Antonio Llago durante su intervención

Gabadi will build LNG tanks for the Chinese shipyard Jiangnan with a value of 34 million euros

The Galician company Gabadi, with its headquarters in Narón, has just been awarded a contract by the Chinese shipyard, Jiangnan Shipyard (Group) Co., Ltd. for the erection of 4 membrane tanks of liquated natural gas (LNG) to be used as a fuel. This was stated by its CEO, Antonio Llago, at a launch ceremony which had been presided by President of the Government of Galicia (Alberto Núñez Feijóo) and which was also attended by the Minister of Economy, Industry and Employment of Galicia (Francisco Conde López) and by the major of Narón (Marián Ferreiro Díaz).

The total value of the contract ascends to 42.1 million dollars (34.2 million euros, considering the current exchange rate) and it is expected to be executed in one year and a half. The agreement has been signed by the shipyard Jiangnan Shipyard of the group CSSC (one of the biggest in China) and Gabadi’s branch company in that country Gabadi Marine Engineering (Shanghai) Co. Ltd., with its headquarters in Shanghai.

Gabadi Marine Engineering (Shanghai) Co. Ltd. will be in charge of the contract execution and, for that purpose, its Galician parent company will mobilize around 70 workers from Galicia to China. As it was pointed out by Antonio Llago during his speech before many attendants, the know-how transfer is one the company’s cornerstones, since it has already experience in this type of projects, all around the world, from Canada to Singapore.

Within the project of China, the construction of a LNG as a fuel membrane tank for the biggest container carrier in the world, of 22,000 TEU, 400 m in length and 60 m in width, must be highlighted for. The most important piece of news is that it is not for LNG transport, but for the LNG to be used as a fuel for the vessel.

This pioneering project (it will be the first containers carrier of this size to use LNG as a fuel) goes ahead the entering into force in 2020 of the new MARPOL Convention, which will imply new regulations regarding the emissions limit for maritime transport, making it compulsory to use fuels with low sulfur values, and, for that purpose, LNG is an ideal solution.

MHOS Project

Other of the news announced by Gabadi is the beginning of the commercial execution of tis MHOS project. It is an innovative system (which required an investment for the prototype of 1.3 million euros), which is the only one in the world, whose main characteristics is that it is more adaptable and efficient for accommodation solutions of offshore structures, such as oil platforms or wind power farms.

Its modular characteristic allows to assemble and dismantle easily accommodation blocks. In this case in particular, it consists of 31 40-feet containers with the capacity to provide accommodation for 180 people at the same time, but it can be adapted to the specific requirements from the client.

70 workers have been involved in the design and construction of the MHOS project execution, including different types of professional profiles, such as carpenters, welders, engineers or plumbers. More than 10 Galician and foreign companies have been coordinated to execute this work, what has been an impulse for the region’s activity sector and which has made it possible to perform offshore constructions outside of a shipyard. 

The first destination of these modular living quarters has been a platform from the Gulf of Mexico, but Gabadi is already performing studies for sending it and use them in other locations, such as Batam in Indonesia.

80% of Gabadi’s activity is already international

Gabadi was founded in 1989 and it has gone from being a small family company, which used to repair furniture for the naval sector, to become the most important company within the gas carrier tanks maintenance. Currently, Gabadi has 172 staff members only in Spain and 2017 ended with more than 18 million of income.

The company has activity and commercial presence in 11 countries, including some global great world powers, such as the USA, China, Canada or South Korea. The business diversification and new markets search have been the key for the company’s evolution within the last four years, during which it went from 95% of its income being of national projects nature, to closing 2017 with 80% being originated in projects abroad.