200 lose jobs in shipyard bankruptcy

Bookmark and Share

The bankrupcy filing this week of Noryards Fosen shipyard in Trøndelag will throw another 200 people out of work, the latest casualities of the slowdown in Norway’s oil and offshore industries.

Newspaper Dagens Næringsliv (DN) reported that the yard failed to secure a contract for the construction of a new subsea vessel. The contract was worth NOK 700 million and would have provided enough work to keep the yard operating.

Around 120 of Noryards Fosen’s staff are already on furlough while 72 had hung on to their jobs. Around 80 employees have lost their jobs over the past two years. Now the roughly 200 remaining will be out of work as well.

DN reported that the yard was believed to have debt of around NOK 235 million, most of it owed to suppliers who haven’t been paid. “It’s with great regret that the board has decided to file for bankruptcy,” the yard’s chief executive, Ivar Hanson, stated. A sister yard in Bergen, however, will remain in operation. The yards are owned by a Ukrainian investor through his Luxembourg-registered company Calexco, which took over after Bergen Group’s heavy losses on new ferries built for Fjord Line.

newsinenglish.no staff