(EnergyAsia, June 23 2010, Wednesday) --- Singapore’s Sembcorp Marine has begun work on building a massive integrated shipyard at the newly reclaimed Tuas View Extension on the western part of the island.

When fully completed, the 206-hectare custom-designed, purpose-built yard will boost the company’s total dock capacity by 62% to 3,075,000 dwt. Its strategic location along major sea lanes in the far western end of Singapore will enable the company to tap the growing market for ship repair and conversion.

The facility’s first of three phases will be completed by end-2013. The 73.3-hectare S$750 million phase I development will focus on ship repair and conversion activities and will begin partial operations in the second half of 2012.

Sembcorp Marine said this phase will feature four Very Large Crude Carrier (VLCC) dry docks totalling 1,550,000 deadweight tonnes, a 3,408-metre quay as well as workshops totalling 68,300 sq m for hull and fitting works, a blasting and painting chamber, warehouse and craneage facilities. It will also house a 1,925-sq m health, safety and environment (HSE) centre along with medical clinic facilities, a 2,725-sq m training centre, owners’ offices of 4,125 sq m and a 40,639-sq m multi-storey dormitory for staff.

Designed as a centralised and integrated “one-stop solutions” hub for ship repair and conversion, shipbuilding, rig building and offshore engineering and construction, the facility is equipped to serve a wide range of vessels including VLCCs, new generations of mega containerships, LNG carriers and passenger ships as well as meet new regulatory requirements and environmental standards.

On Monday (June 21), the company held a ground-breaking ceremony for the project, with Lim Hng Kiang, Singapore’s Minister for Trade and Industry as its guest-of-honour. The event was witnessed by Gao Hongfeng, China’s Vice Minister for Transport, Wei Wei, China’s ambassador to Singapore, Ang Kong Hua, chairman of Sembcorp Industries, senior officials from government agencies Economic Development Board, Ministry of Trade and Industry and Jurong Town Corporation.
 
Sembcorp Marine said the facility harnessed 47 years of its proven expertise and track record in marine and offshore engineering and construction. The state-of-the-art yard is designed to maximise operational synergy, production efficiency and critical mass with optimised docking and berthing facilities, an improved dock and quay ratio, a centralised work-efficient layout, and integrated facilities.

Mr Goh Geok Ling, chairman of Sembcorp Marine said: “The ground-breaking of our phase I integrated new yard facility marks a defining moment in our history and a significant leap forward as we forge ahead into our next phase of growth. With its innovative work-efficient design, the state-of-the-art yard development will bolster our home-base capabilities to deliver value-added cost-competitive solutions to our customer partners.”

Mr Goh paid tribute to former President and CEO K.K. Tan for his vision and management in leading Sembcorp to realise the project.

“The idea of the new yard was first mooted by K.K. Tan and his team more than 10 years ago. It was largely driven by our strategy to differentiate ourselves from competition and to stay relevant to the needs of our customers. I would like to thank Mr K.K. Tan and his team for their tenacity in overcoming the many obstacles to bring about the ground-breaking of this new yard today.”