Norwegian transport and installation contractor OHT has said it is frustrated by delays to offshore wind contract tenders as it revealed losses narrowed in the second quarter.
The company said that none of the deals it is bidding for have been awarded to date.
“Whereas we are somewhat frustrated by the delays in contract awards as compared to developers’ previous plans, we are confident that they soon will be forced to conclude to safeguard the overall project development plans,” OHT stated in an earnings release.
“Shareholders should note that none of the tenders in which the company has participated have to date been awarded. This means that all contract opportunities maintain their full upside potential for the company, and we expect several of these projects to be declared and concluded within reasonable time.”
OHT reported a $100,000 loss for the three months of the second quarter, compared to a $4.3m loss in the first quarter of the year.
Operating revenue was up to $17.8m, up from $11.7m.
“The company remains disciplined when it comes to pricing and selection of T&I projects that we tender for. In certain situations, this may lead to other contractors securing contracts that the company is tendering for, thus potentially delaying a positive news flow,” it added.
“Management remains confident that the timing for entering this market is exactly right, as it will be characterised by tightness on the supply side for several years.”
OHT is to combine with Subsea 7’s renewables business to former Subsea 7 ASA from 1 October, subject to final approvals.