First Wave Terminates Contract with Crest Hidayat Limited

Tuesday, January 14, 2003
First Wave/Newpark Shipbuilding announced today that it has terminated its contract with Crest Hidayat Limited, a Malaysian company, due solely to the failure of Crest Hidayat Limited to meet its payment obligations under the contract and the failure of its parent corporation, Crest Petroleum Bhd, to fulfill its obligations as guarantor under the contract. Crest Petroleum has publicly reported the difficulty to be the result of the suspension of its credit sources. Crest has further advised the company that it is seeking to establish new funding for the project. The contract, announced by the company in June 2002, involved the repair and conversion of a semi-submersible drilling rig Teknik Hidayat, formerly known as Pan Producer, to a self-erecting tender-assist rig. The company discontinued all work on the project at its East Pelican Island facility in Galveston, Texas, in early December and is pursuing its remedies against Crest Hidayat Limited and Crest Petroleum.

The has received a commitment for funding from a major stakeholder. The substantial institutional investor has agreed to make available to the company up to $6 million in additional funding, if required. The commitment is subject to documentation and is expected to close on or before January 24, 2003.

Grady Walker, president of the company stated “This funding represents a significant vote of confidence in the company by a major stakeholder and ensures that the company’s growth and development, particularly in the offshore sector, will be uninterrupted.” Mr. Walker further noted “the Teknik Hidayat is a viable tender concept, and the project, which is in an advanced state of completion, has been a technical and operational success thus far. We are disappointed in the inability of Crest to continue the project at this time.”

Maritime Reporter June 2014 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Shipbuilding

NSRP Risk Management Panel and SCA Joint Meeting

The National Shipbuilding Research Program (NSRP) Risk Management Panel will be meeting jointly with the Shipbuilders Council of America (SCA) November 5-6, 2014 in Virginia Beach, Va.

Scottish Sea Farms Takes New Vessel Delivery

Scottish Salmon Farms has taken delivery of its latest vessel – powered by twin Doosan V158TIH main engines supplied by WaterMota.   Designed by consultant naval

Fincantieri to Build Third New Princess Cruises Ship

Fincantieri says it has signed an agreement with Carnival Corp. to build  the new cruise ship for its Princess Cruises brand at a cost of about 600 million euros.

 
 
Maritime Careers / Shipboard Positions Naval Architecture Navigation Offshore Oil Pipelines Port Authority Ship Repair Ship Simulators Sonar Winch
rss | archive | history | articles | privacy | terms and conditions | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1169 sec (9 req/sec)