The year is 2019. The krill company Rimfrost from Ålesund and the shipyard group Westcon from Ølen in Rogaland enter into an agreement. Westcon was to build a vessel for Rimfrost that would “revolutionize” krill fishing in the Antarctic. The contract is worth over one billion kroner. Rimfrost is owned by Stig Remøy, who is on Kapital’s list of Norway’s richest people with a fortune of NOK 3.5 billion. With the new vessel, Rimfrost should gain a competitive advantage in fishing for the shrimp-like crustacean krill in the Southern Ocean in Antarctica. This has not been the case so far. In 2020, there was a solemn ceremony to mark the start of the “steel cutting” in Turkey. Just over a year later, the ship was launched to great celebration and fireworks. Photo: Rimfrost Krangel The Rimfrost group is engaged in krill catching, processing of krill and sale of krill products that humans and animals can eat. Therefore, Rimfrost and main owner Remøy wanted to build a ship that was described as “the world’s most modern and green krill vessel”. The management made no secret of the fact that they had high expectations for the vessel. With minimal emissions and green technology, Rimfrost was to fish for krill in the Antarctic with a ship that lacked an equal. The ship had to withstand demanding operations in Antarctic waters. The 120 meter vessel was to be built by the shipyard group Westcon, and the hull was to be built at the Tersan shipyard in Turkey. The shipyard has long collaborated with Norwegian shipping companies, and in 2023 Norwegian vessels will account for 45 percent of Tersan’s activity, according to Kystmagasinet. The shipowner Stig Rune Remøy is the general manager and owner of Rimfrost. The group has two licenses for krill fishing in Antarctica. Photo: Arne Flatin The contract was also gigantic for Westcon, which was to build the largest and most expensive fishing vessel in the company’s history. But everything did not go as planned. In the annual accounts of the Westcon Group, it is stated that a dispute has arisen between the contract partners – the companies Westcon 39 and Rimfrost Antarctic. The dispute concerns the financing of the new building and the implementation of the contract. Rimfrost is not satisfied with the way Westcon 39 has fulfilled its part of the agreement. – Because this is an ongoing case, we do not want to comment now, writes Rimfrost owner Stig Remøy in an e-mail to news. Krill are an indispensable part of the Antarctic ecosystem. Whales, seabirds, seals and fish eat krill in the Southern Ocean. Photo: Wikimedia Commons Ports in court The vessel was to be ready for use in 2022. With minimal emissions, heat recovery from exhaust and a high degree of electrification, the ship was to sail from Turkey to Norway for completion. But as of July 2023, the completed ship is still at the shipyard southeast of Istanbul. – The case is ongoing, but we are in dialogue with Rimfrost, says Jarle Christian Sørhaug, general manager of Westcon Group. Jarle Christian Sørhaug is general manager of Westcon Group. Photo: Westcon The attempts to reach an agreement ran aground, and this spring the case was sent to arbitration. It is still unclear when the parties will meet in the arbitration court. The conflict between the parties has meant that Tersan in Turkey has announced that it wishes to cancel the contract with Westcon 39. If that happens, it is entirely possible that the Westcon company will not be paid for its outstanding claims. – There is nothing new about the contract that may be cancelled. It is still uncertain, says Sørhaug. As far as news is aware, the unpaid claim is NOK 276 million. In April, Rimfrost filed a so-called temporary injunction before the Haugaland and Sunnhordland District Court against Westcon 39 with a demand for temporary protection of its alleged claims. The claim was dismissed, and Westcon 39 was awarded full court costs.
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Money dispute between Westcon and Rimfrost over billion-dollar ship – news Rogaland – Local news, TV and radio
