Common use of Fuel Consumption Clause in Contracts

Fuel Consumption. (a) The Contract Price shall not be affected or changed by reason of the actual specific fuel consumption of the Vessel’s main engine, as determined by a shop trial of the engine manufacturer according to the Specifications, exceeding the guaranteed specific fuel consumption of the Vessel’s main engine, if such excess is not more than five percent (5%) of the guaranteed specific fuel consumption in the conditions as set out in the Specifications. (b) If the actual specific fuel consumption exceeds five percent (5%) over the guaranteed specific fuel consumption of the Vessel’s main engine, the Contract Price shall be reduced by the sum of United States Dollars One Hundred Twenty Thousand only (USD120,000.-) for each full one percent (1%) increase in specific fuel consumption above said five percent (5%), fractions of less than 1% shall be regarded as a full one percent (1%), up to a maximum of nine percent (9%) above the guaranteed specific fuel consumption of the Vessel’s main engine. (c) If the actual specific fuel consumption exceeds nine percent (9%) above the guaranteed specific fuel consumption of the Vessel’s main engine, Buyer may, at its option and subject to the Builder’s right to effect alterations or corrections as specified in ARTICLE V of the Contract, reject the Vessel in accordance with Article VI.4 and terminate this Contract in accordance with the provisions of Article X, or accept the Vessel with a total reduction in the Contract Price of United States Dollars Four Hundred Eighty Thousand only (USD480,000.-).

Fuel Consumption. (a) The Contract Price shall not be affected or changed by reason of the actual specific fuel consumption of the VesselVESSEL’s main engine, as determined by a shop trial of the engine manufacturer according to as per the Specifications, exceeding being more than the guaranteed specific fuel consumption Guaranteed Fuel Consumption of the VesselVESSEL’s main engineengine specified and required under Paragraph 3(d) of Article I of this Contract (hereinafter called the “Guaranteed Fuel Consumption”), if such excess is not more than five percent (5%) of over the guaranteed specific fuel consumption in the conditions as set out in the SpecificationsGuaranteed Fuel Consumption. (b) If In the event, however, that actual specific fuel consumption of the VESSEL’s main engine as determined by the shop trial as specified in the Specifications exceeds five percent (5%) over the guaranteed specific fuel consumption Guaranteed Fuel Consumption of the Vessel’s main engine, the Contract Price shall be reduced by the sum of United States Dollars One Hundred Twenty Forty Thousand (U.S.$40,000.-) only (USD120,000.-) for each full one percent (1%) increase in specific fuel consumption above said five percent (5%), ) (fractions of less than 1% shall be regarded as a full one percent (1%) to be disregarded), up to a maximum of nine eight percent (98%) above over the guaranteed specific fuel consumption Guaranteed Fuel Consumption of the Vessel’s main engine. (c) If the such actual specific fuel consumption exceeds nine percent (9%) above the guaranteed specific fuel consumption of the VesselVESSEL’s main engineengine as determined by the shop trial as specified in the Specifications exceeds eight percent (8%) of the Guaranteed Fuel Consumption, Buyer the BUYER may, at its option and subject to the Builder’s right to effect alterations or corrections as specified in ARTICLE V of the Contractoption, reject the Vessel in accordance with Article VI.4 VESSEL and terminate rescind this Contract in accordance with the provisions of Article XX hereof, or may accept the Vessel with VESSEL at a total reduction in the Contract Price as above specified for eight percent (8%) only, that is, at a total reduction of United States Dollars Four One Hundred Eighty and Twenty Thousand only (USD480,000.-)U.S.$120,000.-) only.

Fuel Consumption. (a) The Contract Price shall not be affected or changed by reason of the actual specific fuel consumption of the VesselVESSEL’s main engine, as determined by a shop trial of the engine manufacturer according to as per the Specifications, exceeding being more than the guaranteed specific fuel consumption Guaranteed Fuel Consumption of the VesselVESSEL’s main engineengine specified and required under Paragraph 3(d) of Article I of this Contract (hereinafter called the “Guaranteed Fuel Consumption”), if such excess is not more than five percent (5%) of over the guaranteed specific fuel consumption in the conditions as set out in the SpecificationsGuaranteed Fuel Consumption. (b) If the actual specific However, if such fuel consumption of the VESSEL’s main engine as determined by the shop trial as specified in the Specifications exceeds five percent (5%) over the guaranteed specific fuel consumption Guaranteed Fuel Consumption of the Vessel’s main engine, the Contract Price shall be reduced by the sum of United States Dollars One Hundred Twenty Thousand only (USD120,000.-) for each full one percent (1%) increase in specific fuel consumption above said five percent (5%), ) (fractions of less than 1% shall be regarded as a full one percent (1%) to be disregarded), up to a maximum of nine ten percent (910%) above over the guaranteed specific fuel consumption Guaranteed Fuel Consumption of the Vessel’s main engine. (c) If the such actual specific fuel consumption exceeds nine percent (9%) above the guaranteed specific fuel consumption of the VesselVESSEL’s main engineengine as determined by the shop trial as specified in the Specifications exceeds ten percent (10%) of the Guaranteed Fuel Consumption, Buyer the BUYER may, at its option and subject to the Builder’s right to effect alterations or corrections as specified in ARTICLE V of the Contractoption, reject the Vessel in accordance with Article VI.4 VESSEL and terminate rescind this Contract in accordance with the provisions of Article XX hereof, or may accept the Vessel with VESSEL at a total reduction in the Contract Price as above specified for ten percent (10%) only, that is, at a total reduction of United States Dollars Four Hundred Eighty Thousand only (USD480,000.-).

Fuel Consumption. (a) The Contract Price shall not be affected or changed by reason of the actual specific fuel consumption of the VesselVESSEL’s main engine, as determined by a shop trial of the engine manufacturer according to as per the Specifications, exceeding being more than the guaranteed specific fuel consumption Guaranteed Fuel Consumption of the VesselVESSEL’s main engineengine specified and required under Paragraph 3(d) of Article I of this Contract (hereinafter called the “Guaranteed Fuel Consumption”), if such excess is not more than five percent (5%) of over the guaranteed specific fuel consumption in the conditions as set out in the SpecificationsGuaranteed Fuel Consumption. (b) If the actual specific However, if such fuel consumption of the VESSEL’s main engine as determined by the shop trial as specified in the Specifications exceeds five percent (5%) over the guaranteed specific fuel consumption Guaranteed Fuel Consumption of the Vessel’s main engine, the Contract Price shall be reduced by the sum of United States Dollars One Hundred Twenty Thousand only (USD120,000.-U.S.$ ) only for each full one percent (1%) increase in specific fuel consumption above said five percent (5%), ) (fractions of less than 1% shall be regarded as a full one percent (1%) to be disregarded), up to a maximum of nine ten percent (910%) above over the guaranteed specific fuel consumption Guaranteed Fuel Consumption of the Vessel’s main engine. (c) If the such actual specific fuel consumption exceeds nine percent (9%) above the guaranteed specific fuel consumption of the VesselVESSEL’s main engineengine as determined by the shop trial as specified in the Specifications exceeds ten percent (10%) of the Guaranteed Fuel Consumption, Buyer the BUYER may, at its option and subject to the Builder’s right to effect alterations or corrections as specified in ARTICLE V of the Contractoption, reject the Vessel in accordance with Article VI.4 VESSEL and terminate rescind this Contract in accordance with the provisions of Article XX hereof, or may accept the Vessel with VESSEL at a total reduction in the Contract Price as above specified for ten percent (10%) only, that is, at a total reduction of United States Dollars Four Hundred Eighty Thousand only (USD480,000.-)only.

Fuel Consumption. (a) The Contract Price shall not be affected or changed by reason of the actual specific fuel consumption of the Vessel’s main engine, as determined by a shop trial of the engine manufacturer according to the Specifications, exceeding the guaranteed specific fuel consumption of the Vessel’s main engine, if such excess is not more than five percent (5%) of the guaranteed specific fuel consumption in the conditions as set out in the Specifications. (b) If the actual specific fuel consumption exceeds five percent (5%) over the guaranteed specific fuel consumption of the Vessel’s main engine, the Contract Price shall be reduced by the sum of United States Dollars One Hundred Twenty Thousand only (USD120,000.-) for each full one percent (1%) increase in specific fuel consumption above said five percent (5%), fractions of less than 1% shall be regarded as a full one percent (1%), up to a maximum of nine percent (9%) above the guaranteed specific fuel consumption of the Vessel’s main engine. (c) If the actual specific fuel consumption exceeds nine percent (9%) above the guaranteed specific fuel consumption of the Vessel’s main engine, Buyer may, at its option and subject to the Builder’s right to effect alterations or corrections as specified in ARTICLE V of the Contract, reject the Vessel in accordance with Article VI.4 and terminate this Contract in accordance with the provisions of Article X, or accept the Vessel with a total reduction in the Contract Price of United States Dollars Four Hundred Eighty Thousand only (USD480,000.-).