Page 20: of Maritime Reporter Magazine (June 2016)

MARKET INSIGHT: OFFSHORE

The Arpoador drillship hull arriv- ing at the EJA shipyard in Brazil.

Photo: EJA for production platforms, support vessels of Singapore’s KeppelFELS shipbuild- yards involved, having begun operations Sul, would originally be responsible for and tankers,” said Ariovaldo. ing. The shipyard has a total area 1 mil- in early 2015 upon arrival of the Arpoa- the construction of three deepwater drill- lion square meters and boasts four quays dor’s hull, which was built in Singapore. ships designed by Cosco. The yard has

Shipyards with Sete Brasil’s Orders with a combined length of 1,000 meters. The shipyard itself is still partially under an area of 1.08 million square meters

Enseada Shipbuilding in the northeast It has a steel processing capability of construction. Sembcorp Marine stated (274,000 square meters at ERG2) and state of Bahia, originally had orders for 50,000 tons a year, and is the most es- that it has begun arbitration proceed- a steel processing capability of 100,000 six deepwater drillships. Construction on tablished of the ? ve shipyards, being in ings against Sete Brasil’s subsidiaries, tons per year and Atlântico Sul Shipyard the drillers designed by British/Roma- operation since the year 2000. Keppel not having been paid for orders worth (EAS), located in the northeast state of nian ICE Marine Design, has been sus- Corporation announced that the almost billions since November 2014. With Pernambuco, which originally had seven pended since the end of last year. 70% US$170million in provisions for non- Sete being Sembcorp’s biggest client, drillships under order from Sete Brasil. of the Ondina drillship has been built. payment for six rigs that were to be built its bankruptcy is a major setback to the The yard lies in in an area of 1.62 mil-

The Paraguaçu yard, where the drillships for Sete Brasil remains suf? cient at pres- shipbuilder. Wong Weng Sun, Chief lion square meters with a steel process- are being built, occupies part of an area ent. It is still not clear if they are going Executive Of? cer for SembCorp Ma- ing capacity of 160,000 tons per year. It of 1.6 million square meters in the mu- to take legal action against Sete Brazil, rine said in a statement, that in the last was the ? rst shipyard to cancel the Sete nicipality of Maragojipe in Bahia. The a move already taken by another Singa- ? nancial year, the company had made Brazil contracts when payments began to shipyard is capable of processing up to pore rig builder SembCorp Marine. provisions of around US$240 million be delayed. EAS has also suffered with 36,000 tons of steel a year. The com- The Jurong Aracruz Shipyard (EJA) in for the Sete contracts, expressing that the decrease in orders for tankers from pany’s shareholders include Odebrecht, the state of Espirito Santo, had a contract this is suf? cient at the present moment. Petrobras’ shipping subsidiary, Trans-

OAS, UTC, all being investigated in for seven drillships designed by Jurong, However he also noted that the situation petro.

the “Carwash” operation and Kawasaki worth $7 billion, for Sete Brasil on its or- could become more complex. “In Brazil,

Heavy Industries, which has effectively der books. 90% of the Arpoador drillship the political upheavals remain unabated, Challenges taken over the shipbuilders, which owns is ready, as are 60% of the Guarapari and with the ongoing process to impeach the The main challenge now is to suc- a smaller yards in Bahia and another in Camboriú drillers. It’s interesting to note Brazilian President. Such development cessfully restructure Sete Brasil, in or-

Rio de Janeiro. that the Jurong shipyard is the newest and the deteriorating economy have con- der to conclude the ships and rigs un-

The BrasFELS Shipyard in Angra dos shipyard to be built in Brazil and is still tributed to the ongoing volatility and un- der construction and guarantee order

Reis on the south coast of Rio de Janeiro partially under construction. It is owned certainty of the situation in Brazil,” said books for the shipyards and ? nancing originally had ? rm orders for six Kep- by Sembcorp Marine from Singapore. Wong. for Sete Brasil to save the 20 thousand pelFELS designed DSS 38E DP3 deep- The shipyard has a total area of 825,000 Two other shipyards were involved jobs dependent on the outcome of the water semi-submersible rigs. The Urca square meters, a 740 meters long quay in the original Sete Brasil order. The ship owner’s restructuring process. Re- rig is over 90% completed and the Frade and steel processing capacity of 48,000 Rio Grande Shipyard (ERG2), located negotiating Sete’s massive debt will be a rig is at 69%. BrasFELS is a subsidiary tons a year. It is the newest of the ship- in the southern state of Rio Grande do major hurdle and there is really no guar- 20 Maritime Reporter & Engineering News • JUNE 2016

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