Contract analysis

1. Executive Summary Calderwood & Harkness LLP ("C&H") was formally engaged by Thalassa Shipping & Logistics SA on 12 September 2024 to lead and coordinate the multi-jurisdictional enforcement of the Final Award dated 28 June 2024 (the "Award") issued by the tribunal constituted under the auspices of the London Court of International Arbitration ("LCIA") in LCIA Arbitration No. 224718, in favour of TSL and against KM

2. Background: The Award For the avoidance of doubt, and for the benefit of this report as a standalone reference document, we set out below a brief summary of the underlying dispute and the Award. 2.1 The Underlying Dispute The dispute between TSL and KMH arises out of three time charter-party agreements entered into between the parties between 2019 and 2021 for the employment of three dry bulk carrier vessels in TS

3. Enforcement Proceedings: England & Wales England is the jurisdiction of the seat of arbitration and therefore represents the primary enforcement jurisdiction. It is also the jurisdiction in which any challenge to the validity of the Award must be brought. We summarize below the current status of all English proceedings. 3.1 Application to Enforce Under Section 66 of the Arbitration Act 1996 An application for perm

4. Enforcement Proceedings: Cyprus Cyprus is of particular strategic importance in the enforcement campaign because KMH is incorporated in that jurisdiction and holds significant assets there, including its shareholding in the intermediate holding company, Oceangate Ventures Ltd. 4.1 Application for Recognition and Enforcement Kyprianos Makrides & Partners ("KM&P") (Andreas Kyprianos, Senior Partner; Nadia Makrides,

5. Enforcement Proceedings: Singapore Singapore is a critical jurisdiction in the enforcement campaign because KMH operates a Singapore subsidiary that owns one of the three vessels the subject of the underlying dispute, and because of the availability of highly effective admiralty arrest and garnishment mechanisms under Singapore law. 5.1 Application for Leave to Enforce Straits Meridian LLP ("SM") (David Teo Wei Li

6. Enforcement Proceedings: United Arab Emirates The United Arab Emirates is relevant to the enforcement campaign because KMH operates a Dubai-based subsidiary, Korinthian DMCC, through which operational funds and sub-charter receivables are processed. 6.1 Application for Enforcement Al-Rashid Hatem & Associates ("ARH") (Tariq Al-Rashid, Managing Partner; Leila Hatem, Partner, Dispute Resolution) were instructed by C

7. Asset Tracing and Forensic Work A critical component of the enforcement strategy is the comprehensive global asset tracing and forensic analysis being conducted by Hartwell Pemberton LLP ("HP"), a specialist forensic investigations firm with extensive experience in multi-jurisdictional asset tracing in the maritime and international trade sectors. HP was formally engaged by C&H on behalf of TSL to conduct global a

8. Respondent's Position and Anticipated Defenses KMH, acting through its legal advisors in multiple jurisdictions — Harkness Whitford & Co. in England and Vassiliadis & Economou LLC in Cyprus — is actively resisting enforcement. While no opposition has yet been filed in Singapore or the UAE, we anticipate that KMH will seek to resist enforcement in all jurisdictions to the extent possible. The current status of KMH'

9. Coordination with Local Counsel A distinguishing feature of this enforcement campaign is its simultaneous pursuit across four jurisdictions, which requires careful coordination to ensure that progress is maintained on all fronts, that court orders and evidence are shared efficiently, and that the risk of double recovery is managed. C&H is serving as the central coordinating counsel for all enforcement activity. We

10. Financial Summary 10.1 Amounts Due The following table sets out the total amounts due from KMH to TSL under the Award, inclusive of post-award interest accrued to the date of this report: Post-award interest will continue to accrue at the rate specified in the Award until payment in full. The interest calculation has been verified by C&H and will be updated in each subsequent Bi-Weekly Status Report. 10.2 Amounts

11. Key Upcoming Milestones and Next Steps The following table sets out the key milestones and action items for the period ahead: C&H will provide detailed updates on each of these milestones in our next Bi-Weekly Status Report, scheduled for delivery on or about 11 October 2024.

12. Risk Factors While we are pleased with the progress achieved to date and remain confident in the overall enforcement strategy, we consider it important to draw TSL's attention to the following risk factors that may affect the enforcement campaign: (a) KMH set-aside application in England (Sections 68 and 69, Arbitration Act 1996). As assessed in Section 3.4, we consider the risk of the Award being set aside to be

13. Recommendations Based on the current status of the enforcement campaign and the analysis set out in this report, C&H makes the following recommendations for TSL's consideration:

1. Continue simultaneous enforcement in all four jurisdictions without pause. The multi-jurisdictional approach is placing maximum pressure on KMH and is the most effective strategy for achieving rapid and substantial recovery. Any suspension or delay in one jurisdiction would reduce the overall pressure on KMH and risk allowing further dissipation.

2. Pursue the final TPDO hearing aggressively. The hearing on 3 October 2024 represents the first and most immediate opportunity for a significant recovery. C&H will attend the hearing and seek to make the interim order absolute, resulting in the immediate transfer of funds from Meridian Trust Bank Ltd. to TSL.

3. File robust opposition to KMH's set-aside application and seek indemnity costs upon dismissal. The set-aside application is without merit and appears to have been filed for the improper purpose of delaying enforcement. C&H will prepare and file a comprehensive skeleton argument in opposition and will seek indemnity costs against KMH when the application is dismissed.

4. Instruct Northcape Maritime Advisory to complete the valuation of M/V *Crimson Horizon* promptly. The independent valuation is a prerequisite for any application for judicial sale of the arrested vessel. Having the valuation in hand will enable SM to proceed without delay if KMH fails to post security.

5. Continue monitoring the position of M/V *Volga Spirit* via maritime tracking for arrest opportunities. The vessel is a significant asset and its arrest would both add to recovery and place further pressure on KMH. C&H and HP will continue monitoring AIS data and will instruct local counsel immediately if the vessel enters an enforcement-friendly jurisdiction.

6. Obtain the updated HP asset tracing report and assess any newly identified assets. The updated report, expected in early October 2024, will be critical to identifying additional targets for enforcement and to assessing the adequacy of KMH's asset disclosure under the WFO.

7. Consider a structured "without prejudice save as to costs" settlement approach after achieving initial recoveries. Once TSL has secured the initial recovery from Meridian Trust Bank Ltd. and has the enforcement pressure of the Singapore arrest and the cross-border freezing orders to leverage, it may be strategically advantageous to make a calibrated settlement approach to KMH on a "without prejudice save as to cos

14. Enclosures / Appendices The following appendices are enclosed with this report: Appendix A: Schedule of all enforcement applications filed and orders obtained to date, organized by jurisdiction, including court references, filing dates, order dates, and current status. Appendix B: Multi-jurisdictional recovery tracker, showing the current status of all enforcement proceedings, amounts frozen or attached in each j

15. Contact and Reporting The next Bi-Weekly Status Report (#2) will be delivered on or about 11 October 2024, covering the reporting period from 28 September to 11 October 2024. That report will include an update on the outcome of the final TPDO hearing (3 October 2024) and any other material developments in the interim. Any urgent developments — including the grant or refusal of court orders, vessel movements, sett