Discover the Princess-Vanya: Ratings & Maritime News

On April 21, 2020, ICICI Bank, a prominent financial institution based in India, took decisive action to impound two tankers operated by Ocean Tankers (Pte) Ltd., a subsidiary of the Singapore-based oil trading giant Hin Leong Trading Pte Ltd (HLT). The vessels in question are the 'Wu Yi San' and 'Chang Bai San' (IMO: 9534042), which were transporting cargoes financed through ICICI Bank. The bank's exposure to HLT is estimated to be around $100 million, raising significant concerns within the financial community. Legal documents indicate that the founder and director of HLT allegedly instructed his company not to report substantial losses amounting to hundreds of millions over the years. Following the news of ICICI's financial ties to HLT, the bank's shares experienced a notable decline of approximately 4%. This situation follows a troubling trend, as several lenders had recently retracted credit facilities from Hin Leong due to growing worries about the company's capacity to meet its financial obligations. Hin Leong's debts are reported to be nearly $4 billion, owed to over 20 financial institutions, including major players like HSBC Holdings Plc. Notably, ABN Amro Bank NV and Société Générale SA have filed separate requests for charge applications with the Accounting and Corporate Regulatory Authority regarding HLT's cargoes and receivables. The company has come under scrutiny for concealing around $800 million in losses linked to futures trading, orchestrated by founder Lim Oon Kuin—also known as OK Lim—pointing to a far more extensive financial gap than initially suspected. In a significant corporate shakeup, Lim Oon Kuin resigned from all executive positions within Hin Leong, the Xihe Group, and affiliated entities as of April 17. He will also be stepping down from his roles as director and managing director of Ocean Tankers. This ongoing saga highlights the troubling financial practices prevalent within Hin Leong and raises questions about the future of its operations.

In a recent development, the VLCC (very large crude carrier) Wu Yi San, operated by Singapore's Ocean Tankers, successfully completed its oil offloading operations following a maritime incident off the coast of South Korea. The ship, which was involved in a collision with a pipeline while maneuvering to berth, managed to offload a staggering 278,000 tonnes of North Sea crude over a period of 15 days. This incident occurred near Yeosu, located over 300 km (185 miles) south of Seoul, where a pipeline owned by GS Caltex Corp suffered a leak. The leak was estimated to release approximately 164,000 litres of oil from the pipeline alone, and the spill was contained without contribution from the tanker itself. On February 17, 2014, South Korea's Ministry of Oceans and Fisheries confirmed that the 318,445 deadweight tonne Wu Yi San successfully transferred 140,000 tonnes of oil on the preceding Thursday, followed by the remainder on Sunday. Local reports indicate that, following the incident, the Wu Yi San—chartered to Shell—will undergo necessary repairs. In the interim, the crude oil was transferred to another vessel before being offloaded into a nearby tank. The GS Caltex refinery, which boasts an impressive capacity of 775,000 barrels per day (bpd), initially reduced its operations by 170,000 bpd for over five days as a precautionary measure. However, production has since rebounded to approximately 710,000 to 720,000 bpd.

On February 3, 2023, a substantial cleanup operation concluded after a significant oil spill incident off the coast near Yeosu, South Korea, where approximately 164,000 liters of oil leaked from a cracked pipeline owned by GS Caltex Corp. The dedicated response team, comprising both personnel on the ground and support from ships and aircraft, effectively managed the containment efforts. Initial measures included expanding the oil boom's coverage from 5 km to an extensive 9.5 km diameter to control the spill reaching the open sea. In total, 201 vessels and five aircraft were deployed in the response efforts, with the shoreline cleanup projected to last up to two weeks. The incident at the quay happened on January 31, 2023, while the tanker "Wu Yi San" was preparing to dock and offload crude oil. The incident was compounded by the leak of various oil components including crude oil and naphtha from three damaged pipelines. Fortunately, the tanker itself did not suffer any spillage, maintaining normal refining operations at GS Caltex. Preliminary investigations suggest that the "Wu Yi San" may have approached the quay at a velocity exceeding safety recommendations. However, the precise cause of the accident remains under scrutiny. At the time of the allision, the vessel was under the supervision of two port pilots and was being supported by five harbor tugs when it collided with the jetty and the pipeline. To aid in the investigation, surveyors from the American Bureau of Shipping (ABS) and the ship's insurer, the North of England P&I Association, are assessing the damage, which has been deemed minor to the foreship. Meanwhile, discussions with GS Caltex regarding unloading procedures are set to commence, wherein the tanker will undergo necessary safety tests before offloading operations can resume. Unloading may potentially occur at a nearby jetty or through ship-to-ship transfer.