The Suez Canal Authority (SCA) and the Japanese owners of the EVER GIVEN  ship is continuing to battle over the compensation for the blockade of the waterway in March.

Reuters recently reported that a new offer has been made by Shoei Kisen Kaisha to end the compensation dispute several months since the 20,000 TEU containership ran aground  and blocked one of the world's major waterways for six days. The Egyptian court also postponed a ruling on the case for two weeks from June 20 to allow more time for negotiations between the parties.

Since the ship was freed on March 29, the Panama-flagged vessel, which reportedly carries US$3.5 billion worth of cargo between Asia and Europe, has been ordered by authorities to remain in a holding lake mid-canal as the parties continued to argue on the settlement.

The SCA earlier demanded a US$916 million compensation, which was later lowered to US$550 million — which would cover the cost for the salvage operation, costs of stalled canal traffic, and lost transit fees for the time that the massive container ship blocked the canal.

Shoei Kisen and insurers, however, argued that the demand is still too high compared to their US$150 million offer in compensation, which was rejected by the canal authority.

The Ismailia Economic Court adjourned the hearing to June 20 earlier as the vessel's owner submitted a new offer to settle the dispute out of court, the Suez Canal Authority said in a statement without providing further details.

Reports noted that negotiations had been ongoing until Saturday, June 19, and the ship's owners had made a new offer, according to SCA lawyer Khaled Abu Bakr during a hearing over EVER GIVEN's detention.

"Over the course of more than 15 days and in extended, long and arduous, but positive working sessions, negotiations are taking place," Stann Marine, which represents the owners and insurers of the vessel said, Reuters reported.

"During the negotiations we submitted a proposal that we believe satisfies all the requirements of the SCA," it added, although the statement said details of the new offer would remain confidential.

"A court ruling was due on Sunday after several delays, but Stann Marine said it had asked for an adjournment. Judicial sources said the case was postponed until July 4 to allow for an 'amicable settlement,'" Reuters said.

One of the ship's insurers, UK P&I Club, said it is "hopeful of a positive resolution to these negotiations in the near future."

The blockage of one of the world's busiest waterways impacted around 422 ships, according to the SCA earlier, as authorities imposed a temporary suspension of navigation through the Suez Canal last March 25 — forcing some ships to take the long alternate route around the Cape of Good Hope, adding to the time and cost of using the route at Africa's southern tip.

The shutdown also earlier raised concerns of supply shortages and rising costs for consumers, adding strain on the shipping industry, already under pressure from the coronavirus pandemic with about 10% of the world trade passes through the Suez Canal annually.