Russia plans to acquire large Crimean shipyard

Financial details have not been disclosed. Zaliv is currently owned by Konstantin Zhevago, a Ukranian billionaire.

According to Andrew Skrinnik, the Crimean Minister of Industry, the production capacities of the plant are largely inactive, and change of ownership will offer the chance of revitalisation. Currently the Russian government is preparing to re-register the plant under Russian legislation, putting Zaliv under the control of Russian business.

Dmitry Rogozin, Russia’s first deputy prime-minister, who is responsible for the shipbuilding development, said that Zaliv, as a privatelly-owned company, could not be integrated into the Russian shipbuilding monopoly United Shipbuilding Corporation, which could hamper the Russian government’s ambitions for development of shipbuilding in Crimea.

According to earlier statements of Denis Manturov, Russia’s Minister of Industry and Trade, Zaliv could be used to build oil tankers and LNG carriers for Rosneft and Gazprom, thanks to its large shipbuilding dock, 300m long and 70m wide, which has no equivalent in Russia.

Before the Crimean annexion, up to 95% of Zaliv’s production was exported, the main markets including Norway and the Netherlands.

Sources close to Mr Zhevago are quoted as saying that should negotiations with Russia fail, the plant may be nationalised by the current Crimean government with no compensation.