Division expected to cost Rs.100 crore
The shipyard has a total work order estimated at Rs.2,000 crore for 22 shipsShipyard is constructing 19 platform supply vessels for European clients
KOCHI: Cochin Shipyard Limited (CSL) has received in principle approval for setting up a small ships division (SSD) from the Union Ministry of Shipping and the Planning Commission.
The SSD is envisaged to involve an investment of Rs.100 crore and is likely to be commissioned by 2009-10. The new division will be located in the yard's present premises.
The number of ships to be constructed at the yard would be four in 2009-10. The number will go up to six to eight ships a year by 2014-15. The SSD division is expected to bring in a turnover of around Rs.700 crore a year at its fully stabilised position in 2014-15.
The approval for the small ships division comes in tandem with the shipyard putting up a record shipbuilding performance during the last financial year. The Yard touched an all-time productivity level of 1,79,000 DWT during the last financial year surpassing the previous year's level of 1,10,206 DWT.
CSL's net profit for the financial year just ended is around Rs.50 crore (provisional) against the previous year's figure of around Rs.18 crore.
Currently, the yard is constructing 19 platform supply vessels for European clients apart from three bulk carriers for the Clipper group of Bahamas. Work on the bulk carriers are in an advanced stage. The shipyard has a total work order estimated at Rs.2,000 crore for 22 ships. This is in addition to the building of the air defence ship for the Indian Navy.
Meanwhile, the shipyard delivered a platform supply vessel to Deep Sea Supply, Norway, on Thursday. This is the second of a series of eight ships being built for the same client.
The platform supply vessel delivered by CSL on Thursday is of the popular UT-755-L design of which about 120 vessels are either built or are being built across the globe, said a statement from the shipyard here.
The vessel is designed and built to meet the specific demands of the offshore industry for transport of deck cargo, pipes liquid cargo, cement etc and unloading to rigs, production platforms and pipe-laying barges, said the statement.
The Rolls Royce Ship Technology Group has designed these ships. The ship is built and classified under the most stringent rules and regulations of Det Norske Veritas and is classed for unmanned engine room and dynamic positioning grade I.
The vessel also satisfies `CLEAN' notation of DNV, which signifies high standards of environment safety, the statement added.