First disbursement under new ship financing solution

The wellboat company Sølvtrans became the first recipient of a loan disbursement under Norway’s new officially supported ship financing solution, which aims to make it easier for shipping companies to choose Norwegian shipyards and equipment suppliers.

The loan disbursement coincided with delivery of Sølvtrans’ new wellboat Ronja Explorer, built at Aas Mekaniske Verft in Vestnes, outside Ålesund. Numerous Norwegian businesses have contributed as sub-contractors.

Foto: Sølvtrans

The new ship financing solution allows Export Credit Norway and GIEK to provide loan and guarantee arrangements to Norwegian purchasers of ships built at yards in Norway and destined for use in Norwegian waters. Financing is available for a range of vessels, including fishing boats, ferries, express boats and wellboats.

The loan agreement with Sølvtrans relating to Ronja Explorer is Export Credit Norway and GIEK’s first joint agreement under the new solution. Export Credit Norway has issued a NOK 170.8 million loan to Sølvtrans, representing approximately 70% of the ship’s build cost. GIEK is guaranteeing the loan in collaboration with DNB, Nordea, Sparebanken Vest and SpareBank1 SR Bank.

By the end of the first quarter 2019, Export Finance Norway had recieved 28 applications directly connected to the new ship financing solution. In toyal, the value was about eight million NOK.

Pleased minister

“The ship financing solution is a relevant, targeted measure which promises to have positive effects on both the Norwegian shipyard industry and skilled supplier companies. The maritime sector has repeatedly demonstrated a fantastic ability to adapt to market conditions, and I am pleased that we have introduced a financing solution which is further improving its competitiveness,” says Minister of Trade and Industry Torbjørn Røe Isaksen.

Important for the shipping company

Sølvtrans Rederi AS is a world-leading transporter of live salmon and sea trout in wellboats. The company has 300 employees, and a fleet of 21 vessels. Ronja Explorer will be deployed on a five-year charter with Sinkaberg-Hansen AS and Emilsen Fisk, with an option for a two-year extension. The boat has a load capacity of 2,500 cubic metres of live fish.

“We are very pleased to be able to take advantage of this offer, and that the solution is open to wellboats. At Sølvtrans, we want to create and safeguard Norwegian jobs. Moreover, Norwegian shipyards are world-class, and working with the best is vital in our development of new technology,” says Sølvtrans CEO Roger Halsebakk.

He emphasises that although the loan has been issued on market terms, the arrangement is still advantageous to the company.

“Using Export Credit Norway and GIEK allows us to diversify our sources of credit, on competitive terms. This is important for a growing company like ours,” he says.

Contact us:
Stig Gjethammer
Stig Gjethammer Ocean Industries +47 975 43 444 +47 975 43 444
Olav Einar Rygg
Olav Einar Rygg Head of Lending +47 995 85 074 +47 995 85 074

Published 01. Jul 2019