AOTEAROA CHIEF

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Cement carrier suffered mechanical problem

The 'Aotearoa Chief' suffered a mechanical problem and was berthed at Marsden Point since July 28, 202. The incident has led Fletcher Building to warn the NZ Stock Exchange the possible cost of disruption to its Golden Bay Cement business could range from NZ$10 million-30 million. The vessel was docked at Northport while inspections and repairs were made by the owner. The timeframe required to make the necessary repairs, and source replacement parts, was not known as of July 29,. The supply chain was actively worked through in order to minimise any potential disruption to North Island customers while the vessel was being repaired. Golden Bay has engaged with its customers and has enacted its contingency plans, which included the immediate use of alternative transport options to distribute cement. These options included the use of its existing coastal barge and the greater use of road and rail options. Fletcher Building was also investigating longer term solutions, which included potentially sourcing the use of alternative cement supplies from domestic and offshore suppliers along with securing the use of a replacement ship if required.