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Monday, 31 May 2021

A solution to the Ever Given spat could be found within a week

An imminent breakthrough in Ever Given talks? A breakthrough in settlement talks between the Suez Canal Authority (SCA) and the owners of the Ever Given container ship might be coming “in the coming days or week,” Khaled Abu Bakr, an advisor to the SCA chairman, said at a presser yesterday, according to Bloomberg. Negotiations between the two sides over the size of compensation demand are proceeding in a “positive direction” as shipowner Shoei Kisen “showed good intentions and appreciation to the Egyptian role” in dislodging the Ever Given from the narrow waterway in March, Abu Bakr said.

This came a day after the Ismailia Economic Court postponed until 20 June a hearing in the USD 550 mn lawsuit filed by the SCA over its compensation demands for the six-day blockage of the canal. The two sides have been at loggerheads over how much the shipping company’s insurers should pay out to the SCA, with the authority initially demanding USD 916 mn in damages. The authority has since slashed this to USD 550 mn, but insurers are reportedly willing to only pay out USD 150 mn. The SCA will put forward a new calculation of the cost of rescuing the ship during the hearing later this month, SCA lawter Nabil Zidan said yesterday.

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