Repair Contract

SCA to Congress: Block Bundled Navy Repair Contracts

In a letter to the House Small Business Committee, the Shipbuilders Council of America (SCA) urged Congress to block the Navy from consolidating all mid-Atlantic region surface ship maintenance into two contracts. This anti-competitive and risky scheme, called Multi-Ship/Multi-Option (MS/MO) repair contracts, would destroy the modern competitive ship repair industry, lower Navy readiness and harm small business. The contracts proposed by the Navy will lead to higher repair costs without improving quality. With competition between repair yards enables the Navy to secure the best repair value at the lowest possible price, this rivalry exists because small and mid-sized repair yards provide the Navy with a wider range of repair options thereby putting downward pressure on pricing. This problem would be further exacerbated if the Navy goes forward with its plan to move to a MS/MO contract for other vessel classes. Fewer surviving yards positions the taxpayer at the mercy of the winners of the first MS/MO contracts. The result will inevitably be higher costs because the survivors will have a stranglehold on the customer. The Navy will, in essence, be sole sourcing its ship repair work. "SCA strongly opposes the Navy proposal," said SCA president Allen Walker. "The Navy’s current east coast ship repair contracting has created a highly competitive ship repair industry.

SENESCO Marine Awarded New Contracts

Senesco Marine, headquartered in Quonset Point, Rhode Island, announced today that it has secured two new major repair contracts in what company officials describe as an important milestone to the shipyard’s recently established repair business. The two contracts include the University of Rhode Island’s research vessel the Endeavor and a tug owned by McAllister Towing. Crews at Senesco Marine are performing routine maintenance on the Endeavor, removing the tail shaft for inspection

A&P Group Opens Recently Acquired Facilities

The A&P Group has announced the opening of recently acquired facilities. In addition to their existing dry docks in Tyne, Falmouth and Southampton, the Group has purchased and opened facilities in Aberdeen, Birkenhead and Hebburn (Tyne), increasing the total number of dry docks from eight to fourteen. The ship repair, conversion and marine services company whose head office is in Southampton, believe that this expansion in the UK will offer their customers a greater choice when dry

A&P wins Contracts from Norway

A&P Tyne is celebrating this week after clinching its third contract from Norway in just a matter of weeks. The first contract, which is currently underway in the Hebburn shipyard, involves the refurbishment of the 10,385 grt pipe-laying vessel Seaway Falcon for Stolt Offshore of Stavanger, Norway. The second contract involves the refurbishment of the 3,254 grt Skandi Fjord, an oil well stimulation vessel, owned by DOF Ship Management, Bergen

SENESCO Announces Barge Contract

The Southeastern New England Shipbuilding Corporation (SENESCO) announced today that it has signed a major barge contract for construction of a 171-foot hopper barge that will have a holding capacity of 2,750 cubic yards. Construction has already begun and is expected to be completed this fall. The barge is being built for Disch Construction of Summit, New Jersey who will use the barge to transport dredge spoils. Today’s news coincides with SENESCO’s announcement of a major expansion of

DeepOcean Awarded LOI for a 5 Year

DeepOcean awarded LOI for a 5 year contract for Arbol Grande worth MNOK 500 DeepOcean ASA has received a confirmation that the subsea construction company Constructora Subacuática Diavaz in Mexico has been awarded a letter of intent from Pemex for a 5 year inspection, maintenance and repair contract in the Gulf of Mexico, which is based on the DeepOcean vessel MPSV Arbol Grande. The contract value for DeepOcean is approximately NOK 500 million

United Defense Shipyard Wins Ship Repair Contract

United Defense Industries, Inc. announced today the U.S. Navy's award to Southwest Marine (SWM) of the advanced planning segment of the contract for dry docking and pier side work on the USS LAKE CHAMPLAIN (CG-57), a Ticonderoga-class Aegis cruiser home-ported in San Diego. Southwest Marine is a member of United States Marine Repair, Inc. (USMR), which was acquired by United Defense last month. The advanced planning segment of the contract is valued at $518,484

SMIT Contracted to Salvage Dockwise Vessel

Dockwise has contracted SMIT Salvage to salvage the Mighty Servant 3. Dockwise has chosen Smit for their experience and the fact that they have equipment ready near the North Angolan coast where the vessel is resting at the sea bottom in approx. 203 ft. of water after it sank in December 2006. Over the last weeks SMIT Salvage already conducted a complete diving survey to investigate the situation and remove the vessel’s bunker oil and pollutants that were on board

Shipyard Counter-claim Not Nullified by Insurance

The U.S. Court of Appeals for the Fifth Circuit ruled that the counter-claim of a shipyard defending an allegation of poor workmanship is not nullified by a provision in the ship repair contract requiring each party to have insurance. In the instant case, plaintiff ship owner contracted for defendant shipyard to make modifications to its ship. Six weeks after the ship was redelivered, it caught fire and sank. Plaintiff owner sued defendant shipyard

ASRY Set to Ride Out Economic Storm

Bahrain-based Arab Shipbuilding and Repair Yard Co (ASRY) is set to ride out the global economic storm in 2009 following its record breaking year in 2008. Both chairman, H.E. Shaikh Daij bin Salman bin Daij Al-Khalifa and Chief Executive Chris Potter are upbeat about the yard’s performance this year following sales in 2008 breaking the $200m barrier for the first time. “ASRY is now debt free for the first time in its history,” said Shaikh Daij