Hard Times for Uljanik, Jan De Nul Wants Money Back

Jan De Nul Group is demanding the repayment of all installments paid to Croatia’s troubled Uljanik Shipyard, plus interest, after they cancelled an order for Newbuilding 500 – a cutter suction dredger.

The Shipbuilding Contract for Hull 500 was signed two years ago between Uljanik d.d. and Dredging and Maritime Management SA (DMM) Luxembourg, the company in ownership of Jan de Nul Group.

On April 19, the client said that it would seek the repayment of its advance payments for the vessel that was to have been built by the shipyard, Uljanik said in a statement via the Zagreb Stock Exchange.

“Upon the negotiations which lasted few months among the Buyer, institutions of Republic of Croatia and Uljanik d.d. which aimed that instead repayment of advance payments the vessel be completed in Uljanik Shipyard or alternatively in foreign shipyard, the Buyer made final decision by which he requests repayment of advance payments increased for the interest,” the statement said.

According to the subject, Shipbuilding Contract Uljanik d.d. is obliged in period of seven days from receipt of the request in headquarters of the company to effect repayment of advance payments increased for interest whereby the part of advance payments has been secured by state guarantees.

The interested parties will continue to work on finding a solution to reduce the harm the latest developments are expected to cause to the state and the shipyard.