Business | Shipping
Drydocks World to open $300m centre
Drydocks World, a unit of Dubai World, will develop a $300 million (Dh1.1 billion) marine services centre on Indonesia's Batam Island as the company expands its ship repair and fabrication business in Southeast Asia.
- By Shakir Husain, Staff Reporter
- Published: 00:55 October 21, 2008
- The Nanindah shipyard on Indonesia’s Batam Island near Singapore.
- Image Credit: Supplied Picture
Batam, Indonesia: Drydocks World, a unit of Dubai World, will develop a $300 million (Dh1.1 billion) marine services centre on Indonesia's Batam Island as the company expands its ship repair and fabrication business in Southeast Asia.
Chief executive officer Geoff Taylor said Drydocks World will hold an 80 per cent stake in the project in which Dubai-based steel fabrication firm Fabtech is a partner.
The marine services centre will cover 172 hectares, an area 22 per cent larger than the total combined land of the three shipyards on Batam and one in Singapore operated by Drydocks World.
"This centre will be like Jadaf," Taylor told Gulf News, referring to the Al Jadaf ship repair services complex operated by the company in Dubai.
"We will build the main facilities ourselves, but land will also be available to specialist services companies."
The site was acquired last year and a part of the land will be reclaimed from the sea. Reclamation work will start next year, Taylor said.
Major player
Batam, located 20 kilometres south of Singapore, is home to more than 60 shipyards, with Drydocks World being a major player with a workforce of about 20,000 in jobs ranging from shipbuilding to rig-making and vessel repairs.
Drydocks World entered Southeast Asia last year after it took over Singaporean firms Pan United Marine Limited and Labroy Marine Limited.
Drydocks World's largest shipbuilding facility is in the Nanindah area in Batam, with other two facilities located close by in Graha and Pertama.
Expansion projects are being implemented to add new capacity at the existing facilities.
The Nanindah shipyard at present has 18 vessels, including cattle carrier, cement ship and offshore supply boats under construction.
It has orders for another 52 vessels that can keep the yard busy for another two years.
The shipyard will get eight more gantry cranes and its open fabrication area will be expanded. Offshore rig-making capacity is also being added, while the 172-strong fleet of offshore service vessels will see a significant growth.
Share this article
More from Shipping
More from Business
Popular in Business
-
Budget travel
Airlines in the region
Take a pictorial look at some of the budget airlines in GCC
Business Editor's choice
-
It costs a million to raise a child
Generation Z doesn't leave home at 18, but stay with the parents until mid-20s
-
Investing in funds doesn't come cheap
Many people are unaware of the effect of different expenses on their returns
-
Firm turns televised events into marketing dream
Drops anchor in Dubai to sell world's richest yachting races
