No sign of any slowdown as the yard experiences healthy demand across a wide range of vessel types
Gibraltar shipyard Gibdock enjoyed a very positive year in 2023, sustaining the heathy growth in repair and maintenance activity seen the year before. Managing director Richard Beards says: “It was an extremely good year for us with high levels of drydock utilisation and a nice spread of vessels.
“The offshore vessel segment came back strongly, with several repeat customers returning and at one point we had four offshore vessels in the yard simultaneously, which shows we are on our way to reclaiming our position as the yard of choice for offshore vessel repairs in the Mediterranean. There was also a steady stream of naval and commercial vessel work over the course of the year, while our traditional ro-ro and passenger ferry market similarly performed well.”
The majority of projects handled by the yard last year were mostly standard drydockings and alongside repairs, although in recent months there has been an upturn in more substantial work scopes, including some with relatively large steel renewal requirements. The yard is also undertaking regular environmental upgrades, with both scrubber and ballast water treatment system installations featuring, albeit less so than in recent years as regulatory deadlines are passed.
Owners are still looking at ways of reducing environmental impact, including applying more advanced coating systems. Gibdock has been involved in several such projects, including the bulk carrier Donald M James, for Vulica Shipping Company. The 229m-long vessel entered the yard in the last quarter of 2023 for a 30-day project that included the application of a new type of coating from GIT Coatings. The vessel also underwent an extensive package of other works while in the yard, including cargo hold renewals, and work to piping, thrusters, tail shafts and rudders.
The GIT hard foul release coating is designed to reduce drag and cut emissions. Gibdock’s coating team applied the XGIT-FUEL topcoat to the ship’s vertical sides, with XGIT-PROP applied in three layers to the propeller after grit blasting. John Taylor, operations director, says: “This was our first graphene-based coatings project, but our team took it in their stride. The Donald M James was redelivered on time and on budget and GIT inspectors indicated that the work was carried out to exceptional standards.”
The first quarter of 2024 has seen a similar pattern emerging, with the yard continuing the positive business trajectory set in 2023. Beards says: “We have continued to grow this year much as we did last and the outlook for the rest of the year is very positive. We have several interesting projects in the pipeline and the order book is healthy indeed.”
He continues: “We are seeing that owners are looking to take care of their assets and ensure that they operate efficiently, cost-effectively and in a sustainable manner over the longer term. As a result, the average repair budget allocations for vessels are at healthy levels and we are seeing the benefits of that trend.”
Another positive trend that Gibdock highlights is that owners are booking vessels in for drydocking further in advance to ensure confirmed slots. This is providing the yard with greater security as to workflows and enables better long-term planning. Prior to 2022, the lead time between initial enquiry and drydock visit was typically 30 to 40 days. In 2022 the average was around 60 days, in 2023 it was 76 days and over the first quarter of 2024 it has reached an average of 91 days.
Beards says: “This is a significant lengthening in lead times over the past two years, which we welcome, although it can present challenges in managing back-to-back dockings, if unexpected work scopes arise and the vessel requires an extended stay. But it is a nice problem to have.”
Now part of the Balaena Group, Gibdock’s investment focus is largely on enhancing the environmental sustainability of its operations. Currently its biggest capital project is the installation of a 60Hz shore power plant aimed at enhancing Gibdock’s ability to provide cold ironing services to vessels in the yard. Taylor says: “Work is now well underway and the project is around 60% completed, so we expect it will be fully operational by the end of the year. The new shore power facility will replace an older, fairly antiquated one with a system that will be better able to meet the needs of our clients, and protect the environment, for years to come.”
Gibdock is also investing in more electric yard vehicles, replacing diesel ones, and has also invested in environmentally responsible ultra-high pressure water systems for hull cleaning. The yard additionally now has its own reverse osmosis system to supply industrial-grade water.
Supported by Balaena, Gibdock continues to support the wider maritime economy and in particular the development of relevant skills within the local area. The latest example of this was the provision of a fire response simulator training facility, sponsored by Balaena and manufactured at Gibdock, which is now in use at the University of Gibraltar’s Maritime Academy.
Looking forward, Gibdock is highly upbeat about prospects not just for 2024 but extending into 2025 as well. Beards concludes: “Most European yards have been busy over the past 18 months, largely as a result of post-Covid disruption at Chinese yards, which in turn led to a cascade effect of projects being displaced elsewhere. Now, however, Chinese yards have caught up and are more or less back to normal, but we are still seeing good levels of demand. This suggests the underlying fundaments of the business we are in are very sound and certainly there is no sign of a downturn on the horizon as yet.”
