In March, the Thai bulk carrier Mayuree Naree was struck by two projectiles shortly after leaving the Arabian Gulf and passing through the Strait of Hormuz. Three crew members were killed, and the vessel was subsequently declared a constructive total loss. The case has now seen further developments: shipowner Precious Shipping has received a USD 10.98 million war-risk insurance payout, while three surviving crew members have filed a lawsuit against the company and other parties. The impact of the incident has extended beyond the attack itself to insurance, crew rights, and responsibility for navigational decisions.

Key Highlights 

• Three crew members killed: Mayuree Naree caught fire after being struck by two projectiles, resulting in three fatalities. 

• USD 10.98 million insurance payout: The payout covers losses related to the vessel and statutory compensation for the crew. 

• Constructive total loss: The vessel later ran aground near Iran’s Qeshm Island and was ultimately withdrawn from service. 

• Three survivors file lawsuit: The claimants allege that the company sent the vessel through the Strait of Hormuz during a period of regional conflict. 

• Seventeen crew members return to work: Of the 20 rescued crew members, 17 have returned to work, while the other three are pursuing legal action.

How Did the Attack Lead to a Constructive Total Loss?

On March 11, Mayuree Naree was sailing from the United Arab Emirates to Deendayal Port in India. Shortly after passing through the Strait of Hormuz, the vessel was struck by two projectiles, causing a fire and severe damage to the engine room. There were 23 crew members on board at the time. Twenty were rescued and evacuated to Oman, while the other three were believed to be trapped in the engine room and were later confirmed dead.

The handling of the vessel continued after the attack. On March 27, it ran aground near Iran’s Qeshm Island and was subsequently unable to resume normal operations. It was ultimately declared a constructive total loss, moving the case into the insurance claims and asset disposal stage.

What Does the USD 10.98 Million War-Risk Insurance Payout Cover?

Precious Shipping recently disclosed that it had received approximately USD 10.98 million in war-risk insurance proceeds. The payout does not relate solely to the value of the vessel but also covers losses involving Mayuree Naree and statutory compensation for the crew. The company also reported approximately USD 1.26 million in expenses arising from the incident.

According to publicly available information, the vessel was insured for USD 9.5 million. The war-risk insurer plans to dispose of the vessel on an “as is, where is” basis, with the proceeds from the sale to be retained by the insurer. The case shows that the financial impact of an incident in a high-risk area can extend beyond the loss of the vessel itself.

Why Did a Lawsuit Follow the Insurance Payout?

On July 10, three surviving crew members—Panithi Tumkaew, Noppadon Wongsuvan, and Suradech Manpuen—filed a lawsuit with the Central Labour Court in Bangkok. The defendants include Precious Shipping, two affiliated companies, and the vessel’s master.

The claimants allege that the company was negligent in sending Mayuree Naree through the Strait of Hormuz during a period of regional conflict. This remains an allegation by the claimants and does not represent a final determination of liability by the court.

Precious Shipping stated that it had operated in accordance with applicable laws, contractual obligations, and internationally recognized maritime practices, and that it would contest the claims. Of the 20 rescued crew members, 17 have returned to work, while the other three are pursuing legal action.

Why Has Another Vessel Not Yet Left the Gulf?

The Mayuree Naree incident is not the only navigational risk currently facing Precious Shipping. Another bulk carrier operated by the company, Hatthaya Naree, remains in the Gulf region.

The vessel previously completed a charter in Hamriyah, the United Arab Emirates, and entered into a new charter contract on June 24. However, because of continuing security risks in the Strait of Hormuz, it has not yet left the Gulf and is waiting for conditions to allow it to resume sailing.

How Are the Risks Affecting Global Freight Forwarders?

The situations involving the two vessels show that the risks in the Strait of Hormuz extend beyond the possibility of an attack. If navigational security deteriorates, vessels may face prolonged delays or diversions, while war-risk insurance, charter-party obligations, and crew safety may generate additional costs and operational risks.

Freight forwarders handling shipments involving the Gulf region need to monitor more than whether carriers are maintaining their services. Changes to sailing schedules, vessel delays, insurance costs, and delivery times also require close attention. Cargo with strict delivery requirements may be particularly exposed to potential delays and should be assessed in advance.

A single maritime attack can affect an entire supply chain. From vessel safety and insurance payouts to crew litigation and charter-party performance, risks may spread across different stages of transportation. Whether stable navigation can be maintained through the Strait of Hormuz will continue to affect shipping in the Gulf region and transportation planning across global supply chains.

Sources 

Precious Shipping and Seatrade Maritime 

Disclaimer

This article is based on publicly available information and is provided solely for reference within the international logistics industry. The litigation-related statements in this article reflect the claimants’ allegations and do not constitute a final determination of liability concerning any company or individual.