Saudi Arabian shipping company Bahri has signed a Memorandum of Understanding for the construction of the first VLCCs at the new King Salman Complex for International Maritime Industries (IMI) and Services at Ras Al-Khair, Saudi Arabia.
Under part of the MoU, Bahri has committed to placing the order before the end of July 2019. IMI will then Hyundai Heavy Industries as a sub-contractor to build a vessel in South Korea and, in turn, train IMI to independently build VLCCs to international shipbuilding standards in Saudi Arabia.
IMI is a joint venture between Saudi Aramco, Bahri, Lamprell, and Hyundai Heavy Industries.
Major construction activities at the IMI shipyard are expected to begin in 2020, with full production capacity expected in 2022. Once completed, IMI is will be the largest, full-service maritime facility in the Middle East and North Africa with a capacity to construct four offshore rigs and over 40 vessels, including three VLCCs, per year, in addition to servicing over 260 maritime products.
“Committed to playing a pivotal role in the transformation of the Kingdom into an important regional and global logistics and transportation hub, Bahri has been exploring new horizons for industry cooperation to take its vision forward,” said Abdullah Aldubaikhi, CEO of Bahri. “This agreement, which further strengthens our strong strategic relationship with IMI and HHI, signifies a major development in this direction, and we are confident it will provide a boost to our ongoing efforts aimed at enhancing our offerings and bolstering our capabilities. We look forward to a fruitful collaboration that will immensely benefit our customers and shareholders.”