Davie Yard Joint Venture, consisted of Upper Lakes Group, SNC Lavalin and Cecon ASA, and established to complete the three vessels under construction at Davie Yard, is about to lose one of its participants.
SNC-Lavalin decided to cease its efforts to participate in the Davie Joint Venture. After an extensive analysis, they concluded that this initiative did not pass the financial or business risk criteria required to proceed. SNC-Lavalin will collaborate with all stakeholders to facilitate the transition.
Cecon regrets the withdrawal, however alternative solutions are under negotiations and development for delivery of the vessels. During the process up until the withdrawal the yard was made ready for a start-up in mid-June.
Based on successful negotiations and development Cecon expects possible delays to be minor.
Cecon is a subsea contractor involved in the fields of project management, engineering and subsea installation for the offshore oil and gas and renewables industry. Their business is to carry out contracts (both EPIC and T&I) in both the SURF market and the rigid pipelay/heavy lift market. Cecon has completed a range of projects worldwide primarily involving the installation of rigid and flexible pipelines, umbilicals and cables.
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Subsea World News Staff, June 04, 2012; Image: Cecon