COLOMBO, Nov 27, 2014 (EconomyNext) – Sri Lanka’s sole ship builder, the listed Colombo Dockyard, has won an order for a pair of offshore support vessels used in the oil and gas industry.
Officials said the 3,000dwt vessels are scheduled for delivery in May and August 2016 by the yard which has said it wants to expand its business in the offshore market segment.
The latest order is from an Asian vessel owner who already has offshore support vessels being built by Colombo Dockyard which are scheduled to be delivered next year.
Delays in construction of passenger vessels has hit the yard’s ship building and repair revenue this year with September 2014 quarter net profit down 81 percent to 36.3 million rupees from a year ago and revenue down 24 percent to 3.2 billion rupees.
Colombo Dockyard, owned by Japan’s Onomichi Dockyard Company, has built several offshore support vessels and anchor handling tugs for customers from India, the Middle East and Singapore.
These vessels are employed to provide services to offshore oil exploration and production firms.
The ship building and repair market has taken a downturn with the slump in the shipping market caused by an oversupply of ships.