Friede Goldman Halter sells vessel repair unit
Friede Goldman Halter Inc., which provides support for the offshore oil industry, announced it has agreed to sell its vessel repair unit to Bollinger Shipyards Inc. for $80 million. The all-cash deal with the Lockport, La.-based company, which is expected to be completed in July 2000, is structured as an asset sale and is subject to certain regulatory conditions. "We undertook to evaluate the strategic fit of each of our business lines," said J. L. Holloway, company chairman and CEO. "We determined that the vessel repair business did not fit our primary and long-term focus on large-scale offshore energy projects, highly complex commercial and government shipbuilding, and engineered products.
Congress Voids Certain Ad Valorem Duties on Ship Repairs
By Jeanne M. Charles T. Trade and Technical Corrections Act of 2004 (the Act), signed into law on December 3, 2004, contains a provision that reverses a final rule, issued by the Bureau of Customs and Border Protection (CBP) in 2001 (Final Rule; 66 Fed. Reg. 16392 (March 26, 2001)), that subjected repairs made to U.S.-flag vessels while on the high seas to declaration, entry, and duty requirements. Simply put, the Act expands the list of items that are exempt from the 50 percent ad valorem duty requirement contained in the Vessel Repair Statute (19 U.S.C. § 1466) and, as a result, could possibly save owners and operators of U.S.-flag vessels large sums of money.
LISNAVE Stable Despite Workload Reduction
As expected, 2013 did not bring significant changes to the evolution of the world economy and consequently the rate of growth of world trade. With regard to the maritime freight market, the same situation of imbalance between supply and demand continued with a consequent reflection in value of freight rates, which resulted for the third consecutive year in general cost containment by the shipowners and consequently, a reduction in the volume of the maintenance works of existing fleets.
Asry Income Tops $106m
According to a report on www.gulf-daily-news.com, the Arab Shipbuilding and Repair Yard Company (Asry) achieved a net operating income of $106.4 million in the first nine months of the year. The number of vessels repaired during this period reached 147. (Source: www.gulf-daily-news.com)
DoD Amends DFARS
The U.S. Department of Defense amended the Defense Federal Acquisition Regulation Supplement (DFARS) to increase a contractor's liability for loss or damage under vessel repair and alteration contracts from $5,000 to $50,000 per incident. The change is effective immediately. Source: HK Law
Daewoo Shipbuilding Partners with China's Rilin Group
According to a Jan 9 report from Reuters, Daewoo Shipbuilding and Marine Engineering, the world's second largest shipbuilder, said it signed a cooperation agreement with China's Rilin Group on the vessel repair and wind power sector. (Source: Reuters)
Vigor Marine Expands Ops in Puget Sound
Vigor Marine LLC, a wholly owned subsidiary of Vigor Industrial, will purchase the assets of Marine Industries Northwest, Inc. (MINI) in Tacoma, Wash. The transaction is expected to close on or about August 6, 2010. The company will operate the facility as Vigor Marine Tacoma, and will continue providing vessel repair, conversion, and construction services at that location. www.vigormarine.com
Drydocks World Allies with Ship Management Company
Drydocks World, whose business is in ship repair, conversion and new building, has announced that it has signed an Alliance Agreement with EXMAR Shipmanagement, a company that offers high-end ship management services to the maritime industry. The two companies hope to strengthen their relationship on the basis of the new Alliance Agreement, and EXMAR Shipmanagement is expected to consider Drydocks World as preferred yard for all its ship repair and maintenance needs in the Middle East region. It should thus translate into an increased volume of business and further enhance co-operation over the near to medium term. Drydocks World has received 13 vessel repair orders from EXMAR Shipmanagement…
American Vessel Repair Statute Interpreted
In a designated test case, the U.S. Court of International Trade ruled that any ad valorem duty imposed on a U.S. comply with mandatory U.S. necessary to perform the required work. In the instant case, the vessel was dry-docked in Hong Kong to undergo mandatory inspections and modifications required by the Coast Guard and the classification society. While in the shipyard, the vessel also had repairs performed that were subject to the ad valorem duty. non-dutiable work. dry-docking would have been incurred even if only the non-dutiable work had been performed, none of those dry-docking expenses are dutiable. Service, Inc. v. United States.
Unithai Shipyard Awarded 2,000th Ship Repair Order
Unithai Shipyard was recently awarded its 2,000th contract for repairing a vessel in dry dock. The largest shipyard in Thailand, Unithai performs an average of 100 vessel repairs per year, recording its 1,000th repair order in 2006. And if repair operations afloat are also tallied, it doubles the number of orders on track, the yard said. Throughout its 25th-anniversary year, Unithai Shipyard said it has maintained its commitment to developing and improving its capabilities. “We works closely and in partnership with the owners to determine their needs and to satisfy their requirements…
Ferry 'Tacoma' Likely Out of Service Until December
Capt. George A. "This week, we received an initial update on the Tacoma repair plan from Siemens Marine Solutions. The report says a fuse blew in the vessel’s propulsion control system without indication to the operating engineers, triggering a chain of events that led to the power failure. We continue to review the cause of the incident. A Board of Inquiry, WSF’s highest level of investigation, convened this week and expects to complete their work once the vessel repair is complete. Preliminary findings show the Tacoma will be out of service until at least December 2014.
Aries Maritime Provides Update on the Ostria
Aries Maritime Transport Limited announced the Ostria, a 2000-built products tanker, has returned to service effective January 13, 2008 following the completion of previously announced repairs and preventative maintenance works. The vessel is currently deployed in the spot market as the Company explores period charter opportunities. Aries has received an initial payment of approximately $850,000 in respect to its claim under repairs insurance for the Ostria. The initial payment will be recognized in the fourth quarter of 2007. In addition to insurance claims related to vessel repairs, Aries received approximately $1.2m in full settlement of its claim under loss-of-hire insurance, which will also be recognized in the fourth quarter of 2007.
Bollinger Acquires Five Friede Goldman Shipyards
Bollinger Shipyards, Lockport, La. is now known as the largest vessel repair and conversion company in the Gulf of Mexico region upon its acquisition of the five shipyards of Friede Goldman Halter ship repair and conversion division. Bollinger now operates 12 dedicated ship repair and conversion yards totaling 42 drydocks situated between New Orleans and Houston, as well as two new construction shipyards in Lockport and Amelia, La. The acquisition is the result of an $80 million definitive agreement that was signed by both companies in May - subject to certain conditions and approval under the Hart Scott Rodino Act. The Bollinger-acquired properties are as follows: Halter Gulf Repair; Gretna Machine & Iron Works; Halter Calcasieu; Bludworth-Bond Houston and Bludworth-Bond Texas City.
Vigor Marine Purchases Marine Industries Northwest
Vigor Marine LLC, a wholly owned subsidiary of Vigor Industrial, has completed the asset purchase of Marine Industries Northwest, Inc. (MINI) in Tacoma, Wash. The transaction closed on August 9, 2010 and Vigor Marine officially began vessel repair and conversion operations the same day. Key points of contact for the company are General Manager Adam Beck and Ship Repair Manager Mark Donahue. Adam brings 24 years experience in the marine repair industry, in locations ranging from San Diego to Alaska. Mark Donahue brings 31 years of management experience and strong customer relationships to the Vigor Marine team. www.vigormarine.com
Knight & Carver Promotes LoCoco to VP
Knight & Carver YachtCenter has promoted Giovanni LoCoco to the newly created position of Vice President/Operations. The announcement was made by Sampson A. Brown, the boat-building company’s president/chief executive officer. LoCoco, who has been with Knight & Carver for 19 years, now oversees all three divisions – new-vessel construction, vessel repair/refits/repowers and wind-turbine blade manufacture and repair. A native San Diegan, Mr. LoCoco joined Knight & Carver as a carpenter in 1984. He has expertise in virtually every department of the company, including all phases of boat building, along with engineering, sales, marketing and business development.
CIT Takes Issue With Customs' Duty Calculation in Dry-Docking Case
The vessel repair statute (Section 466 of the Tariff Act of 1930, 19 U.S.C. § 1466) requires the payment of a 50 percent ad valorem duty on the cost of foreign equipment purchased for, or expenses of repairs made to, U.S.-flag vessels in a foreign country. The purpose of the vessel repair statute is to protect U.S. shipyards and to discourage vessel operators from taking their vessels abroad for the purpose of obtaining less expensive foreign repairs. The U.S. Court of International Trade determined that "section 1466 expresses the legislative policy designed to provide maximum protection to American shipyards." Mount Washington Tanker Co. v. United States, 505 F. Supp. 209, 214 (1980), aff'd, 665 F.2d340 (C.C.P.A. 1981). The U.S.
Arbitration Awards NAT $10.2M for Ship Repair Bill
Nordic American Tankers (NAT) announced that an arbitration panel in London has produced an award in favor of NAT. Gulf Navigation Holding PJSC (GulfNav) was the other party in the arbitration. The case relates to the six-year bareboat charter with GulfNav of the Suezmax vessel Gulf Scandic (now named Nordic Harrier) covering the period 2004-2010. When the vessel was redelivered to NAT by the charterer in October 2010, it was in very poor technical condition. The vessel had not been technically operated according to sound maintenance practices by the charterer. NAT had the vessel repaired in the autumn of 2010/spring 2011, and made a claim against GulfNav for costs incurred.
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. “In the past year or so we’ve put new policies in place and these have paid off. In 2008 the Bahrain shipyard had sales of $207.5m, the best year in its history, and repaired a total of 133 vessels and offshore craft; 119 in drydock and 14 alongside. ASRY’s customer base is traditionally split between vessels owned by Arab operators and the international shipping market.
Hope Services, Inc. (HSI) Delivers Again
On October 5, 2009, Hope Services Inc. (HSI) delivered the M/V Lavaca Bay to Higman Marine Services, of Houston, Texas. The 2000 horsepower boat measures 72 ft by 30 ft with a draft of 10 ft. Hope Services, Inc. has been designing and building vessels since 1986, but has been expanding its operations over the last year to include more vessel repair and refurbishment at its Dulac, Louisiana, facility. In addition to the core ship building operations, HSI has now expanded to include offshore oil and gas fabrication, off loading of jackets and decks as well as storage of that equipment.
BW Fleet Management Repair Deal at ASRY
Tanker operator, BW Fleet Management, expanded its Fleet Repair Agreement with ASRY’s Bahrain yard. The new repair agreement was signed by Morten Steen Martinsen, managing director of BW Fleet Management and Chris Potter, CEO of ASRY, in April in Bahrain. The Norwegian company, which operates out of both Oslo and Singapore, manages a fleet of more than 90 vessels operated by BW Gas and BW Maritime, and the ASRY repair agreement involves those crude oil tankers, product tankers and LPG carriers that trade to the Arabian Gulf, giving guaranteed dock space and fixed rates.
SENESCO Announces Barge Contract
The Southeastern New England Shipbuilding Corporation (SENESCO) has signed a major barge contract for construction of a 171-ft. 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, N.J. who will used the barge to transport dredge spoils. This contract coincides with SENESCO’s executive team expansion which includes the hiring of their first CFO. “The growing reputation of SENESCO within the U.S. shipbuilding industry continues to generate new opportunities for our 200 employees,” said SENESCO president Bob Jarvis. The Disch contract represents SENESCO’s 32nd new construction contract since it completed its first barge in 2000.
Manitowoc Wins DH Barge Contract
Hornbeck Offshore Transportation has contracted with Manitowoc Co. to build a 110,000-barrel, double hull tank barge due for delivery in one year, with an option to purchase three additional units within the next year. The contract will be fulfilled through Manitowoc's Toledo ShipRepair Co. "this contract marks the first new-construction project for the Toledo facility in approximately 15 years," said Dennis McCloskey, president of Manitowoc's Marine Group. The Toledo-Lucas County Port Authority has agreed to provide $7.5 million for the facility upgrade, following the commitment by Manitowoc to pursue additional new construction business for the facility.
News: Manitowoc Wins DH Barge Contract
Hornbeck Offshore Transportation has contracted with Manitowoc Co. to build a 110,000-barrel, double hull tank barge due for delivery in one year, with an option to purchase three additional units within the next year. The contract will be fulfilled through Manitowoc's Toledo ShipRepair Co. "This contract marks the first new-construction project for the Toledo facility in approximately 15 years," said Dennis McCloskey, president of Manitowoc's Marine Group. To make this facility better suited for shipbuilding work, Manitowoc and the Toledo-Lucas County Port Authority have agreed to expand the shipyard and build a covered dry dock." The Toledo-Lucas County Port Authority has agreed to provide $7.5 million for the facility upgrade…