BCBC Singapore v PT Bayan Resources: Breach of Contract & Damages

In BCBC Singapore Pte Ltd and Binderless Coal Briquetting Company Pty Limited v PT Bayan Resources TBK and Bayan International Pte Ltd, the Singapore International Commercial Court, with Quentin Loh J, Vivian Ramsey IJ, and Anselmo Reyes IJ presiding, addressed the remitted issue of whether BCBC Singapore Pte Ltd (BCBCS) had the financial ability to fund KSC until the completion of commissioning and testing at the Tabang Plant or until June 2012. The court found that BCBCS had the financial ability to fund KSC until June 2012, based on the evidence presented during the Second Tranche.

1. Case Overview

1.1 Court

SINGAPORE INTERNATIONAL COMMERICAL COURT

1.2 Outcome

BCBCS had the financial ability to fund KSC until the completion of commissioning and testing at the Tabang Plant or until June 2012.

1.3 Case Type

Civil

1.4 Judgment Type

Judgment

1.5 Jurisdiction

Singapore

1.6 Description

The Singapore court addressed whether BCBC Singapore could fund KSC until June 2012, finding they had the financial ability. The case involves a breach of contract and damages.

1.7 Decision Date

2. Parties and Outcomes

Party NameRoleTypeOutcomeOutcome TypeCounsels
BCBC Singapore Pte LtdPlaintiffCorporationFinancial ability to fund KSC establishedWon
Binderless Coal Briquetting Company Pty LimitedPlaintiffCorporationFinancial ability to fund KSC establishedWon
PT Bayan Resources TBKDefendantCorporationLostLost
Bayan International Pte LtdDefendantCorporationLostLost

3. Judges

Judge NameTitleDelivered Judgment
Quentin LohJudgeYes
Vivian RamseyInternational JudgeNo
Anselmo ReyesInternational JudgeNo

4. Counsels

Counsel NameOrganization
Francis Xavier SCRajah & Tann LLP
Tng Sheng RongRajah & Tann LLP
Ang Tze PhernRajah & Tann LLP
Tee Su MienRajah & Tann LLP
Jeremy GanRajah & Tann LLP
Alina ChiaRajah & Tann LLP
Jaikanth ShankarDrew & Napier LLC
Jerrie TanDrew & Napier LLC
Davinder Singh SCDrew & Napier LLC
Tony YeoDrew & Napier LLC
Chan Yong WeiDrew & Napier LLC
Lydia NiDrew & Napier LLC
Harsharan KaurDrew & Napier LLC

4. Facts

  1. The Court of Appeal remitted the issue of BCBCS’s ability to fund KSC unilaterally.
  2. BCBCS is an indirect wholly-owned subsidiary of WEC, a publicly listed Australian company.
  3. WEC's financial statements showed significant cash reserves.
  4. Mr. Brian Flannery stated BCBCS was willing and prepared to fund KSC.
  5. The Defendants did not challenge Mr. Flannery on his statement that BCBCS would continue with the project until June 2012.

5. Formal Citations

  1. BCBC Singapore Pte Ltd and another v PT Bayan Resources TBK and another, Suit No 1 of 2015, [2019] SGHC(I) 01

6. Timeline

DateEvent
First Tranche Judgment issued
Second Tranche Judgment issued
Hearing date
Hearing date
Hearing date
Hearing date
Judgment reserved
Judgment date
Court of Appeal’s Judgment on the Defendants’ appeal
Defendants’ repudiatory breach

7. Legal Issues

  1. Ability to fund KSC unilaterally
    • Outcome: The court found that BCBCS had the financial ability to fund KSC until the completion of commissioning and testing at the Tabang Plant or until June 2012.
    • Category: Substantive

8. Remedies Sought

  1. Damages

9. Cause of Actions

  • Breach of Contract

10. Practice Areas

  • Commercial Litigation

11. Industries

  • Coal Mining

12. Cited Cases

Case NameCourtAffirmedCitationJurisdictionSignificance
BCBC Singapore Pte Ltd and another v PT Bayan Resources TBK and anotherSingapore International Commercial CourtYes[2016] 4 SLR 1SingaporeRefers to the First Tranche Judgment of the case, setting out the facts.
BCBC Singapore Pte Ltd and another v PT Bayan Resources TBK and anotherSingapore International Commercial CourtYes[2017] 5 SLR 77SingaporeRefers to the Second Tranche Judgment of the case.
PT Bayan Resources TBK and another v BCBC Singapore Pte Ltd and anotherCourt of AppealYes[2018] SGCA(I) 6SingaporeJudgment on the Defendants’ appeal, which remitted the issue of BCBCS’s ability to fund KSC unilaterally back to the court.

13. Applicable Rules

Rule Name
No applicable rules

14. Applicable Statutes

Statute NameJurisdiction
No applicable statutes

15. Key Terms and Keywords

15.1 Key Terms

  • KSC
  • Tabang Plant
  • Unilateral Funding
  • Commissioning and Testing
  • Financial Ability
  • WEC
  • Second Tranche Judgment

15.2 Keywords

  • Contract
  • Breach
  • Damages
  • Funding
  • Singapore
  • International Commercial Court

17. Areas of Law

Area NameRelevance Score
Contract Law80
Breach of Contract75
Damages60
Commercial Disputes50
Formation of contract40

16. Subjects

  • Contract Dispute
  • Funding Dispute