The owner of the Jumbo Floating Restaurant says it will not be receiving any insurance pay out after the restaurant capsized last Sunday, less than a week after being towed away from Aberdeen Harbour and into the South China Sea.

In a statement released on Sunday night, Aberdeen Restaurant Enterprises said it only had third-party insurance for the floating restaurant.

The company also stressed that the ship had been inspected and had received the go-ahead from maritime authorities here following an inspection by marine engineers, and before a tugboat, hired through a third-party broker, attempted to take it to a shipyard in Cambodia.

The company added that the towing method was in compliance with international maritime regulations and “customary practices”.

It also said its account of how the ship took on water and capsized "due to adverse conditions" near the Xisha islands was consistent with a report submitted to the Marine Department on Thursday. It said water had entered into the hull of the vessel, causing it to list.

The company said that, as of Sunday, a tugboat remained near the vessel to ensure the safety of the waterway. It said the local maritime authority, the Sansha Maritime Safety Administration, had been notified.

Once a popular tourist destination, the 46-year-old restaurant suspended operations in March 2020 after suffering years of losses. It was donated to Ocean Park but the amusement park later said it could not find a third-party operator to run the restaurant.