Korean shipbuilding company Hanjin Heavy Industries & Construction Holdings (HHIC) has terminated a contract for two bulk carriers ordered by a Marshall Islands-registered shipping company.
The Capesize duo was ordered in 2013 and was slated for delivery in November and December of 2015 respectively.
Hanjin said that the reason for termination is the ship owner’s failure do carry out the interim payment. According to the shipbuilder’s stock exchange filing, the default in payment is seen as a breach of the contract on the part of the shipowner under Article 11 and has lead to the contract termination.
The contract is worth USD 109.5 million, around USD 55 million per respective ship. The order corresponds to the one made by Greek owner Golden Union Shipping placed in 2013.
World Maritime News Staff