Cecon News

Norway-based offshore energy industry services firm Cecon Contracting AS said Thursday that it had, with its partners, recently entered into an agreement for the construction of a methanol- and battery-powered cable installation vessel. The vessel, which will be delivered from Sefine Shipyard in Turkey in the first quarter of 2025, is designed by NSK Ship Design together with Cecon’s engineering team, Cecon said. No details were shared on the order value."One of the main design…

The U.K.’s Bibby Offshore will merge with Norwegian firm Rever Offshore AS in a move targeting opportunities in the diving and subsea umbilicals, risers, and flowlines (SURF) markets. The transaction has been agreed and is expected to close soon, announced Bibby owner Fara Holdco Limited. The merger will combine Bibby and Rever subsidiary CECON Contracting to create a larger offshore installation delivery business both in the North Sea and internationally, currently focused on the Atlantic and Mediterranean regions.

The announcement on the February 28 of EMAS Chiyoda’s bankruptcy is the latest in a long line of vessel contractors to fall victim to the downturn since January 2015. Multiple companies such as Cal Dive, Ceona, Cecon, Hercules Offshore, Harkand and Swiber have entered into administration, taking a significant number of vessels out of the active fleet. In other cases, internal restructuring measures (e.g. Siem Offshore, Boa Offshore, Deepocean etc.) were/have been in order. While current indicators of subsea activity (e.g.

Canada’s largest shipbuilder Davie announced a series of accomplishments, achieved over the past several weeks. Firstly, the second in the build series of 130-meter Subsea Construction Vessels, Cecon Excellence (Hull 718) was floated for the first time over the holiday season. At the same time, the Canadian Coast Guard icebreaker CCGS Des Groseilliers, presently undergoing a major upgrade and refit, was floated up from the dry dock with its new engines installed. Both ships will continue to be worked on alongside. Steven Blaney, M.P.

Cecon ASA has petitioned for a debt restructuring agreement (in Norwegian: gjeldsforhandling). Certain funds managed by York Capital Management Global Advisors, LLC, the principal bondholder under the group's senior bond loan agreement, has confirmed its continued support for the Cecon shipbuilding program in Canada, and that it will not take any action to declare or have declared any senior bonds to be in default  due to the debt restructuring process. Cecon said it is confident that York's continued support together with the inter-creditor arrangements in place between the senior and junior bondholders means that the debt restructuring…

The traditional smashing of a champagne bottle on the first ship built at Canada’s oldest and biggest shipyard marked the christening ceremony and float-out of the 'Cecon Pride' in front of some 1,000 guests at the Davie Shipyard, also signalling the resurgence of shipbuilding in Quebec, informs the Gazette Montreal. The Cecon Pride is the 717th vessel to be built at the Davie shipyard, which was itself launched in 1825. This offshore service vessel is 130-m in length and specifically built to operate in the harsh conditions of the North Sea oilfields.

Lewek Centurion (formerly Caesar) to install pipelines in support of existing Cecon projects. EMAS AMC, the subsea services division of EMAS, a global offshore contractor and provider of integrated offshore solutions to the oil and gas (O&G) industry and the operating brand of Ezra Holdings Limited, announced  that its pipelay vessel, the Lewek Centurion has been contracted by Cecon in the North Sea for some 60 kilometers of pipeline installation work, in support of Cecon’s 2013 project commitments currently in-hand. Both parties have expressed a shared commitment to explore further opportunities for cooperation in the future. The Lewek Centurion is a 146 meters long DP-2 deepwater S-lay vessel with a 405Te pipelay tension capacity and a 300Te crane.

Cecon has three large offshore vessels under construction at Davie Yard & confirm a new owner will be taking over the yard. Cecon adds that negotiations on contracts to complete the three  vessels have already started with the new owners of the yard, and all agreements in this respect, are expected to be completed within the coming weeks. Davie Yards Incorporated is a ship building unit of TECO Group of Norway and is the successor to Davie Shipbuilding and MIL-Davie Shipbuilding. Created in 2006 when TECO purchase the assets for the bankrupt MIL-Davie, the Canadian unit is based in Lauzon, Quebec.

2012-08-28: Contract Award Cecon ASA with its subsidiary Cecon NL BV has announced a new contract award. GDF SUEZ E&P Nederland B.V. has issued a Letter of Intent to Cecon NL BV to install rigid pipelines on three projects totalling 57km, all in the Dutch Sector of the North Sea, in the first half of 2013. Cecon will execute pipeline installation with the new DP Pipelay and Heavy-Lift vessel "Sampson", delivered from shipyard after upgrading early August 2012. Cecon will perform project management, including subcontractors and engineering, from the Dutch office in Leiden.

“SNC-Lavalin has made the difficult decision to cease its efforts to participate in the Davie Joint Venture. Following an extensive analysis, we concluded that this initiative did not pass the financial or business risk criteria required to proceed. SNC-Lavalin was one of the Davie J.V. partners that was planned to take part in the completion of the Cecon vessels under construction at the Davie yard. Cecon regrets the withdrawal, however alternative solutions are under negotiations and development for delivery of the vessels.

End March Cecon has completed the installation of four flexible pipelines and umbilical’s for Broron Oil & Gas/Addax Petroleum in waters offshore Nigeria, West Africa. The project was  initially awarded (Oct 2011) to Cecon ASA as a fast-track subsea tieback project for the management, transport, installation and tie-ins of two flexible pipelines and two umbilicals between two wells in 130 m water depth and the Okwori FPSO. In Feb 2012, the scope was increased to connect two additional wells…

Davie Yards (TSX:DAV) received confirmation that its client Ocean Hotels has finalized a $100m loan agreement with Export Development Canada (EDC) for the financing of two Multipurpose Accommodation Vessels contracted at Davie. “Now that our client has secured its financing with EDC, we will be able to restart construction of the Ocean Hotels vessels, which has been suspended for a long period” said Steinar Kulen, President and Chief Executive Officer at Davie, and he continued; “Those newbuilding projects are important to maintain a good level of activity at the yard, and this is good news for our employees and their families. I am glad that they will have a much better Christmas than last year when we were forced to lay off people temporary”.

Davie Yards Inc. (TSX:DAV) announced that it has reached agreements with its clients for new price increases of $35m on its existing contracts. In addition Davie's largest client, Cecon ASA has informed that it has received a $200m loan offer replacing the lost loan facility with the Norwegian bank DnB Nor. While Cecon completes the loan documentation, Davie has negotiated a $20m prefunding facility which will enable it to gradually resume its operations. Davie Yards has agreed to amendments to the shipbuilding contracts for Cecon's three vessels and Ocean Hotels' two vessels under construction. Under the terms of the amendments, the clients have accepted price increases totaling $35m in addition to the $60m that were agreed upon in September last year.