New shipyard for Gdansk

ISD Polska, a subsidiary of Ukrainian steel manufacturer ISD Donbas, plans to invest z³.700 million ($283 million) to build a modern shipyard in Gdansk. However, the project may be delayed due to ongoing talks with the European Commission (EC) which insists on reducing the existing shipyard’s production output by closing two of its three slipways. Otherwise, the investor would have to pay z³.750 million to the Treasury to make up for subsidies awarded to the shipyard which the EC deemed improper.

The new shipyard would be constructed on Ostrow Island, located between the Vistula River and Kaszubski Canal and playing host to various industrial plants, including part of the existing shipyard. The site would employ the newest available technologies and would specialize in the construction of complicated vessels used for servicing oil rigs.

The plans envisage a compact shipyard, which would enable production in a smaller area and thus boost efficiency. The plant would aim to produce between 10 and 12 ships per year as well as steel constructions to supplement its offer and income.

If ISD gets the go ahead for its plans it could have the shipyard constructed within three years and could achieve an output similar to some of the most modern European shipyards within three to four years of opening.

Meanwhile, ISD will concentrate on restructuring within the existing shipyard. To achieve capacity comparable to those of medium-sized shipyards in Europe, productivity in Gdansk would have to double. The shipyard will produce eight ships this year, two of which are part of orders obtained by the new management team, and negotiations are underway for contracts relating to 35 more ships.