ICLG: Project Finance 6/2017

"Traditionally, in Norway, project financing has been viewed in connection with the construction of ships, rigs and other offshore units. The number of new project financings in the shipping and offshore sectors has, however, been significantly reduced over the last few years. During 2016 there were very few new financings in these sectors. 

The dramatic fall in oil prices, the cost-cutting projects of the oil companies and the oversupply of offshore service vessels have rendered financing of new projects very difficult. A huge number of vessels within these sectors are currently laid up and most of the ship-owning companies on the western coast of Norway are undergoing finacial restructuring. The few projects in these sectors which have been able to obtain finacing during 2016 are characterised by long and solid contracts with reliable counterparties and financially robust owners."

The article is published in "The International Comparative Legal Guide to: Project Finance" 6/2017. The London-based Global Legal Group distributes legal guides on different areas of law. 

Read the full article here. (.pdf)