DOHA: Nakilat, which has grown from just an LNG (liquefied natural gas) shipping company to a comprehensive maritime service provider, has embarked on a multi-pronged strategy to further its expansion into global markets.
The strategy was emboldened by its foray into repair and construction operations at the Erhama Bin Jaber Al Jalahma Shipyard as well as agency, towage and vessel support services, Nakilat chairman and Minister of Energy and Industry HE Dr Mohamed bin Saleh al-Sada told shareholders at the annual general assembly meeting that approved QR955mn net profit and QR1 per share cash dividend.
“In today’s increasingly volatile world economy, it is a necessity for businesses to adapt to survive,” al-Sada said, adding Nakilat’s strategic business planning and investments have helped the company to grow beyond being just an LNG shipper to a comprehensive maritime service provider.
Nakilat’s vessels represent around 15% of the global LNG fleet capacity, which translates into more than 9mn cubic metres of LNG transportation.
Its joint ventures continued their “healthy” contribution to supporting the growth of Qatar’s maritime sector, with major vessel deliveries by them at the Erhama Bin Jaber Al Jalahma Shipyard.
Nakilat-Keppel Offshore and Marine (N-KOM) constructed and delivered the first self-propelled and elevating lift boat built in Qatar to Gulf Drilling International, while Nakilat Damen Shipyards Qatar (NDSQ) delivered eight vessels as part of an 11-vessel order for the New Port Project.
N-KOM has so far completed 135 LNG carriers and 52 offshore and onshore projects; while NDSQ has delivered 35 vessels with five others under construction. It has undertaken as many as 23 yacht refit and repairs.
Although Qatar is its core business, Nakilat’s board said it is ever expanding its global reach by delivering cargoes unrelated to Qatar through its joint venture shipping companies and its liquefied petroleum gas fleet.
“Nakilat plans to continue further expansion into international shipping markets in the years to come,” its board said in the 2016 annual report.
Nakilat managing director Abdullah Fadhalah al-Sulaiti said despite the volatile market conditions, it continued to achieve growth across operations, capitalising on the strength of integrated businesses within.
“We successfully consolidated the management of four wholly-owned LNG carriers to our in-house ship management firm, Nakilat Shipping Qatar, in the last quarter of 2016, and embarked on an organisation-wide cost optimisation exercise to further enhance synergies, while upholding the same high safety and quality standards, across our joint venture operations,” he said.
These initiatives, together with business strategy, laid a solid foundation for Nakilat to achieve its vision to be a global leader and provider of choice for energy transportation and maritime services, al-Sulaiti said.
