.2          Closing.  Within five (5) days from the fulfillment of the conditions set forth in Sections 6.1 and 6.2, the closing of the transactions contemplated hereby (the "Closing") shall be held at a place upon which Buyer and Seller shall agree.  The date on which the Closing is held is referred to in this Agreement as the "Closing Date".  The parties need not to be present at Closing, and documents may be delivered through counsel, and payment shall be by wire transfer to an account nominated by the Sellers.

Section 2.3          Purchase Price.  The purchase price for the Shares that shall be paid by the Buyer to the Seller on or before the Closing Date shall consist of an amount United States Dollars Four Million Six Hundred Seventy Five Thousand (US$ 4,675,000) less the outstanding balance under the Debt on the basis of zero working capital including cash.  Any adjustment of the Purchase Price shall be mutually agreed by the Seller and the Buyer and the Purchase Price will be adjusted accordingly.

ARTICLE III

REPRESENTATIONS AND WARRANTIES OF SELLER

The Seller hereby represents and warrants to the Buyer on the date hereof and as of the Closing Date as follows:

Section 3.1          Organization of the Seller.  The Seller is duly organized, validly existing and in good standing under the laws of its jurisdiction of incorporation and has all requisite corporate power and authority to own, lease and operate its properties and to carry on its business as now conducted.

Section 3.2          Organization of the Owner, (a) The Owner is duly organized, validly existing and in good standing under the laws of its jurisdiction of incorporation and has all requisite corporate power and authority to own, lease and operate its properties and to carry on its business as now conducted. (b) The Seller has heretofore delivered to the Buyer complete and correct copies of the constitutional documents of the Owner as currently in effect and the other corporate records.  The corporate records are accurate in all material respects and all corporate proceedings and actions reflected therein have been conducted or taken in compliance with all applicable Laws and in compliance with the constitutional documents.

Section 3.3          Authority of the Seller.  (a) The Seller has full legal capacity, right, power and authority to execute and deliver this Agreement and to consummate the transactions contemplated hereby; (b) the execution and delivery of this Agreement and the consummation of the transactions contemplated hereby have been duly and validly authorized by all requisite corporate action taken on the part of the Seller and no other corporate proceedings on the part of the Seller is necessary to authorize this Agreement or to consummate the transactions contemplated hereby; and (c) that this Agreement has been duly and validly executed and delivered by the Seller and constitutes a valid and binding obligation of the Seller, enforceable against it in accordance with its terms.

Section 3.4          Capitalization.  (a) Schedule 1 sets forth the amount of authorized capital stock and the amount of the issued and outstanding shares of capital stock of the Owner.  The Shares constitute all of the issued and outstanding common shares of the Owner; all such common shares are duly authorized, validly issued, fully paid and non-assessable and are owned legally and beneficially by the Seller, as set forth on Schedule 1.  Other than this Agreement, there is no subscription, option, warrant, preemptive right, call right or other right, agreement or commitment of any nature relating to the voting, issuance, sale, delivery or transfer (including any right of conversion or exchange under any outstanding security or other instruments) by the Seller of the Shares, and there is no obligation on the part of the Seller to grant, extend or enter into any of the foregoing.

Section 3.5          Ownership of Purchased Shares.  The Seller owns the Shares free and clear of all Liens or other limitations affecting the Seller's ability to vote such shares or to transfer such shares to the Buyer.

ARTICLE IV

REPRESENTATIONS AND WARRANTIES OF BUYER

Buyer represents and warrants to the Seller as of the date hereof and as of the Closing Date as follows:

Section 4.1          Organization.  Buyer is a corporation duly organized, validly existing and in good standing under the laws of the Republic the Marshall Islands and has all requisite corporate power and authority to own, lease and operate its properties and to carry on its business as now conducted.

Section 4.2          Authority.  (a) Buyer has the full legal capacity, right, power and authority to execute and deliver this Agreement and to consummate the transactions contemplated hereby; (b) the execution and delivery of this Agreement and the consummation of the transactions contemplated hereby have been duly and validly authorized by all requisite corporate action taken on the part of the Buyer and no other corporate proceedings on the part of the Buyer is

necessary to authorize this Agreement or to consummate the transactions contemplated hereby; and (c) this Agreement has been duly and validly .executed: and delivered by the Buyer and constitutes a valid and binding obligation of the Buyer, enforceable against the Buyer in accordance with its terms.

ARTICLE V

COVENANTS

Section 5.1          Conduct of Business Pending Closing.  Buyer and Seller agree that between the date of the execution of this Agreement and the Closing Date, (i) the Seller shall conduct the business and maintain and preserve the assets of the Seller in the ordinary course of business; and (ii) the Buyer and the Seller shall use their reasonable efforts to cause all of the representations and warranties.  in Article III hereof to continue to be true and correct.

ARTICLE VI

CONDITIONS TO CLOSING

Section 6.1          Conditions to Obligations of Buyer.  The obligations of the Buyer to consummate the transactions contemplated herein are subject to satisfaction of the following conditions:

(a)          Consents.  All consents and approvals required in connection with the execution, delivery and performance of this Agreement shall have been obtained.  In particular, the Seller shall obtain and provide evidence of the Consent of EUROBANK.  ERGASIAS S.A. to be obtained by 30'h September 2016 to the sale of the Shares to the Buyer together with the assumption of the Debt by the Buyer.

(b)          Compliance.  The Seller shall have complied with its covenants and agreements contained herein, and the representations and warranties contained in Article III hereof shall be true and correct in all material respects (except those representations and warranties qualified by materiality shall be true and correct in all respects) on the date hereof and as of the Closing Date.

Section 6.2          Conditions to Obligations of the Seller.  The obligations of the Seller to consummate the transactions contemplated herein are subject to satisfaction of the following conditions:

(a)          Purchase Price, Subject to the fulfillment of the conditions of Section 6.1, the Buyer shall have advanced to the Seller the Purchase Price under Section 23.

(b)          Corporate records.  The Seller shall have delivered to the Buyer all resolutions passed by the Board of Directors since the incorporation.

(c)          Compliance.  Buyer shall have complied with its covenants and agreements contained herein, and the representations and warranties contained in Article IV hereof shall be true and correct in all material respects (except those representations and warranties qualified by

materiality shall be true and correct in all respects) on the date hereof and as of the Closing Date.

(d)          Consents.  All consents and approvals required in connection with the execution, delivery and performance of this Agreement shall have been obtained.

ARTICLE VII

TERMINATION

Section 7.1          Grounds for Termination.  This Agreement may be terminated at any time prior to the Closing Date:

(a)          By the mutual written agreement of the Buyer and the Seller;

(b)          By the Buyer if any of the conditions set forth in Section 6.1 hereof shall have become incapable of fulfillment and shall not have been waived by Buyer;

(c)          By the Seller if any of the conditions set forth in Section 6.2 hereof shall have become incapable of fulfillment and shall not have been waived by the Seller;

(d)          In the event that the consent of Eurobank Ergasias S.A. as set forth in Sections 6.1 (a) fails to be obtained by [30th September 2016], then this Agreement shall become null and void, having no effect whatsoever.  No party shall be liable to the other for any loss and/or damage.

ARTICLE VIII

GENERAL PROVISIONS

Section 8.1          Entire Agreement.  This Agreement constitutes the entire agreement of the parties with respect to the subject matter hereof.  This Agreement may not be modified, amended or terminated except by a written instrument specifically referring to this Agreement signed by all the parties hereto.

Section 8.2          Execution of Further Documents.  Each party agrees to execute all documents necessary to carry out the purpose of this Agreement and to cooperate with each other for the expeditious fulfilment of the terms of this Agreement.

Section 8.3          Notices.  Allnotices and other communications hereunder shall be in writing and shall be deemed to have been received only if and when (a) personally delivered, (b) on the fifth day after mailing, by mail, first class, postage prepaid or by certified mail return receipt requested, addressed in each case as follows (or to such other address as may be specified by like notice), (c) at the time receipt is acknowledged when delivered by private mail or courier service or (d) received by facsimile at the phone number listed below:

 

(a)          If to Buyer to:

c/o TMS Bulkers Ltd.

Athens licensed shipping office

11 Fragkokklisias Street

 GR 151 25, Marousi, Athens, Greece

(b)          If to Seller to:

c/o Dryships Inc.

Athens licensed shipping office

109 Kifisias Avenue & Sina Street

 GR 151 24, Marousi, Athens, Greece

Section 8.4          Choice of Law; Resolution of Disputes.  This Agreement shall be governed by and construed under the laws of England and Wales.  All disputes, differences, controversies or claims arising out of or in connection with this Agreement shall be referred to arbitration in London, England in accordance with the rules of the London Maritime Arbitrators Association (LMAA).

Section 8.5          Counterparts.  This Agreement may be executed in any number of counterparts, each of which shall be deemed to be an original and all of which together shall be deemed to be one and the same instrument.

IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the date first above written.

[Signature page follows]

	 	 	
For the Buyer

	 	 	 
	 	 	 	
By:

	
/s/ Charalampos Alivizatos

	 	 	 	
Name:

	
Charalampos Alivizatos

	 	 	 	
Title:

	
Attorney-in-fact

	 	 	
For the Seller

	 	 	 
	 	 	 	
By:

	
/s/ Dimitris Dreliozis

	 	 	 	
Name:

	
Dimitrios Dreliozis

	 	 	 	
Title:

	
Attorney-in-fact

	 	 	
For the Buyer's Guarantor

	 	 	 
	 	 	 	
By:

	
/s/ Charalampos Alivizatos

	 	 	 	
Name:

	
Charalampos Alivizatos

	 	 	 	
Title:

	
Attorney-in-fact

	 	 	
For the Seller's Guarantor

	 	 	 
	 	 	 	
By:

	
/s/ Dimitris Dreliozis

	 	 	 	
Name:

	
Dimitrios Dreliozis

	 	 	 	
Title:

	
Financial ControllerExhibit 4.64

	
 

MEMORANDUM OF AGREEMENT

 

Dated:  27th September 2016

	 	
Norwegian Shipbroker's Association's Memorandum of Agreement for sale and purchase of ships.  Adopted by The Baltic and international Maritime Council (BIMCO) in 1956.

Code-name

SALEFORM 1993

Revised 1966, 1983 and 1986/87.

	
Samsara Shipping Company Limited 5/1 Merchants Street, Valletta VLT1171, Malta hereinafter called

 the Sellers, have agreed to sell, and

	
 

	
Ningbo Zhun Xing Shipping Ltd (PLEASE ADVISE FULL STYLE) or their guaranteed Nominee

hereinafter called the Buyers, have agreed to buy

	
 

	
Name:  M/V OCEAN CRYSTAL

	
 

	
Classification Society/Class:  NK

	
 

	
 

	
 

	
Built:  1999

	
By:  Sumitomo Heavy Industries, Ltd. Yokosuka Shipyard

	
 

	
 

	
Flag:  Malta

	
Place of Registration:  Valletta, Malta

	
 

	
 

	
Call sign:  9HZT7

	
Grt/Nrt:  38,372/ 24,622

	
 

	
 

	
Register IMO Number:  9180786

	
 

	
 

	
 

	
Import agent:  China National Machinery Import & Export Corp.

No.1(w), Fuwai Avenue, Xicheng District, Beijing, P.R.China

T: 00861068991291 , F: 00861068314137

 

Contract No: 16MT01GTB6IXD0094

	 
	
hereinafter called the Vessel, on the following terms and conditions: ______________

	
 

	
Definitions

	
 

	
"Banking days" are days on which banks are open both in the country of the currency

	
stipulated for the Purchase Price in Clause 1 and in the place of closing stipulated in Clause 8 as well as

USA, China, Malta, Germany, Hong Kong, Singapore and Greece.

	
"In writing" or "written" means a letter handed over from the Sellers to the Buyers or vice versa,

	
a registered letter, telex, telefax or other modern form of written communication

	 
	
"Classification Society" or "Class" means the Society referred to in line 4.

	
1.

	
Purchase Price:

	
$ 3,720,00.00

	
 

	
 

	
 

	
2.

	
Deposit

	
 

	
As security for the correct fulfilment of this Agreement the Buyers import agent shall pay a deposit of 10 15%

	
(ten fifteen per cent) of the Purchase Price (the "Deposit") by T/T within 5 (five) banking days from the date of this

Agreement, the Escrow Account is open, subjects have been lifted and import license granted by

MSA whichever the later. This deposit shall be placed with Messrs. HFW (Holman Fenwick Willan) Singapore

	
and held by them in joint account as Escrow Agent in an escrow account for on behalf of the Sellers and the Buyers, to be released in accordance

	
with the joint written instructions of the Sellers and the Buyers.  Interest, if any, to be credited to the

	
Buyers.  Any fee charged for holding the said deposit shall be borne equally by the Sellers and the Buyers.

	 
	
Escrow Agent account details are as follows:  PLEASE ADVISE

	
 

	
3.

	
Payment

	
 

	
The said 85% balance of the Purchase Price together with extra charges including but not limited to

bunker/luboils etc shall be paid by T/T by import agent in full free of bank charges to Sellers'

	
nominated bank

	
on delivery of the Vessel, but not later than 3 banking days after the Vessel is in every respect

	
physically ready for delivery in accordance with the terms and conditions of this Agreement and

	
Notice of Readiness has been given in accordance with Clause 5.

	
 

	
4.

	
Inspections

	 
	
a)*

	
The Buyers will appoint CCS to inspect the Vessel at Batam after the Vessel has been

reactivated. This inspection shall not be a subject to this deal.

	
 

	
The Buyers have inspected and accepted the Vessel's classification records.  The Buyers

	
 

	
have also inspected the Vessel at/in ___________ on ______________

	
 

	
and have accepted the Vessel following this inspection and the sale is outright and definite,

	
 

	
subject only to the terms and conditions of this Agreement.

	
 

	
b)*

	
The Buyers shall have the right to inspect the Vessel's classification records and declare

	
 

	
whether same are accepted or not within ___________

	
 

	
 

	
 

	
The Seller shall provide for inspection of the Vessel at/in _______________

	
 

	
 

	
 

	
The Buyers shall undertake the inspection without undue delay to the Vessel.  Should the

	
 

	
Buyers cause undue delay they shall compensate the Sellers for the losses thereby incurred.

	
 

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

	
 

	
During the inspection, the Vessel's deck and engine log books shall be made available for

	
 

	
examination by the Buyers.  If the Vessel is accepted after such inspection, the sale shall

	
 

	
become outright and define, subject only to the terms and conditions of this Agreement,

	
 

	
provided the Sellers receive written notice of acceptance from the Buyers within 72 hours

	
 

	
after completion of such inspection.

	
 

	
Should notice of acceptance of the Vessel's classification records and of the Vessel not be

	
 

	
received by the Sellers as aforesaid, the deposit together with interest earned shall be

	
 

	
released immediately to the Buyers, whether this Agreement shall be null and void.

	
 

	
 

	
*      

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

	 	
alternative 4a) to apply.

	
 

	
 

	
5.

	
Notices, time and place of delivery

	
 

	
 

	
a)

	
The Sellers shall keep the Buyers well informed of the Vessel's itinerary and shall

	
 

	
provide the Buyers with 30/20/15/10/7 as applicable, approximate notice of the expected time

and delivery, and 3/2/1 definite days notice. of the estimated time of arrival at the

	
 

	
intended place of drydocking/underwater inspection/delivery When the Vessel is at the place

	
 

	
of delivery and in every respect physically ready for delivery in accordance with this

	
 

	
Agreement, the Sellers shall give the Buyers a written Notice of Readiness for delivery.  The

	
 

	
Buyers shall take delivery of the Vessel within 3 (three) business days

(Saturdays/Sundays/ holidays in England and China excluded) after the Sellers have

tendered to the Buyers a Notice of Readiness for Delivery, the date of tendering such

notice being exclusive. The Notice of Readiness for Delivery shall be submitted by the

Sellers to the Buyers (any business day, day and night) once the Vessel is ready for

delivery. The Sellers shall not tender Notice of Readiness prior to completion of the

underwater inspection unless Buyers have waived same.

	 	 
	
b)

	
The Vessel shall be delivered and taken over charter free, cargo free safely afloat at a safe

berth buoy/port and accessible berth or

anchorage and/or in Dry-Dock at/in Qinghuangdao, China

	
 

	
in the Sellers' option.

	 	 
	
 

	
Expected time of delivery between 15th October 2016 and 15th November 2016 in Sellers'

option, but not earlier than 20 (twenty) days after completion of the CCS inspection.

	
 

	
Date of cancelling (see Clauses 5 c), 6 b) (iii) and 14):  15th November 2016 in Buyers' option.

	
 

	
 

	
c)

	
If the Sellers anticipate that, notwithstanding the exercise of due diligence by them, the

	
 

	
Vessel will not be ready for delivery by the cancelling date they may notify the Buyers in

	
 

	
writing stating the date when they anticipate that the Vessel will be ready for delivery and

	
 

	
propose a new cancelling date. Upon receipt of such notification the Buyers shall have the

	
 

	
option of either cancelling this Agreement in accordance with Clause 14 within 7 3 running

	
 

	
days of receipt of the notice or of accepting the new date as the new cancelling date.  If the

	
 

	
Buyers have not declared their option within 7 3 running days of receipt of the Sellers'

	
 

	
notification or if the Buyers accept the new date, the date proposed in the Sellers' notification

	
 

	
shall be deemed to be the new cancelling date and shall be substituted for the cancelling

	
 

	
date stipulated in line 61.

	 	 
	
 

	
If this Agreement is maintained with the new cancelling date all other terms and conditions

	
 

	
hereof including those contained in Clauses 5 a) and 5 c) shall remain unaltered and in full

	
 

	
force and effect. Cancellation or failure to cancel shall be entirely without prejudice to any

	
 

	
claim for damages the Buyers may have under Clause 14 for the Vessel not being ready by

	 	
the original cancelling date.

	
 

	
 

	
d)

	
Should the Vessel become an actual, constructive or compromised total loss before delivery

	
 

	
the deposit together with interest earned shall be released immediately to the Buyers

	
 

	
whereafter this Agreement shall be null and void.

	
 

	
 

	
6.

	
Drydocking/Divers Inspection

	
 

	
 

	
a)**

	
The Seller shall place the Vessel in drydock at the port of delivery for inspection by the

	
 

	
Classification Society of the Vessel's underwater parts below the deepest load line, the

	
 

	
extent of the inspection being in accordance with the Classification Society's rules.  If the

	
 

	
rudder, propeller, bottom or other underwater parts below the deepest load line are found

	
 

	
broken, damaged or defective so as to affect the Vessel's class, such defects shall be made

	
 

	
good at the Sellers' expense to the satisfaction of the Classification Society without

	
 

	
condition/recommendation*.

	
 

	
 

	
b)**

	
(i)          The Vessel is to be delivered without drydocking.  No drydocking shall apply.

However, the Buyers shall

	
 

	
have the right at their risk and expense to arrange for an underwater inspection of

underwater parts of the Vesselby a divers approved

	
 

	
by the Vessel's Classification Society prior to the delivery of the Vessel.

in the presence of class surveyor with Buyers' right to attend without interference at the

video monitor or in any way with class surveyors work. Sellers will give at least 3 (three)

days' notice to Buyers of the place/time they intend to make the vessel available for such

inspection. Buyers' failure to appoint divers approved by class or attend underwater

inspection as per Sellers' notification will be deemed a waiver of their right to inspect the

Vessel's underwater parts. The Class surveyor to be appointed by the Sellers and all

expenses to be for the Buyers' account. if the conditions at the place where the Vessel is

made available for such inspection are unsuitable for such inspection, the Sellers shall at

their risk and expense make the Vessel available at a suitable alternative place. Thereafter

the Vessel shall be delivered at such alternative suitable place/port.

 

Should any damage affecting class be found by class surveyor in under-water parts and

class approves postponernent of repair of such damage, then the Sellers have the option

to repair same to class's satisfaction or compensate Buyers in cash which shall be

deducted from the purchase price at the time of closing. The cash compensation shall be

based upon the average of 2 (two) reputable Chinese shipyards' quotation, one obtained

by each party. It is understood by both parties that the amount of the monetary settlement

is confined to direct repair cost only and does not include indirect cost such as dry-

docking fee, general expenses, deviation cost, off hire and other costs whatsoever and

that such amount of the monetary settlement is deducted from the Purchase Price (for

labour and material costs only) at the time of delivery.

 

Should any damage affecting class be found by class surveyor in under-water parts and

class requires immediate repairs of such damage in a dry-dock and Sellers arrange that

the Vessel is dry-docked, the Buyers have the right to clean and paint the underwater

parts below the summer loadline at the Buyers' time, risk and account without interfering

with the Sellers' or vessel's class work and without affecting the smooth and timely

delivery of the Vessel. But in any case, the Tailshaft shall not be drawn unless requested

by the Class Surveyor and in case Vessel has to be drydocked.

 

If, however, the Buyers' work in dry-dock is still in progress when the Sellers have

completed their work, the Sellers have the right to tender the Notice of Readiness for

Delivery whilst the Vessel is still in dry-dock and the Buyers are obliged to take delivery of

the Vessel immediately after such Notice of Readiness tendered, whether the Vessel is in

dry-dock or not. Any extra time and cost for the additional dry-docking incurred by reason

of such Buyers' work shall be at the Buyers' risk and account.

	 	 
	 	
The Sellers shall at their

	
 

	
cost make the Vessel available for such inspection. The extent of the inspection and the

	
 

	
conditions under which it is performed shall be to the satisfaction of the Classification

	
 

	
Society. If the conditions at the port of delivery are unsuitable for such inspection, the

	
 

	
Sellers shall make the Vessel available at a suitable alternative place near to the delivery

	
 

	
port.

	
 

	
 

	
 

	
(ii)          If the rudder, propeller, bottom or other underwater parts below the deepest load

	
 

	
line are found broken, damaged or defective so as to affect the Vessel's class, then unless

	
 

	
repairs can be carried out afloat to the satisfaction of the Classification Society, the Sellers

	
 

	
shall arrange for the Vessel to be drydocked at their expense for inspection by the

	
 

	
Classification Society of the Vessel's underwater parts-below the deepest load line, the

	
 

	
extent of the inspection being in accordance with the Classification Society's rules. If the

	
 

	
rudder, propeller, bottom or other underwater parts below the deepest load line are found

	
 

	
broken, damaged or defective so as to affect the Vessel's class, such defects shall be

	
 

	
made good by the Sellers at their expense to the satisfaction of the Classification Society

	
 

	
without condition/recommendation*.  In such event the Sellers are to pay also for the cost of

	
 

	
the underwater inspection and the Classification Society's attendance.

	
 

	
 

	
 

	
(iii)          If the Vessel is to be drydocked pursuant to Clause 6 b) (ii) and no suitable dry-

	
 

	
docking facilities are available at the port of delivery, the Sellers shall take the Vessel

	
 

	
to a port where suitable drydocking facilities are available, whether within or outside the

	
 

	
delivery range as per Clause 5 b). Once drydocking has taken place the Sellers shall

	
 

	
deliver the Vessel at a port within the delivery range as per Clause 5 b) which shall, for the

	
 

	
purpose of this Clause, become the new port of delivery. In such event the cancelling date

	
 

	
provided for in Clause 5 b) shall be extended by the additional time required for the

	
 

	
drydocking and extra steaming, but limited to a maximum of 14 running days.

	
 

	
 

	
c)     

	
If the Vessel is drydocked pursuant to Clause 6 a) or 6 b) above

	
 

	
 

	
 

	
(i)          the Classification Society may require survey of the tailshaft system, the extent of

	
 

	
the survey being to the satisfaction of the Classification surveyor.  If such survey is not

	
 

	
required by the Classification Society, the Buyers shall have the right to require the tailshaft

	
 

	
to be drawn and surveyed by the Classification Society, the extent of the survey being in

	
 

	
accordance with the Classification Society's rules for tailshaft survey and consistent with

	
 

	
the current stage of the Vessel's survey cycle. The Buyers shall declare whether they

	
 

	
require the tailshaft to be drawn and surveyed not later than by the completion of the

	
 

	
Inspection by the Classification Society. The drawing and refitting of the tailshaft shall be

	
 

	
arranged by the Sellers. Should any parts of the tailshaft system be condemned or found

	
 

	
defective so as to affect the Vessel's class, those parts shall be renewed or made good at

	
 

	
the Sellers' expense to the satisfaction of the Classification Society without

	 	
condition/recommendation*.

	
 

	
 

	
 

	
(ii)          the expenses relating to the survey of the tailshaft system shall be borne

	
 

	
by the Buyers unless the Classification Society requires such survey to be carried out, in

	
 

	
which case the Sellers shall pay these expenses. The Sellers shall also pay the expenses

	
 

	
if the Buyers require the survey and parts of the system are condemned or found defective

	
 

	
or broken so as to affect the Vessel's class*.

	
 

	
 

	
 

	
(iii)          the expenses in connection with putting the Vessel in and taking her out of

	
 

	
drydock, including the drydock dues and the Classification Society's fees shall be paid by

	
 

	
the Sellers if the Classification Society issues any condition/recommendation* as a result

	
 

	
of the survey or if it requires survey of the tailshaft system.  In all other cases the Buyers

	
 

	
shall pay the aforesaid expenses, dues and fees.

	
 

	
 

	
 

	
(iv)          the Buyers' representative shall have the right to be present in the drydock, but

	
 

	
without interfering with the work or decisions of the Classification surveyor.

	
 

	
 

	
 

	
(v)          the Buyers shall have the right to have the underwater parts of the Vessel

	
 

	
cleaned and painted at their risk and expense without interfering with the Sellers' or the

	
 

	
Classification surveyors work, if any, and without affecting the Vessel's timely delivery.  If,

	
 

	
however, the Buyers' work in drydock is still in progress when the Sellers have

	
 

	
Completed the work which the Sellers are required to do, the additional docking time

	
 

	
needed to complete the Buyers' work shall be for the Buyers' risk and expense.  In the event

	
 

	
that the Buyers' work requires such additional time, the Sellers may upon completion of the

	
 

	
Sellers' work tender Notice of Readiness for delivery whilst the Vessel is still in drydock

	
 

	
and the Buyers shall be obliged to take delivery in accordance with Clause 3, whether

	
 

	
the Vessel is in drydock or not and irrespective of Clause 5 b).

	
 

	
 

	
*

	
Notes, if any, in the surveyor's report which are accepted by the Classification Society

	
 

	
without condition/recommendation are not to be taken into account.

	
 

	
 

	
**

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

	
 

	
Alternative 6 a) to apply

	
 

	
 

	
7.

	
Spares/bunkers, etc.

	
 

	
 

	
The Sellers shall deliver the Vessel to the Buyers with everything belonging to her on board and on

	
shore order, used or unused, including all spare parts and spare equipment, stores, radio

installations and navigational equipment.

	
The Vessel does not have a spare anchor, or a spare tail-end shaft, or a spare propeller.

	 
	
Price to include everything belonging to the Vessel on board, including all navaids and wireless

equipment.

	 
	
__All spare parts and spare equipment including spare tail-end shaft(s) and/or spare

propeller(s)/propeller blade(s), if any, belonging to the Vessel at the time of inspection used or

unused, whether on board or not shall become the Buyers' property, but spares on order are to be

excluded. Forwarding charges, if any, shall be for the Buyers' account.  The Sellers are not required to

replace spare parts including spare tail-end shaft(s) and spare propeller(s)/propeller blade(s) which

are taken out of spare and used as replacement prior to delivery, but the replaced items shall be the

property of the Buyers. The radio installation and navigational equipment shall be included in the sale

without extra payment if they are the property of the Sellers. Unused stores and provisions shall be

included in the sale and be taken over by the Buyers without extra payment.

	 
	
Excluded from this sale are personal effects of Master, Officers and Crew including slop chest,

log books, holy icons, ISM manuals, original certificates which must be surrendered to authorities

and hired or third party's items, which shall be taken ashore by the Sellers upon or before delivery

of the Vessel.

	 
	
Notwithstanding the above the following items to be excluded from the Sale:

	 
	
a)  Oxygen / Acetylene /Freon Gas Bottles

b)  All Log Books for Deck, Engine and radio with Buyer's right to photocopy available logs

onboard at their own expense, but the Sellers shall provide the scanning copy of same.

c)  All ISPS, ISM And quality documentation and correspondence.

d)  Vessel's wireless e-mail system and server

e)  Training video library, books.

f)  Crew / Officers library / walport videos

g)  All Master's Slopchest / Bonded stores, all Master's and crew's personal belongings.

h)  Personal lap-top computers (Personal lap-top computers of crew. Total 13 pieces)

i)  Personal cell phones (Personal cell phones of crew. Total 31 pieces)

j)  Contents of Master's safe

k)  Works of Art; Originals, copies, prints, statues

1)  Certificates / documents to be returned to authorities (Need to have Vessel's original certificate

of Registry to be returned back to the authorities)

m) All leased rented, hired equipment. (Sellers confirmed No leased rented, hire equipment on

board.)

	
 

	
The Sellers have the right to take ashore crockery, plates, cutlery, linen and other articles bearing the

	
Sellers' flag or name, provided they replace same with similar unmarked items.  Library, forms, etc,

	
exclusively for use in the Sellers' vessel(s), shall be excluded without compensation. Captain's,

	
Officers' and Crew's personal belongings including the slop chest are to be excluded from the sale,

	
as well as the following additional items (including items on hire):

	
 

	
The Buyers to pay extra for remaining bunkers at platts prices prevailing at the port of delivery or

nearest port where platts prices are available (hereby Singapore platts price to be applied) one (1)

day before Vessel's delivery to the Buyers. Also Buyers to pay extra for Vessel's all types of

unused lubricants and greases that have not passed through Vessel's systems in designated

storage tanks and sealed drums/pails at Seller's last net prices evidenced by invoices/vouchers.

Sellers will use their reasonable commercial efforts to limit the quantity of bunker remaining

onboard at the time delivery as less as possible but in any case the separate each tank of MDO

and HFO on board at the time of delivery shall not exceed 30% of MDO and HFO tanks' capacity.

	
The Buyers shall take over the remaining bunkers and unused lubricating oils in storage and

	
sealed drums and pay the current net market price (excluding barging expenses) at the port and date

	
of delivery of the Vessel

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

	
the Purchase Price.

	
 

	
8.

	
Documentation

	
 

	
The place of closing:  HFW Singapore

	
 

	
Documents to be mutually agreed between Buyers and Sellers and to be incorporated as an

Addendum to the MOA, but in any case failure to agree documentation shall not be a reason to

invalidate the MOA.

	 
	
In exchange for payment of the Purchase Price the Sellers shall furnish the Buyers with delivery

	
documents namely:

	
 

	
a)

	
Legal Bill of Sale in a form recordable in _____________ (the country in which the Buyers are)

	
 

	
to register the Vessel), warranting that the Vessel is free from all encumbrances, mortgages

	
 

	
and maritime liens or any other debts or claims whatsoever, duly notarially attested and

	
 

	
legalized by the cousul of such country or other competent authority.

	
 

	
 

	
b)

	
Current Certificate of Ownership issued by the competent authorities of the flag state of

	
 

	
the Vessel

	
 

	
 

	
c)

	
Confirmation of Class issued within 72 hours prior to delivery.

	
 

	
 

	
d)

	
Current Certificate issued by the competent authorities stating that the Vessel is free from

	
 

	
registered encumbrances

	
 

	
 

	
e)

	
Certificate of Deletion of the Vessel from the Vessel's registry or other official evidence of

	
 

	
deletion appropriate to the Vessel's registry at the time of delivery, or, in the event that the

	
 

	
registry does not as a matter of practice issue such documentation immediately, a written

	
 

	
undertaking by the Sellers to effect deletion from the Vessel's registry forthwith and furnish a

	
 

	
Certificate or other official evidence of deletion to the Buyers promptly and latest within 4

	
 

	
(four) weeks after the Purchase Price has been paid and the Vessel has been delivered.

	
 

	
 

	
f)

	
Any such additional documents as may reasonably be required by the competent authorities

	
 

	
for the purpose of registering the Vessel, provided the Buyers notify the Sellers of any such

	
 

	
documents as soon as possible after the date of the Agreement

	
 

	
 

	
At the time of delivery the Buyers and Sellers shall sign and deliver to each other a Protocol of

	
Delivery and Acceptance confirming the date and time of delivery of the Vessel from the Sellers to the

	
Buyers.

	
 

	
At the time of delivery the Sellers shall hand to the Buyers the classification certificate(s) as-well-as-all

	
plans etc., which are on board the Vessel.  Other certificates which are on board the Vessel shall also

	
be handed over to the Buyers unless the Sellers are required to retain same, in which case the

	
Buyers to have the right to take copies.  Other technical documentation which may

	
Be in the Sellers' possession shall be promptly forwarded to the Buyers at their expense, if they so

	
request.  The Sellers may keep the Vessels log books but the Buyers to have the right to take

	
copies of same.

	
 

	
9.

	
Encumbrances

	
 

	
The Sellers warrant that the Vessel shall be delivered at the time of delivery, is free from all charters,

encumbrances,

mortgages, and maritime liens or any other debts whatsoever at the time of delivery.  The.

	
Sellers hereby undertake

to indemnify the Buyers against all consequences of claims made against the Vessel which have

	
been incurred prior to the time of delivery.

	
 

	
 

	
10.

	
Taxes, etc.

	
 

	
Any taxes, fees and expenses in connection with the purchase and registration under the Buyers' flag

	
shall be for the Buyers' account, whereas similar charges in connection with the closing of the Sellers'

	
register shall be for the Sellers' account.

	
 

	
11.

	
Condition on delivery

	
 

	
The vessel with everything belonging to her shall be at the Sellers' risk and expense until she is

	
delivered to the Buyers, but subject to the terms and conditions of this Agreement she shall be

	
delivered and taken over as she was at the time of inspection, fair wear and tear expected (other than

for defective parts, if any, ascertained by the underwater survey, which shall be dealt with as per

terms of Cl. 6 of this Agreement), with her class maintained without condition/recommendation (*),.

	
and with her classification certificates and national certificates, as well as all other certificates,

	
valid and un-extended without condition/recommendation by Class at time of delivery.

	 
	
All plans, drawings and instruction manuals (excluding ISM manuals) which are on board shall be

delivered to the Buyers' Master as they are upon delivery of the Vessel.

	 
	
All remaining plans, drawings and instruction manuals in the Sellers' possession shall be

forwarded to the Buyers' main office after delivery. Forwarding charges, if any, shall be for the

Buyers account.

	 
	
Logbooks shall be retained by the Sellers. However the Buyers have the right to take photocopies

of the available logbooks onboard before delivery at the Buyers' cost.

	 
	
The Vessel with everything belonging to her shall be at the Sellers' risk and expense until she is

delivered to the Buyers, but subject to the terms and conditions of this Agreement she shall be

delivered and taken over as she was at the time of inspection, fair wear and tear excepted.

However, the Vessel shall be delivered with her class maintained without condition/recommendation*,

free of average damage affecting the Vessel's class, and with her classification certificates and

national certificates, as well as all other certificates the Vessel had at the time of inspection, valid and

unextended without condition/recommendation* by Class or the relevant authorities at the time of

delivery.

	
"Inspection" in this Clause 11, shall mean the Buyers' inspection according to Clause 4 a) or 4 b), if

applicable or the Buyer's inspection prior to the signing of this Agreement, if the Vessel is taken over

without inspection, the date of this Agreement shall be the relevant date.

	
 

	
*

	
Notes, if any, in the surveyor's report which are accepted by the Classification Society

	
 

	
without condition/recommendation are not to be taken into account.

	
 

	
 

	
12.

	
Name / markings

	
 

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

	
 

	
13.

	
Buyers' default

	
 

	
Should the deposit not be paid in accordance with Clause 2, the Sellers have the right to cancel this

	
Agreement, and they shall be entitled to claim compensation for their losses and for all expenses

	
incurred together with interest.

	
Should the Purchase Price not be paid in accordance with Clause 3, the Sellers have the right to

	
cancel the Agreement, in which case the deposit together with interest earned shall be released to the

	
Sellers.  If the deposit does not cover their loss, the Sellers shall be entitled to claim further

	
compensation for their losses and for all expenses incurred together with interest.

	
 

	
14.

	
Sellers' default

	
 

	
Should the Sellers fail to give Notice of Readiness in accordance with Clause 5 a) or fail to be ready

	
to validly complete a legal transfer by the date stipulated in line 61 the Buyers shall have

	
the option of cancelling this Agreement provided always that the Sellers shall be granted a

	
maximum of 3 banking days after Notice of Readiness has been given to make arrangements

	
for the documentation set out in Clause 8. If after Notice of Readiness has been given but before

	
the Buyers have taken delivery, the Vessel ceases to be physically ready for delivery and is not

	
made physically ready again in every respect by the date stipulated in line 61 and new Notice of

	
Readiness given, the Buyers shall retain their option to cancel. In the event that the Buyers elect

	
to cancel this Agreement the deposit together with interest earned shall be released to them

	
immediately.

	
Should the Sellers fail to give Notice of Readiness by the date stipulated in line 61 or fail to be ready

	
to validly complete a legal transfer as aforesaid they shall make due compensation to the Buyers for

	
their loss and for all expenses together with interest if their failure is due to proven

	
negligence and whether or not the Buyers cancel this Agreement.

	
 

	
15.

	
Buyers' representatives

	
 

	
After signing the MOA this Agreement has been signed by both parties and the deposit has been

	
lodged, the Buyers

	 
	
have the right for the Vessel's last voyage prior to delivery to place up to 2 (two) representatives

on board the Vessel strictly as observers for familiarization purposes only. Such representatives to

board the Vessel before delivery of the Vessel to the Buyers at Batam, Indonesia, at the Buyers'

risk and account and shall always remain under the Master's command without any interference

with the Vessel's operation and her schedule. Indemnity letters from each of Buyer's

representatives shall be provided to the Sellers before the said representatives boarding. Said

Buyers representatives to be allowed to use Vessel's communication equipment and said charges

will be settled by Buyers representatives on board and to the Master directly, but before delivery.

Also, Buyers representatives to pay a victualing daily rate of usd 10.0 per rep.

	 
	
The Buyers also have the right to send further 6 crews and 2 reps onboard for familiarisation

purposes during day time only when Vessel has arrived at the place of delivery and Sellers

tendered NOR. At the time of delivery / closing, other Vuyers' crews will be allowed to stay at

mess room.

	 
	
at their sole risk and expense upon

	
arrival at _______ on or about ______

	
These representatives are on board for the purpose of familiarisation and in the capacity of

	
observers only, and they shall not interfere in any respect with the operation of the Vessel.  The

	
Buyers' representatives shall sign the Sellers' letter of indemnity prior to their embarkation.

	 
	
 

	
16.

	
Arbitration

	
 

	
 

	
a)*

	
This Agreement shall be governed by and construed in accordance with English law and

	
 

	
any dispute arising out of this Agreement shall be referred to arbitration in London in

	
 

	
accordance with the Arbitration Acts 1950 and 1979 or any statutory modification or

	
 

	
re-enactment thereof for the time being in force, one arbitrator being appointed by each

	
 

	
party. Arbitrators to be members of the London Maritime Arbitrators Association.  On the

receipt by one party of the nomination in writing of the other party's arbitrator,

	
 

	
that party shall appoint their arbitrator within fourteen days, failing which the decision of the

	
 

	
single arbitrator appointed shall apply. If two arbitrators properly appointed shall not agree

	
 

	
they shall appoint an umpire whose decision a third arbitrator and the decision of any two of

them to shall be final.

	
 

	
 

	
b)*

	
This Agreement shall be governed by and construed in accordance with Title 9 of the

	
 

	
United states code and Law of the State of New York and should any dispute arise out of

	
 

	
this Agreement, the matter in dispute shall be referred to three persons at New York, one to

	
 

	
be appointed by each of the parties hereto, and the third by the two so chose; their

	
 

	
decision or that of any two of them shall be final, and for purpose of enforcing any award, this

	
 

	
Agreement may be made a rule of the Court.

	
 

	
The proceedings shall be conducted in accordance with the rules of the Society of Maritime

	
 

	
Arbitrators, Inc. New York.

	
 

	
 

	
c)*

	
Any dispute arising out of this Agreement shall be referred to arbitration at

	
 

	
___________________________________________, subject to the procedures applicable there

	
 

	
The laws of _____________ shall govern this Agreement.

	
 

	
 

	
*

	
16 a), 16 b) and 16 c) are alternatives; delete whichever is not applicable.  In the absence of

	
 

	
deletions, alternative 16 a) to apply.

	
 

	
 

	
17.

	
P & C: All details of these negotiations and any eventual sale shall be kept strictly private and

	
confidential among all parties concerned, except where required by statutory or requirements for stock

	
listed companies.

	 
	
18.

	
On delivery the Sellers shall hand to Buyers a letter of undertaking stating that to the best of their

	
knowledge the Vessel under present Ownership is not blacklisted by the Arab boycott league in

	
Damascus and that she has not been infested by Gypsy Moth.

	 
	
19.

	
The Vessel shall be delivered with her cargo holds clean swept, and free of cargo. However, Sellers

	
have the option to deliver the Vessel with her cargo holds as they are left by the Stevedores after

	
completion of discharge of cargo on board by paying Buyers a lump-sum amount cf USD 4000 in lieu of

	
cargo holds cleaning.

	 
	 

	
20.

	
Sellers will appoint Penavico as their agent at the delivery port Qinghtuangdao. Sellers also have the

	
right to appoint their own sub - agent at delivery port to attend Owners' matters (agent to be nominated).

	 
	
21.

	
Buyers shall use their best endeavors to obtain a technical import license by the MSA with outmost

	
dispatch.

	 
	
22.

	
Subjects

	 
	
a)  This Sale / Purchase is subject to Sellers' BOD approval which to be lifted within 5 (five) Banking

	
Days from signing of this Agreement by both the Buyers and the Sellers.

	 
	
b)  Issuance of a technical import license by the MSA to be confirmed by the Buyers no later than

	
October 15th, 2016.

	 
	
In case all subjects are not lifted then this sale shall be considered null and void.

	 
	 

	
FOR THE SELLERS

 

 

/s/

	 	
FOR THE BUYERS

 

 

/s/

	
Name:

Title:  Attorney-in-fact

 

	 	
Name:

 Title:

 

	 	 	 
	 	 	 
	 	 	 
	 	 	
FOR THE IMPORT AGENT

 

 

/s/

	 	 	
Name:

 Title:

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00268-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00268-of-00352.parquet"}]]