COMPENSATION WARRANTY

(1) The Master shall hand the following WARRANTY DOCUMENTS to Suez Canal Authority. These documents are to be kept by the Authority.

(2) In respect of substances of Group 1 Radioactive the Master shall hand one of the two following documents:

(a) Either an insurance Policy issued by an approved protection and insurance organization for a preliminary amount of twenty Million U.S.Dollars with a guarantee certificate issued by a recognized Atomic Energy Organization. The Suez Canal Authority is entitled to request the increase of the insurance in any case when the circumstances of
any load require such an increase pursuant to a technical study by the experts of Atomic Energy Establishment or.

(b) A full engagement (guarantee) with unlimited compensation amount from the recognized exporting Atomic Energy Authority, accompanied by a guarantee certificate issued by its government, covering the compensation. The guarantee must also fulfil all legal conditions according to the laws of the guaranteeing country and bind is government.

(3) In respect of substances of Group 2 Radioactive the Master shall hand a certificate issued by an official recognized Authority in charge of the protection and compensation of ship owners against damage, and
approved by Suez Canal Authority, this certificate must indemnify against any compensation for all kind of damage due to the passage of the vessel.

(4) The following provisions must also be enforced:

(a) The compensation guarantee document of whatever kind (documents - insurance - guarantee - engagements) must explicitly provide that the victims shall receive compensation for all direct and indirect damage resulting from the radioactive of the load for the time during which the vessel stays in the Suez Canal or its lakes, including the two entrances and their vicinity and also the port of Suez and its entrance and their vicinity.

(b) This document shall remain good as long as there exist a possibility that damage may occur as a result of the transit of the shipment, according to what Suez Canal will decide in this respect.

(c) Payment of compensation in all cases mentioned in paragraphs above shall be based on the mere occurrence of a damage resulting from the load whether present or future and it is sufficient that damage occurs to generate the right for compensation without need for indicating the causes.

(d) In Case of any accident resulting from the transit of an atomic shipment or radioactive substances of any kind, courts of the Arab Republic of Egypt are solely and exclusively competent to decide thereof in claims of damage compensation and in all that may be connected with the accident or its direct or indirect consequences. The sentence shall be executor in any country and the insurance mentioned in these regulations shall be a guarantee for the execution of the sentence rendered by Arab Republic of Egypt courts, without any other formalities.

(e) Ship owners and/or operators whose vessels carry radioactive substances transiting the Canal must undertake, in the country of registration of these vessels, all measures ensuring that the government of such country shall respect the above prescriptions.