Common use of Demurrage and Despatch Clause in Contracts

Demurrage and Despatch. (Bulk Shipments only) (a) If a shipment of any Parcel is not discharged from the vessel within the Allowed Laytime, Demurrage shall be payable by the Purchasers to the Seller calculated per running day of 24 hours (fractions pro rata) as per terms agreed between the Purchasers and the Seller and shall be settled in the Final Invoice. (b) The applicable Demurrage/Despatch rates shall be as per the Charter Party as disclosed to Purchasers’ Agent at time of vessel nomination and shall be calculated on the basis of the bill of lading weight in WMT. Such Demurrage/Despatch rates shall be in line with the prevailing market standard rates applied by similar vessels carrying molybdenum concentrates on similar voyages. (c) Notwithstanding Section 3.8(b), the Seller shall pay the Purchasers Despatch money for laytime saved at the Discharge Port in relation to the shipment of any Parcel, calculated per running day of 24 hours (fractions pro rata) at half of the Demurrage rate and shall be settled in the Final Invoice. (d) Any calculations indicating payment with respect to Demurrage or Despatch money owed to the Seller or the Purchasers, as the case may be, shall be prepared by the Seller within 2 weeks after the discharge of the vessel is complete at the Discharge Port and shall be agreed upon within 2 weeks from such date of presentation of calculations and supporting documents including time sheet and statement of facts. The Despatch/Demurrage amount shall be adjusted in the Final Invoice. If Despatch/Demurrage amount has not been agreed upon prior to the determination of the Final Invoice, such amount shall be paid to the applicable Party within 5 (five) Business Days after the Parties have agreed upon such amount.

Demurrage and Despatch. (Bulk Shipments only) (a) If a shipment of any Parcel is not discharged from the vessel within the Allowed Laytime, Demurrage shall be payable by the Purchasers to the Seller calculated per running day of 24 hours (fractions pro rata) as per terms agreed between the Purchasers and the Seller and shall be settled in the Final Invoice. (b) The applicable Demurrage/Despatch rates shall be as per the Charter Party as disclosed to Purchasers’ Agent at time of vessel nomination and shall be calculated on the basis of the bill of lading weight in WMT. Such Demurrage/Despatch rates shall be in line with the prevailing market standard rates applied by similar vessels carrying molybdenum copper concentrates on similar voyages. (c) Notwithstanding Section 3.8(b), the Seller shall pay the Purchasers Despatch money for laytime saved at the Discharge Port in relation to the shipment of any Parcel, calculated per running day of 24 hours (fractions pro rata) at half of the Demurrage rate and shall be settled in the Final Invoice. (d) Any calculations indicating payment with respect to Demurrage or Despatch money owed to the Seller or the Purchasers, as the case may be, shall be prepared by the Seller within 2 weeks after the discharge of the vessel is complete at the Discharge Port and shall be agreed upon within 2 weeks from such date of presentation of calculations and supporting documents including time sheet and statement of facts. The Despatch/Demurrage amount shall be adjusted in the Final Invoice. If Despatch/Demurrage amount has not been agreed upon prior to the determination of the Final Invoice, such amount shall be paid to the applicable Party within 5 (five) Business Days after the Parties have agreed upon such amount.

Demurrage and Despatch. (Bulk Shipments only) (a) The applicable Demurrage/Despatch rates shall be as per Seller’s Charter Party or Contract of Affreightment and Seller shall provide an extract of such Charter Party or Contract of Affreightment with the vessel owner to Buyer referencing applicable Demurrage/Despatch rates for the purpose of calculating the Demurrage/Despatch amount. Such Demurrage/Despatch rates shall be in line with the market standard rates applied by similar vessels carrying copper concentrates on similar voyages. (b) If a shipment of any Parcel is not discharged from the vessel within the Allowed Laytime, Demurrage shall be payable by the Purchasers Buyer to the Seller calculated per running day of 24 hours (fractions pro rata) as per terms agreed between the Purchasers and the Seller and shall be settled in the Final Invoice. (b) The applicable Demurrage/Despatch rates shall be as per the Charter Party as disclosed to Purchasers’ Agent at time of vessel nomination and shall be calculated on the basis of the bill of lading weight in WMT. Such Demurrage/Despatch rates shall be in line with the prevailing market standard rates applied by similar vessels carrying molybdenum concentrates on similar voyages). (c) Notwithstanding Section 3.8(b4.8(a), the Seller shall pay the Purchasers Buyer Despatch money for laytime Laytime saved at the Discharge Port in relation to the shipment of any Parcel, calculated per running day of 24 hours (fractions pro rata) at half of the Demurrage rate and shall be settled in the Final Invoicerate. (d) Any calculations indicating payment with respect to Demurrage or Despatch money owed to the Seller or the Purchasers, as the case may be, shall be prepared by the Seller within 2 weeks after the discharge of the vessel is complete at the Discharge Port and shall be agreed upon within 2 weeks from such date of presentation of calculations and supporting documents including time sheet and statement of facts. The Despatch/Demurrage amount amounts relating to a Parcel shall be adjusted paid by issuing a separate invoice. (e) For delivering Concentrate to the Discharge Port hereunder, vessels chartered by Seller shall be single deck bulk carriers, shall be classed 100-A1 at Lloyds Register of Shipping or its replacement, shall be no more than 20 years old, shall not have shaft tunnels in the Final Invoicehold, and shall have clear holds and hatchways suitable for normal grab discharge. No cargo shall be loaded in deep tanks, in tweendecks, in bridge space, or any place not easily accessible to grabs. (f) If Despatch/Demurrage amount has not been agreed upon prior to the determination gears of the Final Invoicevessel are not working in accordance with the specifications provided by the vessel’s owner, Seller shall ask Korean shipping agent to appoint a competent independent surveyor to assess the additional costs incurred in completing the discharge. After receiving such independent surveyor’s certificate about additional expenses incurred, such amount claimed by Korean shipping agent will be settled by Seller. (g) In no event shall any other cargo (including copper concentrates) be paid stowed in the same hold as any Parcel or fraction thereof. (h) The vessel shall conform to International Safety Management Code (ISM Code) standards. Seller shall not charter a vessel from any shipping company if Seller reasonably believes that, because of its financial condition, there is reasonable doubt about the applicable Party within 5 (five) Business Days after ability of such company to carry out the Parties have agreed upon such amountnormal execution of its shipping obligations.