Corp wins contracts worth US$563m

Source: Cannel NewsAsia

SINGAPORE : COSCO Corp (Singapore) Ltd said Wednesday it has secured more than half a billion US dollars worth of ship conversion and shipbuilding contracts from international customers.

The Singapore-listed firm said its 51-percent owned COSCO Shipyard Group won the contracts totalling US$563 million, but did not name the customers.

The projects, which include 10 conversions and the building of eight new bulk carriers, will be carried out at COSCO's shipyards in China, COSCO Corp said in a statement.

Each conversion will take between 160 and 180 days to complete, with progressive deliveries expected by the third quarter of next year.

The bulk carriers are to be delivered from May 2009 to March 2010, it said.

"Many of our contracts had been sealed with world-renowned global industry players," said COSCO Corp vice chairman and president Ji Hai Sheng.

"As we advance our shipyard competencies and enlarge our marine engineering earning base... we are pleased with the substantial progress made in diversifying our customer base of world-class corporations."

Ji said this has positioned the company for its "strategic leap into the global marine engineering playing field".

COSCO Corp, a diversified group with core activities in shipping and related services, is the listed subsidiary of China Ocean Shipping (Group) Company, the largest shipping group in China.

On Wednesday, COSCO Corp shares closed at S$4.64, up 26 cents, or 5.9 percent, from the previous day. - AFP/ch