US OSV operator Hornbeck Offshore is looking to resume construction works for two MPSVs it cancelled earlier this year at local yard Eastern Shipbuilding.
Hornbeck terminated the contract for the final two MPSVs ordered as part of the company’s 24-vessel domestic newbuild program due to performance issues at the yard, having previously reached an agreement with the shipyard in 2016 to postpone delivery to the first and second quarters of this year.
According to Hornbeck Offshore, it continues to work with the issuer of the shipyard’s performance bonds in order to complete construction of the vessels at a completion yard. The vessels are now expected to delivered in the second and third quarters of 2019, respectively. However, delivery dates may be further extended if the company is unable to reach an agreement on completion of these vessels promptly.
The remaining shipyard contract price to be paid by the company as of the date of termination for both vessels was approximately $53.7m, and the company expects to incur an additional $8.1m of budgeted project costs post-delivery for final outfitting of the vessels.
Hornbeck Offshore owns 66 OSVs and eight MPSVs, with 40 OSVs and one MPSV currently stacked.
