Maritime Business day 10.5.2017: Business opportunities in Russia

1. Russia: excellent business opportunities despite of
sanctions
10.5.2017
Alexey Zak, Finpro
Lainio Ulla <ulla.lainio@finpro.fi>

2. CONTENT
1. KEY BUSINESS OPPORTUNITIES
2. RUSSIAN SHIPBUILDING CLUSTER
3. FINLAND MARITIME AND OFFSHORE PROGRAM EVENTS IN RUSSIA 2017
5/12/2017 © Finpro2

3. Arctic LNG-2 project and new Kola shipyard in Murmansk
region
• Arctic LNG 2 is second LNG-project of Russian leading private gas company Novatek
• Success of first Novatek’s LNG-project Yamal LNG with budget about 27 billion USD
• Preliminary evaluation of the ARCTIC LNG 2 budget is about 10 billion USD
• Preliminary evaluation of investments to Kola shipyard is about 830 million EUR
• Main product: floating LNG-production elements for the new LNG-plant.
• About 5000-7000 jobs during construction period and about 1000 jobs during
production period
• Greenfield project, need for all the infrastructure during construction period, new
production facilities, new production equipment etc.
• Schedule: purchasing procedures for Kola shipyard started in February 2017. Start of
production of the elements at the shipyard is planned for 2020.
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4. BUILDING OF ICE-CLASS VESSELS
• Russia is building fleet of about 65 ice-class vesselis in 2016-
2019
• Main types of vessels: diesel icebreakers, nuclear
icebreakers, LNG tankers, ice-class tags
• Main shipyards in Russia: Vyborg shipyard, Batlic plant,
Admiralty shipyard, probably Almaz
• Main foreign shipyards: Arctech Helsinki, Samsung, Doewoo,
Hyundai, Damen
• Last order: 4 ice-class tankers with LNG-engines for
Sovkomflot, Hyundai. Length of the vessels is about 250 m
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5. BUILDING OF NEW FISHING FLEET IN RUSSIA
• New legislation stimulates building of fishing vessels at
Russian shipyards
• Vyborg shipyard assigned the contract for 8-10 vessels
• Yantar shipyard in Kaliningrad assigned the contract for 3
vessels
• Demand for more vessels in the future
• Trawlers built at Vyborg shipyard are designed by
Norwegian company Skipsteknisk. Finnish companies can
enter trawler building projects in Russia in cooperation
with Skipteknisk. Content of imported components will be
high in trawlers
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6. BUILDING OF RIVER FLEET IN RUSSIA
• River commercial and passenger vessels
building and modernization.
• Russian Industry and Trade Ministry
estimates need for 240 new vessels until
2020.
• Russia is operating about 11000 river
vessels, avarage age 36 years
• NPV-300 project: 2-7 vessels for about
340 passengers each
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7. Technology cooperation with United Shipbuilding
Corporation
• New materials
Row materials with new characteristic. Nano-сoating. New production technologies
• Vessels’ assembling from big modules
New types of welding. Exact size production. Using or robots and laser measurement equipment. New design
solituons
• New solutions
New main engines and propulsion systems, other solutions. New ship management and production management
technologies
• LEAN manufacturing
LEAN manufacturing, 100% digital design and preparation of production. Management, based of project
management principles
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8. RUSSIAN SHIPBUILDING СLUSTER
KEY PLAYERS
• 170 shipyards and design companies
• Headcount: 160 000
SUBONTRACTORS AND SUPPLIERS
• 2000 companies
• Headcount: 540 000
TOTAL HEADCOUNT: 700 000
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9. MAIN DEMAND FROM DOMESTIC MARKET
KEY CUSTOMERS
• Navy
• Oil and Gas companies (mostly state owned)
• Russian shipping lines and agencies (biggest under government control)
MAIN VESSEL TYPES
• Military vessels
• Icebreakers and other ice class vessels
• Offshore objects and service vessels
• Tankers, bulkers, tugs, cargo barges
ABOUT 100 – 140 CIVIL VESSELS AND 50 MILITARY VESSELS UNDER CONSTRUCTION ANNUALLY
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10. WELCOME TO JOIN OUR EVENTS IN RUSSIA 2017!
• Trip to Astrakhan in 12-16.6. 2017
• Trip to Moscow and Nizhny Novgorod 26 - 30.6.2017
• Neva-exhibition in St. Petersburg 19-22.9.2017
5/12/2017 © Finpro10

11. THANK YOU!
KIITOS!
CПАСИБО!
5/12/2017 © Finpro11