Petrofac calls off construction contract for new derrick lay vessel
- Business & Finance
Petrofac, the international service provider to the oil and gas industry, has terminated a contract with Shanghai Zhenhua Heavy Industry Co., Ltd (ZPMC) in China for the construction of its JSD 6000 deepwater multi-purpose offshore vessel.
According to Petrofac, the contract was cancelled due to issues with ZPMC’s performance in respect of the construction of the proprietary design Petrofac JSD 6000.
Petrofac JSD 6000, a deepwater derrick lay vessel, was ordered in January 2014 and scheduled for delivery in 2017.
It is based on a design by Ulstein Sea of Solutions, which integrates the J-Lay, S-Lay and derrick functions.
Ayman Asfari, Group Chief Executive, said: “It is regrettable that it has become necessary for us to take this decision, and the Board is now reviewing its options.”