Bahri has formally placed an order with Saudi Arabia’s joint venture shipyard International Maritime Industries (IMI) for six crane-equipped Ultramax bulk carriers, marking the first newbuild bulk carrier order secured by the Ras Al-Khair shipyard.
According to documents submitted by Bahri to the Saudi Stock Exchange (Tadawul), the new vessels will have a deadweight tonnage of 62,823 tons and a total construction cost of approximately $203 million. Based on this calculation, each vessel will cost about $33.83 million and is expected to be delivered between 2028 and 2029. The order will be financed through a combination of internal cash and bank credit facilities.
Bahri stated that ordering Ultramax bulk carriers from IMI Shipyard will enhance its flexibility in ports with limited infrastructure, enabling the company to explore niche markets and emerging routes. It added: “By launching the first major national shipbuilding program in partnership with IMI, the company is not only modernizing its fleet but also laying the foundation for a globally competitive shipping industry committed to sustainable development.”
Bahri’s collaboration with IMI Shipyard aligns with Saudi Arabia’s Vision 2030 strategy, which aims to localize supply chains and cultivate a competitive maritime industry cluster. Bahri’s dry bulk shipping division currently operates 13 bulk carriers. The six newly built Ultramax bulk carriers will significantly expand its influence in the cargo handling equipment sector and mark the beginning of Saudi Arabia’s first major shipbuilding project.
In addition to bulk carriers, Bahri committed to ordering billions of dollars worth of VLCCs from IMI Shipyards during the Posidonia 2024 exhibition in Greece. Sources indicate Bahri will place orders for approximately 20 VLCCs with IMI under a framework agreement. However, no further details regarding the VLCC orders have been disclosed at this time.
Earlier this year, IMI Shipyard also announced an order from ARO Drilling to build Saudi Arabia’s first jack-up drilling rig. Named “Kingdom 3”, this S116E-class jack-up rig will operate in water depths of 350 feet and marks the first jack-up rig to be entirely constructed within Saudi Arabia. IMI Shipyard stated that the commencement of this rig marks a significant milestone for Saudi Arabia and represents a crucial step toward IMI’s full operational capabilities.
Notably, “Kingdom 3” is the third S116E platform built by IMI Shipyard for ARO Drilling. The first unit, “Kingdom 1,” was delivered in November 2023, constructed through a collaboration between IMI and Lamprell at Hamriyah, UAE.
It is understood that IMI Shipyard was established in 2017 as a joint venture between HD Hyundai Heavy Industries—a shipbuilding subsidiary of South Korea’s HD Hyundai Group—Saudi Aramco, Bahri, and the UAE’s Lamprell, with respective equity stakes of 20%, 40%, 20%, and 20%.
Located in Ras Al-Khair, the IMI Shipyard spans 12 million square meters and is equipped with three large dry docks, four Goliath cranes, and seven berths. With an annual production capacity exceeding 40 vessels, it offers newbuilding and ship repair services for various ship types including VLCCs, bulk carriers, product tankers, offshore vessels, and drilling rigs. It is recognized as the most advanced shipbuilding base in the Middle East and North Africa region. The facility was originally scheduled to commence production by the end of 2020 and achieve full operational capacity by 2022, but these timelines were delayed due to factors including the COVID-19 pandemic.