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Contactless bunkering operations at Singapore port ‘raises questions’ on remedies in event of breach

Senior Associate at Clyde & Co offers guidance to protect shipowners and bunker tanker operators in the event opposing counterparty breaches Covid-19 protocols, resulting in Covid-19 transmission.
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The following advice on legal responsibility during contactless bunkering operations at Singapore port amidst the Covid-19 pandemic has been written by Paul Collier, Senior Associate at global law firm Clyde & Co; the write-up was made possible through an arrangement led by the Singapore Chamber of Maritime Arbitration (SCMA):

The risk of COVID-19 spreading during bunkering operations remains a significant concern for vessel operators, bunker suppliers and authorities, particularly where vessels have previously called at ports with high infection rates.

In addition to the health impact on crew and shore staff, the transmission of COVID-19 during bunkering operations can also cause significant financial impact. If cases of COVID-19 are identified, crew are likely to be ordered to quarantine or self-isolate, and vessels and bunker barges prevented from performing their planned future employment. Bunker suppliers are concerned of the risk of repetition of the circumstances of the “NewOcean 6”, where several crew members tested positive for COVID-19 and the bunker tanker was forced to cease operations and quarantine.

Generally, standard bunker terms and conditions do not include express terms dealing with the risk of COVID-19 transmission. However, given the serious consequences and financial impact potentially arising from the transmission of COVID-19 during bunkering operations, bunker suppliers and purchasers may wish to consider including additional contractual obligations requiring their counterparties to comply with COVID-19 protocols.

The Maritime and Port Authority of Singapore has issued circulars which provide that contactless bunker operations must be carried out. The MPA circulars provide (amongst other things) that a receiving vessel’s crew must not board a bunker barge (and vice-versa), and that the receiving vessel’s crew (instead of the bunker barge crew) are to connect the fuel hose at the receiving vessel’s manifold.

It is in the interest of all parties to take all steps to reduce the risk of transmission of COVID-19 and comply with the MPA circulars in Singapore. However, there is a question as to what remedies a bunker supplier or purchaser will have if their counterparty breaches COVID-19 protocols, resulting in COVID-19 transmission. Under the standard wording of many bunker contracts, it may be difficult for bunker suppliers or purchasers to recover any losses which result from a failure or lapse in the counterparty’s compliance with COVID-19 protocols. Further, the ability to claim damages may be limited by contractual provisions restricting the ability to recover consequential losses.

If they are not already doing so, bunker suppliers and purchasers may therefore wish to press for express contractual wording providing that for bunkering operations taking place in Singapore, the other party will comply with all their obligations under the latest MPA circulars, so that if there is a breach of COVID-19 protocols by the other party leading to COVID-19 infection of their crew, there is a clearly identifiable breach of contract which they can use as an avenue to seek to recover losses. Separately, bunker suppliers may wish to consider whether their contractual terms should be amended to protect their position if there is any loss arising from a failure of the receiving vessel’s crew to properly connect the fuel hose, and whether any additional arrangements need to be made in respect of witness sampling at the receiving vessel’s manifold, given the movement restrictions between vessels.

Paul Collier
Senior Associate,  Clyde & Co Clasis Singapore Pte. Ltd.
Direct Dial: +65 6544 6569
Email: [email protected]

 

Photo credit: Manifold Times
Published: 21 July, 2021

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Technology

Singapore: Ofiniti, ONE trial direct platform integration to streamline bunker workflows

Ofiniti started a trial in Singapore, integrating FuelBoss directly with a bunker buyer’s own platform, with Ocean Network Express as its first buyer-side integration partner.

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July 22, 2026

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Singapore: Ofiniti, ONE trial direct platform integration to streamline bunker workflows

Ofiniti, the digital platform for maritime fuel operations, on Tuesday (21 July) said it has started a trial in Singapore, integrating FuelBoss directly with a bunker buyer’s own platform.

The company announced Singapore-headquartered container shipping firm Ocean Network Express (ONE) as its first buyer-side integration partner. 

“It is no coincidence we start in Singapore, as the Maritime and Port Authority of Singapore (MPA) remains at the forefront of digitalisation of all things bunkering,” the company said in a social media post.

In November 2023, MPA launched its digital bunkering platform, becoming the world’s first port to implement e-BDN. 

Ofiniti said every bunker delivery still runs on retyped data. 

“The buyer’s system says one thing, the supplier says another, and someone reconciles the gap by email, phone, or PDF. On every stem,” the company said. 

“We built FuelBoss to change this reality.”

With the integration, operational data now flows without manual re-entry, fewer reconciliation errors and faster processing and data, instead of documents, are readily available for procurement and claims workflows. 

“One connection will not transform the industry on its own, but digitalisation gets built one integration at a time. We are grateful to ONE for being willing to go first,” Ofiniti added.

Manifold Times previously reported ONE completing its successful trial of the electronic Bunker Delivery Note (e-BDN) with Shell. 

The e-BDN trial, using the digital bunkering solution developed by Angsana Technology, was conducted on 9 September 2023 at the Port of Singapore, with support from the MPA.

In March 2025, Ofiniti acquired Singapore-based Angsana Technology, with the entire Angsana team joining Ofiniti as part of the acquisition.

Related: MPA Chief Executive: Port of Singapore begins digital bunkering initiative today
Related: Singapore set to become first port in the world to debut electronic bunker delivery notes
Related: ONE completes e-BDN adoption trial with Shell in Port of Singapore
Related: Ofiniti acquires Singapore-based Angsana Technology to advance digital bunkering solutions

 

Photo credit: Ofiniti
Published: 22 July, 2026

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Legal

Singapore withdraws remaining 127 charges against Hin Leong founder OK Lim

Lim Oon Kuin, also known as OK Lim, was issued a stern warning and a district court granted him a discharge amounting to an acquittal for these charges on 17 July.

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July 21, 2026

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RESIZED Sora Shimazaki on Pexels

Founder of collapsed oil trader Hin Leong Trading, Lim Oon Kuin, also known as OK Lim, has had the remaining 127 charges against him withdrawn, according to The Straits Times on Monday (20 July). 

OK Lim was issued a stern warning and a district court granted him a discharge amounting to an acquittal for these charges, including those for cheating, on 17 July. The discharge means Lim cannot be prosecuted again for the same offences.

Lim, 84, is currently serving a 13½-year prison sentence after the High Court reduced his original 17½-year jail term in March 2026. He was convicted in 2024 on two cheating charges and one count of abetting forgery in a case prosecutors described as one of Singapore’s most serious trade finance frauds.

Lim was convicted in May 2024 of two charges of cheating the Hongkong and Shanghai Banking Corporation (HSBC) and one count of abetting forgery that proceeded to trial out of a total of 130 criminal charges.

He was first charged in court on 14 August 2020, and was subsequently handed further charges in court on 25 September 2020, 30 April 2021 and 24 June 2021 for his role in perpetuating fraud on various financial institutions. 

A total of 130 charges were eventually brought against him for cheating and forgery-related offences.

Related: Singapore: Hin Leong Founder OK Lim gets jail term slashed to 13.5 years

 

Photo credit: Sora Shimazaki
Published: 21 July, 2026

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Winding up

Singapore: Coastal Logistics Pte Ltd to be wound up voluntarily

Coastal Logistics was reportedly affiliated with troubled Singapore bunker player Coastal Oil (Singapore) Pte Ltd.

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23 hours ago

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July 21, 2026

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RESIZED Drew Beamer

Several resolutions for Coastal Logistics Pte Ltd were made during an extraordinary general meeting held on 14 July, according to a notice in the Government Gazette on Friday (4 July).

The following resolutions were duly passed during the meeting:

As Special Resolution

  • That it has been proved to the satisfaction of the meeting that the Company cannot by reason of its liabilities continue its business and accordingly the Company be wound up voluntarily pursuant to Section 160(1)(b) of the Insolvency, Restructuring and Dissolution Act 2018 (No. 40 of 2018);

As Ordinary Resolutions

  • that Mr. Wong Pheng Cheong Martin and Ms. Koay May Yee, both care of FTI Consulting (Singapore) Pte Ltd, One Raffles Quay, #27-10 South Tower, Singapore 048583 be appointed as the joint and several Liquidators of the Company for the purpose of such winding up; and
  • that the Liquidators be at liberty to open, maintain and operate any bank account(s) or account(s) for monies received by them as Liquidators with such bank(s) as they deem fit; and
  • that a Committee of Inspection will not be formed.

Manifold Times previously reported Nicholas James Gronow, director of Heng Tong Fuels & Shipping and Coastal Logistics, filed statutory declarations for both companies stating the firms cannot continue their businesses due to liabilities.

Both companies were reportedly affiliated with troubled Singapore bunker player Coastal Oil (Singapore) Pte Ltd. 

In 2019, several vessels owned by both firms entered the sale & purchase (S&P) market in Singapore.

Related: Singapore: Director declares Heng Tong Fuels & Shipping’s inability to continue business
Related: Heng Tong Fuels & Shipping in court over DBS Bank bunker tanker loan
Related: Singapore: Bunker tanker “Coastal Neptune” arrested
Related: Heng Tong Fuels & Shipping, Coastal Logistics tankers enter S&P market

 

Photo credit: Drew Beamer
Published: 21 July, 2026

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