CNN is good news for Sestao

Spanish shipbuilder Construcciones Navales del Norte (CNN), the successful bidder for the assets of Sestao’s La Naval shipyard in Bilbao, forecasts earnings of 200 million euros a year over the next five years, with the current workload under contract (two dredgers, five cargo vessels and a methane tanker under construction), together with other contracts now being finalized that should include an extra dredger, a shuttle and four freezer container vessels. Management at CNN are even optimistic about La Naval making a profit next year.

CNN chairman José Luis Alvarez made these figures public during a press conference in Bilbao, at which he also announced the forthcoming arrival of Norwegian shipbuilder Knutsen as a company shareholder. Knutsen is expected to take an 8% stake in CNN.

Alvarez officially confirmed that his company had received notification of the award of La Naval’s assets and declared that at the end of next week or the beginning of the following one the company expected to sign the private sale contract. All outstanding red tape and legal procedures should have been completed by late September, when CNN would finally become the “legitimate” owners. Alvarez said that CNN planned an internal workforce of 340 at La Naval. The shipyard employs 560 people at present. Alvarez stressed that CNN planned on having “a minimum quasi-permanent ancillary workforce of 500”, which could go as high as 1,000 or 1,200 workers. “On average,” he continued, “we could be talking about 800 people, plus the other 340 permanent shipyard staff, for the moment. We are looking to keep more than 1,000 workers busy here.