ASL Marine bags $164m vessel orders
The surging demand for new offshore oil and gas rigs, along with the trend of larger vessels, is driving a related demand for tugs and support vessels as evidenced by ASL Marine Holdings' growing orderbook.
Mr Ang: With these contracts, ASL yards will be busy till FY2009.
The integrated marine company announced yesterday that it has secured new shipbuilding contracts worth $164 million for six Rotor tugs and one heavy lift-cum-pipelay vessel.
Aside from the booming offshore sector, the growth in the container shipping industry and the significant increase in vessel size of not only boxships, but liquified natural gas (LNG) carriers and cruise ships has created steady demand for both more and higher-powered tugs.
Older generation tugs were simply push-pull boats but now have become larger, more powerful and omni-directional.
While local Singapore yards have been active in tug building for many years, analysts forecast that China will become a major tug builder within the next five years.
ASL, which has yards in Singapore and Batam, recently established its first China yard in Guangdong.
The new orders were secured from repeat customers in Europe. The tugs are destined for the offshore oil and gas industry as well as port terminal operations, while the pipelay vessel is for a customer in India.
'The new contract of the heavy lift-cum-pipelay vessel reaffirms the continued demand from the offshore oil and gas sector,' said ASL managing director Ang Kok Tian.
'We have been receiving constant enquiries from potential clients in Europe, the Middle East and Asia. With these contracts, our shipyards will be kept busy till FY2009,' he added, pointing to a recent Merrill Lynch report that said 2007 'looks solid and is primed to at least match that of 2006'.
All six vessels from these most recent orders will be built at ASL's Batam yard and are due for delivery by 2009. ASL's order book now stands at $546 million.
ASL Marine Holdings recently posted a first-half net profit of $16.8 million for the six months to Dec 31, 2006, up 36 per cent, on the back of a 49 per cent growth in revenue to $156.4 million.
Mr Ang: With these contracts, ASL yards will be busy till FY2009.
The integrated marine company announced yesterday that it has secured new shipbuilding contracts worth $164 million for six Rotor tugs and one heavy lift-cum-pipelay vessel.
Aside from the booming offshore sector, the growth in the container shipping industry and the significant increase in vessel size of not only boxships, but liquified natural gas (LNG) carriers and cruise ships has created steady demand for both more and higher-powered tugs.
Older generation tugs were simply push-pull boats but now have become larger, more powerful and omni-directional.
While local Singapore yards have been active in tug building for many years, analysts forecast that China will become a major tug builder within the next five years.
ASL, which has yards in Singapore and Batam, recently established its first China yard in Guangdong.
The new orders were secured from repeat customers in Europe. The tugs are destined for the offshore oil and gas industry as well as port terminal operations, while the pipelay vessel is for a customer in India.
'The new contract of the heavy lift-cum-pipelay vessel reaffirms the continued demand from the offshore oil and gas sector,' said ASL managing director Ang Kok Tian.
'We have been receiving constant enquiries from potential clients in Europe, the Middle East and Asia. With these contracts, our shipyards will be kept busy till FY2009,' he added, pointing to a recent Merrill Lynch report that said 2007 'looks solid and is primed to at least match that of 2006'.
All six vessels from these most recent orders will be built at ASL's Batam yard and are due for delivery by 2009. ASL's order book now stands at $546 million.
ASL Marine Holdings recently posted a first-half net profit of $16.8 million for the six months to Dec 31, 2006, up 36 per cent, on the back of a 49 per cent growth in revenue to $156.4 million.
