Suriname May Face a Fine of Millions Due to Breach of Contract by N.V. Havenbeheer

“Is it true that the fine could amount to at least USD 150,000 per week, plus indirect costs that the company would incur to divert to another port, and delay costs of USD 50,000 per 24 hours?” asked DNA member Rabin Parmessar on Thursday in parliament during the budget debate regarding the contract that N.V. Havenbeheer entered into with Medserv International Limited for the delivery of a port facility.

According to Parmessar, that contract contains strict requirements regarding the timely and full provision of port facilities, including a pier with a capacity of 20 metric tons per square meter. In addition, substantial penalty clauses would apply in the event of late delivery or breach of contract. He demanded that the government provide clarification to Parliament regarding this agreement.

“Is it true that the project must be completed no later than December 21, 2026? Was a public bidding process conducted? Is there a preferential treatment policy for our local Surinamese companies, given our specific circumstances? Did that tender process result in a lawful and justified award of the contract? Is the project on schedule, or is there a significant delay in its implementation? If the project is not on schedule: is the imposition of penalties inevitable, or is there even a risk that a claim for breach of contract will be filed? “What are the contractual consequences if a claim for breach of contract is filed?” asked the NDP’s party leader.

According to information he has received, the international party has apparently already decided, at least in part, to relocate to Commewijne, Dordt N.V., and an international construction company has already begun work in Commewijne. If this information is correct, there is a possibility that a substantial claim for damages will follow. “Who will be held responsible for this? What will the consequences be for those responsible? Is the government prepared for this?”

Parmessar emphasized that this is no minor operational matter and that it directly affects the credibility of the country as it prepares for oil and gas development. “If we say that Suriname must be ready by 2028, then our port facilities, tenders, contracts, planning, and risk management must be in order.”