This MOU (hereinafter called "the MOU") is made and entered into force on ____th day of November, 2016 by and between DUNG QUAT SHIPBILDING INDUSTRY COMPANY LIMITED (hereinafter called ‘DQS’) addressed Tan Hy Commune, Binh Dong Village Binh Son District, Quang Ngai Province, S.R. Vietnam and AQUASTAR Co., Ltd. (hereinafter called ‘Aquastar) addressed 2-62, Sandan-4ro, Jeonggwan-eup, Gijang-gun, Busan, Korea 46027 in the witness of Vietnam Marine Equipment Supply Joint Stock Company (hereinafter called ‘VMES’) addressed No 9, group 10, Phong Ap hamlet, Ninh Binh commune, Ninh Hoa Town, Khanh Hoa Province, Vietnam and will serve to document the understanding of such parties on the principal terms of an Lease Agreement (the “Lease Agreement”) to be executed by the parties.WITNESSETHWHEREAS, ‘DQS’ is a member of Vietnam Oil and Gas Group (Petrovietnam) and wish to agree to lease ‘DQS’s’ certain part of repair shipyard to ‘Aquastar’ for the purpose of operating repair shipyard and Ballast Water Management System installation which is developed by ‘Aquastar’.WHEREAS, ‘Aquastar’ has developed Ballast Water Management System in connection with its proprietary ‘Aquastar’ and wish to agree to rent ‘DQS’s’ certain part of repair shipyard for the purpose of operating repair shipyard and Ballast Water Management System installation which is developed by ‘Aquastar’.WHEREAS, 'VMES' is the authorized distributor of Aquastar Ballast Water Management System in Vietnam.Landlord : DUNG QUAT SHIPBUILDING INDUSTRY COMPANY LIMITED.Tenant : AQUASTAR Co., Ltd.NOW THEREFORE, the both parties hereto agree as follows;Article 1 (Purpose)1. The purpose of Lease is Manufacturing Aquastar Ballast Water Management System and its related all works such as production, processing, assembling, quality control and etc and all related work for the Ballast Water Management System retrofit to existing ships.2. Detail contents of Lease Agreement shall be discussed and agreed mutually by both parties later. Article 2 (Validity)The MOU shall be valid up to one (1) year from the date of effectiveness. However, unless any party notifies the other party in writing of the intention for the MoU alteration or termination three (3) months before the MoU period is expired, this MoU will be automatically extended per each year under the same condition and contents.Article 3 (Effectiveness of MOU)This MOU shall enter into force and become effective upon signing of the MoU by duly authorized representatives of the parties.IN WITNESS HEREOF, both parties have made two original copies of this MoU with seal for the custody of each copy by the respective party.
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