Milaha reorganises to support Qatari growth in shipping, oil and gas sector

As part of the reorganisation, Milaha is creating a new strategic ‘pillar’ – marine and technical services – that will focus on providing vessel and industrial equipment owners and operators with comprehensive, end-to-end services to help them achieve greater asset efficiency and lower total cost of operations.

The pillar will include both current activities – ship management, shipping agency, shipyard, bunkering – and introduce new services, such as ship chandlering. Milaha will also combine its truck sales and distribution activities with its land-based asset maintenance and servicing.

With broad maritime interests, Milaha owns offshore support vessels, LNG and gas carriers, crude and product tankers, container vessels and bulk carriers. Milaha also owns a 36.3% stake in Nakilat, one of the world’s largest LNG carrier owners, and 12.2% interest in United Arab Chemical Carriers (UACC), which owns 23 MR and Panamax LR 1 chemical and product tankers.

Milaha president and chief executive Abdulrahman Essa Al-Mannai said “We want to build on our already-strong capabilities to create an unmatched presence in the marine services sector. We aim to be a one-stop-shop for the needs of all shipowners and operators, trucking companies, and heavy equipment operators. This is also in response to the increased growth in maritime shipping in Qatar, particularly after the opening of Hamad Port as well as the anticipated growth from the second phase, in addition to the growth in the oil and gas sector over the next few years.”

As part of the re-alignment of the company, the existing Maritime & Logistics unit will focus on enabling trade and providing end-to-end supply chain solutions for commercial customers, through its container shipping, ports, and logistics.

As part of its focus on its core business, Milaha is also exiting its travel agency business and de-emphasising its equipment agency and distribution activities.

As a result of the reorganisation, four out of Milaha’s five strategic pillars will focus on core-business pillars, (1) maritime and logistics, (2) offshore marine, (3) gas and petrochemical, and (4) marine and technical services. The fifth pillar, Milaha Capital, will deal solely with financial and real estate investments.

Mr Al Mannai added “Over 80% of our revenues are now coming from our core sectors and customers, and we plan to build market-leading positions in these areas in the coming years. Developing these capabilities locally will also support the diversification and competitiveness of Qatar’s economy, in line with QNV 2030.”