Singapore’s offshore vessel operator Atlantic Navigation has announced that it has been in negotiation with China’s Guangxin Shipbuilding to settle disputes over two shipbuilding contracts.
Guangxin Shipbuidling filed two arbitration proceedings against Atlantic Navigation at Hong Kong International Arbitration Center regarding the termination of two shipbuilding contracts for the construction of a PSV and a liftboat respectively.
Atlantic Navigation has paid $500,000 as compensation to Guangxin and discussions are ongoing for a proposed instalment payment to resolve the disputes. Guangxin has agreed to withhold one of the arbitration proceedings on the receipt of the funds.
Atlantic Navigation said it is currently unable to quantify accurately the materiality of the claims subject to further negotiation with Guangxin and will make further announcement in due course.