Hyundai Heavy To Build $7B Shipyard In BRASS, Nigeria

Source: THEWILL. -

South Korean group Hyundai Heavy Industries 009540.ks plans to build a $7 billion shipyard in Nigeria's oil region next year, the company's president said on Thursday.

The world's largest shipbuilder said while construction on the project would begin in 2012, it had already begun clearing the land in Bayelsa, the home state of President Goodluck Jonathan in the heart of the oil-rich Niger Delta wetlands.

"My company is going to $7 billion in Nigeria in the building of a shipyard," Jai-Seong Lee told reporters at the presidential villa following a meeting with Jonathan.

Lee said the first phase would be completed by 2014. The shipyard will provide services to oil companies operating in Africa's largest energy industry.

The Bayelsa state governor said the government would not invest in the project but it had given Hyundai the land and would build a road to the shipyard.

"For us, the gain is in the jobs they are going to create and the taxes they will be paying to us when they commence operating the shipyard after completion," said Timipre Sylva.