Technical Incident Delays Delivery of Eimskip’s New Boxship (30 SEP 2019)

Iceland’s shipping company Eimskip has delayed the delivery of one of its new container vessels after it encountered a technical incident.

Namely, the first of two 2,150 TEU boxships, the Bruarfoss, suffered damages to its shaft generator while it was being prepared for sea trials set to be held next week.

The company said that the technical incident will delay the delivery of the vessel by up to eight months.

“The shaft generator is made in Europe and a new generator will have to be built and installed to the vessel which is a technically complex task. As a result, it is estimated that the delivery of the vessel will be delayed by six to eight months,” Eimskip explained.

The delivery of the second vessel from the batch, the Dettifoss, is expected to take place in late first quarter of 2020.

The two new-buildings are part of the vessel sharing cooperation with Royal Arctic Line. Eimskip said that the delay would affect the commencement of the cooperation, but the companies are working towards starting the cooperation in early second quarter of 2020, instead of the previously planned first quarter.

“This will be achieved by exploring the possibility of chartering a vessel to temporarily replace Bruarfoss,” the parties noted.

The cost of a new shaft generator is not on Eimskip’s account and the company will begin discussions with the shipyard to evaluate next steps, including compensation for late delivery as defined in shipbuilding contracts.