Harland & Wolff wins £0.8m contract for repairs on heavy lift Korean vessel
() , the marine engineering specialist, said it has been awarded a contract to undertake repairs on the heavy lift vessel Sun Shine, owned by Korea-based Pan Ocean Group. The contract value is estimated at £0.8m.
The vessel will be the first of its kind to be dry docked at Harland's Building Dock in Belfast, which is the largest in the UK. Sun Shine will enter the Belfast dry dock on 7 August 2023 for a period of approx. 21 days where it will undergo a series of repairs, including seal changes, steel works and painting.
The contract further validates Harland's growing reputation in the maritime industry as its shipyard in Belfast becomes a global drydocking hub. Pan Ocean joins a rapidly growing orderbook of customers who have recognised Harland's expertise in handling large complex vessels in Belfast. Only yesterday, the company secured a much larger £60m+ contract for the mid-life refurbishment of a large undisclosed vessel, to be completed in early 2024.
Investors welcomed the news, pushing shares 3.55% higher on Tuesday. The movement added to a larger rally over the past 10 days, with shares up 49% since Friday 21 July.
In its recently issued audited final results for FY22 ended 31 December 2022, Harland detailed significant progress during the period, with revenue growth of 51% to £27.96m, and a contracted backlog of £900m, compared to £100m in FY21. Late last year, a Harland-led consortium was awarded the massive £1.6bn contract for the Royal Navy's Fleet Solid Support (FSS) Programme, prompting a large jump in share price, which has since consolidated. Later in FY23, Harland was awarded its subcontract for the project, yielding several years of significant revenue visibility.
The two contracts signed yesterday and today bode well for more similar outstanding bids the company has made, ensuring the Belfast shipyard stays busy in H2 2023.
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