Saudi yard plans on hold

Saudi yard plans on hold

Plans to form a big shipyard on Saudi soil look set to be put on the backburner.

The National Shipping Company of Saudi Arabia (Bahri), Saudi Aramco and Singapore’s Sembcorp Marine signed a memorandum of understanding (MoU) to form a yard back in August 2013. This MoU expired yesterday. Bahri said in a release: “The parties intend to continue their discussion and sign a new MoU or extend the expired MoU.”

Plenty of shipyard executives in the Middle East have repeatedly told Splash that there is already too much yard capacity in the region, leading to cutthroat rates.

Sam Chambers

Starting out with the Informa Group in 2000 in Hong Kong, Sam Chambers became editor of Maritime Asia magazine as well as East Asia Editor for the world’s oldest newspaper, Lloyd’s List. In 2005 he pursued a freelance career and wrote for a variety of titles including taking on the role of Asia Editor at Seatrade magazine and China correspondent for Supply Chain Asia. His work has also appeared in The Economist, The New York Times, The Sunday Times and The International Herald Tribune.

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