AVIC Singapore Wins 5-Vessel Orders – Construction in China Shipyards

AVIC Singapore wins US$60 million contract to build five service vessels, subcontracted to be built in China

China mainland based shipbuilding management and consultancy (“M&C”) services provider AVIC International Investments Limited (“AVIC Singapore”), which is a member of the Aviation Industry Corporation of China (“AVIC”)  group of companies, announce  it has secured a US$60 million contract for the construction of five vessels.

The order comprises three  azimuth stern drive tugboats with 55 tons bollard pull each; a diving support vessel, and a bunkering tanker with 1000 deadweight ton cargo capacity. These service vessels, which will be built at the Group’s subcontracted shipyards in China, are scheduled for delivery in 2013. The latest contract win is expected to contribute positively to the Group’s earnings for FY2012 and FY2013.

AVIC Singapore’s Non-Executive Chairman Dr Diao Weicheng said, “This is our first major shipbuilding contract win since our listing on the Singapore Exchange in September last year. It is especially significant for us because our role is not only shipbuilding M&C but includes the entire new building process − signifying our gradual move into shipbuilding. We are forging ahead with our growth strategy to expand along the ship-design, shipbuilding and ship-trading related businesses value chain, in addition to further developing our existing shipbuilding M&C business.”