Govt gives 48-hour ultimatum to MSC Shipmanagement to begin oil extraction from MSC ELSA 3

Time of India

12-06-2025

MUMBAI:
The government has given a 48-hour ultimatum to
MSC Shipmanagement
Ltd to start work on extraction of oil from the sunken ship
MSC ELSA 3
off the coast of
Kerala
or face legal consequences for 'continued inaction and delay representing not only negligence but also a violation of statutory obligations' in the backdrop of imminent environmental and economic threat posed to the Indian coastline and its coastal communities.
The
oil extraction
work was slated to start around June 5 but has not even begun, the Director General of Shipping, Shyam Jagannathan, wrote in a June 11 notice issued to MSC Shipmanagement, the Cyprus-based ship management unit of Mediterranean Shipping Company, S.A., the world's biggest container shipping line and the operator of MSC ELSA 3.
Voicing increasing concern on the progress made in salvage and emergency response operations of the sunken container ship, the
D G Shipping
said that it was 'grossly inadequate and continues to fall short of the timelines and operational commitments previously provided by the salvors (T&T Salvage) and the owner of the ship'.
Despite repeated instructions and coordination meetings, the response from the salvors has been 'consistently delayed and insufficient', the country's maritime regulator said.
'The lack of prompt action has resulted in a continued and serious risk to the marine environment and coastline of India, particularly affecting the coastal regions of Kerala. The region's local communities, which heavily rely on fishing for their livelihoods, have already suffered extensive loss of work and income due to the prolonged presence of the sunken vessel, floating debris, oil sheen, and ongoing pollution risk,' Jagannathan wrote in the notice.
The ship was carrying 367.1 metric tonnes of very low sulphur fuel oil and 84.4 metric tonnes of diesel in its tanks when it capsized and sank on May 25.
Recalling that salvors were clearly advised to mobilise necessary assets required for diving and oil recovery operations as early as the first day of the incident, the D G Shipping noted that the Diving Support Vessel (DSV) and necessary diving assets were not mobilised until after May 30.
'This initial delay set back the entire timeline for the operation. Even the tug assets hired by the owners arrived on scene only after June 1, with no prior deployment initiated by the salvors,' he told MSC Shipmanagement.
While it was abundantly clear considering the depth of the water (51 meters) that saturation diving was required for the extraction of oil from the vessel, the salvors have, to date, been able to conduct only limited air diving operations, which are inadequate for the extraction of oil from the tanks of the sunken vessel.
'The timeline provided for these operations has been grossly violated. Capping of vents, which was scheduled for completion earlier this month, is still being conducted at present. The extraction of oil, originally scheduled to commence around June 5, 2025, has not even begun as of this date,' Jagannathan pointed out.
The delay, Jagannathan wrote, is 'even more unacceptable' considering that the western coast of India, including Kerala, is entering its monsoon season - a period during which offshore
salvage operations
become highly unsafe or entirely unfeasible due to harsh weather conditions. 'The salvage operation was provided a short weather window to conduct these critical activities, and that window has now largely been lost as a direct consequence of the salvors' failure to timely deploy assets and personnel,' he said.
The salvors had committed to arrange expert saturation divers and a team for the specialised equipment from 11 countries. The Directorate General of Shipping (DGS), to assist the salvors, had written directly to the Indian Embassies and High Commissions in these countries to expedite visa clearances.
'Yet, it has come to light that several visa applications were not even filed by the salvors, resulting in continued non-availability of the saturation divers even at this stage,' the D G Shipping stated.
'This consistent inaction and delay represent not only negligence but also a violation of statutory obligations. Should the extraction of oil not commence within the next 48 hours, the government of India shall be left with no alternative but examine all avenues against the shipowners and salvors under applicable Indian legislation for the continuing threat posed to Indian waters and the coastal environment,' the D G Shipping told MSC Shipmanagement.
'Your actions (or lack thereof) may attract prosecution and penalties under the Merchant Shipping Act, 1958; Environment (Protection) Act 1986; Bharatiya Nyaya Sanhita, 2023; Disaster Management Act, 2005, and any other applicable provisions under Indian maritime safety, environmental protection, and disaster management laws,' Jagannathan wrote in the notice.
'Any further delay beyond the specified period will be treated as wilful and deliberate noncompliance, and the government shall proceed to exercise its full legal rights and remedies without further reference,' he added.