Harbor Star inks deal to construct floating dry dock

Net income after tax fell by 26.55% to P9.18 million in the third quarter from P12.49 million in 2014’s comparable period, according to its financial statement released yesterday. Net income after tax fell by 26.55% to P9.18 million in the third quarter from P12.49 million in 2014’s comparable period, according to its financial statement released yesterday.

Listed marine services provider Harbor Star Shipping Services, Inc. has signed an agreement with Guam Industrial Services, Inc. to establish a joint venture company (JVC) that will operate several floating dry dock facilities in the Philippines.

In a disclosure to the Philippine Stock Exchange, Harbor Star said the JVC intends to tap into the growing demand for dry dock facilities in the country. A floating dry dock is a dock that can be lowered into the water for the entrance of a ship, and then raised for use as a dry dock.

The Maritime Industry Authority (Marina) requires all Philippine-registered classed ships to be dry-docked twice in five years, while all non-classed ships should be dry docked annually. Harbor Star noted there are 9,981 vessels registered with Marina as of December 31, 2015.

Harbor Star chief information officer Atty. Ignatius Rodriguez told PortCalls in a phone interview that more dry docking facilities are needed in the Philippines. He noted that in their experience, 30 days is the usual waiting time for their vessels to get serviced by a dry docking facility. The company maintains a fleet of 45 watercraft comprising of tugboats, barges, and specialized vessels.

With the JVC, Rodriguez said they intend to provide faster turnaround to clients.

The JVC’s first dry dock is scheduled to start operating by end of the year in Central Luzon. Capital expenditure for the initial operation, including for equipment and property improvement, is approximately P170 million, said Rodriguez.

The facility eyes foreign and domestic vessels within the Philippines and around neighboring countries calling Southeast Asia. The planned capacity includes servicing vessels measuring up to 190 meters long and 30 meters wide, or 18,000 long tonnes.

Harbor Star has been in the marine services industry for 18 years and provides harbor assistance, towage, salvage, diving, marine maintenance, and pier repair and construction. The company serves more than 70 ports and terminals throughout the Philippines.

Guam Industrial Services has been in the business of ship repair and related industrial services for 19 years. The company operates Guam Shipyard in Guam, and counts the U.S. Navy and the U.S. Coast Guard among its clients. Its expertise includes dry docking, major engine overhaul, sea side repair, and vessel conversion.

SOURCE:http://www.portcalls.com/harbor-star-inks-deal-construct-floating-dry-dock/#