Paragon News

Dozens of merchant ships with grains and sugar are stuck outside Iranian ports after weeks of delays as payments snags disrupt flows of goods into the country, according to trade sources and shipping data. Food is exempt from the West's sanctions on Iran over its nuclear program, but the impact of the sanctions on Iran's financial system has created complex and erratic payment arrangements with international companies. The latest payment issues have led to ships being unable to discharge cargoes, with at least 40 bulk carrier ships stuck outside the major Iranian ports of Bandar Imam Khomeini and Bandar Abbas, ship tracking data on Refinitiv showed. Iran’s foreign ministry was not immediately available for comment.

Ask the right government department in any G7 state and you’ll find funding to put battery power for your vessel. Beyond funds, new battery makers and system integrators are ironing out safety issues, and a growing number of giga-sized cell factories offer hope that costs will fall for marine energy storage, as ESS choice grows. Efforts are also underway to recycle rare earth elements and to augment or greenify staggeringly high plant electricity inputs. Apart from funding, the drivers of change include constraints on shipping in Emissions Free Areas like the fjords of Norway…

The Monterey Bay Aquarium Research Institute (MBARI) is embarking on a new chapter in its ocean research with the construction of a state-of-the-art ship, a vessel named in honor of MBARI’s founder, David Packard. The R/V David Packard will be capable of accommodating diverse expeditions in Monterey Bay and beyond to further the institute’s mission to explore and understand our changing ocean.It will measure 50 x 12.8 m with a 3.7 m draft, designed to  support a crew of 12, plus a science crew of 18.

Harvey Gulf International Marine’s parent, HGIM Corp., has announced the appointment of a new Board of Directors to serve following the company’s emergence from Chapter 11 proceedings.The seven member Board includes two current members remaining on the Board and five new members, each with expertise in individual areas particularly suited to support the company’s operation and development and collectively, creating a leadership platform that will enable Harvey Gulf to adjust and thrive in an ever-changing market. Shane Guidry. Mr. Guidry remains the Chairman of the Board and Chief Executive Officer for HGIM Corp. Mr. Guidry is the third generation in his family to lead Harvey Gulf. Mr.

Statoil ASA has awarded SolstadFarstad (SOFF) a contract for Platform Supply Vessel (PSV) Normand Fortune (2013, VS 485 MK III Design). The contract for Normand Fortune will commence in May 2018 for a period of 4 months firm with further 3x2 months option. The vessel will operate in the Norwegian Sector of the North Sea. “We are pleased to announce that we have secured another contract with Statoil ASA, one of our key clients. In addition to Normand Fortune, SolstadFarstad already has 10 vessels working on long term contracts with Statoil in Norway, UK and Brazil,” says Kenneth Lande, EVP – Strategic Regions of Solstad Farstad ASA. Last week…

Solstad Farstad ASA has entered into a contract with Fugro Netherlands Marine BV for the CSV, Normand Flower, for operations in North European waters. The contract period is 6 months firm. Commencement of the contract is end March 2018. “We experience an increasing demand for CSV tonnage in the North Sea and we are very pleased to be awarded our second vessel contract with Fugro,” says Hans Knut Skår, EVP – Subsea Constructions & Renewable Energy of Solstad Farstad ASA. Meanwhile, Spirit Energy has awarded SolstadFarstad (SOFF) a contract for the two Platform Supply Vessels (PSV), Far Sitella (2013, PSV 08 CD Design) and Sea Titus (2014, STX 05-L CD Design).

Offshore rig firm Borr Drilling, controlled by Norwegian investor Tor Olav Troeim, is proposing to buy its rival Paragon Offshore for $232.5 million in a push to consolidate the fragmented rig market, it said on Thursday. A plunge in oil prices in 2014 forced oil firms to cut back on offshore exploration, reducing demand for drilling rigs at a time when new rigs ordered during the boom years were entering the market, pushing rates down to, or below, operating costs. Borr said it was likely to scrap 21 older jack-up rigs…

Paragon Offshore Group announced that it has emerged from bankruptcy after completing a restructuring that eliminated USD 2.3 billion of debt. The successor company to Paragon Offshore PLC , which filed for bankruptcy in February 2016 with USD 2.96 billion of debt, also named a new board of directors. The search for a new CEO is underway. "The plan of reorganization under chapter 11 of the United States Bankruptcy Code substantially de-levers the company’s ongoing business, eliminating  approximately $2.3 billion of secured and unsecured debt. New Paragon emerges with eight rigs currently operating plus a ninth rig expected to commence operations in August 2017…

In the last month, we have seen the Baltic Dry Index (BDI) recover to the same level it was 12 months ago (see circles in fig.1). Vessel values have started to firm, but not at the same rate and are still at historically low levels. In the last 12 months, contrarian owners have taken advantage of the low values and have been buying cheap tonnage. With hindsight, this looks to have paid off with many values having increased above the purchase price. This article takes a look at which dry bulk owners have been buying the most in the last year.

Paragon Offshore Plc said on Friday it was evaluating its options after a U.S. judge rejected the offshore rig contractor's plan to exit bankruptcy, an unusual setback for a corporate Chapter 11 proceeding. In an oral ruling in U.S. Bankruptcy Court in the District of Delaware, Judge Christopher Sontchi said the plan was not feasible because it removes too much cash from the company during the current downturn. The ruling does not preclude the company from a restructuring under a different plan, he said. "The company continues to believe, but cannot provide any assurances, that a positive resolution of the company's restructuring process can be achieved," Paragon said in a statement following the ruling.

Semco Maritime has welcomed the recent arrival of two Maersk Drilling high specification jack-up rigs to its Invergordon shipyard facility. Maersk Reacher will be berthed in the Queens Dock facility for an undisclosed duration, carrying out necessary upgrades and modifications, whilst the recently constructed Maersk Highlander, following arrival by heavy lift from Singapore, will be at quayside for a short time, carrying out various commissioning tasks prior to naming ceremony and thereafter, mobilization out to the CULZEAN development in the U.K. sector North Sea, on long term contract.

Paragon Shipping Inc is at cyclical lows, as the entire drybulk shipping sector has suffered and, along with the container and LNG sectors. Michael Bodouroglou, Founder, Chairman and Chief Executive Officer of Paragon Shipping Inc. has sent a letter to all its share holders about the measures that company has taken to counter cyclical downturn. "I have seen these times before. I have been in marine shipping, as a shipping company founder, executive and technical superintendent supervising vessels for other shipping companies, for more than 35 years. These highs and lows are a part of life and we understand the classically cyclical nature of the business. Times like these are not only financially difficult, they are humbling as well," Michael  said.

The dry bulk operator Paragon Shipping has reached an agreement with its creditors to liquidate its remaining fleet in order to settle one of its debt obligations. The company agrees to sell its six mortgaged vessels to unaffiliated third parties in exchange for the full and final settlement of the outstanding amount of its syndicated loan facility. "The fleet, consisting of the handysize and panamax bulkers Coral Seas, Golden Seas, Prosperous Seas, Precious Seas, Priceless Seas and Proud Seas, is to be sold to unnamed, unaffiliated third parties," Paragon said. Paragon also says it is in talks with Jiangsu Yangzijiang to extend the deliveries of its three Kamsarmax newbuilding drybulk carriers towards the end of 2016 at no extra cost to the company.

Commodity prices at multi-year lows drove a rise in defaults early this year, and the oil sector could see still more unprofitable fields shut, industry analysts said on Wednesday. Debt defaults in the commodity sectors rose in the first two months of 2016 from the same period a year ago, credit ratings agency Moody's said. "Of the 18 defaults since the start of the year, half have been in commodity sectors," said Sharon Ou, a Moody's vice president and senior credit officer, in an e-mailed statement late on Tuesday. Five of the defaults were in the oil and gas sector while four were in metals and mining, she said. For the same period last year, there were 11 defaults in total and only one in commodities, Ou said.

Paragon Offshore Plc said it will file for Chapter 11 bankruptcy on or before Feb. 14, becoming the first U.S. energy-related company to seek court protection from creditors this year amid a plunge in oil prices. The Houston-based driller, which has rigs around the world, has been struggling with a heavy debt load. Paragon decided not to make a $15.4 million bond interest payment due Jan. 15, triggering a 30-day grace period before default. Paragon had $732 million in cash at Sept. 30, according to public filings.

Paragon Shipping Inc. announced that it has entered into an agreement to sell M/V Kind Seas for a cash consideration of $3.5 million to an unaffiliated third party and the delivery of the vessel was concluded on January 8, 2016. The Company has also agreed with Bank of Ireland to apply the total net proceeds from the sale of M/V Kind Seas towards an immediate prepayment of the loan facility. The remaining principal amount of $4.4 million shall be treated as follows: a) $2.2 million shall be written-off subject to certain conditions and b) $2.2 million, plus any accrued interest, was converted into an unsecured paid-in-kind note (“PIK Note”). The PIK Note will be non-amortizing and will have a maturity date of December 31, 2020, at which time it will be repaid at par.

Paragon Offshore plc, a global provider of offshore drilling rigs, reported that a wholly-owned subsidiary has signed an agreement with Shanghai Waigaoqiao Shipbuilding Co., LTD., to extend the delivery date of the high specification Friede and Goldman JU-2000E jackup Prospector 7 to a date 12 months after the subsidiary has technically accepted the unit from the shipyard. The company anticipates that technical acceptance of the unit will occur on or before December 31, 2015. Under the terms of the agreement, no payments are due to the shipyard until the delivery date and upon completion of the delivery protocol. Randall D. Stilley,…

Inchcape Shipping Services (ISS) has been appointed by Paragon Offshore, Houston, as marine and logistic services provider for a new drilling campaign off the Songo Songo Islands, Tanzania – the first new commercial drilling project in Tanzania in a number of years. ISS is providing a range of services for Paragon Offshore including full husbandry, crew logistics, visa assistance and arranging marine and air charters. A leading provider of standard specification offshore drilling services, Paragon Offshore is deploying jack-up rig M826 on the nine month campaign for PanAfrican Energy Tanzania – the country’s first natural gas producer. M826 arrived at the field on board semi-submersible vessel, OHT Falcon, to be floated off and pinned to the drilling location.

Inspection, maintenance and repair (IMR) specialist N-Sea has recently completed its inaugural diving scope with the TUP Diving System (Transfer Under Pressure). The diving scope involved x-mas tree assistance with the deployment of the TUP Diving System for client ONE (Oranje-Nassau Energie) on its project, L6 Diving Services, at the location L6D in the North Sea. For this project, N-Sea stationed the closed bell system on the Jack-Up rig, Paragon C46-1, between July and September.

In the offshore industry, time is always of the essence. Vessel owners make it a priority to keep the necessary yard visits as short as possible. To contribute to this short time priority, Heinen & Hopman has developed a containerized fan room that can be completely prefabricated and tested before delivery to the vessel. Due to this design, installation time onboard can be shortened tremendously. A modified cargo or offshore certified container is used as the base for this fan room. The size of this container may vary from 10 feet up to 40 feet in high cube execution.

HB Rentals announced the official opening of its new service location in Ciudad del Carmen, Mexico. The new location supports HB’s range of service offerings that include accommodation modules and operating essentials such as water, sewage, power, lighting and communications systems. The addition of this facility allows the company to respond more quickly to the needs of its Mexico-based clients while reducing project expenses by eliminating importation and transportation costs, HB said.

Paragon Offshore plc reported that it has acquired 52,749,014 shares of Prospector Offshore Drilling S.A., a publicly traded offshore drilling company listed on Oslo Axess. Paragon acquired the shares at a price of 14.50 Norwegian kroner (NOK) per share, or $2.13 per share based on the exchange rate of one United States dollar to 6.80 NOK. Following this transaction, Paragon owns a total of 52,749,014 shares of Prospector, equal to 55.8 percent of the outstanding shares of Prospector.

Greek drybulk cargo ship owner, Paragon Shipping, informs it has entered into a firm commitment with a European bank syndicate to partly finance up to 60 % of the market value of their two new Ultamax newbuilds due to be delivered in 2015. The new $120.0 million senior secured amortizing credit facility is with a syndicate of banks led by Nordea Bank Finland PLC. Paragon adds that the six-year facility is subject to the execution of definitive documentation and completes the financing for their Ultramax newbuilding program…