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Igor Sechin Reported to Vladimir Putin on the Progress of the Construction of the Shipbuilding Hub in the Russian Far East

01 September 2016
Photo credit: Press-service of the President of Russia

Russian President Vladimir Putin visited the Zvezda Shipbuilding Complex, situated in the town of Bolshoy Kamen, Primorsky region. Rosneft Chief Executive Officer Igor Sechin reported on the progress of the project to set up a shipbuilding cluster in the Far East of Russia, which is being implemented following the instructions of the Head of State.

Vladimir Putin visited the hull production block, the basis of the first stage of the factory. Igor Sechin informed the President that all construction works on key facilities of the first stage were completed in strict compliance with the schedule, while the works in the open outfitting berth are being performed ahead of the previously approved plan.

The President inspected the area of installation works of the Complex where modern specialized 320-ton cranes had been delivered a few days before. The equipment was manufactured under a joint contract between the Zvezda Shipyard and China Heavy Industry Corporation Nantong (CHIC). According to the contract, CHIC will supply four 320-ton cranes, four 100-ton cranes, and a unique 1,200-ton "Goliath" crane to the Zvezda construction site in 2016-2017.

Photo credit: Press-service of the President of Russia

During the ceremony Vladimir Putin said: “We have good reason to believe that the workforce productivity of the new enterprise not only will be advanced, but for many indices – higher than that of our principal competitors”. The Head of the state expressed confidence, that Far Eastern shipbuilders will offer their customers high-quality competitive products, whilst the new yard will become a truly successful project and a bold asset for the development of the Far Eastern region.

The head of Rosneft stated that the Company has become the first customer of the new shipyard, the size of its order for ice-class supply ships is four units, and this pilot order is scheduled to be completed in 2019. Zvezda's product line will include high-tech, large-capacity vessels, offshore drilling rigs, exploration and production platforms, fleet-support ships.

The President of Russia said that the growth of civil shipbuilding and the commissioning of production assets – is one of the strategic objective with the aim of boosting the industrial capacity of the Russian Far East. “Leading oil and gas companies, big business are keen to cooperate with Zvezda. First contract for the construction of ships were signed. This work, without any doubts, should be carried on, stable future demand should be created,” – noted Vladimir Putin.

A number of documents were signed earlier to establish joint ventures with the participation of Rosneft, FESRC and leading companies in the industry, in particular, Damen, Keppel, and MH Wirth. Cooperation with these companies is the basis for the strategy to develop a shipbuilding cluster in the Far East. Thus, advanced offshore drilling rigs will be designed, and a unique innovation center for the localization and development of advanced technologies will be established in the Far East.

Photo credit: Press-service of the President of Russia

Igor Sechin also reported to Vladimir Putin on Rosneft operations in the region. “Our contribution to the GDP of the region amounts to 25% - said the head of Rosneft, - More than 35% of all our investments are being made in the East of the Russia. Our investments, planned for the years to come, not only in the oil and gas area, but also in related sectors will increase Rosneft contribution to the growth of the local gross domestic product of the region up to 50%. The share of foreign investments in the Far Eastern Federal District, attracted by Rosneft within the last ten years accounted to a quarter of the overall volume of foreign investments in the region. In absolute numbers foreign investments, attracted in Rosneft project in the East of Russia exceeded 1.5 trillion rubles” – said Igor Sechin.

Vladimir Putin noted the importance of the implementation by Rosneft of a multidimensional strategy in the Far East. This strategy is aimed not only at the increase of hydrocarbon production, but at the assistance of scientific researches, implementation of social projects, and creation of an infrastructure for a high-quality future growth. “This reflects a fundamental, responsible approach to business development, defines a landmark to other leading Russian and international companies for investing in the Far East” – said the Head of state.

Report of Rosneft Chief Executive Officer Igor Sechin Contribution of Rosneft in the development of the Far East of Russia

Note for editors:

The Zvezda Shipbuilding Complex is being built on the basis of the Zvezda Far Eastern Shipyard by the Consortium of Rosneftegaz, Rosneft and Gazprombank. The new shipbuilding dockyard project will be built in three stages. The first start-up stage of the Zvezda Shipbuilding Complex includes the construction of a heavy outfitting berth for the production of medium-tonnage vessels and marine equipment. The second stage will be to commission a dry dock and full-cycle production shops to build large-tonnage vessels and marine facilities. The third stage will be to put into operation production shops for the construction of offshore marine facilities.

The Zvezda Shipbuilding Complex will produce ships up to 350,000dwt, elements of offshore platforms, ice-class vessels, special vessels and other marine equipment.

Rosneft Information Division
tel.: + 7 (499) 517-88-97
September 1, 2016