South Korea’s Hyundai Heavy Industries has won the contract to build a US$5.2 billion shipyard in Saudi Arabia in a joint venture with Saudi Aramco.
The shipyard will have the capacity to produce four offshore rigs and 40 vessels –including three supertankers, a year.
Located in the port city of Ras al-Khair, the yard will also provide maintenance services for rigs and ships.
UAE-based energy services provider Lamprell, and Saudi-based shipping firm Bahri, are also involved in the joint venture.
In a statement, Saudi Aramco said, “The integrated maritime yard will be the largest in the region in terms of production capacity and scale,” adding “Major production operations are expected to commence in 2019.”
It is reported that US$3.5 billion of the total investment for the shipyard will come from the Saudi government, with the rest funded by the joint venture partners.