Monday, May 4, 2009

GSP Titan cans Keppel contract

GSP Titan has cancelled a contract with Keppel Offshore & Marine offshoot Keppel Singmarine for a DP3 multi-purpose vessel.

Singapore’s Keppel said that the contract cancellation is due to the owner’s difficulties in securing project financing as a result of the current tight credit situation. The shipbuilding deal was contracted to Keppel Singmarine at S$181 million (US$123 million) in July 2008 and the project is in the early stages of execution. Keppel Singmarine has received a milestone payment for the project which covers costs incurred as well as the expected loss of profit.
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