Korean Company Prepared to hold Presentation Ship-building Factory in Azerbaijan

Business Materials 2 October 2007 17:15 (UTC +04:00)

Azerbaijan, Baku / corr Trend I.Khalilova / The South Korean holding company STX is preparing to hold a presentation of a feasibility study of the construction of a Marine manufacturing unit in Azerbaijan, Asgar Alekberov, the head of the Investments departments of the Azerbaijani Ministry of Economic Development, said in Baku on 2 October.

"STX has concluded the development of a feasibly study of the project and appealed the Ministry of Economic Development with a proposal to hold a presentation," Alekperov said.

The factory will be installed in Alat, like the new international trade sea port.

A memorandum on the joint financing of the project was signed between the Azerbaijani Investment Company and STX in Seoul on 24 April 2007.

The Korean side will be the main shareholder and the Azerbaijani Investment Company plans to acquire 25% of the shares.

A ship manufacturing facility will be complementary to the project on the construction of a new oil terminal and port in the Garadag region of Azerbaijan. Kazakhstan oil will be transported to Europe through this terminal via the Baku-Tbilisi-Ceyhan pipeline.

Kazakh tankers can be repaired at the ship manufacturing plant in Azerbaijan as well as other vessels from the Caspian region. There are no other enterprises similar to this one in the country.

Domestic and international orders will be accepted by this unit.