Shipper to take in 11 new vessels costing RM266mil

Miri-based Shin Yang Shipping Corp Bhd expects to complete its RM266mil fleet expansion programme by the end of next year.
Chief executive officer Capt Ting Hien Liong said the expansion, with 11 vessels of different types currently under construction, was to cater for increasing demand in its services
“Our fleet expansion will see an additional two cargo vessels, five units of 37m anchor-handling tugs, two 23.8m tugboats and two pneumetic cement vessels,” he told StarBiz recently.
Last Tuesday, Shin Yang saw the maiden call of mv Danum 133, its new container vessel, at Northport, Port Klang. To date, the group owned a total of 282 vessels.
Ting said Danum 133 cost about RM20mil and would serve the Port Klang-East Malaysia routes.
Shin Yang was listed on Bursa Malaysia in the middle of last year. It is one of a handful integrated shipping companies in the country that operates and builds its own vessels.
Besides shipping, the group, via its shipbuilding division, also provides repair services at two shipyards in Kuala Baram, Miri, and Bintulu. The shipyards can build vessels of up to 15,000 deadweight tonnes.
The company also announced last year that it would use part of the RM190mil proceeds from its initial public offering to set up a shipyard in the United Arab Emirates (UAE).
In March, Shin Yang held a keel-laying ceremony for the construction of two units of landing crafts worth US$30mil (RM90mil) for the UAE.
The crafts were to be delivered on or before the second quarter of 2012.
According to Ting, despite higher demand for its services, the group would still need to overcome several challenges including the full utilisation of resources and assets in its effort to maximise returns.
In addition, the movement of bunker oil prices and the quality of its crew were important to achieve substantial growth, he added.

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