Insolvent German shipyard P+S Werften has lost its last merchant vessel order as Royal Arctic Line (RAL)cancelled its five-ship deal.
P+S loses last merchant ships
The Greenland owner said it had already paid almost DKK 400m ($70.12m) for the ice-class ships and is now seeking refunds through bank guarantees.
The vessels are listed as a 600-teu boxship, two 600-dwt general cargoships and two 2,500-dwt multipurposes (MPPs).
They were contracted in January 2011 and due for delivery in 2013.
The owner is already talking to mainly European yards about replacement orders, for delivery by the end of 2014.
It hopes to sign deals soon, while also looking to extend the lifespan of its current vessels.
“It's been a disheartening experience, but we are hoping for a quick clarification and order of new ships,” said RAL managing director Jens Andersen
The company said it was a surprise for everyone that things had gone so wrong for P+S.
The newbuildings were funded by Germany’s KfW.
P+S has already lost two ro-ro ships from DFDS and two from Scandlines. It is still in talks with DFDS about possible delivery of the vessels, however.
And it is hopeful of selling the Scandlines duo.
Otherwise it is only building two vessels for Sweden’s coast guard.
GARY DIXON IN LONDON Tradewinds
06 December 2012, 09:49 GMT