Keppel expands Cebu operation

The Board of Investments (BOI) has approved a P589,927 million ($12.04 million) project of Keppel Singmarine Philippines Inc. (KSPI) for the production of tugboats and offshore support vessels for export. KSPI said the new project was in line with the Keppel Group’s Near Market, Near Customer strategy and its support for the Philippine shipbuilding industry. The new investment would be used to purchase new equipment and facilities, building and leasehold improvement and working capital for the assembly of eight vessels per year at its existing shipyard in Lapu-Lapu City in Cebu, where it offers shipbuilding services globally.

The new facilities would increase Keppel Shipyards manpower to 620 when it starts commercial operation next month and improve its level of competencies. Additionally, it will upgrade and repair the existing equipment in the shipyard as the new operations would involve planning and design, hull construction, machinery and equipment installation, outfitting, dock-and-sea trial and actual delivery. Its Singapore-based parent firm will also provide the technical training to prospective employees, many of whom come from Lapu-Lapu City and surrounding municipalities.