Singapore oil and gas fabricator Sembcorp Marine said today it continues to face supply chain constraints and a shortage of skilled workers as a result of Covid-19.

"Foreign workers who left Singapore over the past year could not return due to ongoing border controls in countries such as India and Bangladesh," the company said in its first-quarter business update.

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"The improving Singapore economy has also led to increased competition for foreign labour already here, resulting in attrition of labour to competing industries. The shortage of skilled workers has impacted the execution and scheduled completion of some of our projects," it added.

The company is trying to secure skilled workers from other countries and is working with the relevant authorities to expedite their entry into Singapore.

Meanwhile, the company is working closely with its customers "to co-ordinate and re-schedule project completions. This remains a key priority".

"While discussions are ongoing, there has been no cancellation to-date of any of our existing projects."

There were a number of highlights in the quarter including a significant contract for the design, construction, installation and commissioning of the offshore converter platform (OCP) for the Sofia Offshore Wind Farm.

The platform will comprise an 18,000-tonne topside and jacket foundation structure piled into the seabed 220 kilometres from the nearest shore.

Sembcorp Marine also secured a long-term repair and upgrade contract with a European cruise ship owner, and delivered a floating storage regasification vessel to Karmol for deployment in Senegal.

However, the company expects losses to continue for the 2021 financial year amid a "challenging operating environment".