Otto Marine Shipyard Pte Ltd (Otto Shipyard), has entered into a Memorandum Of Understanding (MOU) with an unnamed port operator to explore the potential development of a fabrication and marine facility, the shipbuilder’s parent company Otto Marine said.
The proposed development is located in Batam, in close proximity to Singapore and to the South East Asia region oil and gas fields.
Otto Shipyard currently operates a 65 hectare shipyard through its sister company PT. Batamec. As disclosed, the project will use a fraction of the yard space and is not expected to cause any disruption to PT. Batamec’s existing shipyard facilities.
The facility is expected to be fully operational by July 2017.
Commenting on the MOU, Michael See, Group CEO said: “ This is especially uplifting with the continued dreary conditions in the oil and gas industry. The proposed development will provide new avenues which will improve our overall competitiveness and give us an edge in the region.
We have strong capabilities in fabrication, ship repair and conversion and we have a healthy client base that has utilised our sophisticated offshore fabrication services over many years. Furthermore, being in Batam helps us obtain cabotage related business. For this upcoming fabrication and marine base, we can provide the above mentioned expertise along with infrastructural and labour support, and the local know-how. “