Albwardy Damen’s hybrid set-up reaps rewards

Shipyards specifically set up to handle new construction and ship repair are rare because the two business streams have different operating models. Shipbuilding is a meticulously planned process, with work stages carefully timed and integrated. Ship repair is largely a spot business, with emergent works frequently changing the entire timeframe of a specific project.

Albwardy Damen, a 10-year-old shipyard built from scratch on virgin desert land in Sharjah, has successfully combined the two lines of business and is currently on a roll. The company set new activity records at its Sharjah site last year, and work in hand at its various locations has remained high this year.

According to Lars Seistrup, Managing Director, Albwardy Damen, firm oil prices are underpinning new investment in offshore marine infrastructure in Gulf waters. New artificial islands are being built, new ports constructed, and land reclamation across the region is driving investment in dredging assets and other hardware relating to marine infrastructure.

As mid-year approached, the yard’s management released figures demonstrating an order book of more than 30 vessels, about one-third of which are at various stages of construction. Meanwhile, major repair projects completed recently include close to a dozen damage repairs, several projects following shipboard fires, and damage from missile attacks. Most emergency repairs undertaken by the yard are carried out on lay-by berths.

The company continues to expand and has steadily added extra capacity at key locations throughout its first 10 years. It has opened an extra workshop in Dubai Maritime City dedicated to mechanical projects including engines and thrusters. The Sharjah shipyard has close to 35% more dry-berth capacity compared with 2014, and construction of a new berth and extension of an existing one has now been given the go-ahead. Awaiting go-ahead is a new central warehouse and an additional enclosed berth.

Meanwhile, in Fujairah – one of the world’s busiest anchorages – the company has workshops, teams of engineers in all essential disciplines, and riding gangs. A team of 20-plus divers carry out hull cleaning, propeller polishing, and underwater repairs. The company’s class-approved underwater welding specialists are in demand, not only in Fujairah but also in other locations across the six Gulf Co-operation Council countries.

Repair teams can be mobilised at short notice to carry out spot repairs on the anchorage, while ships receive other essential services from the many ship agents located in the Emirate, with its coastline on the Gulf of Oman. The shipyard’s Fujairah team now has a headcount of more than 100, supplementing the 1,700 payroll personnel in Sharjah and the 300 extra people currently hired on contract.

Seistrup is keen to highlight a recent development from parent company Damen that could be relevant to workboat operators in the region. Following COP28, there are signs that the various marine stakeholders are becoming more environmentally conscious, he says.

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This article is part of the Seatrade Maritime Middle East Report 2024