ShippingWatch

DSME warns of arbitration case against Songa Offshore

An arbitration case regarding four drilling rigs risks hitting Songa Offshore, which is having the rigs built at the Korean yard DSME, which in turn is rumored to be in severe financial problems.

Photo: Semco

The Korean yard Daewoo Shipbuilding & Marine Engineering (DSMW) has submitted reports of an upcoming arbitration case against Swedish Songa Offshore, the company writes in a statement. The arbitration concerns the construction of four semisub-rigs which Songa has developed along with Statoil. The rigs have been delayed significantly and have meant huge cost overruns for DSME, Songa Offshore writes.

According to the company, DSME has not provided more details on the dispute in the reports. Although recently it emerged that the yard is in significant financial trouble and presumably headed towards a large impairment and facing a debt restructuring, write several South Korean media sources.

Already a subscriber? Log in.

Read the whole article

Get access for 14 days for free.
No credit card is needed, and you will not be automatically signed up for a paid subscription after the free trial.

  • Access all locked articles
  • Receive our daily newsletters
  • Access our app
An error has occured. Please try again later.

Get full access for you and your coworkers.

Start a free company trial today

More from ShippingWatch

Further reading

Related articles

Latest news

See all jobs