oman drydocks

7/28/2019 Oman Drydocks

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I am the master of my fate: I am the captain of my soul, said

Nelson Mandela and his words struck a chord with me. On the

other hand, our Islamic culture says that even if we run away

from Gods fate, we run into Gods fate. Man is always looking

for the best and he controls his life by making rational choices.

Man is constantly attracting positive and negative feelings

(dissatisfaction and pessimism), which lends to the accumulation

of mental and physical diseases. We should instead use the law

of attraction to gather everything that is positive, and encourage

ourselves to reconstruct the world, reclaim the self, and refine

the soul. If we succeed, we can spread forgiveness, appreciation,

and cooperation around us at work, home, and share it with

our friends, so that our subconscious mind eliminates fear and

seeks peace.

Oman Drydock Company is truly an example of such positive

thinking and the power of collective energy. Inspired by his

Majesty Sultan Qaboos bin Saids vision, ODC has become a reality

because of the people of Oman. Be it engineers, technicians,

administrators, or workers, they have strived towards one

goal, to make this vision a reality. This is an achievement that

will forever serve as a reminder of cultural reconstruction where

various nationalities collaborated for the drydock project in

Al Duqm.

The ambition is to keep growing by being positive, cooperative,

working as one team, and upholding our values based on the

business strategy. The management is focussed on harnessing

material resources to support human resources because industrial

development is only towards the progress of mankind.

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M.J. Park

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Khalil Al Salmi


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08

3

Contents

'+ COVER STORYA brief insight into how ODC is making life better in Duqm.

)) SPECIAL INTERVIEWWhat makes the Economic Zone in Duqm tick, as revealed by

Yahya Al Jabri.

)- INTERNATIONAL NEWSThe latest news and trends of the international shipping world.

*/ HEALTH AND SAFETYSafety measures and training programmes at ODC.

+) FEATUREThe inner workings of the machinery department.

++ HISTORYAn interesting history of ship making.

,' ODC NEWSNuggets of information on ODC.

,. LEISUREAll work and no play is no fun!

-( PHOTO TALKExplore ODC through pictures.

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In April 2011, wilayat Duqm launched the operational stage of the drydock in Duqm

when it received two ships owned by a Belgian company for service. It was a sign

for starting a new industry in Oman for the maintenance and service of ships. This

will be a new dock that is provided with the latest technology in ship maintenance

and service.

With a good location near the sea route of global trading, this project will makeDuqm the forerunner of this industry in Oman in the coming years. This project

is a part of many other projects in Duqm such as the port, free zone, tourism

HE Said bin Hamdoon Al Harthy, Undersecretary of the

Ministry of Transport and Communications of Ports and

Maritime Affairs, Chairman of the Board of Directors ofOman Drydock Company

COVER STORY

This project

will make

Duqm the

forerunner of

this industryin Oman in

the coming

years.


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utilities, and a number of supporting

infrastructure projects including an

airport, power plant, desalination

plant, and a modern network of roads

connecting all these projects to the

wilayat and new residential areas.

All these projects will cause a shift in

Omans economy by diversifying income,

providing new job opportunities to

Omanis, and drawing more investments

in the Al Wusta region specifically, and

Oman in general. Furthermore, it will

support business and urban growth

which can promote the economic base

of Duqm and Wusta. This plan is part

of the government policy in income

diversification and reducing dependenceon oil products. It aims to attract

domestic and foreign investment in

order to expand the national economy.

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These projects in Oman aim to achieve

a well-balanced work life and a focus

on achieving Omans 2020 vision,

which has already seen big projects

take shape such as the drydock andDuqm port. The 2020 vision aims to

make a radical shift in Omans national

economy by multiplying income sources

and reducing dependence on one

non-renewable source which is oil.

The drydock is an attempt to create a

new industry that will be a beneficial

investment in terms of human

resources and finance. It will develop an

economical and industrial movement

because of its unique location on the

Arabian sea, located near international

shipping lines connecting the east and

the west, as well as regional shipping

lines connecting the Gulf countries with

countries in the Indian Ocean.

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Duqm port will serve the system ofmaritime transport between the ports

of the Sultanate, goods movements,

and industrial and tourism activities as

it is located between the Sultan Qaboos

port in Muscat and the Salalah port in

Dhofar. Duqm port will gain importance

as it has a drydock capability for

ship maintenance and repair. It can

accommodate large ships with 400,000

tonnes capacity and will soon be able

to accommodate ships with a capacity

of 600,000 tonnes. This project will

refresh the tourism movement, create

a need for utilities, and will market the

area as a tourist area.

This dock is a part of Duqm port, built

to be a multi-purpose integrative port,

serving the industrial city, middle and big

industries, repair services, shipbuilding,

marine locomotives, and big stores

which will lead industries in Oman.

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The company started its experimental

stage in April gradually with ships of

different sizes. The drydock consists of

two docks: the first one is 410mx95m,

and the second one is 410mx80m,

depth of 14m. The drydock can serve

ships with capacities of 600,000 tonnes.

The project has a lay of 2,800m lengthand land reclamation with an extent of

453,000 square meters. It also consists

of naval works that include sidewalk

appurtenance, squares, workshops,

warehouses, roads and drainage

systems, fine restaurants, management

offices, housing for employees, and

a guesthouse. In addition to all this,

there are mechanical and electrical

facilities. After operating this project,

we received more than 46 versatile

ships including the first tanker for liquid

natural gas (Muscat LNG), owned by

Oman Shipping Company S.A.O.C.

in December.

COVER STORY


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Clients are interested in many

factors including time, efficiency in

implementing work, reasonable costs;

as long as we achieve all these, we

believe our customers will be satisfied.

In a short period, we have hosted

various ships and this is a result of

the intensive work of participating in

international exhibitions. Through these

exhibitions we hope to enter dealings

with international agencies which will

provide us with information aboutlarge companies, the owners of these

ships, and arrange appointments with

decisionmakers. This will allow us to

make direct deals in order to gain a

good reputation in the marine field.

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Competition is an healthy phenomenon

and keeps us working hard. Our strategic

location and international standards of

the drydock, along with other factors

including qualified human resources

and dealing with DSME Company, has

made the dock a primary choice in terms

of quality and punctuality in delivering

ships. The drydock is characterised by

special benefits for the ships ownerthroughout the duration of their stay

in Duqm.

The Duqm project

will cause a shift in

Omans economy by

diversifying income,

providing new job

opportunities to

Omanis, and drawing

more investments in

Oman and the

Al Wusta region.

COVER STORY


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COVER STORY


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COVER STORY

Customers

are confidentto approach

ODC especially

when they

know about

the DSMEconnection.

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M J Park, CEO of ODC, says the drydock is the first project completed in Duqm, and

what has helped achieve this task, according to Park and Sheikh Khalid bin Ahmed

al Salmi, Deputy CEO, is the operations and management partnership with Koreas

Daewoo Shipbuilding and Marine Engineering (DSME), one of the worlds largest

shipbuilders. The Duqm drydock has two graving docks of ULCC class of 410m x

95m and 410m x 80m, five quays of 2,800m long, and 14 sets of jib cranes with a

lifting capacity of 10040 tonnes on a vast area of 1.3 million square metres.

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For operations and swift maintenance, the expertise of DSME is sought. For

specialised machinery and electrical works, if necessary, subcontractors from

Bahrain and Dubai are brought in. We know what kind of work is going on in

D%A%GXib- CEO


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Bahrain and Dubai drydocks. We

would like to establish a similar system

here. It does not make sense to have

companies permanently stationed here

for repair-related work as the market is

inconsistent; sometimes we will be able

to bring in ten ships to repair at one

time, but sometimes we may have only

three or four. So having subcontractors

on a temporary basis works best for

us, says Park.

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The Company collaborates with Oman

Shipping and tracks the crude carriers

passing through the region and

approaches them with their services.

While this strategy has helped procure

orders for the repair of 46 ships so far,

Park admits that ODC still needs to

work to make its name known in the

international markets.

ODC has so far participated in exhibitions

in India, Korea, Singapore, and Norway.

Partner agents in these regions have

scouted for potential clients during and

after the exhibitions and helped ODC

get in touch with them. The DSME

association is a huge advantage for

ODC. DSME is known for its marketing

expertise and its network of clients that

it has built over more than 30 years. It

has lent its expertise to clients in Korea

and across Europe, explains Park.

Hence customers are confident to

approach ODC especially when theyknow about the DSME connection.

COVER STORY

9

Market reports

predict a strongdemand for ship

repair services going

forward. But ODC

wants to focus on

taking the brand

to international

markets beyond the

Middle East.


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COVER STORY

10

Infrastructure

development for

Duqm is top priority

for the Omani

government right

now and it is just

a matter of time

before the roads,

airport, and even

hotels are ready.


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Due to the state-of-the-art fabrication facilities at the yard, Park says there is

potential to develop a steel industrial business in the area. Companies in Iran and

Abu Dhabi are looking at large-scale steel fabrication works for onshore plants such

as power plants, chemical plants, and steel bridges, etc. So steel industrial clusterscan develop around the area. ODC is also looking at offshore projects like oil

drilling and gas drilling due to the demand for these services from potential clients

in Iran, India, the UAE, and Qatar, and this project too is in the study phase. They

cannot depend on ship repair operations alone to achieve the targeted revenues in

2020, says Park.

The immediate focus is to get the floating dock ready in 36 months. Executives

hail the establishment of the Duqm Authority in October as they point out that

any constraint on the infrastructure front can now be addressed there instead of

chasing after government officials in the capital area.

When it comes to subcontractors for the drydock, Park says, We are discussing

with the authorities to provide some tax concessions for subcontractors, as peopleneed incentives to work in a remote area.

While market reports predict a strong demand for ship repair services going

forward, the next step is to take the ODC brand to international markets beyond

the Middle East. Officials are banking on DSMEs strong network to gain an edge in

the marketplace. Right now we want to see how successfully the repair operations

part of the business pans out.

Going forward, the outcome of the ship repair operations will determine whether

or not ODC can move forward to shipbuilding. But this requires billions of dollars of

investment, admits Park, adding that ODC needs to consolidate its position in the

region before it can move on to this phase. The potential, however, remains vast in

the shipbuilding business and this is an area that Park is seriously looking at for ODCfor the future. At the end of DSMEs ship repair contract in 2016, if both parties

choose to renew this for the next 10 years then shipbuilding can be looked at with

DSME supplying ODC with the designs. And Park is optimistic about the outcome

of the current operations of ODC.

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Procuring the right manpower and transportation of materials still remains a

challenge as the cost of manpower has gone up and Duqm is still a remote area away

from the countrys capital. But company executives point out that the infrastructure

development for Duqm is top priority for the Omani government right now and it is

just a matter of time before the roads, airport, and even hotels are ready.

COVER STORY


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Xe[_fnn`cck_\pZfeki`Ylk\kfk_\^ifnk_f]k_\;lhdXi\X6The drydock is known for its strategic location on the trade route between the Indian

Ocean and the Arabian Sea; the busiest route with ultra-large vessels. The port may

also be one of the major ports in the GCC region. Major vessels may benefit from

the services and facilities offered by the drydock. Moreover, the drydock is operated

by DSME, which in turn assures customers that they will receive unparalleled high-

quality service.

The wilayat of Al Duqm is the link between the East and West, connecting the

Indian Ocean, Red Sea, East Asia, and North Africa.

Oman Drydock seeks to become one of the leading companies in receiving

vessels especially as it has the biggest dock in the MENA region. It also seeks to

become one of the major components of the Omani port systems. The Companyis expected to contribute to the growth of the national economy when it starts

to generate revenues from trans-ocean and multi-purpose ships. Alongside with

COVER STORY

B_Xc`c8cJXcd` - Deputy CEO

Oman Drydock

seeks to

become oneof the leading

companies in

receiving vessels

especially as it

has the biggest

dock in theMENA region.


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ship maintenance and repair works,

the activities of the Company will

have a good impact on tourism and

trade. The ships will have large crews

that will require accommodation and

recreational services. This in turn will

have a good impact on the performance

of other sectors.

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ODC secured a total of 1.3 million

square metres of vast area in Duqm

and is equipped with state-of-the-

art and luxury facilities including two

ULCCclass graving docks (410mx95m,410mx80m), 5 quays of 2,800m

long, 14 units of jib cranes with lifting

capacity of 10040 tonnes and a slop &

sludge treatment facility including slop

tanks to store 10,000 cubic metres.

ODCs vast area is also ready to serve

not only ship repair and conversion, but

also fabrication of any kind of offshore

structure in the Middle East area such

as platform modules, jackets and

wellheads, etc.

Most shipping-related companies

worldwide say that ODC is located in

a favourable location outside Hormuz

and will play an important role in the

Middle East in becoming a promising

hub of ship repair and conversion.

Also, the marketing division

communicates with a network of

international agents to capture local

and global clients through set or

promotional and marketing channels. A

strategic programme was developed to

take part at the shipping exhibitions in

different parts of the world. ODC has

an annual plan for participation at the

major international conferences and

exhibitions on marine repair. Since in

2009, the Company began to take an

initiative in the Gulf Maritime exhibition

in Sharjah, UAE, to be the actual driver

of participation in such events. In June

2010, ODC participated in Posidoniaheld in Greece which is regarded as the

major hub for exhibitions in the world,

followed by the Sea Trade Middle East

in Dubai and the SMM exhibition in

Germany. This year ODC participated

in two exhibitions; Sea Asia Singapore

and Nor-Shipping held in Norway. It has

also taken part at exhibitions at the end

of September and October respectively

of this year in India and Korea in a

bid to promote the drydock project.

This served as a good opportunity in

extending bridges of cooperation and

communication with major shipping

companies and vessel owners as well as

concluding a number of deals.

It also includes marine works that

comprise terminal annexes, workshops,

yards, warehouses, roads, water

drainage systems, restaurants, office

spaces, labourers accommodation, a

guest house, in addition to the other

electro-mechanical works. There will

also be a floating hotel, Veronica,

complete with all amenities.

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DSME is the operator and manager of

the project up to 2016. The companywill use its expertise in ensuring the

proper management of this project.

We are doing our best to benefit from

their expertise and train our human

resources to take over the posts

currently occupied by expatriates. This

work is an attempt to revive the rich

Omani maritime history. We will also

have long and short-term contracts

with subcontractors to operate some

logistical and service areas.

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At the end of last year, the Company had

trained and qualified 172 Omani youth

within the Sultanate. This included

technicians, group managers, and

engineers by allowing them to join the

International Maritime College Oman

(IMCO) for three months, then sending

them for scholarships to get trained

in Daewoo Shipbuilding & MarineEngineering Co. Ltd. in Korea and its

branch in Romania for two months

ODCs favourable

location on trade

routes and itsstate-of-the-art

facilities places it

high on the list of

drydocks in the

world.

COVER STORY


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COVER STORY

Firmly believing in the capabilities

of the Omani youth, ODC has

employed more than 300 Omanis in

its different departments.


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of training on the fundamentals of vessel maintenance and design. Holders of

Bachelors in Engineering and foremen have received training in marine engineering

and mechanisms and now contribute to the growth of the Company. We firmly

believe in the capabilities of the Omani youth, therefore we have employed more

than 300 Omanis in different departments. We also provide them with training

in areas such as vessel engineering, repair, administrative activities, accounting,

finance, purchases, business management, and marketing.

The Company continues to employ and qualify Omanis, raising cultural awareness

about the significance of the qualified cadre as the Company is going through

a phase of world competition that requires it to maintain an excellent reputation

which can be achieved by becoming perfect in all aspects related to vessel

maintenance and rehabilitation. The main aim is to achieve our mission and vision

and translate them into reality by working together as one team, providing ourcustomers with high-quality service, meeting their tough deadlines, and enhancing

our brand image.

COVER STORY


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COVER STORY

16

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Senior Manager General Administration


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We have a diverse culture at ODC and we strive to create a positive environment by

meeting the needs of our employees thus allowing ODC to come together as one

coherent family. To do so, General Administration (GA) is the model department

of ODC which ensures smooth operations of administrative support servicesfor the operation of the drydock. GA is tasked with setting up from scratch the

various basic facilities for accommodation, meals, transportation, security, and

telecommunications as support for the Duqm operations.

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There are several major achievements that GA is proud of such as the completion

of the dormitory which has a fully-equipped sports centre, and other welfare

facilities that meet the needs of ODC staff. In addition, GA achievements include

the completion of office furniture and various office facilities that are extremely

important for day-to-day operations.

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The greatest challenge we faced was to convert an empty remote area to a beautiful

place to stay.

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Our future plan is to be able to meet the various basic and necessary requirements

of our staff while adding on to our facilities to meet the future expansion of

our operations.

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ODC has come a long way to create various job opportunities for young Omanis at

all levels since its inception and we are proud to be part of it.

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I would like to see ODC become one of the best drydock companies in the world

and with hard work and determination, I do believe we will get there.

COVER STORY


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The Oman Drydock Company Human

Resources Department is playing a vital

role in Human Resource Development(HRD) by providing opportunities for

employees to develop their personal

and organisational skills, knowledge,

and abilities. It includes such opportu-

nities as employee training, employee

career development, performance man-

agement and development, coaching,

mentoring, succession planning, key

employee identification, educational

assistance, and organisation develop-

ment.

The focus of all aspects of humanresource development is in creating a

highly-trained superior workforce so

that the organisation and individual

employees can accomplish their

work goals through their service to

customers.

ODC employed nearly 1,000 employees

this year and will continue to employ

more people in the coming years for its

operational needs.Our department also continuously

provides on-the-job training to our

national candidates to familiarise them

with new industry trends in this region.

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To ensure Omanisation, which is

considered as a primary objective, the

recruitment policy has made national

candidates the first preference for any

job category. As part of all expatriatecontracts, it is a requirement that they

participate in knowledge transfer and

Creatinga superior

workforce.Apart from recruiting

and training the local

workforce, Oman

Drydock Company (ODC)

has also stipulated that

its expatriate employees

participate in knowledge

transfer which will

help in tutoring and

mentoring Omani

workers.

COVER STORY

B_XncX_8c8di`pX - HRD


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where appropriate, act as a mentor and coach to Omani nationals.

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As per our long-term business plan, ODC will create nearly 2,000-2,500 new jobs

in the coming years under different skills/positions.

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ODC faced a major challenge to achieve the stipulated Omani ratio due to its

inability to find the required specialised skills for the ship repair industry in Oman.

We were also unable to retain the Omani employees due to the prevailing strike

culture and unreasonable salary raise requests.

As a result, we were forced to turn to expatriate recruits since there was a lack of

ship repair industry knowledge and experience among the local Omani workforce.

It was also critical for us to obtain labour clearances from the Ministry of Manpower

to recruit this labour workforce.

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As of today ODC has a total of 1000 employees on board. Among those employees

855 are operations employees and 192 are support staff.

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ODC has initiated a programme to develop/enhance specialised technical skills/

qualification required for yard operations among our national talent pool.

In 2010, ODC identified and trained a number of Omani employees in various

disciplines; domestic training (78 candidates) and international training (37). This

year, we sent 113 candidates for on-the-job training and identified 50 employees

to get specialised technical licenses. Also, we have approved the training schedule

for another 100 candidates during 2012.

ODC has plans to implement the Train the Trainer programme to enhance

the internal trainer knowledge and cost-effective specialised training to ODC

employees. An internal training module has been developed and will start providing

the required technical training in-house.

COVER STORY


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In order to support Omani women and

as a recognition for their considerable

efforts made in various fields, Al Maraa

magazine, issued by United Media

Services, launched the first universal

prize to honour Omani women. On

December 5, Al Maraa magazine

held a joyous ceremony sponsored

by Her Highness Dr. Muna bint Fahd

bin Mahmoud Al Said, Assistant Vice-

Chancellor of Sultan Qaboos University

for External Cooperation, at the

Shangri-Las Barr Al Jissah Resort where

Her Highness honored the winners of

this year. Mrs. Khawlah bint Khalifa Al

Amriya, Director of Human Resources inOman Drydock Company, was honoured

in this ceremony. Womens Award of

Excellence is an important award that

evaluates Omani womens achievements

in various fields and sectors. Com-

petitors are subject to evaluation andvoting by adopted global institutions.

Mrs. Khawlah bint Khalifa Al Amriya is

one of the Omani women who works

in the industry sector at Oman Drydock

Company. She has worked in (Omantel)

Oman Telecommunications Company

before this. She has also been engaged

in the education sector as a lecturer

and held several positions as well as

been involved in the field of social

work, presenting workshops in many

programmes in collaboration with theOman Chamber of Commerce Industry,

a number of private sector institutions,

and international and local associations

which currently focus on PhDs as they

believe in the importance of educating

and supporting women.

This initiative was sponsored by

Mercedes-Benz (Zawawi Trading,

authorised general distributor for

Mercedes-Benz in the Sultanate),

BankDhofar, Nawras and other

supporting companies like Taageer

Finance Company, Areej Vegetable Oils

& Derivatives, and Givenchy.

Evaluation partner: Ernest and Young.

Media partners: Times of Oman and Al

Shabiba.Radio partners: Wisal FM and Merge

104.8 FM.

HIGHLIGHTS

Khawlah Al Amriya ishonoured at the HardworkingWomens Competition.


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CSR ActivitiesSaif Ali al Zidi, General-Secretary of the Board of Directors and Government

Relations, said, In line with ODCs community development and social investment

programme, the Company recently provided the children of families under

social security in the Al Duqm region with schoolbags containing notebooks and

stationery. We supported the project that was held at Sultan Qaboos University

Sultana Submarine which gained recognition at an international level. We also

sponsored many other activities.

He added, The Company attaches great importance to CSR activities. The Board of

Director allocated a budget for this year to invest in some of the development projects

due to company belief in the importance of improving the social surroundings of

the Company whether in Al Wusta or in other regions. The Company also calls

public and private sectors to be prominent sectors that support and invest in social

activities, encourage volunteerism, and consider the community members as an

integral part of the social system who need to be aware about the importance of

participation in country development and in maintaining its achievements.

On the other hand, Saif Ali al Zidi concludes by saying, We recently coordinated

with (Injaz) programme which is supported by (Sanad) - Ministry of Manpower,

in order to implement a training programme that will benefit a large segment of

job seekers of both genders in Al Duqm. We hope that this programme will beimplemented in the near future.

HIGHLIGHTS

21


24/66

Al Duqm is considered as a future

destination that will attract investments

in different sectors. It is one of the free

zone regions that has become a resource

which the government depends on

and cares about developing to reduce

dependence on depleting oil resources.

The government allocates more than

RO 1.7 billion for various fields such

as tourism, industry, petrochemicals,

shipping, and logistics and other new

sectors in Oman like drydocks.

The government follows strategic plans

in order to develop this zone, adopting

the best practices after providing modern

infrastructure, and a good legislative

and regulatory framework to ensure

investment attraction and to stimulate

trade movement in the region.

Voyage conducted an exclusive dialogue

with HE Yahya bin Said Al Jabri,

President of Duqm Economic Zone.

This dialogue will help reveal Duqm

Zones future vision and important

plans that the government aims to

implement which will attract foreign

and local investments.

N_Xk`jpfliifc\XjXeXlk_fi`kpk_Xk

fm\ij\\j;lhd


25/6623

as provide multiple services in one place, in accordance with best practices and

international standards, adding another local successful project to those that have

been implemented in Sohar, Salalah, and industrial areas all over the Sultanate.

N_p[`[k_\pZ_ffj\8c;lhdkfY\k_\gcXZ\n_\i\m`kXcgifa\ZkjXi\`dgc\d\ek\[6

Al Duqm Special Economic Zone is characterised by its strategic location close

to the promising Asian and GCC markets and close to the abundant natural

resources in Al Wusta. It includes eight areas: commercial port, industrial area,

hotels, tourist resorts, learning city, city for logistical support, commercial district,

and modern city.

FliZflekipX[fgkjXe\ngfc`Zp]fi\jkXYc`j_è^]i\\\Zfefd`Zqfe\j

Xe[ `dgc\d\ekè^ gifa\Zkj Xcc fm\i k_\ JlckXeXk\ efk fecp è k_\

ZXg`kXcZ`kp%=ifdpfli


26/6624

;`[ pfl afè Xep 8iXY fièk\ieXk`feXc le`fej kfY\e\k ]ifd k_\ì

\og\i`\eZ\jèfi[\ikf\jkXYc`j_]iXd\nfibjXe[c\^`jcXkli\kf\ejli\

XkkiXZkè^ZXg`kXc]ifd[fd\jk`ZXe[]fi\`êèm\jkfij6

No, we didnt. Perhaps we will do that in the future.

N_XkXi\k_\]XZ`c`k`\jXe[èZ\ek`m\jk_\j\Xi\Xjf]]\ikfèm\jkfij6

Even though all incentives will be assigned by the Board of Directors, we believe

that decisions related to foreign investments are affected by many things such as

location and business practices, infrastructure, and quality of life facilities, and not

just financial incentives. Foreign investors should look at all these incentives and not

focus on financial incentives.

Dfjk f] k_\ [ ]Zlck`\j k_Xk ]XZ\ lgZfdè è[ljki`Xc Xi\Xj Xi\

Yli\XlZiXZpXe[efkY\è^è[\g\e[\ekèdXbè^[\Z`j`fej%N_Xk[f

pflk_èbXYflkk_Xk6

The Duqm authority was established under a Royal Decree which delegates

responsibility of the simplification regulatory procedures such as companies

registration, granting licenses, getting rid of bureaucracy and ensuring right decisions

as soon as possible for local business environment and in other Gulf countries.

N`cc k_\ gifa\Zkj le[\i è[ljki`Xc Xi\Xj ^f le[\i

^fm\ieXeZ\ Xe[ hlXc`kp c\m\c ]fccfn$lg èjg\Zk`fe Xj pfl [f n`k_

fk_\ii\cXk\[\jkXYc`j_d\ekj6

Yes, this will be done according to international standards ensuring limpidity,

accountability, and corporate social responsibility.

?fn [`[ mXi`XYc\j f] k_\ ^cfYXc dXib\k Zi`j`j fi i\Zfm\ip X]]\Zk

k_\ è[ljki`Xc Xi\Xj [\g\e[è^ fe k_\ Zlii\ekj f] gfc`k`ZXc ]fiZ\jXe[fk_\in`j\6

Foreigner investors will observe economic and political issues before investing

in the selected country. Oman has a good reputation globally and regionally of

political and economic stability over the four decades under the wise leadership of

His Majesty Sultan Qaboos bin Said, may Allah protect him. The foreign investment

has decreased in our region since the start of the global financial crisis in autumn

2008 as there has been a lack of clarity of the global economy and instability in

some countries.

N_Xk`jpfli


27/66

SPECIAL INTERVIEW

The advantages of Al Duqm Special

Economic Zone will contribute in establishing

an active area for trade and commerce

between Muscat and Salalah and establish

facilities for ship repair which includes two

drydocks and one floating dock.

25


28/6626

The roles and responsibilities played by

the navy and coast guards is changing

in a significant way. A few years ago,

navy duties were focused on deep

water operations and in naval wars, but

today, common tasks are the new order

that the navy follows. As a response to

this development, the Company makes

their products compatible with the

new responsibilities for the navy and

they also expand these responsibilities.

Besides traditional ship designs that

are allocated for specific tasks such as

hunting mines, fast patrol and guard

boats, frigates, supply and additional

ships, patrol ships are also designed to

operate in deep waters. The designing

of patrol ships must fit within a

shrinking defense budget and there is

also pressure to reduce the operational

costs of the new vessels.

The challenges rely on capable,

effective, and reliable systems that are

selected carefully and fit with adoptedmarine standards. The result is a new

generation patrol vesselLURSSEN. This

vessel draws particular attention for

its effectiveness, good price, and high

degree of reliability.

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Development and construction

companies have the ability and pay

great attention to integrate the

various systems. LURSSEN Company

hired a crew of experts to oversee the

integration of electronics and weapons

systems, and the C4, making it easier to

monitor various electronics companies

LURSSEN faces current andfuture challenges of thenavy and coast guards.

INTERNATIONAL NEWS


29/6627

which supply marine or complex civilian ships. These companies are monitoring

the accountability of one party. LURSSEN Company builds ships and manages the

entire responsibility of appropriateness of integrated systems to their roles towardsthe customer because LURSSEN can deliver a ship with all its systems working in a

typical and highlevel manner. Because every warship required by any navy or coast

guard has a unique quality, LURSSEN is developing and providing detailed solutions

tailored to customers requests with a minimum risk.

?`^_\jkc\m\cf]Yl`c[è^Xe[[\j`êè^

LURSSEN is an established and leading name in building frameworks and medium-

displacement ships, and is also renowned for the techniques that are used in building

ships. Knowledge about ships frameworks and techniques used in building ships is

essential for the company which provides the ship and is required to deliver the ship

as quickly as possible with maximum capacity to be operated in deep waters.The shipyard of LURSSEN Company has a good reputation. Its known for its fast turn

around time of building ships and high level of performance. These qualities are not

just specified for warships, but for all kind of ships that are made by the company.

For instance, large yachts, rescue vessels, and coast guard ships and other types

of LURSSEN ships are recognised by these two characteristics: high-speed and

maximum capacity to be operated in deep waters. The use of the latest techniques

of building civil and military ships sets LURSSEN apart and puts it in a leading

position in the global market.

INTERNATIONAL NEWS


30/66

Cf^`jk`ZXcJlggfik

LURSSEN Group of Companies is

a reliable partner known for its

experience in repairing, moderating,

and amending warships. These services

can be provided either in the facilities of

the company shipyard or for a customer

when it is required to enter a warship

into a drydock. LURSSEN has specialised

groups to provide these services and

these groups can do the work wherever

there is a ship. LURSSENs logistics

services branch provides the most

important materials of the ships lifecycle including brochures, information

recorded on CDs or electronic

memories, and spare parts, along with

technical and operational training.

The branch also runs a specialised

training center in Lemwerder which

provides classrooms, laboratories, and

comparison systems for the trainees.

Beside the basic training, the officers

also receive maintenance and tactical

training. The training centre also

provides training courses formaintenance crews and shipyard

workers.

K\Z_efcf^pXe[Befnc\[^\

KiXej]\i

Customers willingness to gain inde-

pendence from foreign companies and

organisations is increasing, and there-

fore they are promoting and develop-

ing local industries. Customers are now

increasingly willing to participate in pro-

ducing local warships. LURSSEN sup-

ports these goals and aims to deliver in-

tegrated packages, precise and detailed

instructions about development and

construction methods. It also supports

the infrastructure system and trains lo-

cal workers and engineers.

K_\ Klib`j_ d`c`kXip j_`gYl`c[`e^

j\ZkfiZXii`\[flkgifa\Zkjnfik_

knfY`cc`fe[fccXij

Wajdi Ghonol, Minister of Defense, has

assured that the military shipbuilding

sector has grown in its levels of

designing and producing warships.

He also participated in a temporaryhandover ceremony of the dinghy

Kara boron which was produced in

a private dockyard in Tuzla, Istanbul. He

mentioned that the development in theshipbuilding sector helped the Turkish

Naval Forces Command and security

forces to work independently. Ghonol

assured they would soon start building

ships worth $2 billion in five dockyards

in Tuzla. During the ceremony,

Rajab Boland Bustan Ihsanoglu, the

Commander of Education and Training,

handed over the dinghy Kara boron

flag to the dinghy leader.

Le`k\[ J_`gYl`c[`e^ :figfiXk`fe

dXel]XZkli\j knf j_`gj f] k_\

kpg\K`^\ikf8c^\i`X

During the exhibition of marine mili-

tary equipment in Petersburg, United

Russian Shipbuilding Company, with

the support of Ross Aoborun Export,

signed two agreements. One is a trans-

action for two Tiger ships to Algeria

(project 20382) and the other is to sell

three Molnia small ships to one of theCommonwealth of Independent States

countries. This was announced by Ro-

INTERNATIONAL NEWS

28


31/6629

INTERNATIONAL NEWS

man Trotsenko, Chairman of the com-

pany, to reporters on June 30, 2011.

Trotsenko also declared that, The

total value of contracts signed at the

exhibition reached $1.3 billion. Healso said that it was decided that United

Shipbuilding Company would sign

more agreements during this exhibition,

specifically the agreement with Trasas

Company on June 30, 2011, in order

to buy ships electronic systems and

educational training devices.

It should be noted that the newspaper

Vdomesti published a press release that

night about Algerias determination

to buy Russian weapons worth $700million soon. There were discussions to

buy three small warships Corvette that

have never been exported.

A source close to the leadership of Ross

Aoborun Export told the newspaper

Fedomesti that soon a contract would

be signed with Algeria to supply it

with three small warships, Corvette

20382 Tiger. A manager of a military

industrial organisation said that this

would take place in the coming monthsas they worked hard to prepare for

it. This was reconfirmed by a boss

in the shipbuilding factory Aantar in

Kaliningrad. He declared that there

is a high probability that this factory

will work on this contract, but the

spokesman for Ross Aoborun Export

did not comment on that.

Constantine Makienko, editor of the

magazine, Export Vorogenest (arms

exports), says that in the beginning of2006, when Algeria signed the biggest

number of contracts with Russia about

weapons worth $7.5 billion in exchange

for the debt, they had discussions about

more contracts. At the same time they

discussed supplying Algeria with frigates

(project 11356 provided India with 3

frigates, also the Aantar factory built

3 ships according to a contract worth

1.6 million and 1 for Russia). The expert

added that Algeria started negotiationswith France about supplying it with

Fremm frigates, the most expensive

type of frigates, but in the end it took a

wiser decision to buy three small Tiger

warships costing $700 million.

Andrei Frolov, an expert in Analysis of

Strategies and Technologies Centresays, that despite Tiger being cheaper

than frigates which have been discussed

in the beginning, the coming contract

with Ross Aoborun Export looks very

promising. That is because this is the

first contract for exporting this type of

ships. Frolov adds, that it is facetious

that the Aantar factory will work

on that, not the northern factory in

Petersburg owned by Sergei Bogachev

in the past. Corvette ships (project20380) built for Russian marines as

Tiger are designed according to that.

Frolov says that maybe this means that

there is no intention to handle northern

factory profitable export contract. The

factory assets transmission belongs

to Bogachev, a former member of the

Council of the Russian Federation under

the supervision of United Shipbuilding

Company.

8iXYJ_`ggè^Zfdgc\k\j

eXeZè^j_`gYl`c[è^

Xî\\d\ek

United Arab Shipping completed the

agreement of financing fixed term

agreement costing $205 million (753

million dirhams) consistent with French

taxes system in partnership with Societe

Generale Investment Banking, as it is

the first coordinator to the loan and the

assignee bank KSURE in order to financethe purchase of two ships of the United

Arab Shipping Company of the class

A13 (capacity 13100 module for each

ship) out of nine ships of the same type

under construction currently. According

to a press release, financing fixed term

agreement looks to be the best financ-

ing solutions that SG CIB can provide

to United Arab Shipping as delivery was

delayed for the two A13 ships.

The agreement consists of rent loan andcredit export loan covered by the Ko-

rean export credit agency. The CEO of

Customers are

more willing to be

independent from

foreign companies

and organisations

and they are

promoting and

developing local

industries.


32/6630

United Arab Shipping, Joern Henjh said:

I thank SG CIB for their efforts to com-

plete this loan agreement which comes

under the French tax system. It is a confi-

dent initiative to the strategic role playedby the United Arab Shipping Company

and promises future prospects.

In addition to its promotion of United

Arab Shipping in container shipping,

the A13 ships will play an important

role in improving the basic cost of

the United Arab Shipping Company.

Furthermore, these ships will be

provided with the recovery of thermal

emission technology that will make

them the most environment-friendly inthe market for shipping.

8Yl ;_XY J_`g 9l`c[`e^ ^iflg

n`k_[iXnXc]ifdk_\[\XckfYlp

>\idXe9cfdmlj

The deal of Abu Dhabi Ship Building

preoccupation on civil vessels building

in German Blomvus, which is known in

warship building and owned by The Ger-

man ThyssenKrupp group, has failed.

ThyssenKrupp which is located in Isin in

western Germany has declared that the

Abu Dhabi groups withdrawal decision

is because of the difficult situation in

North Africa and Middle East currently.

ThyssenKrupp added that these

evolutions have doubled the commercial

temptations of the Arabic company to

complete this step. This threatens the

possible chances to conclude this deal

given the current situation in Middle

East. It also pointed to freeze the

situation as well as freeze plans for joint

cooperation between the company and

Abu Dhabi Ship Building in the warship

building sector.Nevertheless, the Emirati group still

wants to preoccupy the civil vessels

building sector in HDW Garden

Company for shipbuilding which is

placed in Kiel city in north Germany.

ThyssenKrupp has announced its

intention to search through the next

18 months for a buyer for the building

sector civilian vessels in Blomvus. It also

announced its intention to continue

managing the warships building sector

in the company.

The Abu Dhabi groups preoccupation

deal was about to be completed after

the group agreed with ThyssenKrupp inthe autumn of 2009 on the deal initially,

which enables the Emirati company to

preoccupy the biggest share of yacht

building, ship repair, and machines

building sector.

According to ThyssenKrupp data, sales

price achieved by civil vessels building

sector in Blomvus, which has 1440

employees, has reached 476 million

Euro in the financial year 20092010.

Both sides are planning to establish a

combined company for managing the

civil vessels building sector in Blomvus

and they have signed a contract in April

2010. This step was agreed upon by the

European Commission in August 2010.

The implementation of this deal has

been delayed because of many reasons

including the strategic partnership

of the Abu Dhabi group with UAEs

INTERNATIONAL NEWS


33/6631

SPECIAL REPORT

The ups and

downs of the

ship repair

industry.

Offshore and shipping

repairs in ASRY


34/6632

The ship repair industry, on a worldwide basis, is renowned for its cyclical trends.

It has a basic formulawhen shipowners/managers are making money, they are

willing to spend more on repair and maintenance. However, when freight rates

are down, minimum work is done. Classification Societies have become tougher

in recent years in their approach to ships being drydocked within class times,

with little hope of extensions being given. Also, charterers, insurance compa-nies, Port State Control, etc., have all had an influence on the state of the worlds

fleet. This has led to the number of vessels being drydocked remaining fairly sta-

ble, but the contract value of the drydocking operation being reduced, in many

cases, quite considerably.

Another factor, which has affected the ship repair industry tremendously over

the recent years is the technical advances in hull-coatings, the main reason why

a ship drydocks. The intervals between drydocking have increased, especially in

the container ship sector, where five-year intervals are now commonplace and the

move to even seven years is a distinct possibility. Many owners/managers still like to

see their ships out of the water every two and a half years, but the overall trend is

to drydock fewer times during a ships life cycle.Ship repair is not at the top of its league when considering its technical expertise

many believe that we are still repairing ships in the same way as 20 (or even 50)

SPECIAL REPORT

FPSO conversion underway

in Keppel Shipyard


35/66

years ago. The yards, however, have

had to cope with additional health and

safety matters, a need for increased

productivity within the workforce,

which has been brought on by a need

to reduce costs, and a modern-day

requirement for additional security

while the ship is in drydock.

Many ship repair yards also operate in

the more lucrative conversion market,

especially those in South East Asia, such

as the yards in the Singapore area. This

is obviously a good road to take if there

are sufficient conversion contracts on

the open market. This is certainly the

case in the offshore industry, where

conversion from tankers to FPSOs and

FSUs, conversion of offshore support

vessels to increased capacity, deeper

water operation, etc., is currently

involving many shipyards. However,

cheaper prices are the main decision

criteria when deciding which shipyard

is to carry out the work. Therefore,

the Singapore area and some Chinese

shipyards are the main contenders in

this market sector.

For many shipyards in the western

hemisphere, where prices are higher

than both the Middle East and Far

East, the conversion industry can be

a step too far. To increase workforce

levels to a point whereby a yard can

compete in the conversion market is

only viable if the shipyard in question

can win sufficient contracts to keep

that increased workforce level busy.

If sufficient continual work is not

forthcoming, the additional costs ofan increased workforce will affect the

bottom line of the shipyard. In the case

of Singapore, all the large yards have

continual conversion work and have

had for the past few years-therefore it

is viable.

Ship repair costs play a big part in

shipowners decisions as to where

the ship is drydocked. The costs vary

considerably throughout the world.

Mainland China is most probably thecheapest, followed by South East Asia

(the Singapore area) and the Middle

East. In Western Europe, the Baltic and

Balkan states offer the cheapest prices,

although still higher than Singapore and

the Middle East. The yards in southern

Europe are cheaper than those in

northern Europe, but northern Europe

is still cheaper than across the Atlantic

in the United States. Japan has a large

ship repair capability, but is unable to

compete on the international market.

One area of concern at a time when

shipbuilding yards are facing a tough

time with dwindling order books, is

the decision by some of these yards to

enter the ship repair industry as a viable

alternative. This is particularly true in

mainland China, where there has been

a massive construction period of new

shipbuilding yards. This move from

building to repair seldom works new

building mentality is based around a

project period of some 1518 months;

the ship repair mindset is 510 days.

Most owners/managers who use these

converted shipyards have fallen foul of

many problems, especially late delivery

dates.

To take advantage of cheaper prices, it

normally involves deviation which can

be costly. However, some trades such as

liner routes, ferries, coastal vessels etc.,

cannot involve themselves in deviation,

therefore local shipyards benefit.

The cruise vessel market is a prime

example where deviation is not really

an option, and the need for the

shipyard to meet the repair schedule

is essential, with hungry passengers

awaiting the re-entry into service. Thishas led to some yards specialising in this

market sector such as Germanys Lloyd

Werft (Bremerhaven), Blohm + Voss

(Hamburg), Italys Fincantieri (Palermo),

and Grand Bahama Shipyard (Freeport).

The main player in the Far East is

Singapores Sembawang Shipyard, part

of SembCorp Marine. The cruise vessel

repair market is one of the few where

delivery dates are as important as price.

Another specialised market is that ofLNG tanker repairs. The need for a

scope of technical expertise in repairing

33

SPECIAL REPORT

Intervals between

drydocking

have increased,

especially in the

containership

sector, and now

five or seven year

intervals are now

commonplace.


36/6634

cryogenic containment systems and

valve and pumping systems is essential.

The prime example of this is N-KOM in

Qatar, which has been built by Nakilat

to repair Qatar Gas vast fleet of LNG

tankers. The yard is managed by

Singapores Keppel Offshore & Marine.

However, the Qatar Gas LNG tanker

fleet only drydocks every five years, so

N-KOM has had to look to other gas

tankers owners/managers and other

types of ships to increase its turnover.

The increase in market share by N-KOM

has led to Drydocks WorldDubai

(DDW-D) losing out, although there are

some LNG tankers still repairing at this

shipyard. Other specialised yards dealing

in this market include three in the

Singapore area Sembawang Shipyard,

Keppel Shipyard (which uses the former

Hitachi Zosen Benoi Shipyard as a LNG

repair facility), and Malaysia Marine &

Heavy Industries (MMHE), which has anagreement with South Koreas Samsung

Heavy Industries (SHI) to market the

yards prowess in this market sector. A

number of LNG tanker operators also

utilise the Japanese repair market,

especially Kawasaki (Sakaide), Mitsui

(Yure), and Mtitsubishi (Yokohama) all

companies where LNG tankers are built,

for repair operations.

In the western hemisphere the main

players in this market are SpainsNavantia (Ferrol and Cadiz) and Frances

Sobrena (Brest). With an expected

dramatic increase in the number of LNG

tankers operating in the Atlantic basin

expected over the next 10 years, it is

expected that more shipyards will build

up their technical expertise to be able to

enter this lucrative market.

The number of yards on a worldwide

basis has remained fairly stable over

recent years, following a dramatic

reduction during the 70s and 80s. The

exception to this has been in the Middle

East where Nakilat has built N-KOM,

which started operations earlier this

year (2011) and the Oman Government

has built Oman Drydock Company

Duqm, which will open officially

early next year (2012) under the

management of South Koreas Daewoo

Shipbuilding & Marine Engineering

(DSME). Both these shipyards have

two graving docks capable of

handling ships up to ULCC size,

adding a great deal of competition toan area where only two large yards

have existed for some years ASRY

(Bahrain) and DDW-D (Dubai).

ASRY has been particularly successful

in replying to this new threat by

diversifying into two new markets,

while maintaining a healthy

involvement in the general repair

market the repair of offshore rigs

and structures and the building of

power barges for developing nationsor nations which have been hit by

natural disasters and have subsequently

lost power supply for some time.

ASRY has stayed away from the highly

competitive conversion market, many

believing this to be a very smart move.

The other area where expansion iscurrently underway is the Singapore

area, where Jurong Shipyard (JSL),

part of SembCorp Marine, is building

a new shipyard off Jurong. This new

shipyard will have four graving docks,

all of which will be capable of handling

ships up to VLCC/ULCC size. It is not yet

known whether or not JSLs existing two

shipyards, on Shipyard Island and at

Tanjong Kling, will close when this new

yard opens. If the market is, by that

time, on the improving side, then it is

likely that one or both of these existing

yards will remain open.

The Singapore area, which includes

nearby MMHE at Pasir Gudang, remains

the centre of ship repair throughout the

world with four large shipyards and a

number of medium and small shipyards

in existence. The technical expertise of

these yards is second to none, which

is clearly seen by the number of large

scale, and very complicated offshore

conversion contracts completed and

underway at the various large ship-

yards. For a number of years, the Singa-

pore area, was losing its general repair

market to the much cheaper Chinese

yards, especially the bulk carrier mar-

ket, where steel renewals play a large

part in any repair operation. However,

redelivery dates from Chinese shipyards

have been suffering as many yards take

on too much work, and the reliability ofthe yards in the Singapore area has pre-

vailed with many shipowners returning.

During the 70s and 80s, many

shipyards, especially those in the

western hemisphere, closed and

facilities were lost to redevelopment. In

the UK, in particular, some 23 graving

docks disappeared over a matter of

20 years. Nowadays, this is not the

case. For every shipyard that closes,

there appears to be a buyer willing totake over. A prime example of this was

the recent closure of Malta Shipyards

LNG tanker repairs in N-KOM

SPECIAL REPORT


37/66

following years of union problems. Immediately Italys Palumbo Group, which

already had repair facilities in Naples and Messina (Sicily) took over.

Union problems were also behind the demise of the repair industry in Marseilles.

At one point there were four/five repair companies renting drydock facilities from

the Marseilles Port Authority then, at one point, only one remained. Italys SanGiorgio del Porto has now moved in, to hopefully, make it work. There are some 10

drydocks available in Marseilles.

The most spectacular move by one shipyard group to expand into a new area was

seen a few years ago when Drydocks World Group (DDW) purchased Singapores

Pan United, which had facilities in Singapore and on the Indonesian island of Batam,

and Indonesias Leroy Engineering, which has a repair base and a rig-building yard,

both located on Batam. Although this massive expansion into new markets for

DDW was initially well founded, falling markets in both shiprepair and rig-building

have taken their toll on the Group.

So what of the future? The development in Singapore and the Middle East is now

well on its way, although there is unlikely to be any further expansions in these areasother than the ones mentioned above. The Chinese yards remain the cheapest and

will, as time goes by, increase their technical expertise and thus gain more work,

especially in the general repair market. Brazil appears to be a country which needs

to increase its ship repair capability. With the number of field expansions in Brazils

offshore industry, and the ever-increasing number of subsequent vessels operating

in the area, the current repair facilities appear inadequate.

There are also the upcoming IMO rules and regulations, especially those governing

emissions and ballast water treatment. Both these factors will inevitably involve ships

going into drydock for modification work. It is almost 100% certain that this type

of work will be carried out at scheduled drydocking times, although shipowners/

managers are renowned for leaving this type of work to the last minute.

There is also the offshore industry, which is currently expanding into new areas,

such as Brazil and West Africa, going deeper and going colder. All these factors will

result in existing ships and rigs in the offshore market requiring modifications. This

type of work is generally carried out by ship repair yards.

SPECIAL REPORT

General repairs

in Lisnave

35


38/66

Experienceand expertiseleads to

success.

36

A DAY IN THE LIFE OF


39/6637

A DAY IN THE LIFE OF

He sought to achieve success in a

faithful and able way. He welcomed

the existence of the Oman Drydock

Company as a new project and he

promised himself to be amongst the

honoured people in the company, the

place where he worked during the

establishment of the project. Since the

first building blocks were put, he did

not spare any effort to reach his aimby working hard and cooperating with

his colleagues in order to raise the

companys reputation internationally.

A dialogue was conducted with Sultan

Al Qurmushi, crane operator.

?fn [`[ pfl ]\\c n_\e pfl

afè\[k_\ZfdgXep6

I was proud of it since the first moment

the project was established. I witnessed

the first moments of the company; the

bases, and drydocks as well as the

cranes, which are related to my current

field of work. While I was in Korea. I

got the chance to learn more about my

work and how to operate cranes which

required complete accuracy in order to

avoid risk that may occur due to lack of

accuracy and caution.

N_Xk`jpfliXdY`k`fe6

I want to be a diligent employee, sup-

porting the company in order to raise the

companys reputation globally by coop-

erating with all employees and manag-

ers. I also want to contribute effectively

in the development of the project.

8epd\jjX^\6

I hope that this project gains attention

from the government to overcome

difficulties by bringing in experts in the

field of maintaining and add large shipbuilding services for the project which

will certainly contribute in increasing

the national income of the country.

JlckXe8cHlidlj_`[`[XgiXZk`ZXcZflij\èk_\]fccfnè^]leZk`fej1

(0.+ British Royal Air Force, National Air Base - Masirah Island (housing

services)

(0.- Oman Royal Air Force, Masirah Air Base - (fire apparatus driver)

(0.0 Dubai Police United Arab Emirates traffic police (motorcycle)

(0/- Shell Oman Marketing Company Masirah Air Base (heavy driver)

)''* DynCorp Company Maintain American Royal Air Force Masirah Air

Base (heavy equipment distributor and supervisor)

)'(' Oman Drydock Company (heavy equipment operator)

?\gXik`Z`gXk\[èj\m\iXcjfZ`XcXZk`m`k`\j1

Organizing National Day celebration

Participated in social and sports activities

Masirah Sports Club Chief for 4 years

JlckXe8cHlidlj_`


40/6638

Oman Drydock Company believes that the

training and development tools which are

adopted to raise the HSSE awareness are those

which simplify the work process and support

the line management and the workforce@jjXdAldX8cDlb_X`e`

Sr. Manager, HSSE

HEALTH AND SAFETY

Continuousimprovement


41/66


42/66

HEALTH AND SAFETY

Helmet

Personal Protective Equipment (PPE) is the last line of defense to protect workers

from the dangers resulting from the work environment. They are defined as

preventive tools used for protection from injury during work time.The Department of Health, Safety, Security and Environment is preparing

specifications that determine the selection of PPE according to safety standards

used worldwide and in application of Article 18 of Chapter 3 of the Regulation

for measures of occupational safety and health issued by Ministerial Decree

(286/2008).

As provided in Article 8 of Chapter 2 of this regulation, workers should wear PPE at

work sites. Department of Health and Safety personnel are present on work sites to

monitor the use of PPE to ensure the workers safety.

There are many types of PPE used in the company such as helmets, protective

glasses for eyes, shielding from objects, volatile, or harmful rays, safety boots lined

with steel sheets to protect feet, ear plugs, protective clothing for the body andother equipment shown in the picture above, which protect the body in case of

accidents that could result in harm to the worker.

PersonalProtective

Equipment(PPE)

40

GogglesEar Plugs

Dust Mask

Full Body Harness

Gloves

Safety Shoes


43/66

We have noticed that someof our and

our Sub contractors employees are

utilizing the luggage compartment

providedat the rear part of thepick-ups

and other similar vehicles when they

want to travel. This methodof travelling

is observed when the vehicles are

moving around in the yard and to andfromthe Dormitory.

This is a violationof a ROP regulation.ODC traffic rules are also in line with

ROPregulations.

This method of utilizing a Pick-up or

other similar vehicle for transportingthe

personnel is resulting in increasing the

Risk to a very highdegree in terms of

Safety. Hence in the event of an

accident, the injury caused to a

personnel will beof severetypeorevenmayresult inFatality.

The following points are to be followed

to ensure Safe Transportat ion of

Personnel:-

All personnel shall be transported using

transport vehicles such as Buses

No personnel shall be transported in

Luggage compartments of vehicles, All vehicle users and its occupants shall

use Seat belts.

Do not over speed.

Utilize luggage compartment of these

vehicles to transport luggage, only.

Do not carry more than allowable number

of persons in the cabins of the vehicles.

Do not violate Safety Rules.

SAFETY ISA TEAMWORK. PLEASE TAKE

PART, SO WE CAN AHCIEVEOUR

ZERO ACCIDENTTARGET

SAFETY ALERT

Safety Alert : ODC/HSSE/SA 002/2011

Health, Safety, Security & Environment

Oman Dry dock Comp any, S.A.O.C.

HEALTH AND SAFETY

41

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44/6642

MachineryDepartmentThe machinery department is one of the

most important production departments

at Oman Drydock Company. This

department deals with the mechanicalequipment and devices such as boilers,

compressors, and propellers. There are

four main sections: main engine room

area, propeller and rudder area, main

deck area, and the machinery shop area.

As the heart of the ship, the main engine

room is the most important part in the

ship, so any work scope for repairs here

needs a specialist engineer and skilled

technicians and workers. In addition

to the main engine, the main engineroom contains equipment that supports

the operation of the main engine such

as boilers, compressors, water coolers,

and purifiers.

With regards to the propeller and rud-

der area, the polishing of propellers isthe most form of repair work. In addi-

tion, taking the clearance of the rudder

stock, and repairing any damage in the

propeller shaft may also occur regularly.

In the main deck area, we deal with

repairs of the main deck cranes, main

deck winches, and anchor windlass. The

machinery shop consists of different

machines such as a lathing machine,

turning centre machine, universal

milling machine, drilling machine, andhacksaw machine.

Saleh Rashid Mohammed Al Shuraiqi

FEATURE


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46/6644

History ofimprovements

in ship making.

HISTORY


47/6645

HISTORY


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Ships are one of the most important and

most ancient means of travel. Every day,

thousands of ships cross the oceans, sail

along the beaches and travel between

lands through the water lines. In fact,

trade between countries depends a lot

on ships. Some worldwide items that

are transported via ships include: oil and

its products from gulf countries to the

rest of the world, wheels from Canada

to Germany, machinery from Germany

to Chile, copper from Chile to Japan,

Japanese cars to Europe and Australia,

corn from USA to Ethiopia, and coffee

berries from Ethiopia to France.

Different types of ships are used

to carry global trading. Big ships

carry oil, vegetable oils, and other

liquids. Refrigerated ships carry fruit,

vegetables, and meats. Hard and

dry cargo ships carry corn, pure iron,

and sand. General cargo ships carry

everything, starting from planes and

machinery, to zippers. Passenger ships

take passengers through oceans and

tourists all over the world.

For thousands of years, people have

used ship and sail to find out more

about the secrets of the sea. Moreover,

they sailed to discover new places, to

facilitate trading, and to wage wars.

During the Middle Ages, Arabs were

known as ship builders, building ships

that crossed all the seas known at that

time. One of the most famous Arab

sailors was the trader Suleiman who

wrote down his voyages in 851, and so

did Ahmed Bin Majid and Suleiman Al

Mahdi. The Portuguese were the first

European sailors who sailed from the

South Atlantic Ocean to the western

beaches of Africa at the end of the

15th century. In 1492, the Italian sailor

Christopher Columbus, who was

working for the King of Spain, reached

America crossing the Atlantic Ocean

using three small ships. In 1497, the

Portuguese sailor, Vasco da Gama

sailed from Europe to India searching

for spices.

Luxury ships sail to the Caribbean Sea

and the Mediterranean Sea and offer

the best types of food, exclusive accom-

modation, and entertainment activities.

In 1620, a ship called the Mayflower

took the first group of settlers to North

America from Europe. During the time

between the 17th and 19th centuries,

big ships of the East India Company

carried large amounts of silk and spices

and other items from the Far Eastcountries to Europe. In the middle of

the 19th century, sailing ships were

replaced by steam ships. The world

became smaller as steamboats and

ships crossed the oceans in shorter

times compared to the time spent when

using sailing ships. These ships reduced

the distance between countries and

people and allowed for economical

relationships between them.

8Yi`\]_`jkfip

The first crude form of a ship was a

piece of wood used to cross a lake or

a river. People perhaps used their hands

as paddles at the time, and then learned

how to make a basic raft using tree logs

in one line tied together well. With

time, people discovered how to make

boats from tree logs after removing the

bark from it. Ancient man made boats

from other materials in areas which didnot have much wood. For example,

he stitched animal skins together and

shaped it as a big bag to be used like

a catamaran. When several catamarans

are tied together, they work as a buoy.

In some areas, people found that small

vessels tied to each other could make a

buoy. As you know, one big vessel can

be a boat for one person only.

In ancient Egypt and other places,

people made the first generationof buoys using sugarcane. In time,

Egyptians learned how to organise

them to make boats shaped like a

HISTORY


49/6647

spoon. In 4000 BC, they learned how to make manual pushing ships. These ships

are long and narrow and were manoeuvred by a number of paddles. During the

next 1000 years, ship and boat making went through two main changes. In 3000

BC, Egyptians discovered that sheets (sails) can aggregate air to push their boats.

Furthermore, they could make boats using thick pieces of wood. After discoveringhow to make boats using wooden boards, people started to make bigger ships

which could cross the seas.

D`c\jkfe\j`ej_`g$Yl`c[`e^

3000 BC The Egyptians invented sails and learned how to build wooden ships.

850 Arabs developed the sail ships and they used the Astrolabe and

compass, which enabled them to sail to India, Malacca and China.

1200 North European ships makers made the rudder of the ship at the back

of the ship.

1450 Mediterranean Basin ships makers developed fully equipped sail ships.

1807 The American, Robert Felton made the first steam-propelled boat.

1818 Britain launched its ship, Vulcan, the first ship built entirely of iron.

1819 The American ship, Savana, became the first steam-propelled ship

that crossed the Atlantic Ocean even though it used its engine for only

105 hours. It has used the sails for the rest of the voyage which lasted

29 days.

1836 Britains Francis Pettit Smith and Swedens John Ericsson patented their

invention of the spiral paddle.

1838 Cyrus became the first British ship regularly offering its services to cross

the Atlantic Ocean, using only steam-propulsion.

1897 Britains Charles Algernon Parsons proved the efficiency of steam

turbines in his steamboat named Turbinia.

1910-1911 For the first time, machinery ships were available to use.

1959 USA launched the first trading ship with nuclear-wheel-drive, known as

the Savannah.

1980 Lengthening the ship Saoayz Giant to be the largest ship in the world.

It was 458 meters and was launched in 1979.

HISTORY


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Thirty eight years ago, the construction for the worlds largest shipyard was

implemented under the strong initiative of the Korean government to further its

heavy & chemical industry policy. However, the construction was delayed due to

the oil crisis and the recession in the world shipbuilding market. In 1981, new

management (DAEWOO) was finally able to complete the historic project.

In the 1980s and 1990s, the Company was challenged with numerous obstacles inorder to achieve growth in scale, advancement in technology, diversification of the

range of products, increase in profitability, and harmony in labour and management

relations. Nevertheless, the shipyard prevailed through numerous challenges to be

reborn as a prominent shipbuilding and marine engineering company.

The outcome of the success was the direct result of the selfless effort applied

by every employee at the shipyard under a common cause. Today, DSME

receives the highest recognition from its clients in producing the top quality

ships and offshore products of every kind by obtaining the state-of-the-

art production system technology, the advanced research and development

system, and the highly efficient management capability.

The view of DSME in Okpo

ACHIEVEMENT

Stepping towards a new age ofDSME with trust and passion.


51/6649

ACHIEVEMENT

The Dandeung Mountain Demolition Project

was the biggest construction project in the

nation at that time. Over 500 tonnes of

explosive was used in the project.

The ground leveling project that involved

approximately 3.5 million square metres of

land was almost completed by 1976.

Goliath Crane was installed during the night to avoid

the temperature fluctuation which would affect its

massive length and height.

A 130m Gallow Frame that was used as the

support column for the rocket launching facility

at the American National Aeronautics and Space

Administration was imported to install the cranes

leg and girder.

It was designed to lift 900 tonnes of cargo up to

91.4m height.

The construction to build the worlds largest

dock underway. In 1981, the No.1 Dock wascompleted just before the shipyards dedica-

tion ceremony.

The dock was equipped with the worlds largest

Floating Cassion Gate. Its dimensions were 131m,

in length, 12m in width and 13.5m in height.


52/6650

In a pioneering step to ensure convenience for all its employees, ODC in collaboration

with BankMuscat availed a special vehicle for banking services. This vehicle will

allow employees to withdraw money at their sites and accommodation locations.

The initiative is further evidence of the special care provided for all staff members

by the Company. The Company has material plans to start another vehicle at the

employee accommodation location.

ODC always seeks to provide its employees with services that meet their current and

future needs, and a healthy milieu to ensure better productivity.

Bank On Wheels

As part of the follow-up and supervision

on the development of the Special

Economic Zone, Yahya bin Said bin

Abdullah al Jabri, Chairman for theSpecial Economic Zone Authority at

Duqm, made a comprehensive tour

at the wilayat of Duqm development

project. Al Jabri was received by M J

Park, CEO, Oman Drydock Company,

and Sheikh Khalid bin Ahmed al Salmi,

Deputy CEO, alongside with a number

of the company employees.

The visit programme included a

presentation by Qassim bin Ahmed al

Shizawi, Dirctor General of the Ports,on the master plan of the Economic

Zone in the wilayat of Duqm in the al

Wusta Governorate. It also included a

documentary on the Oman Drydock

project, the major achievements made

since the launch of the project, thehuman resources development efforts,

the marketing of the drydock services

at world markets, and the major HSSE

programmes adopted by the Company.

After the presentations, al Jabri toured

the drydock facilities and was briefed

by one of the company officials on the

departments and the progress made by

the Company till date.

Al Jabri also visited the floating hotel the

vessel Veronica owned by DEMS. OmanDrydock Company has maintained the

vessel and converted it from Mona Liza

to Veronica to be one of the tourist and

recreational attractions in the drydock

project. The floating hotel is provided

with all facilities such as conferencehalls, health clubs, restaurants, and

other hospitality facilities.

Al Jabri then visited Duqm Commercial

Port and reviewed the major

developments and progress made in

the implementation of the project.

It is worth mentioning that Duqm

Economic Zone receives governmental

officials every now and then to review

the progress made in the developmentof the area which is expected to be a

hub for local and foreign investments.

ODC NEWS

Chairman for the

Special Economic

Zone Authorityvisits Duqm.


53/6651

oman drydocks

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