Fincantieri signs with Yucatan Mexico a new shipyard exclusive concession

   November 25, 2020 ,   Cruise Industry

On Tuesday, November 24, Fincantieri signed an LoI (letter of intent) with the Ministry of Economic Development and Labour of Yucatan State (Mexico) to participate in the design and building of a new ship repair, conversions, and maintenance yard.

The new facility will be situated within the expansion and modernization of Puerto Progreso, located approx 35 km from state's capital Merida, where a new area will be dedicated to industrial activities. Fincantieri is to be granted a 40-year concession for the new yard's exclusive management.

The project envisages two large drydocks (the Americas' biggest) able to handle vessels up to 400 m (LOA length), large cargo ships, large containerships (up to 8000 TEUs), cruise ships, Oil and Gas carriers. The yard will have a lifting platform for units up to 150 m in length, ~1 km docks, cranes, workshops, offices, warehouses, special equipment.

The creation of the yard will be initially carried out by the Government of the State of Yucatan and will start by the first half of 2021, and end by 2027. The Government will directly manage initial works via a special purpose company, that will handle the dredging and the building of the infrastructures and main plants.

Fincantieri will provide advice from the beginning, to carry out the later stage, building the advanced facilities, involving other partners, notably workshops and lifting equipment, as well as installing the equipment and starting activities. These will include the training of the staff, "carried out both locally and in Italy at higher education institutes and at Fincantieri Academy."

After the yard reaches full operational capacity, it will support an estimated 700 full-time resources, as well as supply "a downstream network involving up to 2500 workers during peak times."

Port of Progreso (Yucatan Mexico)

Mexico exports nearly USD 400 billion of goods annually, and imports goods for ~USD 350 billion. A considerable volume of the trade is via sea shipments. There is also significant cruise traffic along the USA's coasts, in the Caribbean and the Gulf of Mexico, where there are the settlements of the Maya civilization.

Fincantieri's Progreso Shipyard will be strategically positioned to serve the region's merchant operators, benefiting from the Yucatan navigation channel - a natural outlet to the Atlantic Ocean. The Gulf is a region with a strong concentration of Oil and Gas operations.