Shin Yang Sdn Bhd was established in February 1983. It is a conglomerate with services in sectors ranging from civil engineering to public transport including a maritime arm called Shin Yang Shipping Corporation. This division is involved with vessel ownership, shipping services, and shipbuilding for its own fleet as well as third parties. The company owns multiple yards capable of construction and maintenance services on many different vessel types, from workboats and tugs to container ships and cargo carriers. Its own fleet consists of more than 300 vessels.
With many shipyards in its organisation, Shin Yang Shipping Corporation is currently working on a number of different construction projects. Director Vincent Ling talks more about the building of a series of offshore support vessels (OSVs): “Dayang Topaz, which we delivered in the first quarter of 2012, is the first 80.4 metre four-point mooring maintenance workboat in the Malaysian market that complies with special purpose ship code 2008, recent damage stability requirements, and with crew accommodation according to the Marine Labour Convention 2006.
“Leveraging on positive feedback from the industry, we went ahead and built on speculation two more OSVs – Y366 and Y367 – with a slightly longer LOA of 83.8 metres (same beam of 22 metres) and similar four-point mooring system. Other modifications include replacing common toilets with toilet modules as well as four-men cabins. They are also equipped with medical room, recreation room, gym room, and a prayer room that is required for jobs in Malaysian waters. To reduce roll and increase comfort, the vessel is designed with two flume stabilisation tanks. The vessels contain a fresh water production capacity of two units creating 25 tonnes per day.”
At the time of writing, Y366 is in its final stages of construction with a delivery date fixed around the end of March or beginning of April 2013, whilst Y367 is approximately 35 per cent through hull construction and has had most of its main equipment purchased. Y367 is scheduled for delivery towards the end of 2013. The owner is a repeat Malaysian customer for which the yard has previously built a 75-metre workboat.
On 28th December 2012, Shin Yang Shipping Corporation reached a milestone with the laying of the keel for its first ever DP2 ship. The platform supply vessel (PSV) is a 77 metre diesel-electric model utilising azimuth and bow thrusters as well as a DP system manufactured by Kongsberg. It is one of two sister vessels being built for a Brunei-based owner. Shin Yang Shipping Corporation sees this as the first step into a rapidly growing sector and views the construction programme as a foundation of experience and knowledge in DP2 shipbuilding.
“Increasingly we see the market moving towards diesel-electric propulsion and DP2 vessels,” Vincent says. “These types of vessels are taking a larger market share due to deep water exploration and its higher safety requirements. Hybrid vessels are also an up and coming adoption by the marine sector that we are interested in. We have multiple yards in our group with the flexibility to build a range of vessels, often specialising in a certain type. Currently, for example, we are focusing on large OSVs above 3500 GRT, mid-sized support vessels for the seismic industry, and possibly harbour tugs in the near future because most tugs in the region are now almost ten years old.”
Apart from being a shipbuilder, Shin Yang Shipping Corporation is also a fleet owner and operator with more than 300 vessels under its responsibility. CEO Captain Ting explains how the company manages such a large number of ships: “We have a team of operations people and a team of technical staff to take care of our ships when they are stationed in different ports. We have shipyards located across different regions to accommodate vessel docking and repair activities. We also regularly appoint suppliers and engineers to assist in the repair of our vessels. In the future we aim for shipping operation to be more flexible by diversifying the utility of our vessels and extending our trading area to cover more ports.”
Shin Yang Shipping Corporation has experienced a variable market during the last two years. Its shipping activity has faced low freight rates as well as a drop in demand for shipments in the first place; the last few months have seen a positive influence on rates although demand remains low. Shipbuilding, meanwhile, has been more successful with a busy order book for the company’s yards. Prices have been very competitive due to many Chinese yards turning to OSVs following the crash of the merchant shipping sector, and the latter half of 2012 saw a reduction in orders, but 2013 will see a host of projects completed and delivered. Orders for 2014 are now being accepted and the company sees an upward trend in the oil and gas and offshore markets that it hopes will create many new opportunities.
Vincent concludes with an outlook on Shin Yang Shipping Corporation’s plans for the coming years: “As with all organisations, solid groundwork and healthy management based on performance is required for the company to build and expand upon into the future. Over the next five years we are looking forward to developing a stronger engineering team to support our ambitions of constructing more complex OSVs worldwide, using the current projects as pilots to steer us in the right direction. Our yard capacity is only 30 per cent utilised and we will focus on improving our efficiency of construction for faster delivery and higher construction quality. This will help us to be a premium and preferred vessel builder in the region.
Shin Yang Sdn Bhd
Fleet of 300 vessels
Looking at hybrid vessels