ST Engineering Expands Into Walk-to-Work Vessels

 

Singapore conglomerate ST Engineering is making forays into the market for specialized vessels supporting offshore operations after winning a contract for the construction of a walk-to-work (W2W) ship for the oil and gas industry.

The company announced it has secured the contract for the design and construction of the vessel for a leading oil and gas company. ST Engineering did not name the customer nor the price, but highlighted the importance of the contract in its quest for a bigger market for specialized vessels.

“Building a W2W vessel demands specialized expertise in marine engineering, advanced systems integration and dynamic positioning – areas where we excel. Being selected after a rigorous evaluation process is a testament to our expertise, dedication to quality and compliance with global standards,” said Tan Leong Peng, ST Engineering President, Marine.

The vessel, which will be 97 meters and able to accommodate 106 persons, will be purpose-built. Completion is slated for the first quarter of 2027.

ST Engineering’s determination to capture a bigger market for specialized vessels stems from a belief that in the long term, oil remains integral in meeting energy demands. The winning of the W2W contract comes just months after ST Engineering opened a new shipyard that was acquired at a cost of $95 million to support the growth of its marine business and maintain its competitiveness in the ship repair segment.

Opened in September last year, the new yard will enable the company to explore new market segments, including offshore renewables projects, offshore support vessels for the oil and gas industry, as well as refits, upgrades and comprehensive operations and support services. It is designed to handle larger, more complex projects, and its expanded capacity is expected to shorten turnaround times.