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Tue 1 Apr 2014, 09:18 GMT

Coteam Petroleum has bunker licences cancelled


Supplier is said to have allowed other companies to use its bunker delivery notes and to have made deliveries on behalf of an unlicensed firm.

The Maritime and Port Authority of Singapore (MPA) has cancelled Coteam Petroleum Trading Pte. Ltd.'s bunker supplier and bunker craft operator licences with effect from April 1, 2014.

The cancellation of the licences was carried out as a result of the company contravening the terms and conditions of the bunkering licences, the MPA said.

According to the port authority, Coteam Petroleum was found to have breached clause 3 of the terms and conditions of the bunkering licence (bunker supplier) by allowing other companies to use its bunker delivery notes (BDNs) to supply bunkers to customers of that other company. They were also found to have breached clause 31 of the terms and conditions of the bunkering licence (bunker craft operator) for delivering bunkers on behalf of an unlicensed company to customers of that firm.

Following the cancellation of its licences, Coteam Petroleum is no longer allowed to operate as a bunker supplier or bunker craft operator in the Port of Singapore. All bunker suppliers and bunker craft operators operating in the Port of Singapore are required to be licensed by the MPA.

This is the third such case this year. In January, the bunker supplier licences of Excel Petroleum Enterprise Pte. Ltd. and Lian Hoe Leong & Brothers Pte. Ltd. were also cancelled for allowing other firms to use their BDNs to supply marine fuel to clients.

In July 2013, the bunker supplier licences of Palmstone Petroleum Pte. Ltd. and Coast-Channels Marine Services Pte. Ltd. were cancelled after the companies were deemed to have allowed another firm to use its BDNs to supply bunker fuel.

The previous month, the bunkering licence of Golden Lights HS Bunkering Pte. Ltd. was also cancelled for allowing another business to use its BDNs to supply marine fuel to clients.

During the same month, another company - Shing Li Shipping Pte. Ltd. - had its bunkering licence as a bunker craft operator cancelled. The firm was said to have breached clause 31 of the terms and conditions of the bunkering licence for delivering bunkers on behalf of an unlicensed company to customers of that company.

Supplier rankings and accredited bunker suppliers

The cancellation of the bunkering licences of Coteam Petroleum reduces the number of MPA-accredited bunker suppliers in Singapore to 63.

In the MPA's ranking of suppliers by volume in 2013, Coteam Petroleum was ranked 37th in a list of 68 suppliers in Singapore.

Reminder to suppliers

In a reminder to other bunker companies operating in Singapore, the MPA said: "All licensed bunker suppliers are reminded that under clause 3 of the terms and conditions of the bunkering licence (bunker supplier), bunker suppliers shall not transfer, assign, sublet, share, part with or otherwise dispose of any of their rights, duties, liabilities, obligations and privileges under the terms and conditions of the licence. In addition, under clause 31 of the terms and conditions of the bunkering licence (bunker craft operator), bunker craft operators shall not make use of any bunker craft to deliver bunkers on behalf of any person, firm or company or which is not a bunker supplier licensed by MPA.

"MPA will not hesitate to suspend or cancel the bunkering licence of any Bunker Supplier or Bunker Craft Operator that is found to have contravened the terms and conditions of its Licences."

For further clarification on this issue, please contact Mr Md Elfian Harun on +65 6375 1951 or email Md_Elfian_Harun@mpa.gov.sg.

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