Canada’s Algoma Central Corporation has received $ 53.4m in refund guarantees for three newbuild orders that it cancelled with Chinese shipyard Nantong Mingde Heavy Industries.
The refund amount for a fourth cancelled vessel is still subject to an arbitration hearing.
The original contract, signed in 2010, was for eight Equinox Class dry bulk carriers, of which three were built before Nantong Mingde ran into financial trouble, leading to Algoma’s cancellations.
Algoma operates a fleet of dry and bulk carriers on the Great Lakes and the St Lawrence Waterway plus some interest in ocean-going dry bulk carriers.
It has signed contracts with shipyards in Croatia and a different builder in China to build the other five Equinoxes.