Davie Yards, Quebec, to Change Hands
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.
Davie Yards Appoints Tanguay CFO
Davie Yards Inc. (TSX:DAV) announced the appointment of Alain Tanguay as Chief Financial Officer of the company effective immediately. Tanguay comes to Davie Yards from the position of Vice President and CFO of Mega Brands Inc. He holds a Bachelor degree in Business Administration is a chartered accountant (CA) and is a member of OCAQ. Mr. Tanguay has held top financial positions and been a part of the North American/Canadian business environment for close to 15 years. In addition to his recent experience at Mega Brands Inc., he has extensive experience in managerial financial positions within corporations like; National-State Group, CBCI Telcom, ISM Information Systems, Hostess Frito-Lay and Le Groupe Videotron Ltee. (www.davie.ca)
Davie Yards to Gradually Resume Operations
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.
Group Eyes Davie Yard
According to a report on CanadianBusiness.com, SNC-Lavalin formed a joint venture with prospective new buyers of Davie Yards in order to bid on federal shipbuilding contracts. Davie has been in creditor protection since February 2010, according to the site, and after negotiations with a potential buyer broke down this week, the company is pressed to quickly find a deal to avert bankruptcy. If no agreement is reached by July 21, Davie reportedly will not be able to bid for part of federal shipbuilding contracts valued at $35 billion. (Source: CanadianBusiness.com)
Management Change at Davie Yards
Davie Yards Inc. (TSX:DAV) announced that Alain Tanguay has tendered his resignation as Chief Financial Officer of the Corporation, effective February 26, 2010, to pursue other career opportunities. The Corporation has begun a search for a new CFO. Marc Veilleux, Davie's Vice President, Finance, will act as interim CFO until a successor is identified. (www.davie.ca)
Update on Davie Yards
Ocean Hotels Plc. On 25 February 2010, Davie Yards announced it has filed for creditor protection under the Companies' Creditors Arrangement Act (CCAA) with the Québec Superior Court, in Canada. On 26 February 2010, Tore Enger resigned from the Board of Directors of Ocean Hotels PLC and following a Board of Directors meeting that was held the same day, Alexandros Tsirikos was appointed Chairman of the Board of Directors. The Board is looking into terminating the management agreement between Ocean Hotels and Teco Management, and appointed Anthony Kandylidis as CEO / Managing Director of Ocean Hotels. Director Constantinos Economides also resigned as Director of the Board, to allow for a more efficient Board, and will remain Corporate Secretary of Ocean Hotels.
Davie Yards Continues Restructuring Process
Davie Yards announced today that it has obtained an order from the Québec Superior Court extending the stay of proceedings ordered by the Court to January 21, 2011, the whole pursuant to the companies' Creditors Arrangement Act (CCAA). The extension will allow Davie to continue to discuss with potential industrial investors, to pursue its efforts to qualify for the National Shipbuilding Procurement Strategy (NSPS), and to develop and eventually submit a plan of arrangement to its creditors under CCAA. Since the previous court hearing in September, Davie has received formal expressions of interest from two potential investors in addition to having ongoing discussions with others.
Davie Yards, Canada's Shipbuilding Plans
According to a Sept. 22 report from The National Post, the Government of Canada (GOC) is planning to build $40b worth of ships over the next 20 years. Davie Yards Inc., the largest shipyard in Canada, recently announced a deal with Halifax-based Irving Shipbuilding Inc. The companies agreed to co-operate by sharing technology, facilities, and capabilities. They also proposed that the Government select Irving to build combat vessels and Davie to build commercial ships. (Source: The National Post)
Cecon ASA: Update on Davie Yard Situation
“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.
Davie Yards Second Extension of Stay Order
Davie Yards announced that it has obtained an order from the Québec Superior Court extending the stay of proceedings ordered by the Court to September 15, 2010, in accordance with the terms of the written order to be issued by the Court, the whole pursuant to the Companies' Creditors Arrangement Act (CCAA). The extension will allow Davie to continue its restructuring efforts, to negotiate with potential investors, and to develop and eventually submit a plan of arrangement to its creditors under CCAA. As a preventive measure and in order to comply with statutory requirements, Davie has also sent a notice to the Quebec Minister of Employment and Social Solidarity to inform that the layoffs made earlier this year may exceed a period of six months.
Proposed Shipbuilding Centers of Excellence
Davie Yards Inc. (TSX:DAV) introduced its proposal for the implementation of a National Shipbuilding Procurement Strategy aimed at renewing the federal fleet and building world-class shipbuilding capability in Canada, while providing more predictable work for the maritime industry. "Davie's proposal is based on our belief that Canadian yards can achieve a competitive position vis-à-vis European yards in building complex ships. In order to create such competitiveness, we are proposing that major federal shipbuilding projects be allocated to a select number of yards that will develop expertise and thus make it possible to secure the right costs and prices for the fleet renewal program," explained Steinar Kulen, President and Chief Executive Officer at Davie.
Davie Yards Goes Ahead on Ocean Hotels
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”.
Nyda New Chairman, CEO at Davie Yards
Davie Yards Inc. (TSX:DAV) announced that Gustav Johan Nydal will be joining the corporation as President and CEO. Nydal-who has extensive experience in the marine industry-is taking over for Steinar Kulen, who will become Chairman of the Board of Davie. Both appointments are effective as of February 15, 2010. Over the last two years, Kulen has built up Davie's shipbuilding activities and has taken Davie through a financial and organizational restructuring. The corporation has five ships under construction and around 1,800 employees at the yard. Davie's team has also been strengthened with experienced senior management as well as qualified shipbuilding specialists. Davie is now well positioned for new contracts.
Canada Announces National Shipbuilding Strategy
Davie Yards welcomed the announcement of the National Shipbuilding Procurement Strategy by the Government of Canada creating dedicated shipyards for the construction of the large ships included in the federal fleet renewal program. "We are pleased that the government is moving forward with this strategy that will ensure a balanced workload in the shipyards for the years to come and help develop a strong expertise in shipbuilding in Canada. This is good news for Davie and the entire Canadian marine industry", said the President and CEO of Davie, Gustav Johan Nydal. The shipbuilding strategy unveiled a $40b program to build approximately 50 ships to renew Canadian Navy and Canadian Coast Guard fleets over the next 30 years.
Irving’s Bid to Build Navy Ships Unchanged
According to the Chronicle Herald, a deal to save Quebec’s Davie shipyard hasn’t changed Irving’s plans to bring a $2.1b navy shipbuilding project to Halifax. But one of the new owners of the Quebec City yard isn’t ruling out the possibility that the three 28,000-ton joint support ships will be built in Quebec. Navamar and its senior Norwegian partner, Teco Management Group, announced a deal Thursday to purchase Davie. The transaction is slated to be completed by the end of June, allowing Davie, to resume operations. Davie is the largest shipyard in Canada and could build the vessels without making changes needed at the Halifax facility. Two groups, Canadian North Atlantic Marine Partnerships and BAE Systems Inc., are seeking to build the three ships in Newfoundland and Labrador.
Unsolicited Bid by Davie Shipyard
Quebec-based Chantier Davie Canada Inc. presented a bid, potentially worth up to a billion dollars, to the federal government last month offering a Polar Class 3 icebreaker, three smaller River-class icebreakers and two multi-purpose research, border control and search and rescue ships, says a report in the Canadian Press. The proposal by Quebec-based Chantier Davie Canada Inc. has the potential to undercut one pillar of the national shipbuilding strategy, which delegates the construction of civilian ships to Vancouver's Seaspan shipyard.
Retirement Ceremony Held for Canadian Warship
Former sailors of the Royal Canadian Navy who had served in HMCS Algonquin gathered at Davie Shipbuilding today to commemorate the paying off of this storied Canadian warship. HMCS Algonquin is one of the Royal Canadian Navy’s four Tribal-Class Destroyers built at Davie in the early 1970s and then refitted at Davie in the 1990s during the Tribal Class Update and Modernization Project (TRUMP). Ronald Bardier, Director of Production at Davie, who was also a general foreman during the TRUMP…
Chantier Davie Shipyard: Competitive Value of Integrated Shipbuilding Tech
Case study: Chantier Davie Shipyard invests in AVEVA technology to keep competitive. Established in 1825, Chantier Davie Shipyard is Canada’s oldest, and still today one of its most innovative, shipyards. Situated in Quebec, the yard has been expanding in both working and production capacity, and its 1,300 workers now have the capability to handle 1,200 t / month of steel production at its 570,000 square meter facilities. Chantier Davie (Davie) is a diversified shipbuilder, building various types of ships for both naval and commercial clients.
ALMACO to Deliver Project Resolve Superstructure
Canadian shipbuilder and industrial fabricator Davie Shipbuilding has awarded ALMACO Group the contract for the delivery of the superstructure of Project Resolve, a Navy AOR vessel, the first project carried out as part of ALMACO and Davie’s cooperation and technology transfer. The vessel’s superstructure will be delivered by ALMACO as a single structure to be integrated to the hull at the Davie shipyard. ALMACO’s scope of work includes the full EPC (engineering, procurement and construction) contract for the living quarter superstructure including cabins…
Quebec Helps Davies Shipyard with Bid
According to a report from the Times Colonist, Quebec is enabling the insolvent Davie shipyard to enable it to fight for billions of dollars of coveted federal shipbuilding contracts in competition with companies in B.C., Nova Scotia and Ontario. Two Quebec ferry contracts will be given to Davie under a tentative agreement with the potential buyers of the shipyard, now in bankruptcy protection. The work will ensure Davie can meet federal conditions that shipyards be financially sound when submitting bids on July 7. Source: Times Colonist
Shipbuilder Davie Performs Double Launch
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.
St. Lawrence Seaway LNG Dual-fuel Ferries Ordered
Chantier Davie Canada contracted to build two dual-fuel Ro-Pax ferries for La Société des traversiers du Québec. The two dual-fuel LNG Ro-Pax ferries will operate on the St. Lawrence River on the Tadoussac-Baie-Sainte-Catherine route and are due to enter service in 2015. At 92 m long, each vessel will have over 625 lane meters across two decks, allowing the transport of over 115 vehicles and 10 heavy goods vehicles. Alan Bowen, CEO of Davie commented “This project has been a long time in the planning and we are very excited to now begin construction. The dual-fuel LNG engines are a perfect fit with Davie’s specialization in advanced propulsion and vessel maneu- vering systems.
Davie Wins Canadian Icebreaker Refit Work
Canadian shipyard Davie said it has secured a contract for the upgrade and refit of Canada’s heaviest icebreaker, 50-year-old CCGS Louis St Laurent. The $14 million program, part of the Canadian Coast Guard’s multi-year maintenance plan, will mark the return of the CCGS Louis St Laurent to Davie in February 2017. According to a representative of Fisheries and Oceans Canada, CCGS Louis St Laurent and its hull are in good condition, and the refit work set to take place from February 16 to June 23 has been commissioned to extend the life of the vessel and maintain its reliability.