$300,000 Guarantee Secures Release of Ship Detained by Dangote

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The Federal High Court in Lagos has ordered the release of the oil tanker MT Stena Sunshine, which was allegedly detained without legal basis by Dangote Petroleum Refinery & Petrochemicals FZE, following the acceptance of a financial guarantee from the vessel’s owners.

In an interim ruling delivered by Justice Akintayo Aluko, the court directed that the vessel be freed once the owners submit a $300,000 Letter of Undertaking (LoU) from GARD Protection & Indemnity Club to secure any legitimate claims by Dangote Refinery.

The decision follows a lawsuit (FHC/L/CS/639/2025) filed by the vessel’s owners, who argued that the refinery’s actions constituted unlawful detention. The dispute arose from a March 14, 2025 incident, the specifics of which are expected to be detailed during substantive hearings.

While the court approved the vessel’s release, it declined the plaintiffs’ request for an injunction restraining Dangote and its agents from alleged harassment or interference. Justice Aluko noted that such matters would be addressed in the main trial.

In response to the suit, Dangote Refinery, along with Capt. Shivkumar Sherkhane and Rana Satendra, filed an 11-paragraph counter-affidavit opposing the release application.

Justice Aluko’s ruling instructed that the $300,000 guarantee be formally submitted to the court, after which the vessel should be immediately released.

The matter has been adjourned to May 27, 2025, for further hearing.

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