Hornbeck Offshore is looking to the federal courts to force a shipyard to turn over two under-construction vessels as it continues its bankruptcy proceedings.
The over-the-counter listed shipowner filed court papers Wednesday, requesting Gulf Island Shipyard give it the two multi-purpose support vessels it commissioned for $62.6m each in 2013, but canceled construction in 2018 over contract performance issues.
"[Hornbeck's] proposed plan of reorganization contemplates the Debtor obtaining possession of the Vessels and financing their completion," the complaint for turnover read.
"In this regard, [Hornbeck] negotiated for the permissibility to incur $65m of financing to complete construction of the Vessels."
According to the filing, Gulf Island pushed completion of the vessels back repeatedly, from 2016 to 2017, then to 2018 and 2019 as prices rose and Hornbeck found 1,500 deficiencies on the two ships.
In 2018, Hornbeck terminated the agreement with Gulf Island and chief executive Todd Hornbeck said his company would look to complete the ships elsewhere.
Gulf Island, though, filed a lawsuit in Louisiana state court, accusing Hornbeck of delaying, hindering and disrupting its work and wrongful termination of the contract.
In court papers, Hornbeck said the construction agreement gives it ownership of the vessels and related materials so long as it made all its payments.
Gulf Island, which did not immediately return a request for comment, allegedly says Hornbeck still has outstanding bills.
The filing was made in conjunction with Hornbeck's ongoing prepackaged Chapter 11 bankruptcy in Houston federal court.
Hornbeck is looking to discharge $1bn in debt in exchange for $100m in new equity after securing $75m in debtor-in-possession financing.
It had been hoping it could reach a deal with bondholders as rates for its fleet improved, but no agreement could be reached and March's oil price collapse further battered an already troubled offshore sector.
The company is currently seeking approval from creditors to move forward with the plan.
It intends to emerge from bankruptcy by the end of the month.
