Refiner Grey Rock Gathering & Marketing and Connecticut-based shipowner Alf Aanonsen are locked in a legal fight after a tanker charter deal fell apart.

Houston-based Grey Rock has filed a lawsuit in Texas against Aanonsen-controlled operator Trinity Tankers and shipowner Trinity Enterprise seeking nearly $4.84m on allegations that it chartered vessels that were never provided.

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But Aanonsen told TradeWinds that his Trinity Enterprises plans to fire back with a $7.5m lawsuit of its own alleging that Grey Rock turned away a vessel that it had previously confirmed.

Grey Rock, which has a Louisiana refinery and oil storage facilities on the US Gulf Coast, alleged that failing to provide the vessels was a breach of the contract and of the Texas Deceptive Trade Practices Act.

According to legal papers filed by Grey Rock’s lawyers at law firm Phelps Dunbar, Grey Rock struck a charter deal that would see Trinity Enterprise provide five to eight tankers with a minimum of 60,000 tonnes of cargo capacity. The deal was arranged by charter broker Dietze & Associates.

Starting in December, the ships would carry fuel oil cargoes from Texas to Europe.

But Grey Rock alleged that Trinity failed to provide the refiner with 10 days notice naming a tanker that would arrive to load the cargo or to provide a qualifying vessel.

Time was ‘of the essence’

“The timeliness of nominations and the provision of compliant vessels were crucial components of the charterparty as Grey Rock must fulfil its own contractual obligations to customers/buyers of its fuel oil,” wrote Phelps Dunbar lawyer Michael Orlando in the case before the US federal court in Houston.

“If Trinity breaches its obligations to Grey Rock, Grey Rock is then in danger of breaching its obligations to its customers/buyers. Time was always of the essence.”

Grey Rock vs Trinity Tankers

Plaintiff: Grey Rock Gathering and Marketing

Defendants: Trinity Tankers and Trinity Enterprise

Court: US District Court for the Southern District of Texas, Houston Division

Case number: 4:23-cv-01448

Judge: District Judge Lee Rosenthal

Law firm: Phelps Dunbar (for Grey Rock)

Grey Rock claimed that it had to charter a replacement vessel at a cost of nearly $2.07m.

The two sides then amended the charter at lower rates, but a Grey Rock alleged that for January and March liftings, no vessel was provided. Grey Rock then terminated the charter deal.

But Aanonsen, a Norwegian who is well known in Connecticut shipping circles, said Anguilla-registered Trinity Enterprise has not been served with any lawsuit.

Court records show that papers were served on his Trinity Tankers, but he said the tanker operating company had nothing to do with the deal, which he described as a contract of affreightment.

But if Trinity Enterprise is served with a lawsuit, the shipowner will lodge a counterclaim against Grey Rock for a vessel that the refiner confirmed but walked away from, Aanonsen said.

“Trinity Enterprise Ltd nominated a vessel to Grey Rock for a contract obligation. Grey Rock confirmed it and accepted it. Then later on we found out they chartered in another ship,” he told TradeWinds.

“If and when Grey Rock is going to sue the proper party, which is Trinity Enterprise, then they will present with a claim of $7.5m. If Grey Rock cancel the contract, Trinity Enterprise Ltd will claim another $10m to $15m for breach of contract.”

Grey Rock did not immediately respond to a request for comment on the threat of a counterclaim. In court papers, the company said correspondence over the charter was with Connecticut-based Trinity Tankers, even though Trinity Enterprise was the counterparty on the contract.

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