Oslo-listed Philly Shipyard has remained idle in the second quarter as it seeks new orders.

The yard handed over the second of two containerships constructed for Matson at the end of March and has executed vast cuts to its workforce until fresh contracts are secured.

The facility employed around 1,200 people at the beginning of last year, but is down to a skeleton staff of about 80 people now.

Cost-saving initiatives have been put in place, and it expects to maintain a cash burn rate of between $1.5m and $1.7m per month.

The company, which owns a shipyard in the US city of Philadelphia, posted a net loss of $2.8m to 30 June, compared to $2m the year before.

There was no revenue in the period, against $40.4m in 2018.

"Currently, there is no shipbuilding or repair activity at the shipyard and all production facilities are idle and both graving docks are empty," the company said.

"Philly Shipyard plans to keep a core group of employees to focus on efforts to secure new orders and transition the shipyard into a mix of commercial and government work," Philly Shipyard added.

The company has also begun to recall some of its laid-off workers to staff a short-term repair contract for SS Antares, a US Maritime Administration (MarAd) cargoship.

The company "continues to pursue a mix of newbuild and repair opportunities in the commercial and government markets", Philly Shipyard said.