IHI is the main contractor for two newbuild hulls, one for the Keppel Fels-owned drillship Can Do and the other for Premier Oil’s Catcher floating production, storage and offloading vessel.
A third project is the construction of 16 liquefied natural gas storage tanks to be installed on four vessels.
Earlier, IHI warned about cost and schedule overruns and, in its latest results, said there had been a profit deterioration of about 22 billion yen ($198 million) in the six months ended 30 September as a direct result of the three projects.
“We arrived at this figure after factoring in the maximum costs that we can foresee at this juncture, and do not expect a further deterioration in the second half,” said IHI.
The company has not only frozen new offshore orders but said it is considering an exit from the offshore business.
