ASRY: Bucking the Slowdown Trend

Maritime Reporter & Engineering News
Thursday, September 12, 2013

By all accounts, Bahrain-based ASRY (Arab Shipbuilding & Repair Yard) is managing to buck the trend of falling revenues and create an optimistic story for the Middle East ship repair industry. It is also resisting the regional trend of falling revenues and increased losses with a 6% increase year-on-year in revenues as well as staying profitable, according to the yard. The secret to the yard’s success is actually no secret at all and has been reported previously in these pages. According to Chris Potter, ASRY Chief Executive, key to recent success has been a series of three key diversifications now coming to fruition
“Due to the fact that ship operators repair schedules and scopes are still being kept to a minimum, 2013 will continue to be challenging for any yard that relies solely on ship repair,” Potter said. The biggest challenge in the ship repair industry in the Gulf is to expand its market share despite a persistent depression in the industry, while simultaneously responding to more competition from new yards opened in the past two years. Diversification in the foreseeable future is going to be imperative if repair yards are going to stay competitive – gone are the days when relying solely on ship repair was enough.”

Striking Out Offshore
The first major diversification for ASRY was ASRY Offshore Services – a division dedicated to rig repair, which accounted for approximately 44% of ASRY’s revenues in 2012, and is directly responsible for the yard’s unusually buoyant position. The second diversification was ASRY Energy Division, launched in late 2011, which is responsible for the production of specialized barges that will form the basis of unique Floating Power Plants, designed by an ASRY joint venture, ASRY-Centrax. Two hulls for these barges have been completed and launched – making ASRY the first and only Middle Eastern yard to diversify into the power generation field. Finally, the third diversification was ASRY Consulting Services (ACS), launched in 2012, which is a team of dedicated engineers, naval architects and senior yard managers that draw on ASRY’s experience to consult on a range of yard-based subjects, including yard operations and management, installation of ballast water monitoring systems and low-sulphur emission systems. ACS is the fastest growing division in ASRY with more than 18 full-time employees, and a full new business pipeline.
By branching out into these new specializations, and multiplying revenue streams, this year ASRY is not only defying the market, but also graduating from a ship-centric repair yard, to a full-service marine optimization complex.
Simultaneously, the yard has continued to invest, with an ambitious $188m expansion project now entering its final phase with the completion of a repair quay wall that brings the yard’s repair berth space up to 4km. Along with four state-of-the-art tugs being built in-yard, an offshore layout area, new sewage treatment plant, new desalination plant, and further infrastructure improvements, the company has had the courage to aggressively invest in a weak market and has been rewarded with a market leading position.

(As published in the August 2013 edition of Maritime Reporter & Engineering News - www.marinelink.com)
 

Maritime Reporter July 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Offshore

Fratelli Neri Orders Damen Tug

One of the largest Italian tug owners, Fratelli Neri S.p.A, ordered its first Damen tug, an ASD 3212, on 21 July 2015.   The vessel will be the first ASD tug

NOIA Applauds Senate Passage of OPENS Act

NOIA President Randall Luthi issued the following statement on the Senate Energy and Natural Resources Committee’s passage of the OPENS Act, which will open new

Shell Moves Ahead in Arctic with Exploratory Well

Shell Oil's icebreaker MSV Fennica weaved through nine remaining protesters hanging from the St. Johns Bridge and made its way toward the Pacific Ocean.   Authorities

Naval Architecture

Fire-stricken Icebreaker Overhauled

SENER concludes the Almirante Irizar icebreaker engineering works for re-outfit and overhaul   SENER reports it has completed the engineering works relating to

ClassNK Releases Guidelines for CNG Carriers

Classification society ClassNK has released its Guidelines for Compressed Natural Gas (CNG) Carriers.   Global economic and population growth is bringing about

Eastern Launches Second MPSV for Hornbeck

Eastern Shipbuilding Group, Inc. has launched the second of two 302’x76’x26’ multipurpose service vessels in the HOSMPSV 310ES series for Hornbeck Offshore Services, LLC.

Barges

WGMA Urges Participation in Menhaden Survey

The West Gulf Maritime Association (WGMA) is urging its members with ships arriving at any port in the western US Gulf to participate in the Menhaden survey.

Singapore MPA Wants LNG Bunkering Options

Singapore's Maritime Port Authority is seeking proposals on liquefied natural gas bunker supplies as it shifts away from fossil fuels towards gas while trying to

MOL's Barge Terminal in Bangkok

Mitsui O.S.K. Lines, Ltd. today announced the signing of a Joint Venture Agreement with SahaThai Terminal Co.,Ltd., a container terminal operation company in Thailand,

Middle East

New Suez Canal Ready for Business

Suez Canal Authority (SCA) chairman Mohab Mamish officially called on international maritime navigation lines to use the New Suez Canal, scheduled to be inaugurated August 6.

Egypt to Allow 24-hour Access to East Port Said with New Waterway

Egypt plans to allow smaller vessels in the Mediterranean direct access to East Port Said around the clock instead of just eight hours a day by building a side channel near the Suez Canal,

Work Begins on $1.6 bln Container Terminal at Jebel Ali Port

DP World Chairman Sultan Ahmed Bin Sulayem announced the start of construction work on a brand new container terminal at Jebel Ali Port, Dubai.   Phase 1 of the

 
 
Maritime Careers / Shipboard Positions Maritime Contracts Maritime Security Maritime Standards Navigation Salvage Ship Repair Ship Simulators Shipbuilding / Vessel Construction Winch
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.2770 sec (4 req/sec)