Singapore Technologies Engineeries, the Singapore based shipbuilder, has terminated a contract with LD Lines, the French ferry company that is part of Louis Dreyfus Armateurs. The contract involved the construction of a cross Channel ferry, to be called the Norman Leader, that should have cost $180 million.
LD Lines said in a statement that the yard had not responded to demands specified in the order. The company says capacities of the vessel would not have corresponded with those specified originally and that a delay in the construction also had prompted LD Lines to cancel the order. The yard will refund LD Lines $129 million and it will refund a further $15 million under certain conditions. Norman Leader had been scheduled for delivery this month and the 12,000 gross ton vessel would have been 162 metres in length.