Seatrium has reached an agreement with Phoenix II, an affiliate of Maersk Offshore Wind, to resolve a dispute related to the construction of a wind turbine installation vessel. The agreement follows earlier termination notices and arbitration proceedings initiated by both parties in connection with the vessel construction contract. Under the revised arrangement, Seatrium Energy International will deliver the vessel, with Phoenix II taking delivery by 28 February 2026.
Upon delivery, Phoenix II will pay the remaining balance of the contract price, amounting to US$360 million, subject to contractual adjustments. Part of this amount, US$250 million, will be financed through an interest-bearing credit facility provided by Seatrium subsidiary Seatrium SG. The credit arrangement has a term of up to 10 years and will be repaid from cash flows generated by the vessel. The lender will hold a mortgage over the vessel, alongside priority rights over the vessel and designated bank accounts.
As part of the settlement, both parties have agreed to withdraw and discontinue all arbitration proceedings. The contract is confirmed to remain in full force and effect. Seatrium stated that the resolution is not expected to have a material impact on its net tangible assets or earnings per share for the financial year ending 31 December 2025.
According to the company, the project is approximately 99.8% complete. Seatrium said the agreement provides a practical route to completion while avoiding the risks and costs associated with prolonged legal action. Further updates will be provided if there are material developments.
