Vessels not entered with International Group P&I Clubs henceforth denied entry at Port of Fujairah

On 13 February 2020, Port of Fujairah issued a ‘Notice to Mariner No. 272’ notifying marine agents, ship owners and oil terminal users that with immediate effect, oil tankers, LPG, LNG and gas carriers calling at Port of Fujairah and offshore anchorage, must all hold insurance certificates issued by one of the 13 International Group of P&I Clubs.

The implications for vessels entered with P&I insurers outside of the IG could be considerable, and owners and their insurers should be mindful of the risk of breaching charterparties, off-hire events or non-recoverable demurrage, or even missing bunkering commitments.

Fortunately, the Port of Fujairah declared that vessels that were already at outer-port anchorage before 13 February 2020 will be exempted from the new requirements. As of today’s date, it is unclear whether the Port of Fujairah will consider granting further specific-exemptions. We are aware that negotiations between some vessel owners, their insurers and the port, are still ongoing.

Please do not hesitate to contact us if you require assistance:

Omar Omar
Partner, Head of Transport & Insurance – UAE
o.omar@tamimi.com

Adam Gray
Senior Associate, Transport & Insurance
a.gray@tamimi.com

Wael Elgouhari
Paralegal, Transport & Insurance
w.elgouhari@tamimi.com