Financially troubled Croatian shipyard Uljanik has announced that Norwegian owner Siem Shipping has cancelled four car carriers ordered at the yard due to its inability to deliver the vessel according to the contract terms.
According to Uljanik, Siem Shipping has unilaterally terminated the contracts for the construction of four 7,000 ceu PCTCs – hull 514, 515, 524 and 525.
Construction of two vessels have yet to be initiated.
Workers at Uljanik started a strike on August 22, demanding top management step down in protest over the late payment of their salary. The company’s president Gianni Rossanda resigned during the protest.
The strike ended last week after the government stepped in to solve the payment issues.
Following the contract cancellations, Uljanik still has four handy bulkers, two roro ships and two cruise ships on the orderbook.