SDHI secures $227 million shipbuilding contract from European firm

Swan Defence and Heavy Industries secured one of India's largest commercial shipbuilding contracts from Europe's Rederiet Stenersen AS to build six chemical tankers at its Pipavav shipyard

Swan Defence and Heavy Industries (SDHI) on Friday said it has bagged a $227 million (around ₹2,080 crore) contract from Europe-based Rederiet Stenersen AS.

The company has received the order to manufacture and supply six 18,000 DWT (deadweight tonnage) IMO Type II chemical tankers from its shipyard in Pipavav, Gujarat. 

Swan Defence and Heavy Industries, in a statement, said the order valued at $227 million is one of India's largest single commercial shipbuilding orders and the first chemical tanker order placed with an Indian shipyard.

The contract bagged from European shipowner Rederiet Stenersen AS also includes an option for six additional vessels. The first vessel is scheduled for delivery within 33 months, with subsequent deliveries planned at regular intervals. Each tanker will have an overall length of approximately 150 metres and a beam of approximately 23 metres. The vessels will be designed by Marinform AS and StoGda Ship Design & Engineering and classed by DNV.

Commenting on the contract, Swan Defence and Heavy Industries Director Vivek Merchant said, "The order from Rederiet Stenersen AS underscores global confidence in our ability to deliver future-ready, high-quality vessels. This agreement is not only a significant achievement for SDHI but also a strong endorsement of India's growing commercial shipbuilding ecosystem."  He said progressive maritime policies, including the Shipbuilding Financial Assistance (SFA) scheme, have enabled Indian private shipyards to compete successfully with leading global peers."  John Stenersen, Director, Ship Management, Rederiet Stenersen AS, said, "This is our first newbuilding contract placed with an Indian shipyard, following a comprehensive technical and commercial evaluation."  The contract follows the signing of a Letter of Intent (LoI) between SDHI and Rederiet Stenersen AS earlier.

Swan Defence and Heavy Industries Limited (SDHI), formerly Reliance Naval and Engineering Limited, is a leading shipbuilding and heavy fabrication company in India.