Bermuda-based Dockwise Ltd. is weathering the current financial crisis well, according to shipping industry publication BYM Marine & Maritime News.

The company has announced five near-term contracts worth $40 million awarded to its subsidiaries, Dockwise Shipping and Offshore Kinematics Inc (OKI), for the transportation of drilling rigs and dredging equipment, and the supply of float-over hardware.

And in the light of today's economic conditions, Dockwise has moved to reiterate the security of its debt structure and the strength of its cash-flow position.

Current trading has continued consistently in-line with guidance provided at its interim results announcement.

Dockwise Shipping will transport the drilling rig, Noble Hans Deul, from its new-build yard in China to its first assignment in the North Sea. Jack-up rig Noble Carl Norberg will be moved from West Africa to a new assignment in Mexico.

On behalf of CCCC from China Dockwise Shipping will also transport three loads of dredging equipment to Nigeria and Sri Lanka. All projects will be carried out in the final quarter of 2008, worth total revenues of more than $27 million.

OKI has been contracted by the EOS/Woodside joint venture to provide float-over hardware on the North Rankin B project. For this contract, OKI will invest $4 million in the world's largest test press, enabling it to secure a range of similar offshore marine projects.

It will also provide for OKI to expand into several services increasingly sought by clients: rubber moulding, fabrication and machining. The contract, largely for execution in 2009, has a value of almost $13 million.

Dockwise's debt structure, covenants and repayment terms were unchanged and its debt facility was unaffected by the recent crisis in the banking industry.

Debt has peaked at $1.04 billion, with 75 percent of interest fixed at 5.05 percent. Cash conversion from EBITDA remains stable and consistent with previous quarters.

The stated 2008 EBITDA guidance of $225m, provides for comfortable headroom for both principal covenants, leverage and interest cover for the remainder of the financial year. .

Looking ahead to 2009, the completion of Dockwise's fleet expansion and refurbishment programme will ensure substantially lower capex; some $50 million compared to approximately $240 million in 2008, allowing the board to plan for a marked drop in financial gearing and to utilise free cash flow to deleverage the balance sheet.

Scheduled repayments of debt will start in 2009 ($10 million) and continue through 2010 ($10 million) and 2011 ($12.5 million).

André Goedée, chief executive of Dockwise, said: "Progress in 2008 continues according to plan and we see encouraging signs in our markets as we look ahead into 2009. Our investment in fleet refurbishment and expansion during 2008 has equipped Dockwise well to capture growth opportunities in both traditional and new markets.

The current capex programme is nearing completion and following the final instalments this winter, Dockwise will become free cash-flow positive during the first quarter of 2009. We will then progressively deleverage our business and review options to develop value and reward shareholders."

The company will release its third quarter results on November 17.