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ARTICLE · 08 MAY 2017

General Average In Offshore Construction Projects: Salient Lessons

Clyde & Co
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The recent Federal Court of Australia decision of Offshore Marine Services Alliance Pty Ltd v Leighton Contractors Pty Ltd [2017] FCA 333 provides some salient lessons for parties involved...

AustraliaEnergy and Natural Resources
Maurice Thompson
Maurice Thompson
James M Cooper
James M Cooper
Joel Cockerell
Joel Cockerell
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The recent Federal Court of Australia decision of Offshore Marine Services Alliance Pty Ltd v Leighton Contractors Pty Ltd [2017] FCA 333 provides some salient lessons for parties involved in transporting project cargo associated with offshore oil & gas projects by sea and the impact of a general average event.

Background

The respondents in this proceeding were involved with the construction of the Barrow Island LNG Plant as part of the Gorgon Project in Western Australia (the Project), and had signed contracts with Chevron Australia Pty Ltd (Chevron) in that regard. The applicant, Offshore Marine Services Alliance Pty Ltd (OMSA), had a contract with Chevron for the provision of various services, including the supply of tugs and barges for the transportation of project cargo to Barrow Island.

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