REG - Harland & Wolff - Letter of Intent – Major Vessel Refurbishment

Harland & Wolff groupAnnouncement

31/07/2023 07:00

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RNS Number : 6419H  Harland & Wolff Group Holdings PLC  31 July 2023

This announcement contains inside information

 

31 July 2023

 

 

 

Harland & Wolff Group Holdings plc

("Harland & Wolff" or the "Company")

 

Letter of Intent - Major Vessel Refurbishment

 

Harland & Wolff Group Holdings plc (AIM: HARL), the UK quoted company
focused on strategic infrastructure projects and physical asset lifecycle
management, is pleased to announce that it has been issued a Notice to Proceed
("NTP" or "LoI") for the mid-life upgrade and dry docking of a large vessel.
Harland & Wolff was chosen by the client for its ability to execute on a
complex mid-life upgrade utilising the Company's market leading drydock in
Belfast, the largest in the UK.

 

Subject to formal execution of the contract, the vessel is expected to be in
the dry dock for a period of five months through early 2024 and the contract
value is expected to be in the region of £60 million - £70 million,
dependent on the extent of final works undertaken. As part of the overall
project delivery, a sum of £5 million will be made available to the Company
immediately to commence various workstreams in 2023 prior to the arrival of
the vessel. Apart from the initial sum, this LoI is non-binding and will be
subject to execution of a formal contract that is expected within 2-3 months.

 

A further announcement will be made on execution of the final contract.

 

For further information, please visit  www.harland-wolff.com
(http://www.harland-wolff.com/)   or contact:

 

 Harland & Wolff Group Holdings plc                                        +44 (0)20 3900 2122

 John Wood, Chief Executive Officer                                        investor@harland-wolff.com (mailto:investor@harland-wolff.com)

 Arun Raman, Chief Finance Officer                                         media@harland-wolff.com (mailto:media@harland-wolff.com)

 Cenkos Securities plc (Nominated Adviser & Broker)                        +44 (0)20 7397 8900

 Stephen Keys / Callum Davidson / Dan Hodkinson (Corporate Finance)

 Michael Johnson (Sales)

 Liberum Capital Limited (Joint Broker)                                    +44 (0)20 3100 2000

 Nicholas How / Edward Mansfield / Lucas Bamber / Antonia Brown

About Harland & Wolff

Harland & Wolff is a multisite fabrication company, operating in the
maritime and offshore industry through five markets: commercial, cruise and
ferry, defence, energy and renewables and six services: technical services,
fabrication and construction, decommissioning, repair and maintenance,
in-service support and conversion.

 

Its Belfast yard is one of Europe's largest heavy engineering facilities,
with deep water access, two of Europe's largest drydocks, ample quayside and
vast fabrication halls. As a result of the acquisition of Harland & Wolff
(Appledore) in August 2020, the company has been able to capitalise on
opportunities at both ends of the ship-repair and shipbuilding markets where
there will be significant demand.

 

In February 2021, the company acquired the assets of two Scottish-based yards
along the east and west coasts. Now known as Harland & Wolff (Methil) and
Harland & Wolff (Arnish), these facilities will focus on fabrication work
within the renewables, energy and defence sectors.

 

In addition to Harland & Wolff, it owns the Islandmagee gas storage
project, which is expected to provide 25% of the UK's natural gas storage
capacity and to benefit the Northern Irish economy as a whole when completed.

 

 

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