Keppel in joint venture to build and operate shipyard in Azerbaijan

Keppel Offshore & Marine Limited (Keppel O&M) is joining with State Oil Company of Azerbaijan Republic (SOCAR) and Azerbaijan Investment Company (AIC) to develop and manage a new 52 hectare shipbuilding and ship repair facility in Baku, Azerbaijan on the Caspian Sea.

The new SOCAR-Keppel Shipyard will be developed over a period of 2-3 years with an initial investment of about US$386 million.

The joint venture agreement will be signed with Keppel O&M taking a 10 per cent share of the yard, and SOCAR and AIC the other 65 per cent and 25 per cent respectively.

Keppel O&M will be responsible for the management and operation of the yard, and will have the option to acquire another 10 per cent stake in the next three years. The new yard is designed to undertake construction of a variety of vessels ranging from offshore support vessels to tankers, as well as ship repair and conversion. OSJ