Ever since: Egypt requests one billion dollars to release a ship that closed the Suez Canal Scientist

The success of the maneuver that ended The cargo ship Ever Giffin opened from the Suez Canal At the end of March it was celebrated all over the world. The story of the siege of one of the most important international trade routes has ended.

In reality, the problem is still far from a solution.

Reason? Egypt has decided that it will not release the ship until a fine of one billion dollars (5.7 billion Brazilian reals) is paid. As compensation for the damage caused during the week of blocking. The cargo ship of about 400 meters is currently anchored in the so-called Grande Lago Amargo, a salt lake located between the south and north of the Suez Canal.

“The ship will remain here until the investigation is completed and compensation is paid,” Osama Rabei, head of the Suez Canal Authority, told Egyptian television.

“We expect a speedy deal,” he added. Once they agree to compensation, the ship will be able to move. ”

Regarding the amount of compensation, Rabie said in early April that “damages and losses will be calculated and the amount that the dredging machines consumed.” “The estimate will reach one billion dollars, or maybe a little more. It is Egypt’s right.”

Osama Rabie, head of the Suez Canal Authority, said: “The ship will remain here until the investigation is completed and compensation is paid” – Photo: Getty Images / BBC

This value is calculated based on the lost canal usage fee after several other ships diverted the route, as they circled South Africa. Additionally, there are damage to the waterway during drainage, efforts to remove the cargo ship and costs of equipment and materials.

Choi Kisen, a Japanese company that owns Evergiven, said he had not yet received any formal complaints or legal action due to the blockade caused by the ship, but admitted that he was in “negotiations” with the canal authority.

Why did the ship run aground?

Osama Rabie’s comments come in the middle of an investigation looking for more clues about how Ever Geffen ended up on the canal bank.

The initial cause has been attributed to strong winds, but researchers must now check technical or human errors, a theory championed by the head of the ACS.

“The canal was not closed due to the bad weather,” Rabie said. He also denied that the enormous size of the ship was the reason, as “larger cargo ships” crossed this stretch.

Resumption of navigation in the Suez Canal after the ship’s separation

As one of the world’s major economic arteries – through which more than 12% of total trade passes – the Suez Canal stagnation has led to a series of economic consequences. That ended up affecting the pockets of millions of people.

Approximately 2 million barrels of oil and about 8% of LNG pass through the Suez Canal every day.

This had a strong impact on the price of these products.

In addition, it is estimated that more than 360 ships have been paralyzed in the canal, among cargo ships with containers and oil tankers.

How much did the siege of the Suez Canal cost?

According to Usama Rabie, the cargo ship delinquency had a major impact on this trade route, costing between $ 14 and $ 15 million (about 80 million Brazilian reals) for each day of embargo.

The canal is an important source of income for Egypt. Even before the pandemic, trade that passed through contributed 2% of the GDP According to Moody’s credit rating agency.