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SINGAPORE SHIPREPAIRING, SHIPBUILDING & OFFSHORE INDUSTRIES DIRECTORY 2019/2020
Shiprepairers can look towards better re nery location, thereby reducing operational
costs.
According to Energy Market Associates (EMA), 11 FPSO contracts were awarded in 2018, the same as in 2014 when oil prices breached US$100 a barrel. In 2019,EMA expects a slight pick-up in awards to 12-15 FPSOs. Conversion is expected to account for a sizeable percentage of the total as the capital expenditure of converted FPSO is less than a new-built FPSO.
Singapore Strengthens Its
Repair Capability
Singapore is already witnessing a spike in repair and conversion. In 2017, the latest gures available, the repair sector generated revenues of S$5.55 billion, up 21.4% over 2016, accounting for 56.6% of the marine industry’s gross turnover. It was the shiprepair sector’s best performance in eight years.
According to the Maritime and Port Authority of Singapore (MPA)’s port statistics 3,507 vessels aggregating 33,714,000 gross registered tonnes called in Singapore for repairs. Apart from tankers, general cargo and container ships, Singapore yards also saw an increase in LNG carriers.
days on higher demand for repair and maintenance and sustained interest in
In its latest forecast, 2018-2028, Future Market Insights expects the global repair and maintenance market will grow at a CAGR of 6.9% to reach US$39.9 billion by 2028. Expansion in seaborne trade, increasing age pro le of vessels and changes in international regulations will foster growth.
As a leading centre for shiprepair and maintenance, Singapore will ride on the industry’s expanded demand. As the report noted Singapore will continue to dominate the global ship repair and maintenance services market, while China and India will gain traction over the forecast period, owing to the anticipated increase in regional trade.
As the foremost centre for FPSO conversion, Singapore is also bene tting from stronger requirements for FPSOs. Flexible and cost effective, they are the vessels of choice for marginal elds. Being oating units, they eliminate the need for pipeline infrastructure to transport crude oil produced from well head to
FPSOs.
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