China's ST Songfa has confirmed that its subsidiary Hengli Shipbuilding (Dalian) plans to invest CNY2.654 billion (approximately US$370 million) to expand its existing shipyard facilities.
The investment will cover the construction of large-scale steel structure workshops, auxiliary workshops, and supporting storage yards, and other onshore manufacturing facilities to enable the company to meet its growing shipbuilding capacity requirements.
ST Songfa said that upon completion, the project will provide an annual steel processing capacity of 400,000 tons, enabling the company to achieve production scale upgrades and cost optimisation while enhancing its market competitiveness.
The project site is located within the Changxing Island Shipbuilding and Offshore Engineering Industrial Park on the northern shore of Hulushan Bay on Changxing Island in Dalian.
ST Songfa expects that all related construction works will take approximately 12 months.
The project is part of a broader initiative that seeks to expand Hengli Shipbuilding's capacities in ship construction, conversion, and manufacturing and processing of marine components.
