Register for a free trial
Norwegian Solutions

Norwegian Solutions

Havyard follows the diversification trail

Thu 27 Apr 2017

Havyard follows the diversification trail

Havyard Ship Technology which operates Havyard Groupís shipyard in Norway has expressed concern about the reduced orderbook and newbuild activities from the second half of 2017 onwards

However, Havyard Group chief executive Geir Johan Bakke expressed optimism for the business overall and noted that Havyard Ship Technology was the biggest contributor to the groupís operating profit in 2016. The group is continuing to evolve and diversify into broader marine technology sectors in five main business areas, of which shipbuilding is one. Despite the challenges in the shipbuilding sector, Mr Bakke said that Havyard Ship Technology will remain a vital part of the group as a shop window and laboratory for the development of new technology and equipment, as well as a focus on profitable contracts. Fixed costs at the shipyard have been reduced and capacity made more flexible. Parts of its shipyard capacity have been designated for repair and conversions.

One of its businesses, Havyard Design & Solutions, has signed a supply agreement for the delivery of design and equipment for the construction of a Havyard 832 design multipurpose vessel. The vessel will be built at Cemre Shipyard in Turkey.

However, Havyard has cancelled one newbuild order, for a partly completed platform supply vessel, orginally ordered by Icelandís Fafnir Offshore. It is seeking a new buyer for the vessel, a Havyard 833 WE PSV. Delivery had been postponed from March 2016 to June 2017 and then again to April 2019, but failure of the owner to pay pre-delivery instalments led Havyard to cancel the contract.

Havyard is following the diversification trail into ferries, wining a contract from Norwegian ferry operator Fjord1 to build three innovative diesel-electric ferries for delivery in 2018. The 66.4m long, 14.1m wide ferries will have capacity for 195 passengers, 50 cars and six trucks with a propulsion system that will include a 1MW battery capacity.

Recent whitepapers

Related articles





Knowledge bank

View all