China expanding in offshore construction

Chinese yards are going through an unprecedented growth in activity in offshore construction. ABS China Country Manager Wing Kee Ho reports that with the demand for deepwater ships and rigs, the Chinese government has embarked upon a series of yard expansions.

The China National Offshore Oil Corporation (CNOOC) has expanded with yards in Qingdao and Penglai. The Qingdao yard can build FPSOs, TLPs, spars, and other deepwater drilling facilities. At 269 acres, the yard doubles the production capacity for CNOOC.

Cosco Shipyard is selecting a location in southern China to build a new yard and Dalian Shipbuilding Industry (DSIC) is adding a 300,000 dwt dry dock this year. Dalian has a joint venture, Dalian Shipbuilding Industry Offshore Engineering Co., specializing in jackup construction.

China National Petroleum Corp (CNPC) which has traditionally been an onshore operator is looking at a new yard for building offshore facilities in Bohai Bay area. Ho says other major yards such as Shanghai Waigaoqiao, Yantai Raffles and Chiwan Sembawang are building offshore rigs as well.

According to the ABS Energy Development Department, Houston, current order highlights include:

3 semi submersibles on order at Yantai Raffles

1 drillship order pending at a major China yard

6 jackups on order at Dalian