First Energy And Bulk eBLs Issued Over GSBN With COSCO Energy And COSCO Bulk

COSCO Energy and COSCO Bulk join GSBN as new members, expanding GSBN’s coverage across container, bulk, specialised cargo to energy transportation.

Global Shipping Business Network (GSBN), a neutral, not-for-profit consortium enabling efficient, paperless and sustainable growth in global trade with its data infrastructure and ecosystem of partners, announced that COSCO SHIPPING Energy Transportation Co., Ltd (“COSCO Energy”) and COSCO SHIPPING Bulk CO., Ltd (“COSCO Bulk”) have joined the consortium as members and successfully issued the first electronic bills of lading (eBL) for energy transportation and bulk shipments.

container, bulk, specialised cargo
Credits: GSBN

COSCO Energy is a company specialised in the shipment of energy including oil and natural gas. Its tanker fleet is the world’s largest by capacity, owning and controlling 155 tankers with a capacity of 22.74 million DWT. It is also investing in a Liquefied Natural Gas-powered fleet of 73 vessels with a capacity of 12.42 million cubic meters. COSCO Bulk is the largest professional bulk shipping corporation in the world with more than 400 various types of bulk carriers and nearly 40 million DWT, loading iron ore, coal, grain, and other bulk cargos.

Traditionally, both bulk and energy shipments have relied heavily on letters of indemnity (LOIs) as proof of shipment ownership to authorise cargo release to the consignee in the absence of an original bill of lading. However, the usage of LOI is not without risk for Carriers as cases of misdelivery using LOI are common. In 2022, the Miracle Hope case which carried a US$80 million claim, highlighted the importance of safe discharge without a LOI.

Following the completion of its digital platform integration with IQAX’s eBL application built on GSBN’s blockchain infrastructure, COSCO Bulk and COSCO Energy have now embraced the platform to connect with stakeholders across the value chain and significantly improve the security and consistency of the title transfer with immutable records.

As part of this, COSCO Bulk issued its first eBL for Yancoal, an Australian-based coal producer, connecting the entire business chain including banks, traders, miners and end-users. COSCO Energy also issued the first eBL for 30,000 tons of domestic trade marine oil for the shipment of China National Offshore Oil Corporation this month. The bill of lading was confirmed by the upstream and downstream parties and returned to the carrier to complete the release.

The extended coverage of eBL to cover all types of cargo is also expected to empower banks to provide a wider range of trade finance services to the industry.

Bertrand Chen, CEO of GSBN said, “Our goal has always been to develop GSBN into a platform that can support the full spectrum of shipping. This announcement therefore represents a significant milestone for the consortium and the digitisation journey for the industry. The successful issuance of eBLs for bulk cargo and energy shipment will also unlock greater trade finance for the industry as banks want a single point to interface with all types of eBLs and trusted shipping data, especially for high value cargo such as bulk and energy transportation.”

COSCO Energy said, “For large value and high risk of oil tanker transportation, an eBL based on blockchain technology substantially improves the efficiency of document circulation, reduces logistics cost and commercial risk. It also guarantees the authenticity, security and uniqueness of the bill of lading, while promoting decarbonisation in line with ESG practices.”

COSCO Bulk said, “This blockchain-based eBL transaction marks a breakthrough for our business, it’s the first time connecting all the stakeholders across the trade finance value chain. Harnessing the power of GSBN’s blockchain infrastructure, we can offer a more efficient, trust and secured solution for our customers globally.”

Press Release 

Disclaimer :
The information contained in this website is for general information purposes only. While we endeavour to keep the information up to date and correct, we make no representations or warranties of any kind, express or implied, about the completeness, accuracy, reliability, suitability or availability with respect to the website or the information, products, services, or related graphics contained on the website for any purpose. Any reliance you place on such information is therefore strictly at your own risk.

In no event will we be liable for any loss or damage including without limitation, indirect or consequential loss or damage, or any loss or damage whatsoever arising from loss of data or profits arising out of, or in connection with, the use of this website.

Do you have info to share with us ? Suggest a correction

About Author

Marine Insight News Network is a premier source for up-to-date, comprehensive, and insightful coverage of the maritime industry. Dedicated to offering the latest news, trends, and analyses in shipping, marine technology, regulations, and global maritime affairs, Marine Insight News Network prides itself on delivering accurate, engaging, and relevant information.

Latest Shipping News You Would Like:

Get the Latest Maritime News Delivered to Your Inbox!

Our free, fast, and fun newsletter on the global maritime industry, delivered everyday.

Leave a Reply

Your email address will not be published. Required fields are marked *