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8m`j`fe#YXZb\[YpXjkife^n`cc
I am the master of my fate: I am the captain of my soul, said
Nelson Mandela and his words struck a chord with me. On the
other hand, our Islamic culture says that even if we run away
from Gods fate, we run into Gods fate. Man is always looking
for the best and he controls his life by making rational choices.
Man is constantly attracting positive and negative feelings
(dissatisfaction and pessimism), which lends to the accumulation
of mental and physical diseases. We should instead use the law
of attraction to gather everything that is positive, and encourage
ourselves to reconstruct the world, reclaim the self, and refine
the soul. If we succeed, we can spread forgiveness, appreciation,
and cooperation around us at work, home, and share it with
our friends, so that our subconscious mind eliminates fear and
seeks peace.
Oman Drydock Company is truly an example of such positive
thinking and the power of collective energy. Inspired by his
Majesty Sultan Qaboos bin Saids vision, ODC has become a reality
because of the people of Oman. Be it engineers, technicians,
administrators, or workers, they have strived towards one
goal, to make this vision a reality. This is an achievement that
will forever serve as a reminder of cultural reconstruction where
various nationalities collaborated for the drydock project in
Al Duqm.
The ambition is to keep growing by being positive, cooperative,
working as one team, and upholding our values based on the
business strategy. The management is focussed on harnessing
material resources to support human resources because industrial
development is only towards the progress of mankind.
NX_XY8cAX[`[`
>\e\iXcJlg\im`j`fe
M.J. Park
>\e\iXc;`i\Zkfi
Khalil Al Salmi
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08
3
Contents
'+ COVER STORYA brief insight into how ODC is making life better in Duqm.
)) SPECIAL INTERVIEWWhat makes the Economic Zone in Duqm tick, as revealed by
Yahya Al Jabri.
)- INTERNATIONAL NEWSThe latest news and trends of the international shipping world.
*/ HEALTH AND SAFETYSafety measures and training programmes at ODC.
+) FEATUREThe inner workings of the machinery department.
++ HISTORYAn interesting history of ship making.
,' ODC NEWSNuggets of information on ODC.
,. LEISUREAll work and no play is no fun!
-( PHOTO TALKExplore ODC through pictures.
04
22
44
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:fdgXep6
In April 2011, wilayat Duqm launched the operational stage of the drydock in Duqm
when it received two ships owned by a Belgian company for service. It was a sign
for starting a new industry in Oman for the maintenance and service of ships. This
will be a new dock that is provided with the latest technology in ship maintenance
and service.
With a good location near the sea route of global trading, this project will makeDuqm the forerunner of this industry in Oman in the coming years. This project
is a part of many other projects in Duqm such as the port, free zone, tourism
HE Said bin Hamdoon Al Harthy, Undersecretary of the
Ministry of Transport and Communications of Ports and
Maritime Affairs, Chairman of the Board of Directors ofOman Drydock Company
COVER STORY
This project
will make
Duqm the
forerunner of
this industryin Oman in
the coming
years.
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utilities, and a number of supporting
infrastructure projects including an
airport, power plant, desalination
plant, and a modern network of roads
connecting all these projects to the
wilayat and new residential areas.
All these projects will cause a shift in
Omans economy by diversifying income,
providing new job opportunities to
Omanis, and drawing more investments
in the Al Wusta region specifically, and
Oman in general. Furthermore, it will
support business and urban growth
which can promote the economic base
of Duqm and Wusta. This plan is part
of the government policy in income
diversification and reducing dependenceon oil products. It aims to attract
domestic and foreign investment in
order to expand the national economy.
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FdXej)')'m`j`fe6
These projects in Oman aim to achieve
a well-balanced work life and a focus
on achieving Omans 2020 vision,
which has already seen big projects
take shape such as the drydock andDuqm port. The 2020 vision aims to
make a radical shift in Omans national
economy by multiplying income sources
and reducing dependence on one
non-renewable source which is oil.
The drydock is an attempt to create a
new industry that will be a beneficial
investment in terms of human
resources and finance. It will develop an
economical and industrial movement
because of its unique location on the
Arabian sea, located near international
shipping lines connecting the east and
the west, as well as regional shipping
lines connecting the Gulf countries with
countries in the Indian Ocean.
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f]k_\;lhd[\m\cfgd\ekgifa\Zk%
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k_\gifa\Zkjf]8cNljkXi\^`fe6
Duqm port will serve the system ofmaritime transport between the ports
of the Sultanate, goods movements,
and industrial and tourism activities as
it is located between the Sultan Qaboos
port in Muscat and the Salalah port in
Dhofar. Duqm port will gain importance
as it has a drydock capability for
ship maintenance and repair. It can
accommodate large ships with 400,000
tonnes capacity and will soon be able
to accommodate ships with a capacity
of 600,000 tonnes. This project will
refresh the tourism movement, create
a need for utilities, and will market the
area as a tourist area.
This dock is a part of Duqm port, built
to be a multi-purpose integrative port,
serving the industrial city, middle and big
industries, repair services, shipbuilding,
marine locomotives, and big stores
which will lead industries in Oman.
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The company started its experimental
stage in April gradually with ships of
different sizes. The drydock consists of
two docks: the first one is 410mx95m,
and the second one is 410mx80m,
depth of 14m. The drydock can serve
ships with capacities of 600,000 tonnes.
The project has a lay of 2,800m lengthand land reclamation with an extent of
453,000 square meters. It also consists
of naval works that include sidewalk
appurtenance, squares, workshops,
warehouses, roads and drainage
systems, fine restaurants, management
offices, housing for employees, and
a guesthouse. In addition to all this,
there are mechanical and electrical
facilities. After operating this project,
we received more than 46 versatile
ships including the first tanker for liquid
natural gas (Muscat LNG), owned by
Oman Shipping Company S.A.O.C.
in December.
COVER STORY
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ZfdgXepkfi\XZ_k_Xkgfj`k`fe6
Clients are interested in many
factors including time, efficiency in
implementing work, reasonable costs;
as long as we achieve all these, we
believe our customers will be satisfied.
In a short period, we have hosted
various ships and this is a result of
the intensive work of participating in
international exhibitions. Through these
exhibitions we hope to enter dealings
with international agencies which will
provide us with information aboutlarge companies, the owners of these
ships, and arrange appointments with
decisionmakers. This will allow us to
make direct deals in order to gain a
good reputation in the marine field.
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f]k_\\o`jk`e^ZfdgXe`\j6
Competition is an healthy phenomenon
and keeps us working hard. Our strategic
location and international standards of
the drydock, along with other factors
including qualified human resources
and dealing with DSME Company, has
made the dock a primary choice in terms
of quality and punctuality in delivering
ships. The drydock is characterised by
special benefits for the ships ownerthroughout the duration of their stay
in Duqm.
The Duqm project
will cause a shift in
Omans economy by
diversifying income,
providing new job
opportunities to
Omanis, and drawing
more investments in
Oman and the
Al Wusta region.
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COVER STORY
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COVER STORY
Customers
are confidentto approach
ODC especially
when they
know about
the DSMEconnection.
;lhd;ip[fZbGifa\Zk
M J Park, CEO of ODC, says the drydock is the first project completed in Duqm, and
what has helped achieve this task, according to Park and Sheikh Khalid bin Ahmed
al Salmi, Deputy CEO, is the operations and management partnership with Koreas
Daewoo Shipbuilding and Marine Engineering (DSME), one of the worlds largest
shipbuilders. The Duqm drydock has two graving docks of ULCC class of 410m x
95m and 410m x 80m, five quays of 2,800m long, and 14 sets of jib cranes with a
lifting capacity of 10040 tonnes on a vast area of 1.3 million square metres.
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For operations and swift maintenance, the expertise of DSME is sought. For
specialised machinery and electrical works, if necessary, subcontractors from
Bahrain and Dubai are brought in. We know what kind of work is going on in
D%A%GXib- CEO
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Bahrain and Dubai drydocks. We
would like to establish a similar system
here. It does not make sense to have
companies permanently stationed here
for repair-related work as the market is
inconsistent; sometimes we will be able
to bring in ten ships to repair at one
time, but sometimes we may have only
three or four. So having subcontractors
on a temporary basis works best for
us, says Park.
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F;:
The Company collaborates with Oman
Shipping and tracks the crude carriers
passing through the region and
approaches them with their services.
While this strategy has helped procure
orders for the repair of 46 ships so far,
Park admits that ODC still needs to
work to make its name known in the
international markets.
ODC has so far participated in exhibitions
in India, Korea, Singapore, and Norway.
Partner agents in these regions have
scouted for potential clients during and
after the exhibitions and helped ODC
get in touch with them. The DSME
association is a huge advantage for
ODC. DSME is known for its marketing
expertise and its network of clients that
it has built over more than 30 years. It
has lent its expertise to clients in Korea
and across Europe, explains Park.
Hence customers are confident to
approach ODC especially when theyknow about the DSME connection.
COVER STORY
9
Market reports
predict a strongdemand for ship
repair services going
forward. But ODC
wants to focus on
taking the brand
to international
markets beyond the
Middle East.
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COVER STORY
10
Infrastructure
development for
Duqm is top priority
for the Omani
government right
now and it is just
a matter of time
before the roads,
airport, and even
hotels are ready.
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=lkli\gcXejf]F;:
Due to the state-of-the-art fabrication facilities at the yard, Park says there is
potential to develop a steel industrial business in the area. Companies in Iran and
Abu Dhabi are looking at large-scale steel fabrication works for onshore plants such
as power plants, chemical plants, and steel bridges, etc. So steel industrial clusterscan develop around the area. ODC is also looking at offshore projects like oil
drilling and gas drilling due to the demand for these services from potential clients
in Iran, India, the UAE, and Qatar, and this project too is in the study phase. They
cannot depend on ship repair operations alone to achieve the targeted revenues in
2020, says Park.
The immediate focus is to get the floating dock ready in 36 months. Executives
hail the establishment of the Duqm Authority in October as they point out that
any constraint on the infrastructure front can now be addressed there instead of
chasing after government officials in the capital area.
When it comes to subcontractors for the drydock, Park says, We are discussing
with the authorities to provide some tax concessions for subcontractors, as peopleneed incentives to work in a remote area.
While market reports predict a strong demand for ship repair services going
forward, the next step is to take the ODC brand to international markets beyond
the Middle East. Officials are banking on DSMEs strong network to gain an edge in
the marketplace. Right now we want to see how successfully the repair operations
part of the business pans out.
Going forward, the outcome of the ship repair operations will determine whether
or not ODC can move forward to shipbuilding. But this requires billions of dollars of
investment, admits Park, adding that ODC needs to consolidate its position in the
region before it can move on to this phase. The potential, however, remains vast in
the shipbuilding business and this is an area that Park is seriously looking at for ODCfor the future. At the end of DSMEs ship repair contract in 2016, if both parties
choose to renew this for the next 10 years then shipbuilding can be looked at with
DSME supplying ODC with the designs. And Park is optimistic about the outcome
of the current operations of ODC.
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Procuring the right manpower and transportation of materials still remains a
challenge as the cost of manpower has gone up and Duqm is still a remote area away
from the countrys capital. But company executives point out that the infrastructure
development for Duqm is top priority for the Omani government right now and it is
just a matter of time before the roads, airport, and even hotels are ready.
COVER STORY
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Cffb`e^]finXi[#n_XkXi\k_\jfliZ\jf]i\m\el\]fik_\:fdgXep
Xe[_fnn`cck_\pZfeki`Ylk\kfk_\^ifnk_f]k_\;lhdXi\X6The drydock is known for its strategic location on the trade route between the Indian
Ocean and the Arabian Sea; the busiest route with ultra-large vessels. The port may
also be one of the major ports in the GCC region. Major vessels may benefit from
the services and facilities offered by the drydock. Moreover, the drydock is operated
by DSME, which in turn assures customers that they will receive unparalleled high-
quality service.
The wilayat of Al Duqm is the link between the East and West, connecting the
Indian Ocean, Red Sea, East Asia, and North Africa.
Oman Drydock seeks to become one of the leading companies in receiving
vessels especially as it has the biggest dock in the MENA region. It also seeks to
become one of the major components of the Omani port systems. The Companyis expected to contribute to the growth of the national economy when it starts
to generate revenues from trans-ocean and multi-purpose ships. Alongside with
COVER STORY
B_Xc`c8cJXcd` - Deputy CEO
Oman Drydock
seeks to
become oneof the leading
companies in
receiving vessels
especially as it
has the biggest
dock in theMENA region.
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ship maintenance and repair works,
the activities of the Company will
have a good impact on tourism and
trade. The ships will have large crews
that will require accommodation and
recreational services. This in turn will
have a good impact on the performance
of other sectors.
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gifm`[\[ Yp k_\ :fdgXep kf
\e_XeZ\`kjjXc\j6
ODC secured a total of 1.3 million
square metres of vast area in Duqm
and is equipped with state-of-the-
art and luxury facilities including two
ULCCclass graving docks (410mx95m,410mx80m), 5 quays of 2,800m
long, 14 units of jib cranes with lifting
capacity of 10040 tonnes and a slop &
sludge treatment facility including slop
tanks to store 10,000 cubic metres.
ODCs vast area is also ready to serve
not only ship repair and conversion, but
also fabrication of any kind of offshore
structure in the Middle East area such
as platform modules, jackets and
wellheads, etc.
Most shipping-related companies
worldwide say that ODC is located in
a favourable location outside Hormuz
and will play an important role in the
Middle East in becoming a promising
hub of ship repair and conversion.
Also, the marketing division
communicates with a network of
international agents to capture local
and global clients through set or
promotional and marketing channels. A
strategic programme was developed to
take part at the shipping exhibitions in
different parts of the world. ODC has
an annual plan for participation at the
major international conferences and
exhibitions on marine repair. Since in
2009, the Company began to take an
initiative in the Gulf Maritime exhibition
in Sharjah, UAE, to be the actual driver
of participation in such events. In June
2010, ODC participated in Posidoniaheld in Greece which is regarded as the
major hub for exhibitions in the world,
followed by the Sea Trade Middle East
in Dubai and the SMM exhibition in
Germany. This year ODC participated
in two exhibitions; Sea Asia Singapore
and Nor-Shipping held in Norway. It has
also taken part at exhibitions at the end
of September and October respectively
of this year in India and Korea in a
bid to promote the drydock project.
This served as a good opportunity in
extending bridges of cooperation and
communication with major shipping
companies and vessel owners as well as
concluding a number of deals.
It also includes marine works that
comprise terminal annexes, workshops,
yards, warehouses, roads, water
drainage systems, restaurants, office
spaces, labourers accommodation, a
guest house, in addition to the other
electro-mechanical works. There will
also be a floating hotel, Veronica,
complete with all amenities.
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k_\:fdgXep6
DSME is the operator and manager of
the project up to 2016. The companywill use its expertise in ensuring the
proper management of this project.
We are doing our best to benefit from
their expertise and train our human
resources to take over the posts
currently occupied by expatriates. This
work is an attempt to revive the rich
Omani maritime history. We will also
have long and short-term contracts
with subcontractors to operate some
logistical and service areas.
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:fdgXep6
At the end of last year, the Company had
trained and qualified 172 Omani youth
within the Sultanate. This included
technicians, group managers, and
engineers by allowing them to join the
International Maritime College Oman
(IMCO) for three months, then sending
them for scholarships to get trained
in Daewoo Shipbuilding & MarineEngineering Co. Ltd. in Korea and its
branch in Romania for two months
ODCs favourable
location on trade
routes and itsstate-of-the-art
facilities places it
high on the list of
drydocks in the
world.
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COVER STORY
Firmly believing in the capabilities
of the Omani youth, ODC has
employed more than 300 Omanis in
its different departments.
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of training on the fundamentals of vessel maintenance and design. Holders of
Bachelors in Engineering and foremen have received training in marine engineering
and mechanisms and now contribute to the growth of the Company. We firmly
believe in the capabilities of the Omani youth, therefore we have employed more
than 300 Omanis in different departments. We also provide them with training
in areas such as vessel engineering, repair, administrative activities, accounting,
finance, purchases, business management, and marketing.
The Company continues to employ and qualify Omanis, raising cultural awareness
about the significance of the qualified cadre as the Company is going through
a phase of world competition that requires it to maintain an excellent reputation
which can be achieved by becoming perfect in all aspects related to vessel
maintenance and rehabilitation. The main aim is to achieve our mission and vision
and translate them into reality by working together as one team, providing ourcustomers with high-quality service, meeting their tough deadlines, and enhancing
our brand image.
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COVER STORY
16
AXdXcXcNX_X`Y`
Senior Manager General Administration
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N_XkXi\k_\jg\Z`ZkXjbjf]pfli[\gXikd\ek6
We have a diverse culture at ODC and we strive to create a positive environment by
meeting the needs of our employees thus allowing ODC to come together as one
coherent family. To do so, General Administration (GA) is the model department
of ODC which ensures smooth operations of administrative support servicesfor the operation of the drydock. GA is tasked with setting up from scratch the
various basic facilities for accommodation, meals, transportation, security, and
telecommunications as support for the Duqm operations.
N_XkXi\pfli[\gXikd\ekjdXafiXZ_`\m\d\ekj6
There are several major achievements that GA is proud of such as the completion
of the dormitory which has a fully-equipped sports centre, and other welfare
facilities that meet the needs of ODC staff. In addition, GA achievements include
the completion of office furniture and various office facilities that are extremely
important for day-to-day operations.
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The greatest challenge we faced was to convert an empty remote area to a beautiful
place to stay.
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Our future plan is to be able to meet the various basic and necessary requirements
of our staff while adding on to our facilities to meet the future expansion of
our operations.
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ODC has come a long way to create various job opportunities for young Omanis at
all levels since its inception and we are proud to be part of it.
N_\i\nflc[pflc`b\kfj\\F;:`e]lkli\6
I would like to see ODC become one of the best drydock companies in the world
and with hard work and determination, I do believe we will get there.
COVER STORY
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The Oman Drydock Company Human
Resources Department is playing a vital
role in Human Resource Development(HRD) by providing opportunities for
employees to develop their personal
and organisational skills, knowledge,
and abilities. It includes such opportu-
nities as employee training, employee
career development, performance man-
agement and development, coaching,
mentoring, succession planning, key
employee identification, educational
assistance, and organisation develop-
ment.
The focus of all aspects of humanresource development is in creating a
highly-trained superior workforce so
that the organisation and individual
employees can accomplish their
work goals through their service to
customers.
ODC employed nearly 1,000 employees
this year and will continue to employ
more people in the coming years for its
operational needs.Our department also continuously
provides on-the-job training to our
national candidates to familiarise them
with new industry trends in this region.
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F;:6
To ensure Omanisation, which is
considered as a primary objective, the
recruitment policy has made national
candidates the first preference for any
job category. As part of all expatriatecontracts, it is a requirement that they
participate in knowledge transfer and
Creatinga superior
workforce.Apart from recruiting
and training the local
workforce, Oman
Drydock Company (ODC)
has also stipulated that
its expatriate employees
participate in knowledge
transfer which will
help in tutoring and
mentoring Omani
workers.
COVER STORY
B_XncX_8c8di`pX - HRD
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where appropriate, act as a mentor and coach to Omani nationals.
K_\^fm\ied\ek_Xjgifd`j\[kfgifm`[\,'#'''afYjkfk_\pflk_%@e
k_`jZfek\ok#_Xm\Xepe\nafYjY\\eZi\Xk\[`eF;:`e i\jgfej\kf
?`jDXa\jkpj[`i\Zk`m\6
As per our long-term business plan, ODC will create nearly 2,000-2,500 new jobs
in the coming years under different skills/positions.
J`eZ\X[ip[fZb`jXe\nb`e[f]nfib`e^\em`ifed\ek#n_XkXi\k_\
Z_Xcc\e^\jpfl]XZ\kfi\Zil`kjkX]]6
ODC faced a major challenge to achieve the stipulated Omani ratio due to its
inability to find the required specialised skills for the ship repair industry in Oman.
We were also unable to retain the Omani employees due to the prevailing strike
culture and unreasonable salary raise requests.
As a result, we were forced to turn to expatriate recruits since there was a lack of
ship repair industry knowledge and experience among the local Omani workforce.
It was also critical for us to obtain labour clearances from the Ministry of Manpower
to recruit this labour workforce.
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fg\iXk`fejXe[_fndXepXi\jlggfikjkX]]6
As of today ODC has a total of 1000 employees on board. Among those employees
855 are operations employees and 192 are support staff.
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PfliZfdd\ekj%
ODC has initiated a programme to develop/enhance specialised technical skills/
qualification required for yard operations among our national talent pool.
In 2010, ODC identified and trained a number of Omani employees in various
disciplines; domestic training (78 candidates) and international training (37). This
year, we sent 113 candidates for on-the-job training and identified 50 employees
to get specialised technical licenses. Also, we have approved the training schedule
for another 100 candidates during 2012.
ODC has plans to implement the Train the Trainer programme to enhance
the internal trainer knowledge and cost-effective specialised training to ODC
employees. An internal training module has been developed and will start providing
the required technical training in-house.
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In order to support Omani women and
as a recognition for their considerable
efforts made in various fields, Al Maraa
magazine, issued by United Media
Services, launched the first universal
prize to honour Omani women. On
December 5, Al Maraa magazine
held a joyous ceremony sponsored
by Her Highness Dr. Muna bint Fahd
bin Mahmoud Al Said, Assistant Vice-
Chancellor of Sultan Qaboos University
for External Cooperation, at the
Shangri-Las Barr Al Jissah Resort where
Her Highness honored the winners of
this year. Mrs. Khawlah bint Khalifa Al
Amriya, Director of Human Resources inOman Drydock Company, was honoured
in this ceremony. Womens Award of
Excellence is an important award that
evaluates Omani womens achievements
in various fields and sectors. Com-
petitors are subject to evaluation andvoting by adopted global institutions.
Mrs. Khawlah bint Khalifa Al Amriya is
one of the Omani women who works
in the industry sector at Oman Drydock
Company. She has worked in (Omantel)
Oman Telecommunications Company
before this. She has also been engaged
in the education sector as a lecturer
and held several positions as well as
been involved in the field of social
work, presenting workshops in many
programmes in collaboration with theOman Chamber of Commerce Industry,
a number of private sector institutions,
and international and local associations
which currently focus on PhDs as they
believe in the importance of educating
and supporting women.
This initiative was sponsored by
Mercedes-Benz (Zawawi Trading,
authorised general distributor for
Mercedes-Benz in the Sultanate),
BankDhofar, Nawras and other
supporting companies like Taageer
Finance Company, Areej Vegetable Oils
& Derivatives, and Givenchy.
Evaluation partner: Ernest and Young.
Media partners: Times of Oman and Al
Shabiba.Radio partners: Wisal FM and Merge
104.8 FM.
HIGHLIGHTS
Khawlah Al Amriya ishonoured at the HardworkingWomens Competition.
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CSR ActivitiesSaif Ali al Zidi, General-Secretary of the Board of Directors and Government
Relations, said, In line with ODCs community development and social investment
programme, the Company recently provided the children of families under
social security in the Al Duqm region with schoolbags containing notebooks and
stationery. We supported the project that was held at Sultan Qaboos University
Sultana Submarine which gained recognition at an international level. We also
sponsored many other activities.
He added, The Company attaches great importance to CSR activities. The Board of
Director allocated a budget for this year to invest in some of the development projects
due to company belief in the importance of improving the social surroundings of
the Company whether in Al Wusta or in other regions. The Company also calls
public and private sectors to be prominent sectors that support and invest in social
activities, encourage volunteerism, and consider the community members as an
integral part of the social system who need to be aware about the importance of
participation in country development and in maintaining its achievements.
On the other hand, Saif Ali al Zidi concludes by saying, We recently coordinated
with (Injaz) programme which is supported by (Sanad) - Ministry of Manpower,
in order to implement a training programme that will benefit a large segment of
job seekers of both genders in Al Duqm. We hope that this programme will beimplemented in the near future.
HIGHLIGHTS
21
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Al Duqm is considered as a future
destination that will attract investments
in different sectors. It is one of the free
zone regions that has become a resource
which the government depends on
and cares about developing to reduce
dependence on depleting oil resources.
The government allocates more than
RO 1.7 billion for various fields such
as tourism, industry, petrochemicals,
shipping, and logistics and other new
sectors in Oman like drydocks.
The government follows strategic plans
in order to develop this zone, adopting
the best practices after providing modern
infrastructure, and a good legislative
and regulatory framework to ensure
investment attraction and to stimulate
trade movement in the region.
Voyage conducted an exclusive dialogue
with HE Yahya bin Said Al Jabri,
President of Duqm Economic Zone.
This dialogue will help reveal Duqm
Zones future vision and important
plans that the government aims to
implement which will attract foreign
and local investments.
N_Xk`jpfliifc\XjXeXlk_fi`kpk_Xk
fm\ij\\j;lhd
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as provide multiple services in one place, in accordance with best practices and
international standards, adding another local successful project to those that have
been implemented in Sohar, Salalah, and industrial areas all over the Sultanate.
N_p[`[k_\pZ_ffj\8c;lhdkfY\k_\gcXZ\n_\i\m`kXcgifa\ZkjXi\`dgc\d\ek\[6
Al Duqm Special Economic Zone is characterised by its strategic location close
to the promising Asian and GCC markets and close to the abundant natural
resources in Al Wusta. It includes eight areas: commercial port, industrial area,
hotels, tourist resorts, learning city, city for logistical support, commercial district,
and modern city.
FliZflekipX[fgkjXe\ngfc`Zp]fi\jkXYc`j_`e^]i\\\Zfefd`Zqfe\j
Xe[ `dgc\d\ek`e^ gifa\Zkj Xcc fm\i k_\ JlckXeXk\ efk fecp `e k_\
ZXg`kXcZ`kp%=ifdpfli
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;`[ pfl af`e Xep 8iXY fi`ek\ieXk`feXc le`fej kfY\e\k ]ifd k_\`i
\og\i`\eZ\j`efi[\ikf\jkXYc`j_]iXd\nfibjXe[c\^`jcXkli\kf\ejli\
XkkiXZk`e^ZXg`kXc]ifd[fd\jk`ZXe[]fi\`^e`em\jkfij6
No, we didnt. Perhaps we will do that in the future.
N_XkXi\k_\]XZ`c`k`\jXe[`eZ\ek`m\jk_\j\Xi\Xjf]]\ikf`em\jkfij6
Even though all incentives will be assigned by the Board of Directors, we believe
that decisions related to foreign investments are affected by many things such as
location and business practices, infrastructure, and quality of life facilities, and not
just financial incentives. Foreign investors should look at all these incentives and not
focus on financial incentives.
Dfjk f] k_\ [ ]Zlck`\j k_Xk ]XZ\ lgZfd`e `e[ljki`Xc Xi\Xj Xi\
Yli\XlZiXZpXe[efkY\`e^`e[\g\e[\ek`edXb`e^[\Z`j`fej%N_Xk[f
pflk_`ebXYflkk_Xk6
The Duqm authority was established under a Royal Decree which delegates
responsibility of the simplification regulatory procedures such as companies
registration, granting licenses, getting rid of bureaucracy and ensuring right decisions
as soon as possible for local business environment and in other Gulf countries.
N`cc k_\ gifa\Zkj le[\i `e[ljki`Xc Xi\Xj ^f le[\i
^fm\ieXeZ\ Xe[ hlXc`kp c\m\c ]fccfn$lg `ejg\Zk`fe Xj pfl [f n`k_
fk_\ii\cXk\[\jkXYc`j_d\ekj6
Yes, this will be done according to international standards ensuring limpidity,
accountability, and corporate social responsibility.
?fn [`[ mXi`XYc\j f] k_\ ^cfYXc dXib\k Zi`j`j fi i\Zfm\ip X]]\Zk
k_\ `e[ljki`Xc Xi\Xj [\g\e[`e^ fe k_\ Zlii\ekj f] gfc`k`ZXc ]fiZ\jXe[fk_\in`j\6
Foreigner investors will observe economic and political issues before investing
in the selected country. Oman has a good reputation globally and regionally of
political and economic stability over the four decades under the wise leadership of
His Majesty Sultan Qaboos bin Said, may Allah protect him. The foreign investment
has decreased in our region since the start of the global financial crisis in autumn
2008 as there has been a lack of clarity of the global economy and instability in
some countries.
N_Xk`jpfli
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SPECIAL INTERVIEW
The advantages of Al Duqm Special
Economic Zone will contribute in establishing
an active area for trade and commerce
between Muscat and Salalah and establish
facilities for ship repair which includes two
drydocks and one floating dock.
25
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The roles and responsibilities played by
the navy and coast guards is changing
in a significant way. A few years ago,
navy duties were focused on deep
water operations and in naval wars, but
today, common tasks are the new order
that the navy follows. As a response to
this development, the Company makes
their products compatible with the
new responsibilities for the navy and
they also expand these responsibilities.
Besides traditional ship designs that
are allocated for specific tasks such as
hunting mines, fast patrol and guard
boats, frigates, supply and additional
ships, patrol ships are also designed to
operate in deep waters. The designing
of patrol ships must fit within a
shrinking defense budget and there is
also pressure to reduce the operational
costs of the new vessels.
The challenges rely on capable,
effective, and reliable systems that are
selected carefully and fit with adoptedmarine standards. The result is a new
generation patrol vesselLURSSEN. This
vessel draws particular attention for
its effectiveness, good price, and high
degree of reliability.
@ek\^iXk`fef]jpjk\dj
Development and construction
companies have the ability and pay
great attention to integrate the
various systems. LURSSEN Company
hired a crew of experts to oversee the
integration of electronics and weapons
systems, and the C4, making it easier to
monitor various electronics companies
LURSSEN faces current andfuture challenges of thenavy and coast guards.
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which supply marine or complex civilian ships. These companies are monitoring
the accountability of one party. LURSSEN Company builds ships and manages the
entire responsibility of appropriateness of integrated systems to their roles towardsthe customer because LURSSEN can deliver a ship with all its systems working in a
typical and highlevel manner. Because every warship required by any navy or coast
guard has a unique quality, LURSSEN is developing and providing detailed solutions
tailored to customers requests with a minimum risk.
?`^_\jkc\m\cf]Yl`c[`e^Xe[[\j`^e`e^
LURSSEN is an established and leading name in building frameworks and medium-
displacement ships, and is also renowned for the techniques that are used in building
ships. Knowledge about ships frameworks and techniques used in building ships is
essential for the company which provides the ship and is required to deliver the ship
as quickly as possible with maximum capacity to be operated in deep waters.The shipyard of LURSSEN Company has a good reputation. Its known for its fast turn
around time of building ships and high level of performance. These qualities are not
just specified for warships, but for all kind of ships that are made by the company.
For instance, large yachts, rescue vessels, and coast guard ships and other types
of LURSSEN ships are recognised by these two characteristics: high-speed and
maximum capacity to be operated in deep waters. The use of the latest techniques
of building civil and military ships sets LURSSEN apart and puts it in a leading
position in the global market.
INTERNATIONAL NEWS
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Cf^`jk`ZXcJlggfik
LURSSEN Group of Companies is
a reliable partner known for its
experience in repairing, moderating,
and amending warships. These services
can be provided either in the facilities of
the company shipyard or for a customer
when it is required to enter a warship
into a drydock. LURSSEN has specialised
groups to provide these services and
these groups can do the work wherever
there is a ship. LURSSENs logistics
services branch provides the most
important materials of the ships lifecycle including brochures, information
recorded on CDs or electronic
memories, and spare parts, along with
technical and operational training.
The branch also runs a specialised
training center in Lemwerder which
provides classrooms, laboratories, and
comparison systems for the trainees.
Beside the basic training, the officers
also receive maintenance and tactical
training. The training centre also
provides training courses formaintenance crews and shipyard
workers.
K\Z_efcf^pXe[Befnc\[^\
KiXej]\i
Customers willingness to gain inde-
pendence from foreign companies and
organisations is increasing, and there-
fore they are promoting and develop-
ing local industries. Customers are now
increasingly willing to participate in pro-
ducing local warships. LURSSEN sup-
ports these goals and aims to deliver in-
tegrated packages, precise and detailed
instructions about development and
construction methods. It also supports
the infrastructure system and trains lo-
cal workers and engineers.
K_\ Klib`j_ d`c`kXip j_`gYl`c[`e^
j\ZkfiZXii`\[flkgifa\Zkjnfik_
knfY`cc`fe[fccXij
Wajdi Ghonol, Minister of Defense, has
assured that the military shipbuilding
sector has grown in its levels of
designing and producing warships.
He also participated in a temporaryhandover ceremony of the dinghy
Kara boron which was produced in
a private dockyard in Tuzla, Istanbul. He
mentioned that the development in theshipbuilding sector helped the Turkish
Naval Forces Command and security
forces to work independently. Ghonol
assured they would soon start building
ships worth $2 billion in five dockyards
in Tuzla. During the ceremony,
Rajab Boland Bustan Ihsanoglu, the
Commander of Education and Training,
handed over the dinghy Kara boron
flag to the dinghy leader.
Le`k\[ J_`gYl`c[`e^ :figfiXk`fe
dXel]XZkli\j knf j_`gj f] k_\
kpg\K`^\ikf8c^\i`X
During the exhibition of marine mili-
tary equipment in Petersburg, United
Russian Shipbuilding Company, with
the support of Ross Aoborun Export,
signed two agreements. One is a trans-
action for two Tiger ships to Algeria
(project 20382) and the other is to sell
three Molnia small ships to one of theCommonwealth of Independent States
countries. This was announced by Ro-
INTERNATIONAL NEWS
28
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INTERNATIONAL NEWS
man Trotsenko, Chairman of the com-
pany, to reporters on June 30, 2011.
Trotsenko also declared that, The
total value of contracts signed at the
exhibition reached $1.3 billion. Healso said that it was decided that United
Shipbuilding Company would sign
more agreements during this exhibition,
specifically the agreement with Trasas
Company on June 30, 2011, in order
to buy ships electronic systems and
educational training devices.
It should be noted that the newspaper
Vdomesti published a press release that
night about Algerias determination
to buy Russian weapons worth $700million soon. There were discussions to
buy three small warships Corvette that
have never been exported.
A source close to the leadership of Ross
Aoborun Export told the newspaper
Fedomesti that soon a contract would
be signed with Algeria to supply it
with three small warships, Corvette
20382 Tiger. A manager of a military
industrial organisation said that this
would take place in the coming monthsas they worked hard to prepare for
it. This was reconfirmed by a boss
in the shipbuilding factory Aantar in
Kaliningrad. He declared that there
is a high probability that this factory
will work on this contract, but the
spokesman for Ross Aoborun Export
did not comment on that.
Constantine Makienko, editor of the
magazine, Export Vorogenest (arms
exports), says that in the beginning of2006, when Algeria signed the biggest
number of contracts with Russia about
weapons worth $7.5 billion in exchange
for the debt, they had discussions about
more contracts. At the same time they
discussed supplying Algeria with frigates
(project 11356 provided India with 3
frigates, also the Aantar factory built
3 ships according to a contract worth
1.6 million and 1 for Russia). The expert
added that Algeria started negotiationswith France about supplying it with
Fremm frigates, the most expensive
type of frigates, but in the end it took a
wiser decision to buy three small Tiger
warships costing $700 million.
Andrei Frolov, an expert in Analysis of
Strategies and Technologies Centresays, that despite Tiger being cheaper
than frigates which have been discussed
in the beginning, the coming contract
with Ross Aoborun Export looks very
promising. That is because this is the
first contract for exporting this type of
ships. Frolov adds, that it is facetious
that the Aantar factory will work
on that, not the northern factory in
Petersburg owned by Sergei Bogachev
in the past. Corvette ships (project20380) built for Russian marines as
Tiger are designed according to that.
Frolov says that maybe this means that
there is no intention to handle northern
factory profitable export contract. The
factory assets transmission belongs
to Bogachev, a former member of the
Council of the Russian Federation under
the supervision of United Shipbuilding
Company.
8iXYJ_`gg`e^Zfdgc\k\j
eXeZ`e^j_`gYl`c[`e^
X^i\\d\ek
United Arab Shipping completed the
agreement of financing fixed term
agreement costing $205 million (753
million dirhams) consistent with French
taxes system in partnership with Societe
Generale Investment Banking, as it is
the first coordinator to the loan and the
assignee bank KSURE in order to financethe purchase of two ships of the United
Arab Shipping Company of the class
A13 (capacity 13100 module for each
ship) out of nine ships of the same type
under construction currently. According
to a press release, financing fixed term
agreement looks to be the best financ-
ing solutions that SG CIB can provide
to United Arab Shipping as delivery was
delayed for the two A13 ships.
The agreement consists of rent loan andcredit export loan covered by the Ko-
rean export credit agency. The CEO of
Customers are
more willing to be
independent from
foreign companies
and organisations
and they are
promoting and
developing local
industries.
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United Arab Shipping, Joern Henjh said:
I thank SG CIB for their efforts to com-
plete this loan agreement which comes
under the French tax system. It is a confi-
dent initiative to the strategic role playedby the United Arab Shipping Company
and promises future prospects.
In addition to its promotion of United
Arab Shipping in container shipping,
the A13 ships will play an important
role in improving the basic cost of
the United Arab Shipping Company.
Furthermore, these ships will be
provided with the recovery of thermal
emission technology that will make
them the most environment-friendly inthe market for shipping.
8Yl ;_XY J_`g 9l`c[`e^ ^iflg
n`k_[iXnXc]ifdk_\[\XckfYlp
>\idXe9cfdmlj
The deal of Abu Dhabi Ship Building
preoccupation on civil vessels building
in German Blomvus, which is known in
warship building and owned by The Ger-
man ThyssenKrupp group, has failed.
ThyssenKrupp which is located in Isin in
western Germany has declared that the
Abu Dhabi groups withdrawal decision
is because of the difficult situation in
North Africa and Middle East currently.
ThyssenKrupp added that these
evolutions have doubled the commercial
temptations of the Arabic company to
complete this step. This threatens the
possible chances to conclude this deal
given the current situation in Middle
East. It also pointed to freeze the
situation as well as freeze plans for joint
cooperation between the company and
Abu Dhabi Ship Building in the warship
building sector.Nevertheless, the Emirati group still
wants to preoccupy the civil vessels
building sector in HDW Garden
Company for shipbuilding which is
placed in Kiel city in north Germany.
ThyssenKrupp has announced its
intention to search through the next
18 months for a buyer for the building
sector civilian vessels in Blomvus. It also
announced its intention to continue
managing the warships building sector
in the company.
The Abu Dhabi groups preoccupation
deal was about to be completed after
the group agreed with ThyssenKrupp inthe autumn of 2009 on the deal initially,
which enables the Emirati company to
preoccupy the biggest share of yacht
building, ship repair, and machines
building sector.
According to ThyssenKrupp data, sales
price achieved by civil vessels building
sector in Blomvus, which has 1440
employees, has reached 476 million
Euro in the financial year 20092010.
Both sides are planning to establish a
combined company for managing the
civil vessels building sector in Blomvus
and they have signed a contract in April
2010. This step was agreed upon by the
European Commission in August 2010.
The implementation of this deal has
been delayed because of many reasons
including the strategic partnership
of the Abu Dhabi group with UAEs
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SPECIAL REPORT
The ups and
downs of the
ship repair
industry.
Offshore and shipping
repairs in ASRY
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The ship repair industry, on a worldwide basis, is renowned for its cyclical trends.
It has a basic formulawhen shipowners/managers are making money, they are
willing to spend more on repair and maintenance. However, when freight rates
are down, minimum work is done. Classification Societies have become tougher
in recent years in their approach to ships being drydocked within class times,
with little hope of extensions being given. Also, charterers, insurance compa-nies, Port State Control, etc., have all had an influence on the state of the worlds
fleet. This has led to the number of vessels being drydocked remaining fairly sta-
ble, but the contract value of the drydocking operation being reduced, in many
cases, quite considerably.
Another factor, which has affected the ship repair industry tremendously over
the recent years is the technical advances in hull-coatings, the main reason why
a ship drydocks. The intervals between drydocking have increased, especially in
the container ship sector, where five-year intervals are now commonplace and the
move to even seven years is a distinct possibility. Many owners/managers still like to
see their ships out of the water every two and a half years, but the overall trend is
to drydock fewer times during a ships life cycle.Ship repair is not at the top of its league when considering its technical expertise
many believe that we are still repairing ships in the same way as 20 (or even 50)
SPECIAL REPORT
FPSO conversion underway
in Keppel Shipyard
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years ago. The yards, however, have
had to cope with additional health and
safety matters, a need for increased
productivity within the workforce,
which has been brought on by a need
to reduce costs, and a modern-day
requirement for additional security
while the ship is in drydock.
Many ship repair yards also operate in
the more lucrative conversion market,
especially those in South East Asia, such
as the yards in the Singapore area. This
is obviously a good road to take if there
are sufficient conversion contracts on
the open market. This is certainly the
case in the offshore industry, where
conversion from tankers to FPSOs and
FSUs, conversion of offshore support
vessels to increased capacity, deeper
water operation, etc., is currently
involving many shipyards. However,
cheaper prices are the main decision
criteria when deciding which shipyard
is to carry out the work. Therefore,
the Singapore area and some Chinese
shipyards are the main contenders in
this market sector.
For many shipyards in the western
hemisphere, where prices are higher
than both the Middle East and Far
East, the conversion industry can be
a step too far. To increase workforce
levels to a point whereby a yard can
compete in the conversion market is
only viable if the shipyard in question
can win sufficient contracts to keep
that increased workforce level busy.
If sufficient continual work is not
forthcoming, the additional costs ofan increased workforce will affect the
bottom line of the shipyard. In the case
of Singapore, all the large yards have
continual conversion work and have
had for the past few years-therefore it
is viable.
Ship repair costs play a big part in
shipowners decisions as to where
the ship is drydocked. The costs vary
considerably throughout the world.
Mainland China is most probably thecheapest, followed by South East Asia
(the Singapore area) and the Middle
East. In Western Europe, the Baltic and
Balkan states offer the cheapest prices,
although still higher than Singapore and
the Middle East. The yards in southern
Europe are cheaper than those in
northern Europe, but northern Europe
is still cheaper than across the Atlantic
in the United States. Japan has a large
ship repair capability, but is unable to
compete on the international market.
One area of concern at a time when
shipbuilding yards are facing a tough
time with dwindling order books, is
the decision by some of these yards to
enter the ship repair industry as a viable
alternative. This is particularly true in
mainland China, where there has been
a massive construction period of new
shipbuilding yards. This move from
building to repair seldom works new
building mentality is based around a
project period of some 1518 months;
the ship repair mindset is 510 days.
Most owners/managers who use these
converted shipyards have fallen foul of
many problems, especially late delivery
dates.
To take advantage of cheaper prices, it
normally involves deviation which can
be costly. However, some trades such as
liner routes, ferries, coastal vessels etc.,
cannot involve themselves in deviation,
therefore local shipyards benefit.
The cruise vessel market is a prime
example where deviation is not really
an option, and the need for the
shipyard to meet the repair schedule
is essential, with hungry passengers
awaiting the re-entry into service. Thishas led to some yards specialising in this
market sector such as Germanys Lloyd
Werft (Bremerhaven), Blohm + Voss
(Hamburg), Italys Fincantieri (Palermo),
and Grand Bahama Shipyard (Freeport).
The main player in the Far East is
Singapores Sembawang Shipyard, part
of SembCorp Marine. The cruise vessel
repair market is one of the few where
delivery dates are as important as price.
Another specialised market is that ofLNG tanker repairs. The need for a
scope of technical expertise in repairing
33
SPECIAL REPORT
Intervals between
drydocking
have increased,
especially in the
containership
sector, and now
five or seven year
intervals are now
commonplace.
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cryogenic containment systems and
valve and pumping systems is essential.
The prime example of this is N-KOM in
Qatar, which has been built by Nakilat
to repair Qatar Gas vast fleet of LNG
tankers. The yard is managed by
Singapores Keppel Offshore & Marine.
However, the Qatar Gas LNG tanker
fleet only drydocks every five years, so
N-KOM has had to look to other gas
tankers owners/managers and other
types of ships to increase its turnover.
The increase in market share by N-KOM
has led to Drydocks WorldDubai
(DDW-D) losing out, although there are
some LNG tankers still repairing at this
shipyard. Other specialised yards dealing
in this market include three in the
Singapore area Sembawang Shipyard,
Keppel Shipyard (which uses the former
Hitachi Zosen Benoi Shipyard as a LNG
repair facility), and Malaysia Marine &
Heavy Industries (MMHE), which has anagreement with South Koreas Samsung
Heavy Industries (SHI) to market the
yards prowess in this market sector. A
number of LNG tanker operators also
utilise the Japanese repair market,
especially Kawasaki (Sakaide), Mitsui
(Yure), and Mtitsubishi (Yokohama) all
companies where LNG tankers are built,
for repair operations.
In the western hemisphere the main
players in this market are SpainsNavantia (Ferrol and Cadiz) and Frances
Sobrena (Brest). With an expected
dramatic increase in the number of LNG
tankers operating in the Atlantic basin
expected over the next 10 years, it is
expected that more shipyards will build
up their technical expertise to be able to
enter this lucrative market.
The number of yards on a worldwide
basis has remained fairly stable over
recent years, following a dramatic
reduction during the 70s and 80s. The
exception to this has been in the Middle
East where Nakilat has built N-KOM,
which started operations earlier this
year (2011) and the Oman Government
has built Oman Drydock Company
Duqm, which will open officially
early next year (2012) under the
management of South Koreas Daewoo
Shipbuilding & Marine Engineering
(DSME). Both these shipyards have
two graving docks capable of
handling ships up to ULCC size,
adding a great deal of competition toan area where only two large yards
have existed for some years ASRY
(Bahrain) and DDW-D (Dubai).
ASRY has been particularly successful
in replying to this new threat by
diversifying into two new markets,
while maintaining a healthy
involvement in the general repair
market the repair of offshore rigs
and structures and the building of
power barges for developing nationsor nations which have been hit by
natural disasters and have subsequently
lost power supply for some time.
ASRY has stayed away from the highly
competitive conversion market, many
believing this to be a very smart move.
The other area where expansion iscurrently underway is the Singapore
area, where Jurong Shipyard (JSL),
part of SembCorp Marine, is building
a new shipyard off Jurong. This new
shipyard will have four graving docks,
all of which will be capable of handling
ships up to VLCC/ULCC size. It is not yet
known whether or not JSLs existing two
shipyards, on Shipyard Island and at
Tanjong Kling, will close when this new
yard opens. If the market is, by that
time, on the improving side, then it is
likely that one or both of these existing
yards will remain open.
The Singapore area, which includes
nearby MMHE at Pasir Gudang, remains
the centre of ship repair throughout the
world with four large shipyards and a
number of medium and small shipyards
in existence. The technical expertise of
these yards is second to none, which
is clearly seen by the number of large
scale, and very complicated offshore
conversion contracts completed and
underway at the various large ship-
yards. For a number of years, the Singa-
pore area, was losing its general repair
market to the much cheaper Chinese
yards, especially the bulk carrier mar-
ket, where steel renewals play a large
part in any repair operation. However,
redelivery dates from Chinese shipyards
have been suffering as many yards take
on too much work, and the reliability ofthe yards in the Singapore area has pre-
vailed with many shipowners returning.
During the 70s and 80s, many
shipyards, especially those in the
western hemisphere, closed and
facilities were lost to redevelopment. In
the UK, in particular, some 23 graving
docks disappeared over a matter of
20 years. Nowadays, this is not the
case. For every shipyard that closes,
there appears to be a buyer willing totake over. A prime example of this was
the recent closure of Malta Shipyards
LNG tanker repairs in N-KOM
SPECIAL REPORT
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following years of union problems. Immediately Italys Palumbo Group, which
already had repair facilities in Naples and Messina (Sicily) took over.
Union problems were also behind the demise of the repair industry in Marseilles.
At one point there were four/five repair companies renting drydock facilities from
the Marseilles Port Authority then, at one point, only one remained. Italys SanGiorgio del Porto has now moved in, to hopefully, make it work. There are some 10
drydocks available in Marseilles.
The most spectacular move by one shipyard group to expand into a new area was
seen a few years ago when Drydocks World Group (DDW) purchased Singapores
Pan United, which had facilities in Singapore and on the Indonesian island of Batam,
and Indonesias Leroy Engineering, which has a repair base and a rig-building yard,
both located on Batam. Although this massive expansion into new markets for
DDW was initially well founded, falling markets in both shiprepair and rig-building
have taken their toll on the Group.
So what of the future? The development in Singapore and the Middle East is now
well on its way, although there is unlikely to be any further expansions in these areasother than the ones mentioned above. The Chinese yards remain the cheapest and
will, as time goes by, increase their technical expertise and thus gain more work,
especially in the general repair market. Brazil appears to be a country which needs
to increase its ship repair capability. With the number of field expansions in Brazils
offshore industry, and the ever-increasing number of subsequent vessels operating
in the area, the current repair facilities appear inadequate.
There are also the upcoming IMO rules and regulations, especially those governing
emissions and ballast water treatment. Both these factors will inevitably involve ships
going into drydock for modification work. It is almost 100% certain that this type
of work will be carried out at scheduled drydocking times, although shipowners/
managers are renowned for leaving this type of work to the last minute.
There is also the offshore industry, which is currently expanding into new areas,
such as Brazil and West Africa, going deeper and going colder. All these factors will
result in existing ships and rigs in the offshore market requiring modifications. This
type of work is generally carried out by ship repair yards.
SPECIAL REPORT
General repairs
in Lisnave
35
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Experienceand expertiseleads to
success.
36
A DAY IN THE LIFE OF
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A DAY IN THE LIFE OF
He sought to achieve success in a
faithful and able way. He welcomed
the existence of the Oman Drydock
Company as a new project and he
promised himself to be amongst the
honoured people in the company, the
place where he worked during the
establishment of the project. Since the
first building blocks were put, he did
not spare any effort to reach his aimby working hard and cooperating with
his colleagues in order to raise the
companys reputation internationally.
A dialogue was conducted with Sultan
Al Qurmushi, crane operator.
?fn [`[ pfl ]\\c n_\e pfl
af`e\[k_\ZfdgXep6
I was proud of it since the first moment
the project was established. I witnessed
the first moments of the company; the
bases, and drydocks as well as the
cranes, which are related to my current
field of work. While I was in Korea. I
got the chance to learn more about my
work and how to operate cranes which
required complete accuracy in order to
avoid risk that may occur due to lack of
accuracy and caution.
N_Xk`jpfliXdY`k`fe6
I want to be a diligent employee, sup-
porting the company in order to raise the
companys reputation globally by coop-
erating with all employees and manag-
ers. I also want to contribute effectively
in the development of the project.
8epd\jjX^\6
I hope that this project gains attention
from the government to overcome
difficulties by bringing in experts in the
field of maintaining and add large shipbuilding services for the project which
will certainly contribute in increasing
the national income of the country.
JlckXe8cHlidlj_`[`[XgiXZk`ZXcZflij\`ek_\]fccfn`e^]leZk`fej1
(0.+ British Royal Air Force, National Air Base - Masirah Island (housing
services)
(0.- Oman Royal Air Force, Masirah Air Base - (fire apparatus driver)
(0.0 Dubai Police United Arab Emirates traffic police (motorcycle)
(0/- Shell Oman Marketing Company Masirah Air Base (heavy driver)
)''* DynCorp Company Maintain American Royal Air Force Masirah Air
Base (heavy equipment distributor and supervisor)
)'(' Oman Drydock Company (heavy equipment operator)
?\gXik`Z`gXk\[`ej\m\iXcjfZ`XcXZk`m`k`\j1
Organizing National Day celebration
Participated in social and sports activities
Masirah Sports Club Chief for 4 years
JlckXe8cHlidlj_`
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Oman Drydock Company believes that the
training and development tools which are
adopted to raise the HSSE awareness are those
which simplify the work process and support
the line management and the workforce@jjXdAldX8cDlb_X`e`
Sr. Manager, HSSE
HEALTH AND SAFETY
Continuousimprovement
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HEALTH AND SAFETY
Helmet
Personal Protective Equipment (PPE) is the last line of defense to protect workers
from the dangers resulting from the work environment. They are defined as
preventive tools used for protection from injury during work time.The Department of Health, Safety, Security and Environment is preparing
specifications that determine the selection of PPE according to safety standards
used worldwide and in application of Article 18 of Chapter 3 of the Regulation
for measures of occupational safety and health issued by Ministerial Decree
(286/2008).
As provided in Article 8 of Chapter 2 of this regulation, workers should wear PPE at
work sites. Department of Health and Safety personnel are present on work sites to
monitor the use of PPE to ensure the workers safety.
There are many types of PPE used in the company such as helmets, protective
glasses for eyes, shielding from objects, volatile, or harmful rays, safety boots lined
with steel sheets to protect feet, ear plugs, protective clothing for the body andother equipment shown in the picture above, which protect the body in case of
accidents that could result in harm to the worker.
PersonalProtective
Equipment(PPE)
40
GogglesEar Plugs
Dust Mask
Full Body Harness
Gloves
Safety Shoes
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We have noticed that someof our and
our Sub contractors employees are
utilizing the luggage compartment
providedat the rear part of thepick-ups
and other similar vehicles when they
want to travel. This methodof travelling
is observed when the vehicles are
moving around in the yard and to andfromthe Dormitory.
This is a violationof a ROP regulation.ODC traffic rules are also in line with
ROPregulations.
This method of utilizing a Pick-up or
other similar vehicle for transportingthe
personnel is resulting in increasing the
Risk to a very highdegree in terms of
Safety. Hence in the event of an
accident, the injury caused to a
personnel will beof severetypeorevenmayresult inFatality.
The following points are to be followed
to ensure Safe Transportat ion of
Personnel:-
All personnel shall be transported using
transport vehicles such as Buses
No personnel shall be transported in
Luggage compartments of vehicles, All vehicle users and its occupants shall
use Seat belts.
Do not over speed.
Utilize luggage compartment of these
vehicles to transport luggage, only.
Do not carry more than allowable number
of persons in the cabins of the vehicles.
Do not violate Safety Rules.
SAFETY ISA TEAMWORK. PLEASE TAKE
PART, SO WE CAN AHCIEVEOUR
ZERO ACCIDENTTARGET
SAFETY ALERT
Safety Alert : ODC/HSSE/SA 002/2011
Health, Safety, Security & Environment
Oman Dry dock Comp any, S.A.O.C.
HEALTH AND SAFETY
41
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MachineryDepartmentThe machinery department is one of the
most important production departments
at Oman Drydock Company. This
department deals with the mechanicalequipment and devices such as boilers,
compressors, and propellers. There are
four main sections: main engine room
area, propeller and rudder area, main
deck area, and the machinery shop area.
As the heart of the ship, the main engine
room is the most important part in the
ship, so any work scope for repairs here
needs a specialist engineer and skilled
technicians and workers. In addition
to the main engine, the main engineroom contains equipment that supports
the operation of the main engine such
as boilers, compressors, water coolers,
and purifiers.
With regards to the propeller and rud-
der area, the polishing of propellers isthe most form of repair work. In addi-
tion, taking the clearance of the rudder
stock, and repairing any damage in the
propeller shaft may also occur regularly.
In the main deck area, we deal with
repairs of the main deck cranes, main
deck winches, and anchor windlass. The
machinery shop consists of different
machines such as a lathing machine,
turning centre machine, universal
milling machine, drilling machine, andhacksaw machine.
Saleh Rashid Mohammed Al Shuraiqi
FEATURE
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History ofimprovements
in ship making.
HISTORY
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HISTORY
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Ships are one of the most important and
most ancient means of travel. Every day,
thousands of ships cross the oceans, sail
along the beaches and travel between
lands through the water lines. In fact,
trade between countries depends a lot
on ships. Some worldwide items that
are transported via ships include: oil and
its products from gulf countries to the
rest of the world, wheels from Canada
to Germany, machinery from Germany
to Chile, copper from Chile to Japan,
Japanese cars to Europe and Australia,
corn from USA to Ethiopia, and coffee
berries from Ethiopia to France.
Different types of ships are used
to carry global trading. Big ships
carry oil, vegetable oils, and other
liquids. Refrigerated ships carry fruit,
vegetables, and meats. Hard and
dry cargo ships carry corn, pure iron,
and sand. General cargo ships carry
everything, starting from planes and
machinery, to zippers. Passenger ships
take passengers through oceans and
tourists all over the world.
For thousands of years, people have
used ship and sail to find out more
about the secrets of the sea. Moreover,
they sailed to discover new places, to
facilitate trading, and to wage wars.
During the Middle Ages, Arabs were
known as ship builders, building ships
that crossed all the seas known at that
time. One of the most famous Arab
sailors was the trader Suleiman who
wrote down his voyages in 851, and so
did Ahmed Bin Majid and Suleiman Al
Mahdi. The Portuguese were the first
European sailors who sailed from the
South Atlantic Ocean to the western
beaches of Africa at the end of the
15th century. In 1492, the Italian sailor
Christopher Columbus, who was
working for the King of Spain, reached
America crossing the Atlantic Ocean
using three small ships. In 1497, the
Portuguese sailor, Vasco da Gama
sailed from Europe to India searching
for spices.
Luxury ships sail to the Caribbean Sea
and the Mediterranean Sea and offer
the best types of food, exclusive accom-
modation, and entertainment activities.
In 1620, a ship called the Mayflower
took the first group of settlers to North
America from Europe. During the time
between the 17th and 19th centuries,
big ships of the East India Company
carried large amounts of silk and spices
and other items from the Far Eastcountries to Europe. In the middle of
the 19th century, sailing ships were
replaced by steam ships. The world
became smaller as steamboats and
ships crossed the oceans in shorter
times compared to the time spent when
using sailing ships. These ships reduced
the distance between countries and
people and allowed for economical
relationships between them.
8Yi`\]_`jkfip
The first crude form of a ship was a
piece of wood used to cross a lake or
a river. People perhaps used their hands
as paddles at the time, and then learned
how to make a basic raft using tree logs
in one line tied together well. With
time, people discovered how to make
boats from tree logs after removing the
bark from it. Ancient man made boats
from other materials in areas which didnot have much wood. For example,
he stitched animal skins together and
shaped it as a big bag to be used like
a catamaran. When several catamarans
are tied together, they work as a buoy.
In some areas, people found that small
vessels tied to each other could make a
buoy. As you know, one big vessel can
be a boat for one person only.
In ancient Egypt and other places,
people made the first generationof buoys using sugarcane. In time,
Egyptians learned how to organise
them to make boats shaped like a
HISTORY
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spoon. In 4000 BC, they learned how to make manual pushing ships. These ships
are long and narrow and were manoeuvred by a number of paddles. During the
next 1000 years, ship and boat making went through two main changes. In 3000
BC, Egyptians discovered that sheets (sails) can aggregate air to push their boats.
Furthermore, they could make boats using thick pieces of wood. After discoveringhow to make boats using wooden boards, people started to make bigger ships
which could cross the seas.
D`c\jkfe\j`ej_`g$Yl`c[`e^
3000 BC The Egyptians invented sails and learned how to build wooden ships.
850 Arabs developed the sail ships and they used the Astrolabe and
compass, which enabled them to sail to India, Malacca and China.
1200 North European ships makers made the rudder of the ship at the back
of the ship.
1450 Mediterranean Basin ships makers developed fully equipped sail ships.
1807 The American, Robert Felton made the first steam-propelled boat.
1818 Britain launched its ship, Vulcan, the first ship built entirely of iron.
1819 The American ship, Savana, became the first steam-propelled ship
that crossed the Atlantic Ocean even though it used its engine for only
105 hours. It has used the sails for the rest of the voyage which lasted
29 days.
1836 Britains Francis Pettit Smith and Swedens John Ericsson patented their
invention of the spiral paddle.
1838 Cyrus became the first British ship regularly offering its services to cross
the Atlantic Ocean, using only steam-propulsion.
1897 Britains Charles Algernon Parsons proved the efficiency of steam
turbines in his steamboat named Turbinia.
1910-1911 For the first time, machinery ships were available to use.
1959 USA launched the first trading ship with nuclear-wheel-drive, known as
the Savannah.
1980 Lengthening the ship Saoayz Giant to be the largest ship in the world.
It was 458 meters and was launched in 1979.
HISTORY
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Thirty eight years ago, the construction for the worlds largest shipyard was
implemented under the strong initiative of the Korean government to further its
heavy & chemical industry policy. However, the construction was delayed due to
the oil crisis and the recession in the world shipbuilding market. In 1981, new
management (DAEWOO) was finally able to complete the historic project.
In the 1980s and 1990s, the Company was challenged with numerous obstacles inorder to achieve growth in scale, advancement in technology, diversification of the
range of products, increase in profitability, and harmony in labour and management
relations. Nevertheless, the shipyard prevailed through numerous challenges to be
reborn as a prominent shipbuilding and marine engineering company.
The outcome of the success was the direct result of the selfless effort applied
by every employee at the shipyard under a common cause. Today, DSME
receives the highest recognition from its clients in producing the top quality
ships and offshore products of every kind by obtaining the state-of-the-
art production system technology, the advanced research and development
system, and the highly efficient management capability.
The view of DSME in Okpo
ACHIEVEMENT
Stepping towards a new age ofDSME with trust and passion.
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ACHIEVEMENT
The Dandeung Mountain Demolition Project
was the biggest construction project in the
nation at that time. Over 500 tonnes of
explosive was used in the project.
The ground leveling project that involved
approximately 3.5 million square metres of
land was almost completed by 1976.
Goliath Crane was installed during the night to avoid
the temperature fluctuation which would affect its
massive length and height.
A 130m Gallow Frame that was used as the
support column for the rocket launching facility
at the American National Aeronautics and Space
Administration was imported to install the cranes
leg and girder.
It was designed to lift 900 tonnes of cargo up to
91.4m height.
The construction to build the worlds largest
dock underway. In 1981, the No.1 Dock wascompleted just before the shipyards dedica-
tion ceremony.
The dock was equipped with the worlds largest
Floating Cassion Gate. Its dimensions were 131m,
in length, 12m in width and 13.5m in height.
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In a pioneering step to ensure convenience for all its employees, ODC in collaboration
with BankMuscat availed a special vehicle for banking services. This vehicle will
allow employees to withdraw money at their sites and accommodation locations.
The initiative is further evidence of the special care provided for all staff members
by the Company. The Company has material plans to start another vehicle at the
employee accommodation location.
ODC always seeks to provide its employees with services that meet their current and
future needs, and a healthy milieu to ensure better productivity.
Bank On Wheels
As part of the follow-up and supervision
on the development of the Special
Economic Zone, Yahya bin Said bin
Abdullah al Jabri, Chairman for theSpecial Economic Zone Authority at
Duqm, made a comprehensive tour
at the wilayat of Duqm development
project. Al Jabri was received by M J
Park, CEO, Oman Drydock Company,
and Sheikh Khalid bin Ahmed al Salmi,
Deputy CEO, alongside with a number
of the company employees.
The visit programme included a
presentation by Qassim bin Ahmed al
Shizawi, Dirctor General of the Ports,on the master plan of the Economic
Zone in the wilayat of Duqm in the al
Wusta Governorate. It also included a
documentary on the Oman Drydock
project, the major achievements made
since the launch of the project, thehuman resources development efforts,
the marketing of the drydock services
at world markets, and the major HSSE
programmes adopted by the Company.
After the presentations, al Jabri toured
the drydock facilities and was briefed
by one of the company officials on the
departments and the progress made by
the Company till date.
Al Jabri also visited the floating hotel the
vessel Veronica owned by DEMS. OmanDrydock Company has maintained the
vessel and converted it from Mona Liza
to Veronica to be one of the tourist and
recreational attractions in the drydock
project. The floating hotel is provided
with all facilities such as conferencehalls, health clubs, restaurants, and
other hospitality facilities.
Al Jabri then visited Duqm Commercial
Port and reviewed the major
developments and progress made in
the implementation of the project.
It is worth mentioning that Duqm
Economic Zone receives governmental
officials every now and then to review
the progress made in the developmentof the area which is expected to be a
hub for local and foreign investments.
ODC NEWS
Chairman for the
Special Economic
Zone Authorityvisits Duqm.
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