Singapore-listed Pacific Radiance has announced that it 50% owned joint venture company CA Offshore Investment has issued two notices of arbitration against Shanghai Waigaoqiao Shipbuilding and China Shipbuilding Trading for disputes over the construction of two platform supply vessels.
Pacific Radiance said that the notices of arbitration follows the rescission of the shipbuilding contracts for the failure of the shipyard to deliver the PSVs in accordance with their obligations under the shipbuilding contracts.
CA Offshore Investment claims the refund of the pre-delivery instalments paid to the shipyards for the PSVs, totalling $5.55m, plus interest.
The arbitrations are currently at their initial stages.
