Suez Canal Authority (SCA) chairman Osama Rabie indicated on Sunday that a $200m deposit could be enough to secure the release of Shoei Kisen Kaisha’s detained giant containership.
Reuters reported that Rabie, during a television interview on Sunday, said that the SCA could be willing to accept a reduced sum of $550m if an out of court settlement could be reached.
The SCA is holding the 20,388-teu Ever Given (built 2018) and its cargo in the Great Bitter Lake as it seeks a payout of $916m for damages and salvage costs stemming from the vessel’s March grounding that blocked the waterway for six days.
The $916m claim includes the costs of freeing the ship and a salvage bonus stipulated in maritime law, alleged material and reputational damage, and the diversion of some shipping away from the canal.
Shoei Kisen filed an appeal with a court in Ismailia on Saturday to have the claims against the vessel thrown out during Saturday’s hearing.
Ahmed Abu Ali, a member of the shipowners' legal team, told Reuters that the SCA had failed to prove any fault by the ship.
He claimed the SCA was at fault for allowing the ship to transit the waterway amid bad weather, and there had been disagreements at the time between SCA pilots and its control centre over whether it should enter the canal.
Abu Ali further claimed that the ship should have been accompanied by at least two tugs suitable for the ship's size, but this did not happen.
In addition, Abu Ali argued that the Ever Given's detention was legally flawed and that the work to release the ship was not "a salvage [operation] in the proper legal sense", meaning the SCA could not seek compensation for such an operation.
"This was one of the duties of the authority according to the traffic contract," he said.
The Ismailia court rejected Shoei Kisen’s appeal on Sunday, referring the case back to a court of first instance, which is due to consider it on 29 May.
There is a provision for Shoei Kisen to appeal the decision.
The SCA has steadfastly denied responsibility for the Ever Given's grounding, claiming that all responsibility lay with the ship's captain alone.
Although the SCA has kept an iron grip on the vessel, it has shown a willingness to negotiate the claim amount.
In early May, Rabie indicated he was prepared to reduce it to $600m.
Shoei Kisen executives were not immediately available for comment on Monday.
