Settlement agreed to release ship that blocked Suez Canal

"Preparations for the release of the vessel will be made and an event marking the agreement will be held at the Authority's headquarters in Ismailia in due course," Faz Peermohamed of Stann Marine, which represents owner Shoei Kisen and its insurers, said in a statement.

The SCA said the settlement contract would be signed on Wednesday at a ceremony, and that participants would be able to watch the ship leaving.

Neither the SCA nor Stann Marine gave details of the settlement.

Shoei Kisen and its insurers said last month they had reached an agreement in principle with the SCA.

The SCA had demanded USD 916 million in compensation to cover salvage efforts, reputational damage and lost revenue before publicly lowering the request to USD 550 million.

Shoei Kisen and the ship's insurers had disputed the claim and the ship's detention under an Egyptian court order.

Earlier on Sunday, an Egyptian court adjourned hearings in the compensation dispute to July 11 to allow the canal and the ship's owner to finalise a settlement, court sources and a lawyer said.