SHIP REPAIR, SHIP BUILDING
AND MARINE ENGINEERING
Operations and Financial Review
The two remaining PSVs were delivered by COSCO
Dalian to China Oilfield Services Limited (COSL) – the
‘Hai Yang Shi You 660’ in July 2015 and the ‘Hai Yang
Shi You 661’ – in September 2015. The vessels each
measures 85.4 metres LOA, 20 metres in breadth,
8.6 metres in depth and has a deck space of 1,000
square metres. They are designed to transport supplies
and crew, as well as provide rescue and fire-fighting
services for offshore platforms.
NEW ORDERS
Reeling from the sharp decline in oil prices since the mid-
2014, the oil industry has seen massive cuts in capital
expenditure relating to exploration and production,
taking the wind out of the offshore marine engineering
market in 2015.
Difficulties in the global shipping industry continue to
adversely affect demand for newbuilds.
During the year under review, we managed to secure
US$820 million of new orders, despite intensified
competition for fewer orders and burgeoning tonnage
surplus. As at 31 December 2015, our order book
stood at US$8 billion with progressive deliveries up to
early 2018.
In February, COSCO Zhoushan secured an order for a
152,000 DWT shuttle tanker from a European company.
This is the second 152,000 DWT shuttle tanker the yard
has undertaken to build for the buyer. The vessel will
measure 276 metres LOA, 46 metres in breadth and
24.3 metres in depth. It will be classed by DNV GL and
is scheduled for delivery in the first quarter of 2017.
In March, we clinched a landmark deal to build seven
units of 3,600 TEU ice-class container vessels for
Maersk Line. They will be built by COSCO Zhoushan
and are scheduled for progressive delivery from April
to November 2017. Each vessel will measure 200
metres LOA, 35.2 metres in breadth and 18.1 metres in
depth. Maersk Line had ordered the ice-class vessels
for Seago Line, its fully-owned container shipping
line dedicated to short-sea services in Europe and
throughout the Mediterranean region. The vessels are
designed to achieve greater economies of scale and
provide Seago Line short-sea and feeder customers
with competitive services, even in the winter. They will
run on marine gas oil (MGO), and are compliant with
the SOx (Sulphur oxides) emission limits, which went
into force 1 January 2015, creating the ECA (Emission
Control Area) zone in Northern Europe. This is the first
time we are building container vessels.
In May, COSCO Guangdong secured a contract from
the UK offshore support vessel operator Sentinel
Marine, to build one tanker assist / emergency response
/ rescue / field support vessel (TAERRV). The vessel is
expected to be delivered in the first quarter of 2017. The
vessel will provide emergency cover, firefighting, oil spill
response preparedness and tanker assist capabilities
for the Mariner field (UK sector of the North Sea). It will
measure 65 metres LOA, 16.6 metres in breadth, 6.8
metres in depth, have a dead-weight of 1,450 tonnes
and a cruising speed of 13.5 knots. Classed by ABS,
it will meet the DP2 dynamic positioning requirements
and be equipped with two 4,000-bhp propulsion
motors and deck towing winches.
In June, COSCO Guangdong secured a contract to
build a research vessel for an Asian buyer. As the first
integrated marine geological research vessel to be built
by our shipyard, it will adopt a brand new design. It will
be equipped with 20 sets of highly advanced research
equipment used for geological, geophysical and
hydrographic survey and for information management.
In October, COSCO Nantong secured a contract to
construct two cargo transfer vessels (CTVs) for an
Asian buyer. First of its kind, the innovatively designed
vessel will create a new system of transferring oil on-
station at the oil field. COSCO Shipyard is responsible
for the basic, detail and production designs for the
vessel. The vessels, which will be classed by DNV,
will accommodate a crew of 36. Four variable speed
diesel engines and two sets of main propulsion, and
additional rotary telescopic thrusters will provide a
powerful dynamic positioning ability. Each vessel will be
equipped with two 5-tonne cranes.
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COSCO Corporation (Singapore) Limited
Annual Report 2015
