STX Shipbuilding to spend US$1b in China
STX Shipbuilding Co, the world's sixth-largest shipbuilder, and three of its affiliates, may spend as much as US$1 billion (US$1 = RM3.46) to build the first shipyard by a South Korean company in China.
The companies, including STX Heavy Industries Co, STX Corp and STX Engine Co, may spend about US$500 million by the first half next year and the remainder by 2009 to build the shipyard complex in Dalian, H.S. Lee, a spokesman at the companies' parent STX Group, said yesterday in Seoul.
Lee was confirming comments made by the group's chairman Kang Duk Soo to reporters in Shanghai last Thursday.
STX Shipbuilding and other South Korean shipyards are expanding abroad to lower costs and increase capacity, as growing trade and higher oil prices drive up demand for vessels.
South Korea's shipyards, which won almost half of last year's orders in the US$100 billion ship industry, have enough orders to keep them busy for more than three years.
The companies also plan to post combined sales of US$3 billion in 2012 at the new complex in Dalian, Lee said, citing Kang.
Today's US$1 billion amount includes the initial paid-in capital of US$84 million the company announced on September 14.
Separately, STX Pan Ocean Co, South Korea's largest carrier of bulk cargoes, may sell its shares on the country's stock exchange for the first time as early as this year, Kang said.
STX Pan Ocean's shares are currently listed in Singapore and the company had said on March 8 that it was considering a local listing. - Bloomberg
The companies, including STX Heavy Industries Co, STX Corp and STX Engine Co, may spend about US$500 million by the first half next year and the remainder by 2009 to build the shipyard complex in Dalian, H.S. Lee, a spokesman at the companies' parent STX Group, said yesterday in Seoul.
Lee was confirming comments made by the group's chairman Kang Duk Soo to reporters in Shanghai last Thursday.
STX Shipbuilding and other South Korean shipyards are expanding abroad to lower costs and increase capacity, as growing trade and higher oil prices drive up demand for vessels.
South Korea's shipyards, which won almost half of last year's orders in the US$100 billion ship industry, have enough orders to keep them busy for more than three years.
The companies also plan to post combined sales of US$3 billion in 2012 at the new complex in Dalian, Lee said, citing Kang.
Today's US$1 billion amount includes the initial paid-in capital of US$84 million the company announced on September 14.
Separately, STX Pan Ocean Co, South Korea's largest carrier of bulk cargoes, may sell its shares on the country's stock exchange for the first time as early as this year, Kang said.
STX Pan Ocean's shares are currently listed in Singapore and the company had said on March 8 that it was considering a local listing. - Bloomberg