Common use of Fuel Consumption Clause in Contracts

Fuel Consumption. (a) The Original Contract Price of the VESSEL shall not be affected nor changed if the actual fuel consumption of the Main Engine, as determined by shop trial in manufacturer's works as per the Specifications, is greater than the Guaranteed Fuel Date: 13th November, 2013 Consumption as specified and required under the provisions of this Contract and the Specifications, if such actual excess is equal to or less than five percent (5%). (b) However, if the actual fuel consumption as determined by shop trial is greater than five percent (5%) above the Guaranteed Fuel Consumption, then the Original Contract Price shall be reduced by the sum of United States Dollars Fifty Thousand only (USD50,000.00) for each one percent (1%) increase in fuel consumption in excess of the above said five percent (5%) (fractions of each one percent to be prorated). (c) If as determined by shop trial such actual fuel consumption of the Main Engine is more than ten percent (10%) in excess of the Guaranteed Fuel Consumption including permissible margin, the BUYER may, subject to the SELLER’s right to effect alterations or corrections, at its option, reject the VESSEL and rescind this Contract, in accordance with the provisions of ARTICLE X of this Contract, or may accept the VESSEL at a reduction in the Original Contract Price in the maximum amount of United States Dollars Two Hundred and Fifty Thousand Only (USD 250,000.00).

Fuel Consumption. (a) The Original Contract Price of the VESSEL shall not be affected nor changed if the actual fuel consumption of the Main Engine, as determined by shop trial in manufacturer's works as per the Specifications, is greater than the Guaranteed Fuel Date: 13th November, 2013 Consumption as specified and required under the provisions of this Contract and the Specifications, if such actual excess is equal to or less than five percent (5%). (b) However, if the actual fuel consumption as determined by shop trial is greater than five percent (5%) above the Guaranteed Fuel Consumption, then the Original Contract Price shall be reduced by the sum of United States Dollars Fifty Thousand only (USD50,000.00) for each one percent (1%) increase in fuel consumption in Date: 13th November, 2013 excess of the above said five percent (5%) (fractions of each one percent to be prorated). (c) If as determined by shop trial such actual fuel consumption of the Main Engine is more than ten percent (10%) in excess of the Guaranteed Fuel Consumption including permissible margin, the BUYER may, subject to the SELLER’s right to effect alterations or corrections, at its option, reject the VESSEL and rescind this Contract, in accordance with the provisions of ARTICLE X of this Contract, or may accept the VESSEL at a reduction in the Original Contract Price in the maximum amount of United States Dollars Two Hundred and Fifty Thousand Only (USD 250,000.00).

Fuel Consumption. (a) The Original Contract Price of the VESSEL shall not be affected nor changed if the actual fuel consumption of the Main Engine, as determined by shop trial in manufacturer's works as per the Specifications, is greater than the Guaranteed Fuel Date: 13th November, 2013 Consumption as specified and required under the provisions of this Contract and the Specifications, if such actual excess is equal to or less than five percent (5%). (b) However, if the actual fuel consumption as determined by shop trial is greater than five percent (5%) above the Guaranteed Fuel Consumption, then the Original Date: 13th November, 2013 Contract Price shall be reduced by the sum of United States Dollars Fifty Thousand only (USD50,000.00) for each one percent (1%) increase in fuel consumption in excess of the above said five percent (5%) (fractions of each one percent to be prorated). (c) If as determined by shop trial such actual fuel consumption of the Main Engine is more than ten percent (10%) in excess of the Guaranteed Fuel Consumption including permissible margin, the BUYER may, subject to the SELLER’s right to effect alterations or corrections, at its option, reject the VESSEL and rescind this Contract, in accordance with the provisions of ARTICLE X of this Contract, or may accept the VESSEL at a reduction in the Original Contract Price in the maximum amount of United States Dollars Two Hundred and Fifty Thousand Only (USD 250,000.00).